By Scott Vincent

May 9 - (The Insurer) - QBE reported net catastrophe losses of $420 million for the first four months of the year in a trading update on Friday, within its first-half allowance of $549 million.

The Australian insurer, which reports in US dollars, said its exposure to January’s LA wildfires remains consistent with the $200 million figure which it provided as part of its full-year 2024 results announcement in February.

QBE has a full-year cat allowance of $1.16 billion, which includes $611 million for the second half of the year.

The carrier said it expects any underwriting risks associated with trade disruption to date will be limited, with the proactive management of any emerging inflationary pressures now a primary focus.

QBE also reported gross written premium growth at 7% for the first quarter, rising to $8.3 billion from $7.8 billion in the first quarter of 2024.

This reflected premium rate increases of 3.4% across the portfolio, as well as continued expansion in international and North America.

QBE said it booked $100 million of costs related to the run-off of non-core lines in North America during the quarter. The company continues to expect a $250 million drag from this run-off over the full year.

In its crop business, QBE said it currently estimates moderate growth in GWP in 2025 with net insurance revenue likely more stable compared with 2024 after increased cessions to the federal risk pool.

The trading update also saw QBE confirm its full-year targets of GWP growth in the mid-single digits on a constant currency basis, alongside a combined ratio of around 92.5%.