English
Français
The Lloyd's market analysis herein pertains only to the reinsurance segment. In this line of business, the venerable English institution has returned to profitability in 2023 after a loss-making 2022 year.
Last year's results were exceptional thanks to excellent underwriting discipline and greater portfolio monitoring, with a number of positive figures, including:
- turnover and shareholders' equity, both up 19%,
- a more than 25-fold increase in net profit compared with the previous year,
- an ROE of 22.93%, compared with a loss of -1.07% in 2022. The ROE for Lloyd's in 2023 is better than that reported worldwide (21.4%),
- a loss ratio and a combined ratio of 49.6% and 84% respectively, each improving by 7.9 points.
Lloyd's market: main indicators 2014-2023
Figures in millions USD
| 2014 | 2018 | 2022 | 2023 | 2014-2023 evolution (1) | |
|---|---|---|---|---|---|
| Turnover | 13 185 | 14 048 | 18 527 | 22 072 | 5.90% |
| Share capital | 24 391 | 33 607 | 41 165 | 40 603 | 5.80% |
| Shareholder’s equity | 35 085 | 35 814 | 48 480 | 57 629 | 5.70% |
| Net result | 1 884 | -1 270 | -517 | 13 217 | 24.20% |
| ROE | 5.37% | -3.55% | -1.07% | 22.93% | 17.50% |
| Loss ratio | 49% | 65.40% | 57.50% | 49.60% | - |
| Combined ratio | 88.10% | 104.60% | 91.90% | 84.00% | - |
(1) Average annual growth rate
Source: 2025 Atlas Reinsurance Reports
Lloyd's market turnover
Based on data analysis for the last decade, that is, from 2014 to 2023, Lloyd's reported an average annual growth in turnover of 5.9%, exceeding that achieved by Munich Re (2.8%), Swiss Re (4.9%), Hannover Re (5%) and SCOR (5%).
Lloyd's benefited more than its competitors from the rapid growth in premiums in the specialty and property lines, as well as from the continued upward adjustment of rates.
Lloyd's market net result
After a cumulative net loss of 5.690 billion USD in the years 2017, 2018, 2020 and 2022, the Lloyd’s has returned to record profits of 13.217 billion USD in 2023, an amount never achieved in the last decade.
This performance is accounted for by the rate adjustments made by the syndicates, the close monitoring of portfolios, the improved market conditions and the decline in natural catastrophe claims in 2023.
Lloyd's market combined ratio
Lloyd's combined ratio stood at 84% in 2023, a much better situation than that achieved by the industry as a whole (91.5%). This performance is also lower than that exhibited by American & Bermudan reinsurers (85.1%) and European reinsurers (87%).
According to Lloyd's figures, natural catastrophe claims accounted for only 3.5% of its combined ratio in 2023, compared with 12.7% in 2022.
Another particularity of the English market is that, following a major claim or series of major claims, Lloyd's replenishes its reserves more rapidly than its competitors, hence its less volatile capitalization.
