Global reinsurer Swiss Re Group’s net profit rose 47% to $4.8 billion in 2025, with strong performance across the business, including a sharp increase in property and casualty (P&C) reinsurance net profit due to a lower-than-expected burden from large natural catastrophes.
For the entire group, Swiss Re’s insurance revenue in 2025 was US$43.1 billion, down 5% from US$45.6 billion in the previous year, while insurance service performance increased by 36% year-on-year to US$5.8 billion.
New business contract services margin (CSM), which reflects new business profitability during the period, fell to $4.7 billion from $5 billion.
Swiss Re’s return on equity reached 19.6% in 2025, up from 15% the previous year, and the company achieved a strong return on investment of 4%, reflecting more than $4 billion in recurring income and the positive contribution of equity holdings.
In P&C reinsurance, net profit increased from $1.2 billion in 2024 to $2.8 billion in 2025, driven by reduced natural catastrophe losses, resilient underwriting results and solid investment results.
In 2025, heavy losses from natural disaster events totaled $813 million, primarily caused by the Los Angeles wildfires and Hurricane Melissa, while man-made losses totaled $345 million.
P&C Re Insurance Services results were $3.6 billion in 2025, compared with $1.8 billion in 2024, which was impacted by significant reserving actions.
The unit’s combined ratio is 79.5% in 2025, an improvement from 89.9% the previous year and in line with the target of below 85% for that year.
Property and casualty reinsurance revenue will decline from $19.8 billion in 2024 to $18.7 billion in 2025, with the larger driver of the decline being the repositioning of the U.S. casualty portfolio completed in 2025. The segment generated $2.7 billion in new business CSM in 2025, down slightly from $2.9 billion in 2024.
Approximately 55% of the company’s contracted business was renewed during the reinsurance renewal period of January 1, 2026. Swiss Re said it maintained disciplined underwriting throughout, renewing property and casualty reinsurance contracts and generating $12.4 billion in premiums, in line with renewal business.
“This result reflects continued discipline and proactive cycle management in a more challenging pricing environment,” the company said.
Swiss Re said it achieved a 0.3% price increase at renewal in 1.1 2026 and managed to maintain stable terms and conditions. However, loss assumptions increased by 4.6%, resulting in a 4.3% decrease in net price. The reinsurance giant also chose to reduce its external retrocession at January renewals, resulting in an increase in net natural risk exposure. By 2026, P&C Re estimates a budget of US$2.1 billion for massive natural losses.
The reinsurer’s life and health (L&H) reinsurance business has now completed its portfolio review and posted a net profit of $1.3 billion in 2025, compared with $1.5 billion in 2024. Despite a solid portfolio review, the portfolio review meant Swiss Re missed its annual L&H Re net profit target of about $1.6 billion.
L&H Re insurance services results fell to $1.2 billion in 2025 from $1.5 billion a year ago, primarily reflecting a $650 million negative impact from assumption updates focused on addressing underperforming portfolios in Australia, Israel and South Korea.
Insurance revenue for the segment was $16.5 billion in 2025, compared with $17.1 billion in 2024, primarily due to the termination of external retrocession transactions. New business CSM will reach $1.1 billion in 2025, consistent with 2024 totals, with the CSM balance at the end of 2025 at $17.0 billion, compared with $17.4 billion a year ago.
Net profit at the company’s main insurance unit, Swiss Re Corporate Solutions, rose to $988 million, compared with $829 million in 2024, as the unit also benefited from lower-than-expected large natural catastrophe claims. The huge natural disaster losses of US$148 million were mainly caused by the Los Angeles wildfires, while the huge man-made losses reached US$351 million.
Enterprise Solutions’ combined ratio will reach 86.5% in 2025, an increase from 89.7% in 2024, achieving the full-year target of less than 91%.
Insurance services performance increased from $1.0 billion to $1.2 billion, while insurance revenue fell to $7.7 billion from $8.1 billion in 2025. Enterprise Solutions will achieve new business CSM of $834 million in 2025, down from $959 million in 2024.
Andreas Berger, Swiss Re Group Chief Executive Officer, said: “In 2025, we delivered on two key priorities: achieving the group’s financial targets and strengthening the company’s resilience. Group net profit reached the highest level in our history, reflecting strong underwriting discipline, strong investment returns and low large loss activity outside the first quarter.
“Today’s results also demonstrate our ongoing commitment to improving the resilience of Swiss Re’s business. Having completed a comprehensive review of L&H Re’s underperforming portfolio, all three of our business units are ready to deliver consistent results. We have also made substantial progress on our decision to exit iptiQ, with all parts of the business either sold or scheduled to enter the run-off stage.”
Anders Malmström, Swiss Re Group Chief Financial Officer, added: “Having achieved our key targets for 2025, we are well positioned to increase payouts to shareholders by increasing the dividend and initiating a large-scale share buyback program, including a sustainable annual component and an additional extraordinary amount linked to the achievement of our targets. The latter reflects our strong capital generation and position, our focus on managing property and casualty pricing cycles and the Group’s enhanced resilience.”
Today, Swiss Re also confirmed its previously announced financial target for 2026, aiming for group-wide net profit of US$4.5 billion. Property & Casualty Reinsurance’s combined ratio is expected to be below 85% this year, and Enterprise Solutions’ combined ratio is below 91%. L&H Re aims to increase net profit by $1.7 billion by 2026, reflecting the strengthening of its investment portfolio.
Berger said: “Swiss Re’s 2026 targets reflect our confidence in the resilience of the business unit, disciplined underwriting and active cycle management and growing re/insurance demand. We are achieving our cost efficiency targets and remain focused on disciplined execution, delivering unique value to our customers and strengthening our leading positions in key markets. With the solid foundation of our diverse businesses, we are well-positioned to deliver on our ambitions in 2026 and beyond.”
