Peak Re announced its full-year financial results for the year ended 31 December 2024. With a net profit after tax of $187m - the company's second-best results in its twelve-year history - the company demonstrated resilience and sustained profitability amidst a turbulent risk environment. The Reinsurer's return on adjusted equity stood at a healthy 15.7%, and total equity rose to $1.43bn, supported by strong underwriting and investment performance across all lines of business.
The company’s GWP remained stable at $1.76bn, a result of prudent underwriting, according to the reinsurer’s statement. Reinsurance service results were $144m, with a solvency ratio of 186%.
“In 2024, we successfully built on Peak Re’s strong business franchise to position us for further growth,” said Peak Re CEO Franz-Josef Hahn. “Throughout the year, we further diversified our reinsurance portfolio both geographically and across different lines of business. We strengthened our robust network of client relationships through regular, transparent and timely engagements. Importantly, we demonstrated our leadership ambitions by further investing in our IT systems and business processes, thereby enhancing our capabilities to support our clients in navigating today’s fast-evolving risk landscape.”
Resilient P&C strategy pays off
Peak Re’s strategic restructuring of its P&C portfolio, initiated in 2022 with a shift from proportionate to non-proportionate coverages and higher excess-of-loss layers, successfully shielded the company from the market’s elevated natural catastrophe losses in 2024. This approach was further expanded during the year to enhance portfolio resilience and prepare for potential market softening, with a focus on global diversification and a strong balance between P&C and L&H business lines.
Notably, Peak Re deepened its presence in the US SME market, particularly in casualty and cyber risk, through its Bermuda platform. Combined with disciplined expense management of the company, these measures led to a significant reduction in the combined ratio to 84.0%, down from 87.3% in 2023.
In 2025, Peak Re opened a branch in GIFT City, India, and secured a subsidiary license in Bermuda, signifying its global ambitions.
The start of 2025 has been marked by continued volatility, including the devastating California wildfires. Nonetheless, global reinsurance capital has reached $607bn, and Peak Re anticipates another year of strong demand for capacity. The January 2025 renewals affirmed clients’ confidence in Peak Re, with over 80% of relationships retained and further expanded.