Australian insurer Suncorp forecasts slower total premium growth in fiscal 2025

AUSTRALIAN insurer Suncorp on Monday (Aug 19) forecast slower growth in gross written premiums for fiscal 2025 as premium rates moderate and inflation eases, after posting a 17 per cent rise in its fiscal 2024 cash earnings.

The insurer, which posted a 14 per cent rise in general insurance gross written premiums for fiscal 2024, expects growth to be in the mid to high single digits for the current fiscal year.

The company’s general insurance gross written premiums of A$14.1 billion (S$12.4 billion) for fiscal 2024 was underpinned by price increases which offset natural hazard and higher reinsurance costs.

The country’s second-biggest insurer by market value recorded cash earnings of A$1.37 billion for the full year ended June 30, higher than A$1.18 billion in the prior year but missing a Visible Alpha consensus of A$1.52 billion.

Its cash earnings were helped by higher net investment returns which rose 46.6 per cent to A$661 million on the back of strong underlying yield on its interest-earning portfolio and stronger equity markets.

The Brisbane-headquartered company declared a final dividend of 44 Australian cents per share, up from 27 Australian cents per share in the previous year.