The QBE Insurance Group Ltd (ASX: QBE) share price is lifting off today.
Shares in the S&P/ASX 200 Index (ASX: XJO) insurance giant closed yesterday trading for $21.83. In morning trade on Friday, shares are swapping hands for $22.36 apiece, up 2.4%.
For some context, the ASX 200 is up 0.1% at this same time.
This outperformance follows the release of QBE's first quarter (Q1 2025) trading update.
Here's what's grabbing investor interest today.
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QBE share price lifts amid GWP growth
The QBE share price is marching higher after the company reported 7% year-on-year gross written premium growth for the quarter, or 8% on a constant currency basis. This growth was achieved despite what the company said was a $100 million drag from the run-off of its non-core lines in North America.
On the underwriting front, QBE said that the net cost of catastrophe claims totalled around $420 million in the four months to April. QBE has a first-half catastrophe allowance of $549 million.
The catastrophic events the ASX 200 insurer has been paying out for over the period include the LA wildfires, flooding in Queensland, and cyclone Alfred.
As for the Trump tariffs and global trade disruptions, the QBE share price could be getting some extra support, with the company noting, "At present we expect any underwriting risks associated with initial trade disruption should be limited."
On the investment front, Q1 investment returns were reported to be positive, supported by favourable interest rates and strong risk asset performance.
QBE's exit core fixed income yield of 4.1% was down from the FY 2024 exit yield of 4.3%.
Total investment funds under management (FUM) stood at $31.6 billion, up from $30.6 billion in FY 2024.
What did management say?
Commenting on the past full-year's results helping to boost the QBE share price at today's AGM, CEO Andrew Horton said, "2024 was a strong year for QBE and I am pleased with the momentum and consistency we have brought into this year."
Horton added, "We delivered a group combined operating ratio of 93.1% — outperforming our original target of ~93.5%, despite it being a high-catastrophe year globally."
Turning to the first quarter of 2025, Horton said:
We've had a good start to the year. Strong premium growth has continued as market conditions generally remain supportive, while underwriting performance has remained resilient in light of a challenging quarter for catastrophes.
Now what?
Looking at what could impact the QBE share price in the months ahead, the ASX 200 insurance giant confirmed its full-year outlook.
The company said it expects:
- FY 2025 constant currency gross written premium growth in the mid‑single digits, inclusive of a $250 million drag from the non‑core run‑off in North America.
- FY 2025 group combined operating ratio of around 92.5%.
QBE is scheduled to release its first-half results on 8 August.
The QBE share price is up 27% since this time last year.
