ROYAL and Sun Alliance has trebled its profits in the first three months of the year - despite losing £24m in storm damage payouts following the January floods in Carlisle.
The UK's second largest insurer, which operates the More Th>n brand, said pre-tax profits totalled £122m in the first quarter, compared with £44m a year earlier as benefits flowed from its restructuring programme. The improvement was led by its core markets of the UK, Scandinavia and Canada and came despite further losses in the US, where it has been hit by asbestos claims and compensation payments.
R&SA said its operating result for the quarter, which includes forecasts for investment returns, was £160m - up 95 per cent on a year earlier.
Underlying claims on property improved, despite the storm damage payouts in respect of January's floods.
Underwriting profits in the UK rose steeply from £2m to £33m.
The group has reduced the number of staff on both sides of the Atlantic and taken steps to reduce its exposure to risk in the US, where it recorded an underwriting loss of £651m two years ago.
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