Old Mutual Insure reverses battle
Catastrophe claims, mainly from Knysna fires in June, dent profit
Old Mutual’s emerging-markets arm has turned around underwriting losses at Old Mutual Insure, emerging victorious from one of the eight "battlegrounds" CEO Peter Moyo said the unit would face as it prepares for a listing in 2018. Old Mutual Insure, formerly known as Mutual & Federal and effectively Old Mutual Emerging Markets’s (Omem) property & casualty business, emerged 167% stronger in the six months to June, reporting underwriting profits of R39m. The number would have been much higher were it not for catastrophe claims, mainly from the June fires in Knysna that took R162m off underwriting profits. "We’ve sorted out underwriting, now we’re sorting profit," Moyo said after the release of Omem’s parent company Old Mutual’s results on Friday. Omem is the largest of four core Old Mutual units that are being separated from the head office in London and prepared for independence by the end of 2018. Old Mutual Insure was the largest single item that lifted Omem’s pretax adjusted operat...
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