Beazley delivered a profit before tax in 2022 of $191.0m, which consisted of a strong underwriting performance offset by a reduced investment performance, and a return on equity of 7%.
Profit before tax in 2022 was $191.0m (2021: $369.2m). This was achieved through a substantial underwriting profit of $402.0m or a combined ratio of 89% (2021: 93%) offset by an investment loss of $ 179.7m (2021: gain of $116.4m) or an investment return of (2.1)% (2021: 1.6%).
Gross premiums written have increased by 14% in 2022 to $5,268.7m (2021: $4,618.9m). Rates on renewal business on average increased by 14% across the portfolio (2021: increased by 24%). All of our five divisions saw growth in 2022, with Cyber Risks and MAP Risks achieving double digit growth of 42% and 23% respectively.
Our net premiums written have increased by 10% in 2022 to $3,876.2m (2021: $3,512.4m). The slower growth in net premium compared to gross is due to an increase in reinsurance purchased during the period. The main driver of our additional reinsurance purchasing were in areas of significant growth, particularly Cyber Risks, so as to manage our net exposure.