Insurance company Chubb yesterday reported profits of more than $1 billion for the first quarter of the year — a 149.2 per cent increase on the same period last year.

The $1.09 billion figure compared to the $439 million recorded in the same period of 2016.

The first quarter figure breaks down to to $2.31 per share, compared with 97 cents a share in quarter one 2016.

The firm, formed from a takeover of Chubb by Ace last January, also reported net premiums written of $6.7 billion and $6.2 billion for consolidated and property and casualty business respectively.

Evan G Greenberg, chairman and chief executive officer of Chubb, said: “Chubb had a very good quarter.

“After-tax operating income increased 10 per cent driven by both strong property and casualty underwriting income, up 28 per cent, and adjusted net investment income, which was up 9 per cent.

“Comparing our results as if we were one company for the full quarter last year, operating income per share was up 8 per cent while underwriting and investment income were up 9 per cent and 3 per cent respectively.

“Our strong earnings led to very good book value and tangible book value growth.”

Mr Greenberg added that underwriting income growth was driven by “simply excellent” combined ratios for the quarter, on both a calendar and accident-year basis, in spite of higher natural catastrophe losses and a one-time reserve charge related to changes in the Ogden discount rate in the UK.

He said: “Our underwriting margins are benefiting in particular from expense efficiencies generated from the merger.”

Operating income totalled $1.17 billion, or $2.48 per share, compared to $1.01 billion or $2.26 per share for the same quarter last year.

Mr Greenberg added that the market was still soft, with companies chasing volume even in a tough underwriting environment.

And he said: “Our premium revenue growth was in line with our expectations and benefited from strong business retentions and growth in new business over prior year, which was constrained nonetheless due to competitive property and casualty conditions globally.”