MS Reinsurance, the global organisation with an office in Bermuda, has reported a 2023 net profit of $366 million, a result bolstered by a one-time tax impact of $93 million related to the island’s introduction of a corporate income tax regime.

The Bermuda Corporate Income Tax Act 2023 was passed by parliamentarians last December.

MS Re’s 2023 result represents a dramatic turnaround from a net loss of $50 million in 2022.

A company spokesman said: “Profits were driven by favourable non-cat experience across the portfolio, equity returns in line with the wider market performance and higher than planned returns on liquid assets.

“Net profit was also aided by a one-time tax impact of $93m stemming from the recognition of deferred tax assets in anticipation of the revision of the corporate tax system in Bermuda.”

MS Reinsurance chief executive officer Robert Wiest said: “2023 was a watershed year for our company.

“The combination of favourable market conditions and our own client-focused, portfolio approach allowed us to achieve our five-year turnaround goal in just three years, growing our book while continuing to improve the quality of our business.”

MS Re said gross written premiums grew to $3.1 billion, an increase in absolute terms by 34 per cent relative to financial year 2022.

The company said this growth was seen in segments where market conditions remained favourable and in areas that successfully aligned the strategic approach for diversification and increased profitability, notably in European property and casualty, agriculture and US casualty lines of business.

MS Re said its combined ratio improved from 98 per cent in 2022 to 90.5 per cent in 2023.

The company is domiciled in Switzerland with underwriting offices in Bermuda, Zurich, Miami and New York.