Allianz earnings drop as natural catastrophes hit Munich firm’s insurance business

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Louis Goss is a MarketWatch reporter based in London.

German financial giant Allianz on Friday saw its shares increase 2% as it posted a 4.5% uptick in revenues alongside a 14.6% drop in third-quarter profits, after its insurance business was hit by a surge in claims from natural catastrophes.

Allianz’ earnings were, however, dragged down by a 25% drop in profits from its property and casualty insurance division, following a surge in claims related to a series of floods and storms in Europe this summer. Allianz, which was first established as an insurance company in 1890 before it set up an asset management business Allianz Global Investors in 1998 and acquired PIMCO in 2000, saw inflows worth €10.5 billion in the third quarter.

The recent inflows come after Allianz reported €81.4 billion worth of outflows in 2022, as clients pulled out their money as falling bond prices drove a worldwide sell off.

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