LONDON--Direct Line Insurance Group PLC (DLG.LN) said it is on
track to achieve full year cost base and combined operation ratio
targets after strong results in the first half despite major
weather events and competitive markets.
The car insurer said gross written premium fell to 1.84 billion
pounds ($3.11 billion) from GBP1.98 million in the first half of
2013, while pretax profit rose to GBP225.1 million from GBP208.8
million.
The company announced an interim dividend per share of 4.4 pence
representing growth of 4.8% over 2013.
"Our performance has also allowed us to continue to invest in
the future of our business, to enhance our product propositions and
improve our customer experience," Chief Executive Paul Geddes
said.
"We have rolled out self-install telematics boxes, which will
enable us to reward better driving, and we've made it easier to buy
our Motor products on smartphones and tablets."
Direct Line said it is on track to achieve total cost base
target of GBP1 billion in 2014 and reiterated its aim to achieve a
combined operating ratio in the range of 95% to 97% for ongoing
operations, assuming a normal level of weather claims.
-Write to Rory Gallivan at rory.gallivan@wsj.com; Twitter:
@RoryGallivan
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