Línea Directa stays on course to profitability with earnings of 10 million euros in Q1 of 2024

Since the second half of last year, Linea Directa Group has achieved three consecutive quarters with positive profits. The insurance company, led by Patricia Ayuela, closed the month of March with net profits of 10.1 million euros, a significant improvement from losses of 5.3 million in the same period last year. As a result, its shares rose slightly over 2%, consolidating an overall advance of 13% for the year as they try to rebound from recent losses.

The company attributes this positive trend to improved margins resulting from better client selection and revised insurance rates, as well as more efficient claims management. These factors have helped increase income by 3.4% while reducing the number of policyholders by 4.5% to 3.3 million policies issued. Premiums for all business lines, including Motor, Home, and Health, saw positive growth.

CEO Ayuela expressed optimism about the company’s future prospects, citing a solid improvement in margins and profits as confirmation of a positive change in the business cycle. The company’s Household and Health branches also saw growth in premiums issued and insured individuals, showcasing a well-rounded performance across all business segments.

Overall, Linea Directa Group returned to profitability, as reflected in a significantly improved combined ratio and increased solvency margin. The company’s Auto branch, in particular, saw a notable reduction in combined ratio, indicating improved financial health and business efficiency. With a strong financial position and positive performance across all business lines, Linea Directa is poised for continued success in the future.

By Aiden Johnson

As a content writer at newspoip.com, I have a passion for crafting engaging and informative articles that captivate readers. With a keen eye for detail and a knack for storytelling, I strive to deliver content that not only informs but also entertains. My goal is to create compelling narratives that resonate with our audience and keep them coming back for more. Whether I'm delving into the latest news topics or exploring in-depth features, I am dedicated to producing high-quality content that informs, inspires, and sparks curiosity.

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