Profits at insurer FBD declined by almost half during the first half of the year as claims rose following Storm Éowyn in January.

The London-listed company reported a pre-tax profit of €17m, down from €32m in the first six months of 2024.

FBD expects the storm to have a net cost of €30.6m compared to €14.7m cost of Storm Isha and Storm Darragh in 2024.

"Severe weather events, including heavy snowfall in January and Storm Éowyn led to a significant surge in claims activity," said Tomás Ó Midheach, group chief executive of FBD.

"It is during these times that our customers rely on us the most.

"As of today, circa 90 per cent of the weather-related claims have been resolved with the remainder progressing towards finalisation."

Results published on Friday shows that insurance revenue increased 11 per cent to €235m, with gross written premium (GWP) rising ten per cent to €249m.

Policy count grew 3.8 per cent while the average premium increase 6.1 per cent, which FBD mostly credited to insurances raising their level of insurance.

In terms of claim trends, FBD saw the attritional cost of property claims increase three per cent year-on-year and 37 per cent since June 2021 due to disrupted supply chains, skills shortages and materials inflation.

Injury notifications were down two per cent but motor injury claims rose seven per cent. Motor damage notifications also rose five per cent. Large injury claims (€250,000+) were in line with the 10-year average.

Looking ahead, FBD said trade policy is already hampering business investment and decision making, which will impact its medium-term growth rates.

"While mindful of ongoing uncertainties in the external environment, we are confident that our relationship driven approach, supported by a digitally enabled, data enriched organisation will continue to deliver long-term value for our customers and stakeholders alike," said Ó Midheach.

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