Direct Line has announced a 29.3% drop in investment income between FY 2019 and FY 2020.
According to the insurance company’s latest financial results, investment returns for FY 2019 were recorded at £134.6m and this fell to £95.1m for FY 2020. Direct Line said this was due to the dual impact of lower reinvestment rates and a small number of writedowns in the investment portfolio.
“When we look at some of the volatility in the market over the period we are pleased with the overall performance of the portfolio,” the company said.
Gross written premiums for FY 2019 was recorded at £3,203.1m and in FY 2020 it was recorded at £3,180.4m
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Operating profits fell from £546.9m to £522.1m in the same period.