The number of clients fell by 4.5%, but the volume of premiums rose by 3%, to 251.4 million euros

Línea Directa obtained, in the first three months of the year, a net profit of 10.1 million euros, compared to the negative net result of 5.3 million that it registered in the same period of 2023, as reported to the Commission this Monday. National Securities Market (CNMV).

The entity highlights that it has already chained three consecutive quarters of positive upward margins and “consolidates” the return to profitability that began in the second half of 2023, marked by the impact of the inflationary situation in the insurance sector.

“This favorable evolution of results is supported by a solid improvement in the company’s technical margin as a result of the underwriting and pricing measures, claims management and efficiency, included in the action plan carried out by the entity throughout the last year,” he highlights.

The total number of premiums issued by Línea Directa Aseguradora reached 251.4 million euros in the first quarter, 3% more, with the positive contribution of all business lines (Motor, Home, Health).

Premiums written in Auto, the insurer’s main business, increased by 2.2%, to 195.8 million euros, with an insured portfolio of 2.46 million policyholders. Insurance income in this segment grew by 3.1% in the first quarter.

In the Home business line, with 727,000 policyholders, premium billing grew at a rate of 4.4%, up to 39.3 million euros. Additionally, insurance revenues rose 4.5%.

Health, for its part, accelerated its growth with an increase in the client portfolio of 10.7%, to 118,000 insured, and in premiums issued of 8.7%, to 15.6 million euros, its record of billing in a quarter. Insurance income from this branch grew by 7.9%.

On the other hand, the products other than Cars, Home and Health marketed by the entity reached a turnover of 0.8 million euros.

The financial result of Línea Directa Aseguradora in the first three months of 2024 increased by 10%, to 9.2 million euros, thanks mainly to higher income from fixed income.

With all this, the company’s solvency margin increased by three percentage points compared to the end of 2023 and stood at 183%, which implies an excess of 170 million euros over the required capital. In this way, Línea Directa maintains a balance sheet made up entirely of Tier 1 or highest quality capital.

In the words of the CEO of Línea Directa, Patricia Ayuela, the year 2024 has begun “with good results from the point of view of profitability, with a progressive and solid improvement in margins and profits, which confirm the change of cycle that has begun”.

“In addition, we continue to grow in revenue in all lines of business and lead the insurance sector in efficiency. This, together with our direct business model and our focus on innovation, digitalization and sustainability, allows us to look at the year with prudence, but also with optimism,” he added.


Línea Directa’s combined ratio, which was already below 100% in the fourth quarter of 2023, continued to improve and, at the end of March, fell to 97.3%, which represents an improvement of 9.5 points percentages compared to the first three months of last year.

The insurer highlights the performance of the Auto business, the company’s main business line by business volume and the most affected in recent years at a sector level by cost inflation. The combined ratio in this segment closed at 96.5%, 10.3 percentage points better than a year before.

Likewise, it stands out that the claims cost has been reduced by 7.9% year-on-year, improving its claims ratio by 9.1 percentage points, closing at 75.1%.

On the other hand, the company has continued to improve its efficiency levels through a “strict” control of administrative expenses, which were reduced by 3.9%, compared to an average inflation in the quarter of 3.1%; of the greater digitalization of processes, with a growing use of generative Artificial Intelligence (AI), and an increase in commercial efficiency derived from its new organization. As a result of all this, the group’s expense ratio improved by 0.4 percentage points, to 22.2%.

For its part, the strategy of prioritizing profitability over growth in volumes has led to an increase in insurance income of 3.4%, also contributing to the increase in margins and results. However, the customer base has been reduced by 4.5%, to 3.3 million customers.