Admiral has announced a 90% surge in pre-tax profit to £839.2m in 2024 after citing improved conditions in the motor insurance market.

In the 12 months to 31 December 2024, the group also reported a 28% jump in annual turnover to £6.2bn, significantly up on the £4.8bn it recorded in 2023.

Admiral also revealed that it had welcomed over 1.4 million new customers last year, with its core business, UK Insurance, the main driver behind the improvement. The division delivered just under £1bn in profit, supported by product growth and the impact of the recent Ogden Rate change.

Beyond its UK motor business, Admiral also delivered double-digit profits within its UK household, French and US motor businesses, and Admiral Money. As a result, the company announced that it now serves over 11 million customers globally, with almost half of customer growth coming from other business lines across the group.

CEO, Milena Mondini de Focatiis, said that Admiral had emerged from “several challenging years” and was “quick to respond” amid improved conditions.

“We were one of the first to reduce prices in response to easing inflation and cut rates the day after the favourable Ogden rate change announcement,” Mondini de Focatiis said.

“The main driver of our exceptional performance was our UK motor business. However, it is great to see UK household, Admiral Money, and our French and US motor businesses all report a double-digit profit.

“As we enter into 2025, the market is softening, and the outlook is uncertain. Our priority is to stay efficient and agile so that we can adapt as needed and deliver long-term growth by building on our strong foundations and talented team.”

Admiral said it was “well-placed going” into the next financial year as it also announced announced a proposed final dividend of 121p – more than twice the 52p at the same stage last year.

The FTSE 100 company’s share price has climbed by more than 5.5% to £30.66 since it published its results this morning.

AJ Bell investment director, Russ Mould, added: “The market was in the mood to salute insurance outfit Admiral, whose shares moved to a three-year high as it unveiled a bumper set of results which included a big increase in the dividend.

“The company’s motor division looks to be returning to the fast lane after a period of being held up by higher claims and costs. Admiral’s ability to cut prices has attracted drivers in their droves and the changes in the Ogden rate – which dictates the level of compensation in personal injury cases – have helped support a big increase in profit.”

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