Insurance giant’s shares slip

QBE shares have fallen more than 10 per cent after the insurer cut its full- year guidance on the back of higher- than- expected claims from its emerging markets division. QBE said it now expects its combined operating ratio – a key measure of profitability – to rise to between 94.5 and 96 per cent for the first half of 2017 and the full year. The insurance giant had flagged a target of between 93.5 and 95 per cent at its AGM a month ago. Shaw and Partners chief investment officer Martin Crabb said the adjustment represented an earnings downgrade of 5 or 6 per cent, but investors were reacting to what had become a pattern of setbacks for QBE.