The QBE (ASX:QBE) share price has plummeted 9% today. Here’s why

The QBE Insurance Group Ltd (ASX: QBE) share price has dropped this morning after a company update on expected results for the 2020 financial year (FY20).

QBE will report its confirmed FY20 results to the market on 19 February 2021. At the time of writing, the QBE share price has dropped 9.35% to $9.02.

The $1.5 billion reason why QBE share price is sinking

In this morning’s update on QBE’s 2020 financial year expectations, the insurance giant advised it expected a full FY20 adjusted net cash loss after tax of approximately $780 million.

It listed pre-tax impacts of $470 million from COVID-19 costs. There included additional claims from trade credit, lenders’ mortgage insurance, casualty classes and business interruption.

QBE…