Hartford Financial third-quarter profit rises on underwriting gains, investment income
24/10/2024 22:28
Oct 24 (Reuters) - Insurance firm Hartford Financial
Services HIG.N posted an 18% rise in third-quarter profit on
Thursday, as the company benefited from strong underwriting
gains in its property & casualty (P&C) segment and higher
returns on its investment portfolio.
P&C written premiums rose 10% in the quarter ended Sept 30,
driven by commercial lines and personal lines premium growth of
9% and 12%, respectively.
Despite high interest rates, hopes for a soft landing of the
economy have helped sustain insurance spending, boosting premium
growth from both individual and corporate customers.
Hartford's net investment income, before tax, saw an
increase of over 10% to reach $659 million, driven by higher
yields on fixed income portfolio.
Elevated interest rates have boosted yields from bonds that
insurers hold in their investment portfolios, while a strong
economy and a rally in equities have also benefited their stock
holdings.
The company reported core earnings of $752 million, or $2.53
per diluted share compared to $702 million, or $2.29 per diluted
share, a year earlier.
Shares of the Hartford, Connecticut-based insurer was down
2.5% at $117.5 in extended trading.
(Reporting by Atharva Singh; Editing by Mohammed Safi Shamsi)
((Atharva.Singh@thomsonreuters.com;))