Presurance Q2 net income rises 24% as underwriting improves
Presurance Q2 net income rises 24% as underwriting improves
Overview
US specialty insurer's Q2 net income rose 24% yr/yr as underwriting results improved
Adjusted operating income turned positive from a loss in the prior-year period
Gross written premiums declined 38% as company shifted focus to personal lines
Outlook
Company did not provide specific guidance for future quarters or the full year
Result Drivers
UNDERWRITING DISCIPLINE - Co said improved results were driven by tighter underwriting standards and a focus on risk selection
PORTFOLIO SHIFT - Co attributed lower premiums and improved profitability to moving away from commercial lines and focusing on select personal lines homeowners’ risks
FAVORABLE RESERVE DEVELOPMENT - Co said Q2 loss ratio benefited from 31 percentage points of net favorable prior year reserve development
Company press release: ID:nGNX9mcnHx
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Gross Written Premiums |
| $13.07 mln |
|
Q2 Net Income |
| $2.54 mln |
|
Q2 Adjusted Operating Income |
| $1.32 mln |
|
Q2 Combined Ratio |
| 69.50% |
|
Q2 Expense Ratio |
| 44.90% |
|
Reuters Recommended Reads
Aug 10 - James River Q2 net income rises 59% as premiums fall
Aug 11 - American Integrity Insurance Q2 adjusted EPS beats, partly helped by surge in net premiums earned
Aug 11 - US commercial insurance renewal rate increases slow in July: Ivans
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)