International underwriter of specialty re/insurance products Argo Group International Holdings has announced a preliminary pre-tax catastrophe loss estimate for Q3 2018 of approximately $25 million.
Hurricane Florence, typhoon Jebi and other cat and weather-related events in Q3 are all included in the estimate.
Also included are claims costs net of ceded reinsurance recoverables and reinstatement premiums, and losses related to certain aggregate excess of loss contracts.
“As we indicated following the catastrophe loss events in 2017, we restructured our reinsurance program for 2018 to incorporate a single retention that combined the reinsurance portfolios for Argo and the acquired Ariel Re, and we strategically increased our use of third-party capital,” said the firm’s Chief Executive Officer Mark E. Watson III.
“Our loss results for the third quarter of 2018 reflect these actions.”
This announcement follows a number of preliminary estimates across the industry, including reports of American International Group (AIG) calling on some of its reinsurance partners for support with its $1.5 billion to $1.7 billion Q3 cat loss.
