Bowhead Specialty, a provider of casualty and professional liability products, has announced its financial results for the first quarter of 2025, reporting significant net income growth of 62.9% and gross written premiums growth of 26.3% compared to the same period the year prior.
The company’s net income reached $11.4 million in Q1 2025, compared to the $7.01 net income reported in Q1 2024. Bowhead also reported an adjusted net income of $11.5 million for the quarter.
Driven by renewals and continued growth across all its divisions, Bowhead’s gross written premiums (GWP) increased 26.3% to $174.8 million. Net written premiums for the quarter were $116.7 million, a 28.5% increase when compared to the $90.8 million seen in Q1 2024.
GWP growth was led by the Casualty division, which saw a 33.1% increase to $122.3 million. Healthcare Liability followed with a 9.9% increase, to $23.8 million, and Professional Liability increased 2.8% to $26.0 million.
Bowhead’s new division Baleen Specialty – which focuses on small, hard-to-place risks written 100% on a non-admitted basis launched in Q2 2024 – generated $2.7 million of GWP for Q1 2025, in line with the firm’s deliberate, measured and limited roll out.
The company also reported a loss ratio of 66.9% in Q1 2025, which increased 1.4 points compared to 65.5% in Q1 2024, driven by a 0.4 point increase due to prior accident year reserve development and a 1.0 point increase in the current accident loss ratio.
The 0.4 point prior accident year reserve development was driven by expected loss ratios applied to audit premiums being fully earned in the quarter but associated with prior accident years.
According to Bowhead, the 1.0 point increase in its current accident year loss ratio was driven by changes in its portfolio mix. The company noted that its Casualty division, which has comparatively higher current accident year industry loss ratios, constituted a larger portion of its portfolio during Q1 2025 compared to the same period last year.
Stephen Sills, Bowhead Chief Executive Officer, commented: “We are proud of our first quarter 2025 results, which demonstrated continued execution across all of our underwriting divisions. We grew premiums by more than 26% year-over-year, once again driven by outsized growth in our Casualty business.
“More importantly, we grew net income by over 60% compared to last year, which is a testament to our commitment to generating profitable growth. Although there is heightened uncertainty in the market given rising trade tensions and macroeconomic headwinds, we believe that Bowhead is currently well positioned to execute on our goal to grow premiums by around 20% on an annual basis.”
