Conifer Holdings has reported an estimated incurred pre-tax loss of approximately $2.3 million, net of expected reinsurance recoveries, during the first quarter ending March 31, 2021, due to Winter Storm Uri.
Conifer also expects to report prior year reserve development, predominantly for 2019 and prior years and largely stemming from its quick service restaurant line in certain geographies, which have been deemphasised in the Company’s current overall business mix.
It intends to strengthen its reserves for unpaid loss and loss adjustment expenses on prior accident years on a pre-tax basis by approximately $5.7 million for the quarter ending March 31, 2021.
James Petcoff, Chairman and CEO, commented: “We have continued to experience a higher degree of severity from certain geographies in our quick service restaurant business and other commercial lines.
“This is particularly the case in Florida, where social inflation and litigation issues have created a challenging environment for the industry as a whole. We have reduced our exposure in our quick service restaurant book in Florida by over 90% since 2019, and are focused on closing out claims from prior years.”
