Fairfax Financial Holdings has reported fiscal year 2021 net earnings of $3,401.1m, compared to 2020’s $218.4m.
The Canada-based firm (all amounts in this story are in USD) said that last year was the best it had ever had, with record net earnings of $3.4bn and growth in book value per share of 34.2%. Gross premiums reportedly rose by 25.4%.
The firm said that all its major insurance and reinsurance companies achieved a combined ratio below 100% for a consolidated combined ratio of 95.0%, despite significant catastrophe losses of $1.1bn or 7.2 combined ratio points.
It was also said by the company that the consolidated combined ratio of the property and casualty insurance and reinsurance operations was 95.0%, producing an underwriting profit of $801.2m despite catastrophe losses of $1,148.1m (representing 7.2 combined ratio points), compared to a combined ratio of 97.8% and an underwriting profit of $309.0m in 2020.
Fairfax’s property and casualty insurance and reinsurance operations continued to experience net favourable prior year reserve development, with a benefit of $355.6m or 2.2 combined ratio points.
Its financial results are not the only news that Fairfax has put out today, given that the company has just announced that Peter Clarke will become its new president, while retaining his current COO role.
