Global Indemnity Group reported stronger underlying underwriting profitability and a higher adjusted return on equity in 2025, despite catastrophe losses from the California wildfires weighing on overall reported earnings.
The firm posted gross written premiums of $398.9m for 2025, broadly stable compared with $389.8m in 2024, while investment income rose slightly to $62.7m from $62.4m in the prior year.
Although Global Indemnity’s reported underwriting income fell to $7.3 million in 2025 from $17.8 million a year earlier, current accident year underwriting income excluding the California wildfires rose to $32.7 million, up from $18.8 million in the prior year.
This improvement was reflected in the firm’s current accident year combined ratio excluding the wildfire losses, which improved to 92.2%, compared with 95.4% in 2024, signalling stronger core underwriting profitability.
However, it must be noted that catastrophe impacts and higher expenses reduced reported profitability.
Operating income declined to $28.2 million in 2025 from $42.9 million in 2024, while corporate expenses rose to $31.7 million from $25.7 million.
Net income available to common shareholders fell to $24.9 million in 2025, down from $42.8 million in the prior year.
Excluding the wildfire losses, net income available to common shareholders would have been $36.9 million.
Despite the headline decline in earnings, profitability metrics improved on an adjusted basis. Adjusted return on equity excluding the California wildfires rose to 14.7% in 2025, up from 12.7% in 2024, reflecting stronger underlying underwriting performance.
Global Indemnity’s loss ratio increased to 58.7% from 56.6%, while the expense ratio rose slightly to 39.9% from 39.0%, pushing the reported combined ratio to 98.6%, compared with 95.6% in 2024. On a current accident year basis, however, the combined ratio stood at 96.2%.
