HCI Group, Inc., a Tampa-based insurance holding company, has reported a rise of 5% in gross premiums earned for the third quarter of 2026 to $316 million, compared with $301 million in Q3’025. For 9M’26, gross premiums earned were up 7% to $963 million, compared to $904 million for 9M’25.
For both periods, the increase was driven by a higher volume of insurance policies in force, while average premium per policy remained relatively consistent.
In the quarter, HCI’s premiums ceded for reinsurance dipped to $97 million compared to $106 million in Q3’25. For 9M’26, premiums ceded for reinsurance was also down to $303 million compared to $308 million for 9M’25.
The decrease in both periods was due to lower costs associated with the insurer’s new 2026-2027 catastrophe reinsurance programmes, where the insurer secured $4.06 billion in aggregate excess of loss (XoL) limit for the period.
Losses and loss adjustment expenses in Q3’26 were $65 million compared with $66 million in Q3’25, and included a small amount of favourable prior-year development.
For 9M’26, losses and loss adjustment expenses were $202 million compared to $190 million for 9M’25; the gross loss ratio was 21% for both the nine months of 2026 and 2025.
Meanwhile, HCI reported pre-tax income of $116 million and net income of $86 million in Q3’26 compared to $91 million and $68 million in Q3’25, respectively.
Pre-tax income for 9M’26 was $343 million and net income was $254 million compared to $285 million and $212 million for 9M’25, respectively.
For Q3’26, HCI reported a higher net investment income of $22 million compared with $18 million in Q3’25. For 9M’26, net investment income rose to $58 million compared to $48 million for 9M’25. The increase in both periods was primarily driven by growth in invested assets.
HCI’s policy acquisition and other underwriting expenses were $32 million for both the third quarter of 2026 and 2025. Policy acquisition and other underwriting expenses for 9M’26 were $96 million compared to $89 million for 9M’25, driven by a higher volume of premiums in force.
Paresh Patel, Group Chairman and Chief Executive Officer, HCI, commented, “Earnings accelerated this quarter as greater operating leverage combined with modest premium growth to drive more profit to the bottom line. Our performance illustrates that internal operating decisions can be as important as external market conditions.”
