Lancashire Holdings Limited, a Bermuda-based insurer and reinsurer, has announced its financial results for the first quarter of 2026, reporting a year-on-year decrease of 6.1%, to $668.4 million, in gross premiums written (GPW).
Excluding the impact of reinstatement premiums related to the California wildfires, the underlying reduction in gross premiums written was just 1.2%, the re/insurer noted.
The reinsurance segment contributed $411.0 million in the quarter’s GPW, down 14.8% when compared to Q1 2025. For this segment, Lancashire executed a planned reduction in inwards property retrocession, the firm noted.
The insurance segment contributed $257.4 million in gross premiums written, a 12% growth when compared to Q1 2025. This increase was primarily driven by energy and marine lines, and the continued build-out of the Lancashire US franchise.
Top-line was stable with a Group Renewal Price Index (RPI) of 93%.
Insurance revenue in Q1 2026 increased by just over 2.1% to $468.6 million, compared to the same period last year.
Gross premiums earned, the key driver of insurance revenue, as a percentage of gross premiums written, was 79.9% for the quarter, which is consistent with the ratio for the equivalent period in 2025.
Insurance revenue continues to increase, reflecting premium earnings from prior underwriting years where the business saw substantial growth, Lancashire stated.
The re/insurer sees the loss environment during Q1 2026 as relatively benign, with the Group having limited exposure to Middle East conflict.
The Group’s investment portfolio saw a 0.3% return in Q1 2026, including both realised and unrealised gains and losses, mainly driven by investment income.
However, rising Treasury rates and a slight widening of investment-grade credit spreads led to price declines, which partially offset the gains. A positive contribution to the overall portfolio performance during the quarter came from private investment funds.
“Lancashire has had a positive start to 2026, holding fast to our core principle of active cycle management. With the strong first quarter, we are on track to deliver results in line with our guidance for the year,” Alex Maloney, Group Chief Executive Officer, commented.
Adding: “As we move through 2026, we will continue to maximise opportunities where it makes sense, and we have the teams and talent across our Group to do this. The work we have done over recent years to grow our product portfolio and increase our geographic reach puts us in a strong position to continue to generate attractive risk-adjusted underwriting returns through the cycle .”
In his comments, Maloney also stated Lancashire plans to combine Lancashire Syndicates 3010 and 2010, under Syndicate 3010, from the 2027 year of account onwards, subject to Lloyd’s approval.
This decision follows Lancashire’s acquisition of 100% of the underwriting capacity for Syndicate 2010, effective for the 2026 year of account. Since then, the company has been assessing the increased optionality that full alignment offers.
