United Insurance Holdings Corp. (UPC Insurance), a property and casualty (P&C) insurance holding company, has announced that it is expecting to incur catastrophe losses of approximately $18 million for the first quarter ending March 31, 2019.
The loss estimate is pre-tax (approximately $13 million after tax) and is net of expected reinsurance recoveries, the company explained.
UPC Insurance said that the figure includes claims from seven new PCS events, with the largest driver being a hail storm in Brevard County, Florida, in the last week of March.
The insurer also experienced higher than expected development on prior year catastrophe events during the quarter.
This development is included in the loss estimates above but will be reported as unfavourable prior year development, not catastrophe losses from the current accident year ending March 31, 2019.
In January, it was reported that UPC Insurance had successfully extended its 20% catastrophe quota share reinsurance agreement until June 2019, whilst also renewing its catastrophe aggregate and other reinsurance agreements.
UPC Insurance sources, writes and services personal and commercial residential property and casualty insurance policies using a group of wholly owned insurance subsidiaries through a variety of distribution channels.
It currently writes policies in Connecticut, Florida, Georgia, Hawaii, Louisiana, Massachusetts, New Jersey, New York, North Carolina, Rhode Island, South Carolina and Texas, and is licensed to write in Alabama, Delaware, Maryland, Mississippi, New Hampshire, and Virginia.