Re/insurance holding company W. R. Berkley corporation reported its net premiums written (NPW) increased by 23.7% in Q3, at $2.3 billion compared to $1.8 billion for the same prior year period.
Helping its net premium increase was their reinsurance segment, with casualty reinsurance NPW increasing to $194 million whilst its property reinsurance NPW remained flat.
The holding company reported a 13% return on equity in the third quarter of 2021.
It also noted that its operating income increased 103.6% to $246.7 million compared to $121.1 million in Q3 2020.
A spokesman for the company commented: “The company had another outstanding quarter with 24% growth in net premiums written, a combined ratio of 90.4%, and an annualised return on equity of 16.6%. These results were achieved in spite of significant industry catastrophe losses and low interest rates.
“Overall rate increases remained robust in nearly all lines of business, and we expect this to continue for the foreseeable future. We see expanding opportunities to write business at attractive underwriting margins, given the strong commercial property and casualty pricing environment.
“The increasing focus that distribution partners and clients are placing on stable markets with balance sheet strength and expertise, particularly in specialty and E&S lines, is also contributing to growth.
“Underwriting income increased 80% in the quarter. We expect that exposure growth and compounding rate achievement will contribute to additional underwriting profits as premiums are fully earned. While we maintain a high-quality short-duration fixed-maturity portfolio, investment income grew 26% in the quarter as investment funds delivered another strong performance.
“The company is performing well as we remain focused on our total risk-adjusted return strategy. Opportunities like the current environment are infrequent in the property casualty insurance market, and we are striving to make the most of it.”
