P/C reinsurers’ net premiums up, profits down in first half: RAA
Reprints
A group of 17 U. S. property/casualty reinsurers tracked by the Reinsurance Association of America wrote $32.1 billion of net premiums during the first half of this year, up 14.6% from $28.0 billion for the same period in 2019, the RAA said in a statement Tuesday.
The combined ratio for the group was 98.4%, compared with 94.8% for the year-earlier period.
The increase in the combined ratio is attributable to a rise in the group’s loss ratio to 73.4%, from 70.7 % for the first half of 2019, and a higher 25.0% expense ratio, up from 24.1%, the RAA said.
Net income for the group totaled $2.73 billion, with nine reinsurers showing a profit but eight recording a loss. In the first half of 2019, the group had combined net income of $6.89 billion, with 13 profitable and just four in the red.
Policyholders’ surplus rose 13.9% to $195.1 billion as of June 30, from $171.3 billion as of March 31, RAA said.
