Allied World reports profits of $218.2 million for first quarter

ZUG, Switzerland—Allied World Assurance Co. Holdings A.G. reported profits of $218.2 million in the first quarter of 2012, up from $8.6 million during the same period a year earlier, the company said Wednesday.

The Zug, Switzerland-based insurer and reinsurer reported gross premiums written of $680.2 million in the first quarter, a 21.4% increase over a year earlier. The company’s combined ratio improved to 85.2% in the first quarter from 122.6% during the same period a year earlier.

“Allied World had a strong first quarter with gross premiums exceeding $680 million for the first time,” said President and CEO Scott Carmilani in a statement accompanying the results. “This is a direct result of the investments we have made in underwriting talent and operating platforms during the last few years. Premiums in our reinsurance segment alone were up $97 million for the quarter, driven by our global marine and specialty unit that was launched in late 2010."