Berkley income flat in third quarter

W.R. Berkley Corp. reported virtually flat net income on Tuesday, and a modest increase in net premiums written.

The Greenwich, Connecticut-based insurer reported $161.9 million in net income for the third quarter vs. $162 million for the same period a year ago.

It posted $1.62 billion in net premiums written, a 3.4% increase compared with the comparable quarter a year ago. The insurer reported an improved 95.9% combined ratio for the quarter compared with 101% for 2017’s third quarter.

Investment income increased 30.6% to $186.1 million.

Rob Berkley, president and CEO, said during a conference call with analysts Tuesday that despite the increase in severity in the property market, particularly for cat-exposed property, “there’s not a significant change or appetite for change in the marketplace.”

Reinsurance continues to present a “relatively grim picture,” with the U.S. treaty market “exceptionally competitive and quite frankly concerning.”

He said he would characterize the general liability market as steady.  Professional liability is “among the most concerning parts of the business,” particularly for larger directors and officers liability accounts. Commercial auto continues to improve, “but we need to be thoughtful and selective in how one participates in that market,” he said.