Best’s Special Report: First Look: Six-Month 2022 U.S. Property/Casualty Financial Results
- September 02, 2022 08:59 AM (EDT)
Oldwick //BestWire// - The U.S. property/casualty (P/C) industry recorded a $6.3 billion net underwriting loss in the first six months of 2022, down $11.4 billion from the prior year period, according to a new AM Best special report.
The Best’s Special Report, titled, “First Look: Six-Month 2022 U.S. Property/Casualty Financial Results,” states that a 9.3% growth in net earned premiums and a 27.7% decline in policyholder dividends were countered by a 15.8% increase in incurred losses and loss adjustment expenses (LAE) and a 7.2% rise in other underwriting expenses. The personal lines segment, specifically the automobile lines of business, were responsible for declines in underwriting results.
Tax expenses were down 26.8% and realized capital gains dropped 62.5%, as the industry’s net income slid 17.7% to $31.4 billion. Industry surplus declined 7.9%, to $969.0 billion from the end of 2021, as $36.4 billion of net income and other surplus gains were reduced by $15.9 billion of stockholder dividends and a $104.4 billion change in unrealized losses at National Indemnity Company, Columbia Insurance Company and State Farm Mutual.
To access the full copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=323609 .
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.