Best’s News & Research Service - December 04, 2024 09:03 AM (EST)
Best’s Special Report: U.S. Property/Casualty Industry Reverses Losses, Posts $4.1 Billion Underwriting Gain in First Nine Months of 2024
- December 04, 2024 09:03 AM (EST)
//BestWire// - The U.S. property/casualty (P/C) industry recorded a $4.1 billion net underwriting gain in the first nine months of 2024, a significant improvement from the $32.1 billion loss recorded in the same prior-year period, according to a new AM Best report.
These preliminary results are detailed in a new Best’s Special Report, titled, “First Look: Nine-Month 2024 US Property/Casualty Financial Results,” and the data is derived from companies whose nine-month interim period statutory statements were received as of Nov. 25, 2024, representing an estimated 98% of total industry net premiums written.
According to the report, the underwriting gain, coupled with a 22.1% increase in earned net investment income, drove pre-tax operating income up 261.7% to $65.9 billion. A combined $21.2 billion change in net realized capital gains at three Berkshire Hathaway Insurance Group companies aided in the industry’s net income doubling from the first nine months of 2023 to $130 billion.
The industry’s combined ratio improved to 97.9 through the first nine months of 2024, a 5.8-percentage-point improvement from the same prior-year period. Catastrophe losses accounted for an estimated 8.8 percentage points on the nine-month 2024 combined ratio, down from 10.0 points in the prior year.
To access the full copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=349279.
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 London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.