Best’s Special Report: US Property/Casualty Industry Turns Around Losses in First-Quarter 2024, Records $9.3 Billion Underwriting Gain
- June 06, 2024 02:33 PM (EDT)
//BestWire// - The U.S. property/casualty (P/C) industry recorded a $9.3 billion net underwriting gain in the first three months of 2024, a significant improvement from the $8.5 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: Three-Month 2024 US Property/Casualty Financial Results,” and the data is derived from companies’ annual statutory statements received as of May 29, 2024, representing an estimated 98% of the total P/C industry’s net premiums written.
According to the report, the P/C industry’s combined ratio improved to 94.2 in the three-month period from 102.5 in first-quarter 2023. Catastrophe losses accounted for an estimated 5.1 points on the three-month 2024 combined ratio, down from 7.6 points in the prior year when record severe convective storm losses impacted the P/C industry.
The underwriting gain, coupled with a 33.3% increase in earned net investment income, drove pre-tax operating income up 332.9%, to $30.0 billion. A $10.2 billion change in net realized capital gains at National Indemnity Company resulted in the industry’s net income more than quadrupling to $39.9 billion.
To access the full copy of this special report, please visit http://www3.ambest.com/bestweek/purchase.asp?record_code=343416.
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.