“Even within the face of difficult climate, we generated significant revenue with core earnings for the quarter,” stated Alan Schnitzer, chairman and CEO of Vacationers, in a press release. “These outcomes benefited from document web earned premiums of $8.6 billion, up 10% in comparison with the prior 12 months interval, and a stable underlying mixed ratio of 92.5%.
“Underwriting earnings in our industrial companies was wonderful, pushed by robust web earned premiums and an combination underlying mixed ratio for enterprise insurance coverage and bond & specialty insurance coverage of 88.0%.
“Our high-quality funding portfolio generated stable after-tax web funding earnings of $505 million regardless of the numerous downturn within the broader fairness markets. These outcomes, together with our robust steadiness sheet, enabled us to return $722 million of extra capital to our shareholders this quarter, together with $501 million of share repurchases.”
The New York-based insurer is commonly seen as a bellwether for the trade because it usually experiences earnings earlier than its friends.
Hurricanes Ian and Fiona, amongst a slew of storms that hit North America this 12 months, have pushed Vacationers’ pre-tax disaster losses to $512 million from $501 million in 2021.
In response to threat modelling agency Verisk, the insurance coverage trade faces as much as $57 billion in losses from Hurricane Ian’s onslaught in Florida and South Carolina.