NU Online News Service, March 1, 2:04 p.m.EST

Tower Group reported a 25.4 percent increase in fourth-quarternet income attributable to the company as higher written premiumsand net realized investment gains outpaced higher losses.

The New York-based property and casualty insurer said 2010fourth-quarter net income attributable to Tower Group was $38.5million compared to $30.7 million for the same period a year ago.Gross premiums written climbed to $433.9 million from $327.2million. Tower Group saw net realized investment gains in thequarter of $5.9 million compared to net realized losses of $824,000in the 2009 fourth quarter.

For the company’s commercial segment, net premiums earned roseto $239.9 million in the quarter compared to $196.6 million in the2009 fourth quarter. For personal lines, net premiums earnedclimbed to $133 million from $36.6 million.

The combined ratio in the quarter was 91.7, down from 94.7. Inthe commercial segment, the combined ratio rose to 94.7 from 92.3.For personal lines, the combined ratio dropped to 84.1 from90.6.

For the year, Tower Group reported net income attributable tothe company of $118 million, up from $109.3 million, with grosspremiums written of $1.5 billion compared to $1 million in2009.