NU Online News Service, Oct. 26, 12:14 p.m. EST
Results were not good for Bermuda-based insurance companies reporting third-quarter results late Thursday.
Endurance Specialty Holdings says it took a $20 million loss, and Aspen Insurance Holdings and Validus Holdings each say third-quarter income dropped at least 76 percent.
Bermuda-based Endurance says net income was $139.1 million during the 2010 third quarter but it recorded a loss this past quarter as catastrophe losses and less investment income bit into results.
The company’s reinsurance segment saw net catastrophe losses of $91.1 million, accounting for 37.6 points to the segment’s combined ratio of 115. Endurance’s overall combined ratio for the quarter was 104.6.
Net investment income fell nearly $440 million to $14.1 million, Endurance says.
Aspen says third-quarter net income was $22.2 million, a drop of 76.1 percent from net income of $92.8 million recorded for the 2010 third quarter.
Results the past quarter include $55 million, made up of net catastrophe losses during the period and from adjustments to losses that have occurred earlier this year.
Underwriting profit was $26.7 million compared to $39.6 million a year ago. The combined ratio for the third quarter was 96.7 compared to 94.4.
Aspen posts a $119.3 million loss after nine months, with a 116.1 combined ratio.
Validus reports $61.1 million of favorable prior-year reserve development to keep its combined ratio for the third quarter at 75.6, but third-quarter net income was $56.5 million—a 76.3 percent drop compared to $238.5 million during the same time last year.
Losses from weather and other events during the third quarter were $51.9 million, Validus says. This ultimately caused a $47.9 million decrease to net income.
Underwriting income fell 25.5 percent to $111.8 million during the third quarter.
Net premiums earned for the quarter were up 6 percent to $458.6 million.