RLI First-Quarter Net Improves 17 Percent
NU Online News Service, April 15, 4:27 p.m. EDT?Peoria, Ill.-based insurer RLI Corp. reported today a first quarter net income of $16.9 million, a 17.3 percent jump over $14.4 million reported for the period last year.[@@]
The company's chief executive Jonathan Michael remarked that market conditions favorable to specialty insurers continued in the first quarter. He added that while RLI underwriters are finding a softening trend in property rates their selectivity helped create satisfactory profits.
The casualty segment, continuing a– trend from last year, showed strong results, Mr. Michael said. "We are encouraged by the surety segment's numbers, which reflect our confidence that we are moving beyond previously reported problems," said Mr. Michael.
RLI said it earned first quarter underwriting profits of $10.8 million on a 91.5 GAAP combined ratio, compared with a profit of $9.7 million on a 91.2 combined ratio reported during the period one year ago.
The company said its property segment led the way, with a 68.7 combined ratio. Casualty writings also contributed to profits with a combined ratio of 96.7. The surety segment reported near breakeven results with a 100.3 combined ratio.
Net premiums earned were at $125.9 million for the quarter, up 15 percent. That result helped push consolidated revenue to $140.6 million, an increase of 17 percent. First quarter gross premiums written rose to $182.9 million, a five-percent jump compared with one year ago.
RLI offers specialty property-casualty coverage for niche markets. The company's RLI Insurance unit offers commercial insurance in all 50 states.
P-C lines for RLI include commercial and personal liability, commercial property, directors and officers liability, general liability, and surety. Other lines include transportation, employer's excess indemnity and residential property.
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