RLI Corp. posted second-quarter net earnings that jumped 87 percent over the same period last year.
The Peoria, Ill.-based property-casualty niche insurer earned $34.4 million in the second quarter compared to $18.4 million in the same quarter last year.
Revenue came in at $142.7 million, just up from $142.1 million in the second quarter of last year.
Jonathan Michael, RLI president and chief executive officer, said in a prepared statement that revenue increased even as property premiums have been reduced by a softening price environment.
The company was able to post such impressive profit gains due to a 33 percent drop in loss and settlement expenses to $49.3 million, he said.
In addition, the quarter's positive reserve development stemmed from casualty business written between 2002 and 2004. "This business is developing better than expected and we are adjusting our reserves to reflect that positive experience," Mr. Michael said.
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