ACE Ltd. reported a nearly tripling fourth-quarter net income last year compared to the period in 2005.
The Bermuda-based company reported net income for the quarter grew to $665 million. In 2005 net income was $236 million.
For the entire year, the company reported net income increased 124 percent to $2.3 billion from $1 billion.
Chief Executive Officer Evan Greenberg told a conference call yesterday that overall premium growth of about 4 percent was in line with his expectations.
“We are in that period of a softening market where revenue growth is more for vanity's sake,” he said. “We will not play that game.”
New business rates were softer than renewal rates during the Jan. 1 renewal period, Mr. Greenberg said.
“But on the positive side, submissions have been way up, so we have more business to choose from,” he said.
Following are some of the operating results:
o Combined ratio was 88.1 for the entire year compared with 99.5 for 2005; for the fourth quarter it was 88.2.
o Property-casualty underwriting income was $1.4 billion for the full year and $347 million for the fourth quarter.
o Invested assets increased by $4.8 billion, or 15 percent, during the year to $37.2 billion.
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