U.S. reinsurers saw a slight decline in net premiums written during the first three quarters of 2009, but the business they wrote was far more profitable, a Reinsurance Association of America survey has revealed.
Net reinsurance premiums written during the first three quarters were down about 1.6 percent, from $19 billion a year ago to $18.7 billion in 2009, according to the RAA survey of statutory underwriting results for 19 U.S. property and casualty reinsurers in the nine months ending Sept. 30, 2009.
However, the survey found the combined ratio for the group was 95.0–a big improvement over the 104.2 figure reported for the same period in 2008.
The combined ratio is attributable to a 64.8 loss ratio and an expense ratio of 30.2. Policyholders' surplus was $74.1 billion, up from the $72.1 billion reported in the third quarter of 2008, RAA said.
Some of those reporting a decline in net premiums written were:
o Endurance Re (with $368 million in 2009 versus $424 million in 2008).
o National Indemnity ($3.5 billion versus $3.6 billion).
o Odyssey Re ($1.38 billion in 2009 versus $1.49 billion in 2009).
Of those reporting an increase:
o SCOR wrote $382 million (versus $270 in 2008).
o Everest Re wrote $1.25 billion (versus $1.18 billion in 2008).
o Partner Re reported $595 million (versus $593 million last year).
Across the entire survey group, according to the RAA:
o Gross written premiums were $28.2 billion in 2009 compared to $28.0 billion in 2008.
o The loss ratio for 2009 was 64.8 compared to 75 in 2008.
o The expense ratio was 30.2 compared to 29.2 last year.
o Investment income was $4.7 billion, compared to $4.5 billion in 2008.
The RAA, headquartered in Washington, D.C., is a trade association of property and casualty reinsurers doing business in the United States.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.