Progressive Corp. says third-quarter net income fell 16 percent on another quarter of declining investment income.
The Mayfield Village, Ohio-based auto insurer reports third quarter net income of $232.4 million—down from $277 million a year ago during the same period.
Net realized gains on securities plummeted 84 percent to $27.9 million during the 2013 third quarter as investment income during the period fell to $107.9 million.
Progressive reported gains on securities of $171.9 million and investment income of $109 million in the third quarter a year ago.
Third-quarter premiums written increased 5 percent to $4.45 billion. Premiums earned went up 6 percent to $4.3 billion from $4.05 billion in the prior-year quarter.
Progressive says third-quarter catastrophe losses totaled $35 million compared to $52 million during the same time in 2012. Thus far this year catastrophe losses are $165 million, down from $176 million a year ago.
In September net income dropped 19 percent to $61.8 million compared to last year.
Policies acquired by the company's direct channel increased 4 percent to about 4.2 million compared to the same month a year ago. Policies in September from agencies were flat at about 4.8 million.
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