Reinsurer Underwriting Results Mixed for Third Quarter 2016

The Reinsurance Association of America (RAA) survey results for a group of 18 US property/casualty reinsurers show a 6.9 percent increase in net premiums for the 9 months that ended September 30, 2016, compared to the same period in 2015.

The third-quarter 2016 combined ratio for the group was 94.9 percent. The ratio declined from 92.2 percent for the same period in the prior year. The combined ratio was comprised of a 69.8 percent loss ratio and an expense ratio of 25.1 percent. The overall decline in the combined ratio was 2.9 percent from the prior year.

Pretax net income for the first 9 months of 2016 decreased 27 percent from the same period in 2015. The pretax net income was $7.13 billion compared with $9.77 billion for the prior year.

Policyholders’ surplus increased by 2.2 percent to $134.5 billion, up from $131.6 billion at the end of the second quarter of 2016.

Visit the RAA's website to view the 9-month underwriting reports for 2016/2015.