ProSight Specialty® Insurance Reports Excellent Third Quarter 2017 Financial Results
Financial performance driven by increased underwriting profits and minimal impact from hurricanes and other catastrophes; $250 million of consistently profitable business repatriated from ProSight U.K. to ProSight U.S.
ProSight, a leading differentiated specialty insurer, today reported financial results for the third quarter ended September 30, 2017.
GAAP Year-to-Date Highlights
- Pre-tax profit for the US-Produced business improved by $30.1 million to $24.0 million versus a pre-tax loss of $6.1 million in 2016.
- Gross premium of $642.9 million represents growth of 4.6% versus 2016.
- Excluding a planned reduction in commercial auto premium of 21.3% from 2016, premium growth was 8.6%.
- The net loss ratio of 64.1% was an improvement of 2.5 points versus the 66.6% reported in 2016.
- Underwriting results reflected the expected resilience to catastrophe exposures of ProSight’s insurance business. The impact of third quarter catastrophe losses for Hurricanes Harvey, Irma and Maria is estimated at less than $2.0 million of pre-tax profit.
- Record US Statutory quarterly pre-tax income of $25.5 million for the third quarter marks an increase of 6% from the third quarter 2016 reflecting the benefits of completing the repatriation of the profitable US portfolio previously written in the UK.
- Year to date statutory surplus growth of $71.0 million, or 20.0%, through organic earnings growth and capital support from investors, Goldman Sachs and TPG.
- Surplus level of $426.4 million as of September 30, 2017 and capital adequacy ratio at an all-time high.
“We are pleased with our performance through the third quarter and feel it reflects the maturation of our seasoned, diversified and low CAT exposed business. Our unique strategy of differentiated customer solutions coupled with exclusive distribution continued to gain momentum in the third quarter,” said Joe Beneducci, Chief Executive Officer of ProSight. “The repatriation of the profitable portfolio of U.S. business previously written out of our U.K. operation is now complete. This now allows us to focus all our energy on expanding the success of our U.S. business while continuing to provide unique, innovative solutions for our customers. ProSight and our exclusive distribution partners are well positioned to carry this quarter’s momentum through year-end and expect 2018 to set new records for growth in premium, profitability, and surplus,” Beneducci added.
About ProSight Specialty Insurance
ProSight Specialty Insurance is an innovative property and casualty insurance company that designs solutions to help customers solve their business problems. Each solution is targeted to enhance customers’ operating performance. ProSight focuses on select niche industries, deploying differentiated underwriting and claims expertise, and then works exclusively with specialized distributors to deliver value. ProSight is fueled by a cultural desire to succeed at uncommon challenges, making the business performance of its customers a top priority. The underwriting members of the ProSight Specialty Insurance (ProSight) group of companies are rated “A-” (Excellent) by A.M. Best. Based in Morristown, NJ, ProSight has regional offices in Los Angeles, CA, Petaluma, CA, Alpharetta, Georgia and New York, NY.