A.M. Best released its Special Report on the Property/Casualty industry’s first quarter 2015 performance. According to Best, “improved underwriting results and higher net investment income combined to produce a 12.9% increase in pre-tax operating income for the U.S. property/casualty industry in the first quarter of 2015 over the prior-year first quarter. Higher realized capital gains and lower income taxes contributed to a $5.3 billion increase in the industry’s net income, to $18.2 billion for the quarter. However, surplus was flat, with the improvement in net income offset by unrealized capital losses and higher stockholder dividends.” The report also notes that the commercial lines segment recorded a 3.9 percent increase in direct premium written through March 31, 2015, to approximately $66.3 billion, up from approximately $63.8 billion during the same period last year and cited continuing increases in premium for workers’ comp as a key driver.
Read more from Best via WorkCompWire here.