28 April 2016News

Arch Capital results harmed by foreign exchange losses

Arch Capital has posted a net income of $149.3 million for the first quarter of 2016, down from $277.9 million in the same period of 2015.

The Bermuda-based re/insurance firm also reported a decrease in its income available for the quarter, down to $149.3 million, compared with $277.9 million for the first quarter of last year. This coincided with a loss of $22.2 million in net foreign exchange, compared to gains of $66.3 million in the first three months of 2015.

Despite these falls, the company’s gross written premiums increased by 6.1 percent to $1.4 billion in the first quarter of the year, compared with $1.3 billion in the first quarter of the previous year.

Arch Capital’s net written premiums also increased to $977.1 million in the quarter, however its net earned premiums and underwriting income decreased by 0.2 percent and 2.5 percent, respectively.

The firm’s combined ratio saw a slight improvement to 87.1 percent in the first quarter of 2016, down on the 87.5 percent it recorded in the first three months of 2015.