Enstar, the insurance holding company that owns both Starstone and Atrium, has reported consolidated net earnings of $54.7 million for the three months ended March 31, 2017, up on the $45.5 million it reported for the same period of 2016.
Net premiums earned for the first quarter of 2017 came to $148.9 million, down 33 percent on the $192.9 million it earned in the first quarter of 2016.
Enstar said deferred acquisition costs in the first three months of 2017 totalled $72.1 million, an increase on the $58.1 million the company reported in the same period of 2016.
Net investment income for the first quarter of 2017 came to $48.7 million, down slightly from the $50.3 million it made in the first quarter of 2016.
In its Form 10-Q statement that it submitted to the SEC in the US, Enstar stated that: “Our industry continues to experience challenging market conditions in underwriting and investing. We continue to see overcapacity in many markets for insurable risks, resulting in continued pressure on premium rates and terms and conditions. We seek to maintain a disciplined underwriting approach to underwrite for profitability in our active underwriting segments, StarStone and Atrium.
“For the three months ended March 31, 2017 compared to 2016, gross premiums written increased in both our StarStone and Atrium segments as we selectively grew in certain lines, which included the development of additional underwriting capabilities. StarStone's net earned premium, net incurred losses and acquisition costs decreased significantly as a result of the 35 percent quota share reinsurance agreement with our equity method investee KaylaRe Holdings, which covers the 2016 and subsequent underwriting years.”
Enstar, StarStone, Atrium, Results, North America, Bermuda