Conduit posts almost 30% Q1 growth in as rates remain ‘historically favourable’

Conduit Holdings, the ultimate parent company of Conduit Re, a pure-play Bermuda-based reinsurance business, enjoyed bullish growth again in the first quarter while it also noted that market conditions remain at “historically favourable levels” in a trading update.

The company’s gross premiums written for the three months ended 31 March 2024 were $356.8 million, a 28.3% increase over the same period in 2023. It also noted an overall portfolio risk-adjusted rate change for the three months ended 31 March 2024 of 3%, net of claims inflation. Its undiscounted combined ratio is in the low 80s.

It noted that it is seeing growth across all segments, benefiting from new business, high retention and the underlying growth of renewal business, coupled with improving rates. It said it is seeing an increasing number of opportunities to deploy its capital into the areas and products that it targets. The non-catastrophe elements of both property and specialty in particular are providing good opportunities for selective growth.

Trevor Carvey, CEO, commented: "Following a successful 2023, our momentum was maintained in the first quarter, with growth continuing in line with our plans. The broad trading landscape remains very attractive, and we continue to see a significant range of high-quality opportunities. As always, we remain focused on profitability and underwriting discipline, leveraging our efficient operating model.”

Greg Roberts, chief underwriting officer, commented: "Conditions remain supportive for our focused and disciplined deployment of capital. Our mature relationships with non-admitted and E&S carriers remain a cornerstone of our strategy as we continue to grow in that space. Rating levels are generally strong, and the overall trading environment remains in a very good place and continues to be an ‘underwriters’ market’."

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