Catlin reports strong, broad-focused growth
Catlin Group has recorded good quarterly results in its interim management statement, experiencing growth across all business lines.
Gross premiums written increased during the period by 9.3 percent to $2.01 billion, compared with $1.84 billion for same quarter of 2013.
Net premiums earned in the first quarter increased by 8.9 per cent to $1.03 billion (2013:$948 million). However, due to increased levels of premium ceded to third-party capital providers, the company expects growth in net earned premiums at year-end 2014 will likely be 4 to 5 percentage points lower than the growth in gross premiums written.
In terms of business, gross premiums written increased among all product groups, although the company will continue to manage its aerospace portfolio carefully in the light of continued market competition.
Gross premiums written by the reinsurance product group reflect the continued growth of Catlin Re Switzerland, and increased premiums written by the energy/marine product group, which has achieved successes in new business development in the Asia-Pacific region.
Furthermore, the growth of Catlin's casualty classes reflects the favourable rate environment and continued growth of US professional lines business.
In terms of claims and operating expenses, the company incurred no catastrophe losses for the quarter, apart from one large single-risk loss: the disappearance of Malaysian Airlines Flight MH370.
Commenting on the group’s performance, Stephen Catlin, chief executive, says, “I am pleased to report that Catlin has achieved a good performance during the first quarter of 2014. Gross premiums written increased across all of our underwriting hubs, with continued strong growth from the international hubs. In addition, there were no catastrophe losses during the quarter and overall loss activity was generally benign.”
“Catlin has made a good start to the 2014 underwriting year. We remain committed to our global operating strategy, which stresses underwriting discipline, diversification and capital preservation, and we continue to look ahead with confidence.”
