Bermuda-based Everest Re posted a strong set of results in the first quarter of 2015 as its insurance business grew 48 percent.
Its profits hiked to $323 million in the first quarter of 2015, compared with $293.9 million in the first quarter of 2014, while gross written premiums jumped 12 percent to $1.4 billion, compared with $1.3 billion in the same period of the prior year.
Its reinsurance division, which includes the Mt Logan Re segment, posted an increase of GWP of 4 percent. Everest Re's special purpose reinsurer Mt Logan Re GWP more than doubled to $74 million in the first quarter of 2015, compared with $36.5 million in the first quarter of 2014.
Everest Re’s insurance division posted an increase in GWP of 48 percent to $340.3 million in the first quarter of 2015, compared with $230.7 million in the first quarter of 2014. The division’s net written premiums increased 43 percent, driven by higher premiums for crop business and continued strong momentum in targeted classes of business.
Its combined ratio for the period was 81.9 percent, a deterioration compared to 80 percent in the first quarter of 2014.
Dominic Addesso, president and chief executive officer, said: “This was another record quarter for Everest with operating earnings per share up 24 percent to $7.34, resulting in an 18 percent annualised operating return on equity and 4 percent growth in book value per share.
“Despite foreign currency headwinds, premium continued to rise, up 14 percent on a constant dollar basis, largely driven by growth in our insurance segment. We are pleased with the trajectory of our premium and operating earnings, which continues to drive growth in shareholder value. Our broadly diversified underwriting platform, and the capacity and flexibility we provide our clients, positions us well in this challenging market.”
Everest Re, Bermuda, First Quarter 2015 Results, Dominic Addesso