Insurance segment drives down GWP at Arch

In the second quarter of 2015, Bermuda-based Arch Capital experienced a drop in profits and gross written premiums (GWP).

The company reported profits of $110.3 million in the second quarter of 2015, compared with a profit of $202.5 million in the second quarter of 2014.

Arch also posted a decline in GWP from $1.2 billion in the second quarter of 2015, compared with $1.3 billion in the second quarter of 2014.

Its insurance segment posted a GWP decrease of 12.6 percent to $744.8 million for the second quarter, compared with $852.2 million in the same period of the prior year.

Its reinsurance segment posted a 2.2 percent decrease in GWP to $342.1 million for the period, compared with $349.8 million in the second quarter of 2014.

Arch’s mortgage sector was the only segment to post a rise in GWP, reaching $68.6 million in the second quarter of 2015, compared with $55.5 million in the same period of the prior year; a rise of 23.6 percent.

Overall, Arch’s combined ratio deteriorated slightly at 87.9 percent in 2015, compared with 86.2 percent in 2014.