Markel saw its profits increase in the third quarter of 2020 but its combined ratio deteriorated, driven by underwriting losses attributed to COVID-19 and natural catastrophes in the US.
Markel generated a net profit of $520 million in Q3 2020, compared with $250 million in same period of 2019, although profits plunged to $259.6 million for the first nine months of the year, from $1.6 billion recorded for the same period in 2019.
The combined ratio for the quarter jumped three percentage points to 97 percent. This figure included $48.9 million of underwriting losses attributed to the COVID-19 pandemic and $101 million of underwriting losses from other natural disasters. In Q3 2019 Markel reported a combined ratio of 94 percent.
Thomas Gayner and Richard Whitt, co-chief executive officers of Markel, said the re/insurer had delivered “solid operating results for the quarter by maintaining our focus on managing and executing on factors within our control.”