Re/insurer Validus Holdings has had a strong third quarter of the year, reporting a net income of $66.7 million for the three months ended September 30, 2015, compared with $39.7 million for the three months ended September 30, 2014.
The Bermuda-based firm attributed the increase to its strong underwriting, analytical discipline and “solid balance sheet”.
Gross premiums written for the third quarter of the year were also up to $401.7 million compared with $359.0 million for Q3 2014, an increase of $42.7 million, or 11.9 percent. Validus said the increase was primarily due to the contribution from its subsidiary Western World, as well as an increase in AlphaCat gross written premium. This increase was offset by decreases at both Validus Re and Talbot.
Combined ratio for Q3 2015 did increase to 84.5 percent however, compared with 81.4 percent for the same time period last year. The combined ratio includes $91.5 million of favourable loss reserve development on prior accident years.
Net income decreased over the nine-month period of the year however to $304.1 million, compared with $355.4 million for the nine months ended September 30, 2014.
“Validus delivered 1.9 percent growth in book value per diluted share inclusive of dividends during the quarter, a meaningful accomplishment given the significant investment market volatility and loss activity including the Tianjin, China industrial explosion and earthquake in Chile,” said Ed Noonan, chairman and chief executive officer.
“Validus continues to benefit from our core principles of strong underwriting and analytical discipline and a rock solid balance sheet, foundations which serve us well as we continue our evolution as a global provider of insurance and reinsurance.”
Validus Holdings, Ed Noonan, North America, Bermuda