Restructuring is over, says SiriusPoint
SiriusPoint has reached “the end of the significant reshaping of the company” despite recording a $21 million loss in the fourth quarter, primarily driven by the closure of a loss portfolio transfer and the buyout of a shareholder.
SiriusPoint lost $21 million in the fourth quarter compared to a profit of $93.5 million. For the year, the company earned $183.9 million compared to $338.8 million in 2023.
However, the Bermuda-based re/insurer said core income was $66.7 million, up from $46.3 million, including underwriting income of $56.3 million compared to $37 million in the same period in 2023.
For the year, core net income was $244.6 million, down from $291.4 million and net underwriting income of $200 million compared to $250.2 million in 2023. SiriusPoint said the decline in net underwriting income was due to lower favourable prior year loss reserve development, including $108.8 million connected with its 2023 LPT.
Management said the fourth quarter loss was materially impacted “by three significant items linked to our efforts to reposition the company, including the CM Bermuda repurchase transaction, closure of previously announced LPT transaction with Enstar, and the write-down of a single MGA investment”.
“This marks the end of the significant reshaping of the Company,” management said.
SiriusPoint chief executive officer Scot Egan (pictured) said: “2024 has been a remarkable year of delivery for SiriusPoint.
“Despite increased catastrophe activity, our core combined ratio has improved meaningfully from last year to 91.0%, excluding the impact from the loss portfolio transfer in 2023. Our 4.2 point improvement in attritional loss ratio demonstrates our focus on improving the quality of our underwriting.
“We saw 21% growth of gross premiums written for the quarter and 10% for the full year for our continuing lines business.”
He added: “We have strengthened our underlying business performance year-over-year, providing a strong basis for 2025.
“While this quarter our net income was impacted by several one-off items, we see 2024 as the end of the repositioning and reshaping of the Company. Our efforts are now fully focused on both growing the business and continuing to enhance performance.”
The specialty re/insurer said fourth quarter gross written premium rose to $759.5 million from $715.6 million in the same period in 2023 while loss and loss expenses edged up to $369 million from $365.4 million.
Net underwriting income was $32.7 million compared to $36.7 million in the same period in 2023. Net investment income was $68.9 million compared to $78.4 million, while net realised and unrealised investment losses rose to $40.7 million from $12.7 million.
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