RLI Corp. ended 2015 with a fourth quarter that was flat in terms of net premiums earned and investment income. Net earnings, on the other hand, dove nearly 10 percent.
The Illinois-based specialty insurer said it generated more than $33.8 million in net earnings during the quarter, or $0.76 per share. 2015 fourth quarter, versus nearly $37.5 million, or $0.85 per share in the 2014 fourth quarter. That’s a drop of 9.7 percent.
Net premiums earned came close to $179.4 million, essentially flat compared to $179.9 million over the same period last year. Also, net investment stayed stagnant, at $13.75 million in Q4, compared to $13.8 million in the 2014 fourth quarter.
At the same time, net premiums written grew to $168.5 million, up from $160.1 million in the 2014 fourth quarter. Also cross premiums written hit almost $200.58 million during the quarter, growing from $194.46 million a year ago.
While RLI’s combined ratio came in at a healthy 87.4 during Q4, it is higher than the 84.7 combined ratio over the same period in 2014. For the year, RLI produced an 84.5 combined ratio, something that CEO Jonathan Michael celebrated in the current market.
“An 84.5 combined ratio for the year is an outstanding result to achieve,” Michael said in prepared remarks. “RLI has achieved 20 consecutive years with a combined ratio below 100 and 11 straight years below 90.”
Michael asserted that the insurer’s record comes from a “relentless focus on underwriting discipline, our ownership culture and our commitment to meeting customers’ needs with a diverse set of niche insurance products.”
Source: RLI Corp.