Liberty Mutual Holding Co. Inc. reported a net loss of $665 million for the three months ended September 30, 2017, versus net income of $455 million for the same period in 2016.
The net loss in the quarter was driven by the impact of hurricanes Harvey, Irma, and Maria, which totaled $1.2 billion.
David H. Long, president and CEO of Liberty Mutual Insurance, said that despite the net loss, “the fundamentals of the business remain healthy,” citing a 1.7 point reduction in the combined ratio down to 92.5.
He also put the hurricane losses in a non-financial context.
“While the catastrophe losses are significant, they serve as a very real reminder of why we are here. It is in times of crisis that our customers expect us to respond immediately with care, compassion and restitution,” Long said. “Our employees continue to work tirelessly in the impacted areas to help our customers through the daunting challenge of getting back on their feet as quickly as possible.”
For the quarter, Liberty Mutual also reported $28 million in acquisition and integration costs related to its acquisition of Ironshore Inc. that closed in May.
Other third quarter results:
- Net written premium for the three months was $10.379 billion, an increase of $1.070 billion or 11.5 percent over the same period in 2016.
- The net operating loss for the three was $886 million versus net operating of $352 million for the same period in 2016.
- While the consolidated combined ratio before catastrophes was 92.5, a decrease of 1.7 points from the same period in 2016, it rose to 116.4 with the impact of catastrophes.
Source: Liberty Mutual