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CNA Scores With Improved Q4 Results and Investments
February 11, 2020
Higher premiums, soaring investment results and fewer catastrophe losses helped CNA Financial Corp. produce solid net income to close out 2019.
CNA’s Q4 2019 net income reached $273 million, or $1 per share, versus an $84 million loss, or negative $0.31 per share in the 2018 fourth quarter.
Dino Robusto, CNA’s chairman and CEO, said that the results reflect both strong underwriting improvements and the benefits of premium increases.
“With fourth-quarter premium rates increasing to 7 percent and gross premiums increasing to 8 percent, CNA is well positioned going into 2020,” Robusto said.
Result highlights:
- CNA’s fourth-quarter property/casualty combined ratio was 95.6 versus 105.4 a year ago. That result reflects catastrophe losses that hit $51 million in Q4 2019 versus $146 million in the previous year’s quarter.
- Net investment income on the P/C insurance side reached $336 million in the fourth quarter, up from $127 million in the 2018 fourth quarter.
- Q4 P/C net written premiums came in at $1.74 billion in Q4 2019 compared to nearly $1.66 billion in the 2018 fourth quarter.
- Specialty insurance net written premiums reached $705 million in the quarter, up from $692 million in Q4 2018.
- Commercial insurance net written premiums came in at $779 million, improved from $721 million a year ago.
- The Q4 commercial insurance combined ratio was 100.6 versus 113.3 in the 2018 fourth quarter.
- Commercial insurance premiums in the sector grew 8 percent in Q4 compared to the previous year, something CNA said was driven by strong retention, higher new business and favorable rate.
Source: CNA