Re/insurer Allied World has posted a dramatic fall in its 2015 profits, at $89.3 million, compared with $490.3 million in the previous year.
The firm said that its profits have been damaged by a difficult underwriting environment, as well as financial market volatility.
Allied World underwriting income more than halved in 2015 to $120.4 million, compared with $322.7 million in 2014. The firm also reported an increase in its combined ratio, which was recorded as 95.1 percent in 2015, compared with 85.2 percent in the previous year.
Allied World’s gross written premiums increased in 2015 to $3.1 billion, compared with $2.9 billion in 2014.
Scott Carmilani, president and chief executive officer, Allied World, acknowledged the firm’s poor financial results, but said the firm was looking to the future.
“With the close of the Asian acquisitions and targeted growth in our insurance segments, I believe our franchise is well positioned. We look forward to creating and capitalising on profitable opportunities in 2016,” he said.