Liberty Mutual returns to profit, enjoys solid growth
Liberty Mutual Holding Company returned to profit in the third quarter of 2016 – a big turnaround on the substantial loss it made in the same period a year earlier.
The company made a net profit of $455 million for the third quarter of 2016 compared with a loss of $427 million in the same period a year ago.
Its overall consolidated revenues also increased to $9.8 billion, a 6.2 percent increase on the same period a year earlier.
“Each of Liberty Mutual’s strategic business units delivered better than expected growth in the quarter, with net written premium up six percent,” said David Long, Liberty Mutual Insurance chairman and CEO.
“Our underlying performance remained strong as our core combined ratio improved about a point in the quarter, despite the continued increase in loss trends within US personal auto liability.”
Net written premiums for the three months ended September 30, 2016 was $9.31 billion, up 6.1 percent over the same period in 2015.
The company’s combined ratio increased 2.2 points year-on-year to 97.8 percent in the third quarter of 2016.
Before catastrophes, net incurred losses attributable to prior years and current accident year re-estimation, the combined ratio for the quarter was 94.2 percent, an improvement of 1.2 points over the same period in 2015.
