Argo reports 63 percent increase in net profits
Argo Group International Holdings has almost tripled its profits with a 63 percent increase in net income of $143.2 million in 2013 compared with $52.3 million in 2012.
The re/insurer also reported a significantly decreased combined ratio of 97.5 percent, down from 104.6 percent in 2012.
Gross written premiums for 2013 were $1.9 billion; an increase of 8.2 percent over the 2012 figure. This figure takes into account a decline in reinsurance business for Q4 of 2013.
“Strong fourth quarter results capped off a year of solid progress,” said Mark Watson, CEO of Argo Group. “Over the year, we achieved profitable top line growth and generated improved underwriting margins in all of our businesses. We find ourselves well positioned to benefit from these themes as we enter the new year.”
Strong fourth quarter growth in excess and surplus lines was driven by higher premiums in casualty, allied medical and environmental lines, while gross premiums written in commercial specialty lines declined in the same period – a continuation of Argo’s re-underwriting strategy to eliminate underperforming accounts at Trident and Argo Insurance, which offset modest growth in Argo Surety and other smaller programmes.
International specialty reported a decline in the fourth quarter gross premiums written of 18.2 percent, driven mainly be a reduction in reinsurance business, while the growth of Argo’s Syndicate 1200 reflects higher business production in property and liability business units.