Markel’s profits plummet in Q3

Markel Corporation’s profits fell substantially in the third quarter of 2014. But a strong first half of the year meant that its profits more than doubled for the first nine months of 2014 as a whole.

Its profits hit $36.5 million for the third quarter of 2014 compared to $144.4 million for the same period of 2013. But profits more than doubled to $517.4 million for the nine months ended September 30, 2014 compared to $253 million for the same period of 2013.

Its combined ratio deteriorated slightly to 97 percent for the third quarter of 2014 compared to 96 percent for the third quarter of 2013. Its combined ratio was 97 percent for both the nine months ended September 30, 2014 and 2013.

Alan Kirshner, chairman and chief executive officer, said: “During the third quarter and first nine months of 2014, all three insurance segments achieved underwriting profitability. We remain focussed on disciplined underwriting despite increasing competition in the marketplace, most notably in reinsurance. In addition, we completed the acquisition of Cottrell in the third quarter adding it to the Markel Ventures portfolio of companies and we continue to look for profitable growth opportunities.”

William Stovin, president and chief operating officer of Markel International, said: “MINT has continued to deliver solid financial results for the first three quarters of 2014. All our businesses have performed well, delivering strong premium growth combined with good underwriting profitability.

“We continue to make progress in developing the Abbey Protection business we acquired at the beginning of the year, while our trade credit business is now on the ground in New York and plans to be part of the Lloyd’s platform in Dubai.”