Combined ratio dip for The Hartford
The combined ratio for P&C insurer The Hartford was 96.4 percent in the third quarter of 2019, representing a 0.3 deterioration from 96.1 percent in the third quarter of 2018.
This dip was a result of the firm's acquisition of global specialty underwriter Navigators, it said in its Q3 results.
“Underlying combined ratio of 93.9 increased 0.2 point from third quarter 2018 primarily due to the inclusion of Navigators results in global specialty, which runs a higher underlying combined ratio, which was partially offset by lower property losses,” it stated.
Net income available to common stockholders of $524 million increased 21 percent over third quarter 2018, while core earnings of $548 million rose 31 percent from third quarter 2018.
Net income return on equity (ROE) for the trailing 12-month period ended September 30, 2019, was 12 percent and core earnings ROE for the same period was 12.3 percent.
During the quarter, The Hartford repurchased 1.1 million common shares for $63 million and paid $111 million in common dividends; year-to-date through September 30, 2019 share repurchases totalled 1.6 million common shares for $90 million, with $910 million remaining under its $1 billion authorisation.
"The Hartford had another outstanding quarter with strong property casualty margins, excellent group disability results and solid investment returns producing an impressive 12 percent net income return on equity," said The Hartford's chairman and CEO Christopher Swift.
"This is our first full quarter with Navigators and we continue to focus on integration and achieving key milestones as we operate as an integrated team. Overall, I am pleased with the execution across all of our businesses as we utilise our increased capabilities for competitive advantage in a firming market to generate shareholder value.”
The Hartford's president Doug Elliot added: “Commercial and personal lines business units again delivered impressive results this quarter. Top line performance within commercial lines was strong and we’re achieving pricing momentum in middle market and specialty lines. Navigators integration efforts are progressing well, translating into marketplace wins, and we are pleased with the positive feedback received from distribution partners on our expanded product breadth."
