Maiden reports Q1 profit driven by favourable loss development and investment performance

Maiden Holdings benefited from favourable loss development trends and positive investment performance in the first three months of 2021, delivering year on year profit growth.

Maiden reported a net profit of $71.7 million in the first quarter of 2021. In the same period of the previous year it had delivered a more modest profit of $20.9 million.

Maiden reported negative gross written premiums of $2.4 million, with its reinsurance business being in runoff. In Q1 2020 Maiden had reported gross written premiums of $11.7 million.

Lawrence Metz, Maiden’s president and co-chief executive officer, said the year had started “in a very positive fashion, as continued operating profitability and active capital management produced a strong first quarter result.”

He highlighted “continued favorable loss development trends during the quarter and positive investment results from our evolving alternative investment portfolio” as driving positive operating performance.

Patrick Haveron, Maiden’s co-chief executive officer and chief financial officer, said: "We continue to make strides in building common shareholder value through our active capital management strategy.”

Haveron added: “The run-off of our insurance liabilities is consistent with our expectations and the first quarter again produced overall favorable development, further supporting our ability to extend our capital management pillar. As we have previously noted building risk-adjusted investment income and gains to enable Maiden to utilise its potentially significant tax assets is a key objective to creating additional shareholder value."

Did you get value from this story?  Sign up to our free daily newsletters and get stories like this sent straight to your inbox.