Reinsurance segments grow as Maiden increases profits in Q3
Maiden Holdings increased its net income substantially in the third quarter of 2016 while the two reinsurance segments it operates through, Diversified Reinsurance and AmTrust Reinsurance, enjoyed solid growth.
Maiden's net income for the three-month period ending September 30 was $31.8 million, up from $22.5 million for the same period in 2015.
Maiden's gross premiums written for third quarter of 2016 was $706.9 million, up from $628.5 million year-on-year.
Specifically, its Diversified Reinsurance segment's gross premiums written totalled $186.8 million, an increase of 7.1 percent, which it attributed to growth from existing customers and new accounts developed over the course of the year.
For the AmTrust Reinsurance segment, gross premiums written were $520.1 million, an increase of 14.5 percent compared to $454.2 million in the third quarter of 2015.
The group's combined ratio was 98.5 percent, 1.1 percentage points lower YOY.
Art Raschbaum, CEO of Maiden, said: "Maiden continued to deliver strong results with a year-over-year improvement in our combined ratio, double digit operating return on common equity, increased investment income, continued growth in book value and disciplined growth from virtually all business activities, despite an increasingly challenging operating environment with intensifying competition, as well as growing loss cost volatility.
“Maiden's growth during the quarter emanated from existing client relationships and new business. Our recent rating upgrade from AM Best to A stable, will further strengthen Maiden's unique value proposition to our clients and prospects."
