RenaissanceRe swings to Q3 loss, hit by catastrophes
Bermuda-based reinsurer RenaissanceRe swung to a net loss in the third quarter of 2021, driven by heavy catastrophe losses resulting from Hurricane Ida, Northwestern European floods and other events
The company posted a $450.2 million net loss for Q3 2021, compared with a gain of $47.8 million in Q3 2020, as catastrophe losses contributed to a $726.8 million net negative impact on its results during the period.
Overall, it reported an underwriting loss for the period of $678.8 million.
The reinsurer saw strong growth in gross written premiums of $631.1 million, however, including $254.9 million of reinstatement premiums associated with the Q3 weather-related large losses in its property segment.
RenRe repurchased $223.8 million of common shares in the third quarter, bringing the total for the first three quarters to $704.5 million and an additional $75.3 million from October 1 to October 21, 2021.
Kevin J O’Donnell (pictured), president and chief executive officer of RenRe, said: “This was another active season for natural catastrophes, and while our results for the third quarter reflect this volatility, we have maintained a robust capital position and our business fundamentals remain strong.
“As we look forward to 2022, our fortress balance sheet provides us with great flexibility to create value for shareholders. We believe we will have ample capacity to renew existing risk and underwrite new opportunities if sufficiently profitable, but are equally motivated to return excess capital to shareholders at what we consider very attractive multiples.”
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