RLI RLI Corp

RLI Corp. (NYSE: RLI) – RLI Corp. reported fourth quarter 2023 net earnings of $114.6 million ($2.49 per share), compared to $97.8 million ($2.13 per share) for the fourth quarter of 2022. Operating earnings(2)(3) for the fourth quarter of 2023 were $71.1 million ($1.54 per share), compared to $70.5 million ($1.53 per share) for the same period in 2022.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fourth Quarter

 

Year to Date

Earnings Per Diluted Share

 

2023

 

2022

 

2023

 

2022

Net earnings (1)

 

$

2.49

 

$

2.13

 

$

6.61

 

$

12.74

Operating earnings (2) (3)

 

$

1.54

 

$

1.53

 

$

4.94

 

$

4.69

(1)

The year to date net earnings for 2022 include $434.4 million ($9.49 per diluted share) related to the sale of Maui Jim, Inc. in the third quarter of 2022.

(2)

See discussion below: Non-GAAP and Performance Measures.

(3)

Equity in earnings of Maui Jim and the related taxes were excluded from operating earnings per share in 2022 due to the sale of RLI’s investment in Maui Jim in the third quarter of 2022.

Highlights for the quarter included:

• Underwriting income(2) of $59.8 million on a combined ratio(2) of 82.7.
• 13% increase in gross premiums written.
• Favorable development in prior years’ loss reserves resulted in a $12.5 million net increase in underwriting income.
• Special dividend of $2.00 per share, representing $91.3 million returned to shareholders.

Highlights for the year included:

• Underwriting income(2) of $173.2 million on a combined ratio(2) of 86.6.
• 15% increase in gross premiums written.
• 40% increase in net investment income.
• Favorable development in prior years’ loss reserves resulted in a $95.3 million net increase in underwriting income.
• Book value per share of $30.97, an increase of 31% (inclusive of dividends) from year-end 2022.

“Continued premium growth across all product segments drove RLI’s strong fourth quarter performance and supported our 28th consecutive year of underwriting profit," said RLI Corp. President & CEO Craig Kliethermes. "Gross premiums written grew 13% in the quarter and we achieved an 83 combined ratio. Underwriting and investment income were solid contributors to quarterly operating earnings of $1.54 per share and book value growth of 31% from year-end 2022. Our success during the year is a reminder that underwriting discipline and financial strength put us in the best position to fulfill our promise to policyholders and provide superior customer service."

"As we turn our focus to 2024, I want to thank our associate-owners who drive RLI forward every day. Their dedication is a testament to our ability to meet the challenges and opportunities that lie ahead."

Underwriting Income

RLI achieved $59.8 million of underwriting income in the fourth quarter of 2023 on an 82.7 combined ratio, compared to $54.0 million on an 82.1 combined ratio in 2022.

For the year, RLI achieved $173.2 million of underwriting income on an 86.6 combined ratio, compared to $178.2 million on an 84.4 combined ratio in 2022. Favorable development in prior years’ loss reserves resulted in a $95.3 million net increase to underwriting income in 2023, which was partially offset by $81.2 million of Hawaiian wildfire and other storm losses. Comparatively, favorable development in prior years’ loss reserves resulted in a $106.5 million net increase to underwriting income in 2022, which was partially offset by $44.4 million of hurricane and storm losses.

The following table highlights underwriting income and combined ratios by segment for the year.

 

 

 

 

 

 

 

 

 

 

 

 

 

Underwriting Income(1)

 

 

 

 

 

 

 

Combined Ratio(1)

 

 

 

 

(in millions)

 

2023

 

2022

 

 

 

2023

 

2022

Casualty

 

$

59.5

 

$

73.8

 

Casualty

 

92.2

 

89.6

Property

 

 

86.3

 

 

72.5

 

Property

 

78.5

 

76.4

Surety

 

 

27.4

 

 

31.9

 

Surety

 

79.6

 

74.4

Total

 

$

173.2

 

$

178.2

 

Total

 

86.6

 

84.4

(1) See discussion below: Non-GAAP and Performance Measures.

Other Income

Net investment income for the quarter increased 14.4% to $32.5 million, compared to the same period in 2022. For the year ended December 31, 2023, net investment income was $120.4 million, compared to $86.1 million for the same period in 2022. The investment portfolio’s total return was 6.4% for the quarter and 8.8% for the year.

RLI’s comprehensive earnings were $216.2 million for the quarter ($4.69 per share), compared to $113.3 million ($2.47 per share) for the same quarter in 2022. Full-year comprehensive earnings were $367.4 million ($7.97 per share), compared to $304.5 million ($6.65 per share) in 2022. In addition to net earnings, comprehensive earnings for 2023 included after-tax unrealized gains from the fixed income portfolio, due to declining interest rates.

Special and Regular Dividends

On December 20, 2023, the company paid a special cash dividend of $2.00 per share and a regular quarterly dividend of $0.27 per share for a combined total of $103.6 million. RLI has paid dividends for 190 consecutive quarters and increased regular dividends in each of the last 48 years. Over the last 10 years, the company has returned $1.41 billion to shareholders and the regular dividend has grown an average of 4.7% per year.

Non-GAAP and Performance Measures

Management has included certain non-generally accepted accounting principles (non-GAAP) financial measures in presenting the company’s results. Management believes that these non-GAAP measures further explain the company’s results of operations and allow for a more complete understanding of the underlying trends in the company’s business. These measures should not be viewed as a substitute for those determined in accordance with generally accepted accounting principles (GAAP). In addition, our definitions of these items may not be comparable to the definitions used by other companies.

Operating earnings and operating earnings per share (EPS) consist of our GAAP net earnings adjusted by net realized gains/(losses), net unrealized gains/(losses) on equity securities and taxes related thereto. Additionally, equity in earnings of Maui Jim and the related taxes were excluded from operating earnings and operating EPS for 2022 due to the sale of RLI’s investment in the third quarter of 2022. Net earnings and net earnings per share are the GAAP financial measures that are most directly comparable to operating earnings and operating EPS. A reconciliation of the operating earnings and operating EPS to the comparable GAAP financial measures is included in the 2023 financial highlights below.

Underwriting income or profit represents the pretax profitability of our insurance operations and is derived by subtracting loss and settlement expenses, policy acquisition costs and insurance operating expenses from net premium earned, which are all GAAP financial measures. The combined ratio, which is derived from components of underwriting income, is a performance measure commonly used by property and casualty insurance companies and is calculated as the sum of loss and settlement expenses, policy acquisition costs and insurance operating expenses, divided by net premiums earned, which are all GAAP measures.

Other News

At 10 a.m. central standard time (CST) tomorrow, January 25, 2024, RLI management will hold a conference call to discuss quarterly results with insurance industry analysts. Interested parties may listen to the discussion at https://events.q4inc.com/attendee/112063672.

Except for historical information, this news release may include forward-looking statements (within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934) including, without limitation, statements reflecting our current expectations about the future performance of our company or our business segments or about future market conditions. These statements are subject to certain risk factors that could cause actual results to differ materially. Various risk factors that could affect future results are listed in the company's filings with the Securities and Exchange Commission, including the Form 10-K Annual Report for the year ended December 31, 2022.

About RLI

RLI Corp. (NYSE: RLI) is a specialty insurer serving niche property, casualty and surety markets. The company provides deep underwriting expertise and superior service to commercial and personal lines customers nationwide. RLI’s products are offered through its insurance subsidiaries – RLI Insurance Company, Mt. Hawley Insurance Company and Contractors Bonding and Insurance Company. All of RLI’s insurance subsidiaries are rated A+ (Superior) by AM Best Company. RLI has paid and increased regular dividends for 48 consecutive years and delivered underwriting profits for 28 consecutive years. To learn more about RLI, visit www.rlicorp.com.

Supplemental disclosure regarding the earnings impact of specific items:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reserve Development and Catastrophe Losses,

 

 

Net of Reinsurance

 

 

Three Months Ended

 

Twelve Months Ended

 

 

December 31,

 

December 31,

(Dollars in millions, except per share amounts)

 

2023

 

2022

 

2023

 

2022

Favorable development in casualty prior years' reserves

 

$

9.0

 

$

14.0

 

$

76.0

 

$

87.0

Favorable development in property prior years' reserves

 

$

2.0

 

$

0.4

 

$

16.2

 

$

21.2

Favorable development in surety prior years' reserves

 

$

0.6

 

$

1.1

 

$

8.9

 

$

10.4

 

 

 

 

 

 

 

 

 

 

 

 

 

Net incurred losses related to:

 

 

 

 

 

 

 

 

 

 

 

 

2023 storms

 

$

(4.0)

 

$

—

 

$

(31.0)

 

$

—

Hawaiian wildfires

 

$

2.4

 

$

—

 

$

(49.3)

 

$

—

2022 and prior events

 

$

2.9

 

$

(2.0)

 

$

7.5

 

$

(47.0)

Reinstatement premium from Hawaiian wildfires

 

$

2.6

 

$

—

 

$

(11.7)

 

$

—

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Earnings Per Share

 

 

Three Months Ended

 

Twelve Months Ended

 

 

December 31,

 

December 31,

 

 

2023

 

2022

 

2023

 

2022

Operating Earnings Per Share(1) (2)

 

$

1.54

 

$

1.53

 

$

4.94

 

$

4.69

 

 

 

 

 

 

 

 

 

 

 

 

 

Specific items included in operating earnings per share:(3) (4)

 

 

 

 

 

 

 

 

 

 

 

 

Net favorable development in casualty prior years' reserves

 

$

0.13

 

$

0.21

 

$

1.14

 

$

1.31

Net favorable development in property prior years' reserves

 

$

0.03

 

$

0.01

 

$

0.23

 

$

0.32

Net favorable development in surety prior years' reserves

 

$

0.01

 

$

0.01

 

$

0.12

 

$

0.15

 

 

 

 

 

 

 

 

 

 

 

 

 

Net incurred losses related to:

 

 

 

 

 

 

 

 

 

 

 

 

2023 storms

 

$

(0.06)

 

$

—

 

$

(0.46)

 

$

—

Hawaiian wildfires (incurred loss and reinstatement premium)

 

$

0.07

 

$

—

 

$

(0.90)

 

$

—

2022 and prior events

 

$

0.04

 

$

(0.03)

 

$

0.10

 

$

(0.71)

 

 

 

 

 

 

 

 

 

 

 

 

 

Gain from tax benefit of special dividend to ESOP(5)

 

$

0.02

 

$

0.08

 

$

0.02

 

$

0.08

(1)

See discussion above: Non-GAAP and Performance Measures.

(2)

Equity in earnings of Maui Jim and the related taxes were excluded from operating earnings per share in 2022 due to the sale of RLI’s investment in Maui Jim in the third quarter of 2022.

(3)

Includes incentive and profit sharing-related impacts which affected policy acquisition, insurance operating and general corporate expenses.

(4)

Reserve development reflects changes from previously estimated losses.

(5)

Dividends paid on employer securities in an ESOP are fully deductible from taxable income and resulted in a 21% tax benefit.

RLI CORP

2023 FINANCIAL HIGHLIGHTS

(Unaudited)

(Dollars in thousands, except per share amounts)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended December 31,

 

 

Twelve Months Ended December 31,

 

SUMMARIZED INCOME STATEMENT DATA:

 

2023

 

2022

 

% Change

 

 

2023

 

2022

 

 

% Change

 

Net premiums earned

 

$

345,894

 

$

301,006

 

14.9

%

 

$

1,294,306

 

$

1,144,436

 

 

13.1

%

Net investment income

 

 

32,548

 

 

28,453

 

14.4

%

 

 

120,383

 

 

86,078

 

 

39.9

%

Net realized gains (losses)

 

 

5,760

 

 

(3,047)

 

NM

 

 

 

32,518

 

 

588,515

 

 

(94.5)

%

Net unrealized gains (losses) on equity securities

 

 

49,313

 

 

34,181

 

44.3

%

 

 

64,787

 

 

(121,037)

 

 

NM

 

Consolidated revenue

 

$

433,515

 

$

360,593

 

20.2

%

 

$

1,511,994

 

$

1,697,992

 

 

(11.0)

%

Loss and settlement expenses

 

 

146,424

 

 

125,849

 

16.3

%

 

 

604,413

 

 

514,376

 

 

17.5

%

Policy acquisition costs

 

 

111,242

 

 

97,753

 

13.8

%

 

 

418,325

 

 

369,632

 

 

13.2

%

Insurance operating expenses

 

 

28,381

 

 

23,418

 

21.2

%

 

 

98,383

 

 

82,212

 

 

19.7

%

Interest expense on debt

 

 

1,373

 

 

2,013

 

(31.8)

%

 

 

7,301

 

 

8,047

 

 

(9.3)

%

General corporate expenses

 

 

5,112

 

 

4,347

 

17.6

%

 

 

15,917

 

 

12,900

 

 

23.4

%

Total expenses

 

$

292,532

 

$

253,380

 

15.5

%

 

$

1,144,339

 

$

987,167

 

 

15.9

%

Equity in earnings of unconsolidated investees

 

 

2,441

 

 

6,792

 

(64.1)

%

 

 

9,610

 

 

9,853

 

 

(2.5)

%

Earnings before income taxes

 

$

143,424

 

$

114,005

 

25.8

%

 

$

377,265

 

$

720,678

 

 

(47.7)

%

Income tax expense

 

 

28,812

 

 

16,171

 

78.2

%

 

 

72,654

 

 

137,267

 

 

(47.1)

%

Net earnings

 

$

114,612

 

$

97,834

 

17.1

%

 

$

304,611

 

$

583,411

 

 

(47.8)

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive earnings (loss), net of tax

 

 

101,621

 

 

15,490

 

556.0

%

 

 

62,773

 

 

(278,902)

 

 

NM

 

Comprehensive earnings

 

$

216,233

 

$

113,324

 

90.8

%

 

$

367,384

 

$

304,509

 

 

20.6

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating earnings(1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

$

114,612

 

$

97,834

 

17.1

%

 

$

304,611

 

$

583,411

 

 

(47.8)

%

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net realized (gains) losses

 

 

(5,760)

 

 

3,047

 

NM

 

 

 

(32,518)

 

 

(588,515)

 

 

(94.5)

%

Income tax on realized gains (losses)

 

 

1,210

 

 

(646)

 

NM

 

 

 

6,829

 

 

124,415

 

 

(94.5)

%

Net unrealized (gains) losses on equity securities

 

 

(49,313)

 

 

(34,181)

 

44.3

%

 

 

(64,787)

 

 

121,037

 

 

NM

 

Income tax on unrealized gains (losses) on equity securities

 

 

10,355

 

 

7,178

 

44.3

%

 

 

13,605

 

 

(25,418)

 

 

NM

 

Equity in earnings of Maui Jim

 

 

—

 

 

(3,493)

 

(100.0)

%

 

 

—

 

 

(372)

 

 

(100.0)

%

Income tax on equity in earnings of Maui Jim

 

 

—

 

 

733

 

(100.0)

%

 

 

—

 

 

78

 

 

(100.0)

%

Operating earnings(2)

 

$

71,104

 

$

70,472

 

0.9

%

 

$

227,740

 

$

214,636

 

 

6.1

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on Equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

 

 

 

 

 

 

 

 

 

 

23.3

%

 

48.6

%

 

 

 

Comprehensive earnings

 

 

 

 

 

 

 

 

 

 

 

28.1

%

 

25.4

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per Share Data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding (in 000's)

 

 

46,072

 

 

45,954

 

 

 

 

 

46,077

 

 

45,794

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings per share(2)

 

$

2.49

 

$

2.13

 

16.9

%

 

$

6.61

 

$

12.74

 

 

(48.1)

%

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net realized (gains) losses

 

 

(0.13)

 

 

0.06

 

NM

 

 

 

(0.71)

 

 

(12.84)

 

 

(94.5)

%

Income tax on realized gains (losses)

 

 

0.03

 

 

(0.01)

 

NM

 

 

 

0.15

 

 

2.72

 

 

(94.5)

%

Net unrealized (gains) losses on equity securities

 

 

(1.07)

 

 

(0.74)

 

44.6

%

 

 

(1.41)

 

 

2.64

 

 

NM

 

Income tax on unrealized gains (losses) on equity securities

 

 

0.22

 

 

0.16

 

37.5

%

 

 

0.30

 

 

(0.56)

 

 

NM

 

Equity in earnings of Maui Jim

 

 

—

 

 

(0.08)

 

(100.0)

%

 

 

—

 

 

(0.01)

 

 

(100.0)

%

Income tax on equity in earnings of Maui Jim

 

 

—

 

 

0.01

 

(100.0)

%

 

 

—

 

 

—

 

 

—

%

Operating earnings per share(1)(2)

 

$

1.54

 

$

1.53

 

0.7

%

 

$

4.94

 

$

4.69

 

 

5.3

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive earnings per share

 

$

4.69

 

$

2.47

 

89.9

%

 

$

7.97

 

$

6.65

 

 

19.8

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash dividends per share - ordinary

 

$

0.27

 

$

0.26

 

3.8

%

 

$

1.07

 

$

1.03

 

 

3.9

%

Cash dividends per share - special

 

 

2.00

 

 

7.00

 

(71.4)

%

 

 

2.00

 

 

7.00

 

 

(71.4)

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net cash flow provided by (used in) operations

 

$

122,065

 

$

(32,438)

 

NM

 

 

$

464,257

 

$

250,448

 

 

85.4

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)

See discussion above: Non-GAAP and Performance Measures.

(2)

Equity in earnings of Maui Jim and the related taxes were excluded from operating earnings and operating earnings per share in 2022 due to the sale of RLI’s investment in Maui Jim in the third quarter of 2022.

 

NM = Not Meaningful

RLI CORP

2023 FINANCIAL HIGHLIGHTS

(Unaudited)

(Dollars in thousands, except per share amounts)

 

 

 

 

 

 

 

 

 

 

 

 

December 31,

 

December 31,

 

 

 

 

 

2023

 

2022

 

% Change

 

SUMMARIZED BALANCE SHEET DATA:

 

 

 

 

 

 

 

 

 

Fixed income, at fair value

 

$

2,855,849

 

$

2,666,950

 

7.1

%

(amortized cost - $3,054,391 at 12/31/23)

 

 

 

 

 

 

 

 

 

(amortized cost - $2,945,273 at 12/31/22)

 

 

 

 

 

 

 

 

 

Equity securities, at fair value

 

 

590,041

 

 

498,382

 

18.4

%

(cost - $354,022 at 12/31/23)

 

 

 

 

 

 

 

 

 

(cost - $328,019 at 12/31/22)

 

 

 

 

 

 

 

 

 

Short-term investments

 

 

134,923

 

 

36,229

 

272.4

%

Other invested assets

 

 

59,081

 

 

47,922

 

23.3

%

Cash and cash equivalents

 

 

36,424

 

 

22,818

 

59.6

%

Total investments and cash

 

$

3,676,318

 

$

3,272,301

 

12.3

%

 

 

 

 

 

 

 

 

 

 

Accrued investment income

 

 

24,062

 

 

21,259

 

13.2

%

Premiums and reinsurance balances receivable

 

 

221,206

 

 

189,501

 

16.7

%

Ceded unearned premiums

 

 

112,257

 

 

138,457

 

(18.9)

%

Reinsurance balances recoverable on unpaid losses

 

 

757,349

 

 

740,089

 

2.3

%

Deferred policy acquisition costs

 

 

146,566

 

 

127,859

 

14.6

%

Property and equipment

 

 

46,715

 

 

49,573

 

(5.8)

%

Investment in unconsolidated investees

 

 

56,966

 

 

58,275

 

(2.2)

%

Goodwill and intangibles

 

 

53,562

 

 

53,562

 

0.0

%

Income taxes - deferred

 

 

15,872

 

 

40,269

 

(60.6)

%

Other assets

 

 

69,348

 

 

75,923

 

(8.7)

%

Total assets

 

$

5,180,221

 

$

4,767,068

 

8.7

%

 

 

 

 

 

 

 

 

 

 

Unpaid losses and settlement expenses

 

$

2,446,025

 

$

2,315,637

 

5.6

%

Unearned premiums

 

 

892,326

 

 

785,085

 

13.7

%

Reinsurance balances payable

 

 

71,507

 

 

61,100

 

17.0

%

Funds held

 

 

101,446

 

 

101,144

 

0.3

%

Income taxes - current

 

 

3,757

 

 

—

 

NM

 

Debt

 

 

100,000

 

 

199,863

 

(50.0)

%

Accrued expenses

 

 

108,880

 

 

94,869

 

14.8

%

Other liabilities

 

 

42,766

 

 

32,029

 

33.5

%

Total liabilities

 

$

3,766,707

 

$

3,589,727

 

4.9

%

Shareholders' equity

 

 

1,413,514

 

 

1,177,341

 

20.1

%

Total liabilities & shareholders' equity

 

$

5,180,221

 

$

4,767,068

 

8.7

%

 

 

 

 

 

 

 

 

 

 

OTHER DATA:

 

 

 

 

 

 

 

 

 

Common shares outstanding (in 000's)

 

 

45,640

 

 

45,470

 

 

 

 

 

 

 

 

 

 

 

 

 

Book value per share

 

$

30.97

 

$

25.89

 

19.6

%

Closing stock price per share

 

$

133.12

 

$

131.27

 

1.4

%

 

 

 

 

 

 

 

 

 

 

Statutory surplus

 

$

1,520,135

 

$

1,437,324

 

5.8

%

RLI CORP

2023 FINANCIAL HIGHLIGHTS

UNDERWRITING SEGMENT DATA

(Unaudited)

(Dollars in thousands, except per share amounts)

 

Three Months Ended December 31,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP

 

 

 

 

GAAP

 

 

 

 

GAAP

 

 

 

 

GAAP

 

 

 

Casualty

 

Ratios

 

Property

 

Ratios

 

Surety

 

Ratios

 

Total

 

Ratios

 

2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross premiums written

 

$

238,467

 

 

 

$

158,047

 

 

 

$

37,846

 

 

 

$

434,360

 

 

 

Net premiums written

 

 

191,626

 

 

 

 

104,154

 

 

 

 

35,117

 

 

 

 

330,897

 

 

 

Net premiums earned

 

 

195,962

 

 

 

 

115,934

 

 

 

 

33,998

 

 

 

 

345,894

 

 

 

Net loss & settlement expenses

 

 

121,399

 

62.0

%

 

22,554

 

19.5

%

 

2,471

 

7.3

%

 

146,424

 

42.3

%

Net operating expenses

 

 

72,562

 

37.0

%

 

40,653

 

35.0

%

 

26,408

 

77.6

%

 

139,623

 

40.4

%

Underwriting income(1)

 

$

2,001

 

99.0

%

$

52,727

 

54.5

%

$

5,119

 

84.9

%

$

59,847

 

82.7

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross premiums written

 

$

221,729

 

 

 

$

127,932

 

 

 

$

34,127

 

 

 

$

383,788

 

 

 

Net premiums written

 

 

175,132

 

 

 

 

91,332

 

 

 

 

32,031

 

 

 

 

298,495

 

 

 

Net premiums earned

 

 

183,338

 

 

 

 

84,912

 

 

 

 

32,756

 

 

 

 

301,006

 

 

 

Net loss & settlement expenses

 

 

102,623

 

56.0

%

 

20,558

 

24.2

%

 

2,668

 

8.1

%

 

125,849

 

41.8

%

Net operating expenses

 

 

67,344

 

36.7

%

 

32,105

 

37.8

%

 

21,722

 

66.4

%

 

121,171

 

40.3

%

Underwriting income(1)

 

$

13,371

 

92.7

%

$

32,249

 

62.0

%

$

8,366

 

74.5

%

$

53,986

 

82.1

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Twelve Months Ended December 31,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GAAP

 

 

 

 

GAAP

 

 

 

 

GAAP

 

 

 

 

GAAP

 

 

 

Casualty

 

Ratios

 

Property

 

Ratios

 

Surety

 

Ratios

 

Total

 

Ratios

 

2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross premiums written

 

$

961,665

 

 

 

$

697,372

 

 

 

$

147,623

 

 

 

$

1,806,660

 

 

 

Net premiums written

 

 

788,982

 

 

 

 

500,057

 

 

 

 

138,708

 

 

 

 

1,427,747

 

 

 

Net premiums earned

 

 

758,346

 

 

 

 

401,530

 

 

 

 

134,430

 

 

 

 

1,294,306

 

 

 

Net loss & settlement expenses

 

 

418,032

 

55.1

%

 

172,062

 

42.9

%

 

14,319

 

10.7

%

 

604,413

 

46.7

%

Net operating expenses

 

 

280,835

 

37.1

%

 

143,152

 

35.6

%

 

92,721

 

68.9

%

 

516,708

 

39.9

%

Underwriting income(1)

 

$

59,479

 

92.2

%

$

86,316

 

78.5

%

$

27,390

 

79.6

%

$

173,185

 

86.6

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross premiums written

 

$

926,231

 

 

 

$

499,461

 

 

 

$

139,794

 

 

 

$

1,565,486

 

 

 

Net premiums written

 

 

744,607

 

 

 

 

364,644

 

 

 

 

132,285

 

 

 

 

1,241,536

 

 

 

Net premiums earned

 

 

711,832

 

 

 

 

307,886

 

 

 

 

124,718

 

 

 

 

1,144,436

 

 

 

Net loss & settlement expenses

 

 

381,436

 

53.6

%

 

120,745

 

39.2

%

 

12,195

 

9.8

%

 

514,376

 

44.9

%

Net operating expenses

 

 

256,607

 

36.0

%

 

114,619

 

37.2

%

 

80,618

 

64.6

%

 

451,844

 

39.5

%

Underwriting income(1)

 

$

73,789

 

89.6

%

$

72,522

 

76.4

%

$

31,905

 

74.4

%

$

178,216

 

84.4

%

(1) See discussion above: Non-GAAP and Performance Measures.

Category: Earnings Release

View source version on businesswire.com: https://www.businesswire.com/news/home/20240124867301/en/

Aaron Diefenthaler Chief Investment Officer & Treasurer 309-693-5846 Aaron.Diefenthaler@rlicorp.com