Business
United Fire Group, Inc. Reports Second Quarter 2024 Results
Second Quarter Net Loss of $0.11 per Diluted Share and Adjusted Operating Loss of $0.07 per Diluted Share Second quarter 2024 highlights: Net loss of $2.7
About this update from United Fire Group, Inc
[{"type":"text","content":"Second Quarter Net Loss of $0.11 per Diluted Share and Adjusted Operating Loss of $0.07 per Diluted Share Second quarter 2024 highlights: Net loss of $2.7 million includes a $3.2 million pre-tax charge for an estimated contingent liability related to rating errors.Net premiums written(1) increased 9.0% to $326.1 million compared to the second quarter of 2023.Net investment income increased 59.2% to $18.0 million compared to the second quarter of 2023.GAAP combined ratio of 105.6% improved 27.4 points compared to the second quarter of 2023; comprised of an underlying loss ratio(2) of 58.9%, catastrophe loss ratio of 11.2%, no prior year reserve development, and underwriting expense ratio of 35.5%.The underlying combined ratio(3) improved 4.8 points to 94.4% compared to the second quarter of 2023.Book value per common share decreased $0.36 to $28.68 as of June 30, 2024, compared to December 31, 2023. CEDAR RAPIDS, Iowa, Aug. 06, 2024 (GLOBE NEWSWIRE) -- United Fire Group, Inc. (the “Company” or “UFG”) (Nasdaq: UFCS) today reported financial results for the three-month period ended June 30, 2024 (the “second quarter of 2024”) with a consolidated net loss of $2.7 million ($0.11 loss per diluted share) and consolidated adjusted operating loss of $0.07 per diluted share. “Our second quarter results reflect continued progress in our efforts to deliver improved performance through the strategic execution of our business plan,” said UFG President and CEO Kevin Leidwinger. “The quarter was marked by continued premium growth, lower underlying loss ratio, neutral prior period development and increased investment income. “Net written premiums grew 9% to $326.1 million, led by ongoing growth in our core commercial and assumed reinsurance business units. Core commercial growth remained steady with average renewal premium increases of 12.3%, healthy retention and attractive new business opportunities reflecting our continued focus on profitability. Rate increases accelerated to 9.8% with all liability lines increasing in the second quarter and improving margins above loss cost trends. “The second quarter GAAP combined ratio of 105.6% improved significantly over prior year, primarily due to lower prior period reserve development and decreases in catastrophe and underlying combined ratios. “Prior period reserve development in the second quarter w...