CAPITAL LOSSES SEND US REINSURERS TO H1 LOSS OF $406.3M

The member companies of the Reinsurance Association of America swung to a H1 net loss of $406.3m from a year-earlier gain of $2.68bn, largely reflecting $2.99bn in net realized capital losses, of which $2.49bn were recorded by Berkshire Hathaway’s National Indemnity subsidiary. Those losses aside, the 19 RAA companies’ underwriting income for the six months jumped nearly 14 times to $566.3m from $40.99m on flat net written premiums of $12.83bn. The combined ratio improved to 93.8% from 97.5%. The companies with the top net income for the period were Swiss Re America with $422.2m, Everest Re with $154.6m, Odyssey Re with $109.8m and Transatlantic Re with $102.1m. The biggest losses were posted by National Indemnity with $1.29bn, Munich Re America with $48.9m and American Agricultural Insurance with $29.8m.