CNA Financial has joined the list of insurance companies reporting their financial results. For its fourth quarter of 2019, CNA reported a net income of US$273 million (around SG$379 million), bringing its full-year total to US$1 billion (around SG$1.38 million).
Its Q4 combined ratio for property and casualty operations was 95.6%, and 94.8% for the full-year, versus 95.4% for 2018. CNA also saw its net written premium for P&C grow by 5% in both Q4 and the full-year. Net catastrophe losses were US$51 million or 2.9 points of the loss ratio in the quarter, compared with US$146 million or 8.6 points of the loss ratio for Q4 2018.
Gross written premiums likewise increased in CNA’s specialty segment, from US$705 million in 2018 to US$752 million in 2019, and in its commercial unit, from US$784 million to US$867 million year-over-year. Its international division saw growth in net written premiums as well, albeit on a smaller scale, from US$256 million to US$262 million. However, the unit went from a US$36 million core income loss in 2018 to a US$16 million gain.
However, there were some low points in the results. CNA’s Life & Group and Corporate & Other segments saw losses in the latest fourth quarter of US$4 million and US$68 million respectively, thanks to a US$48 million after-tax non-economic charge related to asbestos and environmental pollution for the latter number, according to the results.
“Our fourth quarter results reflect a strong underwriting quarter in line with a strong underwriting year in which our underlying combined ratio improved for the third consecutive year to 94.9%,” said Dino E. Robusto, chairman and chief executive officer of CNA Financial Corporation. “With fourth quarter premium rates increasing to 7% and gross premiums increasing to 8%, CNA is well positioned going into 2020.”