Three insurance and specialty underwriting groups have released first-quarter 2026 results, with two posting sharp swings into underwriting profitability and a third reporting earnings growth alongside a contraction in premium volume.
Pelagos Insurance Capital, the rebranded entity formerly known as Fidelis Insurance Holdings, reported first-quarter 2026 net income of $108.0 million, or $1.15 per diluted share. Operating net income came in at $88.4 million, or $0.94 per diluted share.
Underwriting income reached $76.2 million, with the combined ratio improving to 86.6% from 115.6% a year earlier, when the company had recorded an underwriting loss of $94.5 million. Catastrophe and large losses also eased substantially, falling to $72.3 million from $333.3 million in the prior-year quarter.
Net favorable prior-year loss reserve development was $3.1 million, down from $40.8 million in Q1 2025, while net investment income slipped to $43.7 million from $49.5 million. Net realized and unrealized investment losses totaled $1.6 million for the period.
Annualized operating return on average equity reached 15.2%, compared with (7.6)% a year ago. Book value per diluted common share stood at $26.22 at March 31, 2026, up from $24.61 at year-end 2025.
Read more: Fidelis completes rebrand to Pelagos Insurance Capital
Accelerant Holdings, which operates the Accelerant Risk Exchange, reported Q1 2026 total revenues of $273.3 million, up from $178.0 million a year earlier. However, the company swung to a net loss of $4.1 million from net income of $7.8 million in the prior-year quarter.
Exchange written premium grew 16% to $1.14 billion, while membership on the platform expanded to 296 from 232 a year earlier. The mix shifted notably, with third-party direct written premium rising to 41% of the total from 19%, while Accelerant's own direct written share moved down to 59% from 81%.
Adjusted EBITDA climbed to $66.1 million from $38.8 million, lifting the adjusted EBITDA margin to 24% from 22%. Adjusted net income reached $37.7 million, or $0.17 per diluted share, compared with $17.3 million, or $0.08, a year earlier.
The gross loss ratio improved modestly to 52.1% from 53.3%, although net revenue retention moderated to 116% from 157% as the comparison normalized against earlier rapid growth.
Read more: Accelerant posts $4.2 billion in exchange premium amid shift in business model
Presurance Holdings posted Q1 2026 net income of $2.6 million, or $0.15 per share, compared with $522,000, or $0.04 per share, a year earlier. The company attributed the improvement to underwriting gains and continued repositioning toward business lines with stronger historical performance.
The personal lines combined ratio improved to 97.9% from 140.9%, while the overall consolidated combined ratio moved to 105.7% from 140.5%. The loss ratio fell to 56.2% from 89.7%, and the expense ratio edged down to 49.5% from 50.8%.
Premium volume contracted as the strategic shift continued, with gross written premiums down 29.1% to $11.5 million and net written premiums off 44.0% to $6.1 million. Net earned premiums declined 42.6% to $5.9 million.
Net investment income decreased 13.9% to $1.1 million, while the change in fair value of equity investments swung to a $30,000 gain from a $192,000 loss a year ago. Adjusted operating loss narrowed to $2.8 million from $3.7 million, and book value per common share stood at $0.96, down from $2.09.
