By Isha Marathe

Feb 26 - (The Insurer) - Hamilton Insurance Group announced on Wednesday that its combined ratio increased by 5.2 percentage points in the fourth quarter of 2024 to 95.4% as the Bermudian (re)insurer was hit with a far higher level of current-year catastrophe losses.

• Combined ratio of 95.4% in Q4 2024 (Q4 2023: 90.2%)

• Current year cat losses add 11.9 pts to combined ratio (1.9 pts prior period)

• GWP up 25.4% to $543.9 million in Q4; international up 28%, Bermuda up 21%

• CEO Albo: 91.3% FY combined ratio shows business diversification benefits

Hamilton reported net income of $33.9 million, down from $126.9 million in the same period of 2023.

The company's gross written premiums (GWP) rose by 25.4% to $543.9 million compared to $433.8 million in Q4 2023.

Underwriting income dropped to $22.4 million in Q4 2024, from $36.0 million in the fourth quarter of 2023.

For Q4 2024, catastrophe losses, net of reinsurance, were $49.1 million, driven by Hurricane Milton ($37.8 million), Hurricane Helene ($18.7 million) and the Calgary hailstorms ($0.6 million), partially offset by favourable prior-year development ($8 million).

Current year cat losses added 11.9 points to the combined ratio compared with 1.9 points in Q4 2023.

Net investment income was $35.7 million, and comprised of Two Sigma Hamilton Fund returns of $67 million, and a fixed income, short-term, cash and cash equivalent loss of $31.3 million for Q4.

For the full year 2024, Hamilton posted net income of $400.4 million, an increase of 55% over the full year 2023.

GWP increased by 24.2% to $2.4 billion compared to the full year 2023. Hamilton's combined ratio for 2024 was 91.3% compared to 90.1% in 2023,

The company posted underwriting income of $149.4 million for the full year of 2024.

"Hamilton’s combined ratio of 91.3%, in a year with significant large loss activity, demonstrated the benefits of our business diversification and our sharp focus on underwriting discipline," said Pina Albo, CEO of Hamilton.

Q4 INTERNATIONAL GWP UP 28%, BERMUDA GWP UP 21%

In Hamilton's international segment, GWP increased by $77 million in the fourth quarter, or 28.2%, to $350.5 million, primarily driven by growth in both new and existing business and improved pricing in casualty, specialty and property insurance classes in Q4 of 2024.

Catastrophe losses for Q4 2024, net of reinsurance, were $17.6 million, driven by Hurricane Milton and Hurricane Helene, partially offset by favourable prior-year development.

In its Bermuda segment, GWP increased by $33.1 million in the fourth quarter, or 20.7%, to $193.5 million, primarily driven by new business, increased participation and a strong rate environment in the company's casualty reinsurance classes.

Catastrophe losses for Q4 2024, like Q4 2023, net of reinsurance, were $31.5 million and similar to its other segments, were primarily driven by Hurricane Milton, Hurricane Helene and the Calgary hailstorms