By Michael Loney

March 11 - (The Insurer) - Specialty insurer Global Indemnity said on Tuesday that its operating income increased by 58% year on year to $42.9 million in 2024, while current accident year underwriting income increased to $18.8 million from $14.3 million.

• 2024 CR improves 4.1 pts to 95.6%; current AY CR improves 1.9 pts to 95.4%

• Penn-America CR improves 8.6 pts to 95.0%; current AY CR improves 0.8 pts to 94.4%

• Global Indemnity’s cat losses drop 26% to $12.7 million in 2024

• Gross written premiums decrease 6.4% to $389.8 million in 2024

• Penn-America GWP excluding terminated products up 12% to $395.1 million

Global Indemnity’s consolidated combined ratio improved to 95.6% in 2024 from the previous year's 99.7%, while its current accident year combined ratio improved to 95.4% from 97.3%.

The company’s Penn-America segment posted $22.1 million of underwriting income, up from 2023’s underwriting income of $18.5 million.

This increase was driven by growth in gross written premiums and improved non-catastrophe and catastrophe property results.

Penn-America’s combined ratio improved to 95.0% from 103.6% in 2023, while its current accident year combined ratio improved to 94.4% from 95.2%

Global Indemnity’s catastrophe losses declined by 26% to $12.7 million in 2024 from $17.2 million in 2023.

Overall gross written premiums dropped to $389.8 million in 2024 from $416.4 million the previous year.

Penn-America gross written premiums, excluding terminated products, increased 12% year on year to $395.1 million in 2024.

This included insurtech premiums increasing 17% to $56.3 million, wholesale commercial's policy premiums excluding audit premiums growing 12% driven by an aggregate premium rate rise of 7%, and assumed reinsurance premiums expanding 83% to $25.4 million due to new treaties commencing in both 2023 and 2024.

Global Indemnity in January completed an “extensive” reorganisation through the creation of wholesale commercial, vacant express, collectibles and specialty products divisions, separate tech and claims businesses, and the de-stacking of its insurance companies.

Fox Paine & Company, the private equity and advisory firm owned by Global Indemnity chairman Saul Fox, was the company’s financial adviser for the reorganisation, code-named Project Manifest.

In December 2023, Global Indemnity said it had suspended an exploration of a sale of either itself or its Penn-America subsidiary.

On the company’s Q1 2024 earnings call, CEO Jay Brown said Global Indemnity had held M&A conversations with James River but they were “on pause” at the time.

On March 3 The Insurer was first to report that Global Indemnity had hired former Innovisk Capital Partners president Praveen Reddy as CEO of its MGA operations, Penn-America Underwriters.