United Insurance Holdings Corp (UPC Insurance) reported a net loss of $70.9 million in the third quarter of 2022, compared to a net loss of $14.3 million in 2021.
UPC Insurance attributed the loss to lower gross premiums written, unfavorable prior-year loss development during the quarter and the impact of Hurricane Ian.
This brings the company’s total year-to-date net loss to $173 million.
At the same time, UPC Insurance’s gross premiums written for the quarter decreased $67.3 million to $255.2 million from $322.5 million in the third quarter of 2021.
UPC Insurance’s year-to-date gross premiums written are now $894.8 million, compared with $1.06 billion in the same period last year.
Net premiums earned decreased 24.2% to $116.18 million from $153.27 million a year ago.
Meanwhile, operating and underwriting expenses were $9.6 million in the quarter, down $5.8 million from $15.4 million in the third quarter of 2021.
Additionally, UPC Insurance reported an underlying combined ratio of 94.8% for the quarter, compared with 91.5% in the prior year quarter.
Dan Peed, CEO of UPC Insurance, commented: Our thoughts and prayers go out to all those affected by Ian. I would like to thank you.
“During the third quarter, we made the difficult decision to exit United Property and Casualty Insurance Company from our personal insurance business in Florida, Louisiana and Texas. “However, the exit will allow us to focus on the commercial residential business written by American Coastal Insurance Company. Our exit plans will normally begin without renewal on January 1, 2023.”