Verisk’s insurance segment sees growth despite declining revenues – Reinsurance News

For the insurance and analytics provider’s third quarter of 2022, Verisk reported net income of $189.4 million, down 6.1% from $201.7 million reported in the same period last year.

The company’s consolidated revenue for the third quarter of 2022 was $745.3 million, down 1.8% from $759 million in the same period last year. Nevertheless, the company’s insurance segment revenue he increased by 9.4%.

According to Verisk, the decline in the company’s consolidated revenue was primarily due to the sale of its environmental, health and safety business (3E) and Verisk Financial Services segment.

Additionally, the suspension of all commercial activity in Russia negatively impacted revenue by $3.3 million in the third quarter of 2022.

Verisk’s insurance segment increased from $557.9 million in the third quarter of last year to $610.1 million in the third quarter of 2022.

Stratumn, SIA Partners

The segment’s underwriting and ratings revenues are primarily driven by annual price increases from continued enhancements to the content of solutions within Verisk’s industry-standard insurance program and sales of extended solutions to existing commercial and personal customers. increased by 11.7%.

Extreme Event Solutions and Life Solutions also contributed to the growth, the company added.

Claims revenue increased 3.9% in the fourth quarter. According to Verisk, this was the result of growth in its claims analytics solution and modest growth in its repair cost estimation solution, offset by a tougher comparison to the previous year’s more active storm season.

Verisk’s Energy and Professional Markets segment revenue declined 18.5% in the fourth quarter, mainly due to the sale of its 3E business, which ended on March 11, 2022, and the suspension of commercial activity in Russia, the company noted. increase.

CEO Lee Shovel commented:

“As we move forward, Verisk is committed to helping our customers evolve and integrate in the new digital landscape with our unique datasets, talented and dedicated people, deep industry knowledge and technical expertise. At , we believe we are best positioned to create value for our customers, processing rapidly growing data sets and achieving new levels of efficiency.

Verisk also noted that it has signed a definitive agreement to sell its energy business, Wood Mackenzie, to Veritas Capital. This includes $3.1 billion of cash consideration to be paid at closing, plus up to $200 million of additional future contingent consideration.

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