Property and casualty insurance provider The Hartford has reported an increase in net income for the third quarter of 2013 to $293m, or $0.60 per diluted share, compared to $13m, or $0.01, during the same period last fiscal.
For the third quarter period ended on 30 September 2013, its core earnings stood at $505m, up 17% from $433m during the comparable period earlier year.
Commenting on the Q3 financial performance, Hartford chairman, president and CEO Liam McGee said, "The Hartford’s third quarter and year-to-date results demonstrate our significant progress transforming the company.
"We are ahead of plan in executing the strategy we outlined in March 2012 and, with continued strong surrenders in Talcott, the variable annuity block is running off faster than anticipated."
P&C (consolidated) net income was $264m and core earnings were $263m, decreased by 6% and 4%, from $282m and $275m, respectively, from third quarter 2012.
The decreases were primarily due to higher catastrophe losses in P&C commercial and consumer markets and less favorable prior year loss and loss adjustment expense reserve development (PYD) in consumer markets, partially offset by an increase in current accident year margins before catastrophes.
Underwriting loss was $10m compared to $9m during the corresponding period a year ago. The Q3 results included unfavorable PYD of $2m, before tax, while third quarter 2012 had unfavorable PYD of $1m, before tax.
Group Benefits third quarter 2013 net income grew by 3% to $31m, against $30m in third quarter 2012 and the increase was offset by an unfavorable change in after-tax net realized capital gains (losses) of $12m.
Corporate core losses narrowed to $16m, a $60m decrease from core losses of $76m during third quarter 2012.