Net income increased by 38%
Meadowbrook Insurance Group’s second quarter net operating income, a non-GAAP measure, grew by 39.8% to $11.9 million or $0.21 per diluted share, as compared to $8.5 million or $0.23 per diluted share in the second quarter of 2008.
The company’s net income increased by 38% to $11.6 million, or $0.20 per diluted share in the second quarter of 2009, compared to $8.4 million, or $0.23 per diluted share in the second quarter of 2008. The second quarter 2009 net income included after-tax realised losses of $287,000, or approximately $0.01 per diluted share.
The second quarter 2009 GAAP combined ratio was 92.7%, compared to 90.5% for the second quarter of 2008. The loss ratio for the second quarter of 2009 was 59.4%, as compared to 61.2% for the second quarter of 2008.
The expense ratio for the second quarter of 2009 was 33.3%, as compared to 29.3% in the second quarter of 2008. The increase in the expense ratio is primarily dur to higher commission levels and internal costs associated with excess and surplus lines operations, and a planned reduction in reinsurance ceding commissions due to restructuring of those agreements.
Meadowbrook Insurance Group is a US-based risk management organisation, specialising in specialty risk management solutions.