American Coastal Insurance Corporation ( (ACIC) ) has released its Q4 earnings. Here is a breakdown of the information American Coastal Insurance Corporation presented to its investors.
American Coastal Insurance Corporation (ACIC) is a property and casualty insurance holding company specializing in insuring condominium and homeowner association properties, primarily in Florida. The company is known for its focus on hurricane-exposed properties and has partnerships with major managing general agents for distribution.
In its latest earnings report for the fourth quarter and full year ending December 31, 2024, ACIC reported a mixed financial performance. While the company saw an increase in gross premiums written and earned, net income significantly declined compared to the previous year, largely due to the impact of Hurricane Milton and changes in reinsurance strategies.
Key financial metrics from the report include a 9.7% increase in gross premiums written for the fourth quarter of 2024 compared to the same period in 2023, and a 1.9% increase for the full year. However, net income for the year was $75.7 million, a sharp decline from $309.9 million in 2023. The company’s combined ratio for the year was 67.5%, reflecting the impact of catastrophe losses.
Despite the challenges, ACIC’s management highlighted the strength of its reinsurance strategy and the successful launch of a new apartment program, which has received strong interest from broker partners. The company’s book value per share also increased by 35.5% over the year.
Looking ahead, ACIC remains focused on maintaining its leadership in the Florida commercial residential market and leveraging its strategic initiatives to drive growth. The company’s management remains optimistic about its ability to navigate the challenges posed by the insurance market and continue delivering value to its shareholders.