Liberty Mutual Holding Company Inc. and its subsidiaries recently reported their financial results for the second quarter of 2024, showing a significant improvement compared to the same period in 2023. The company reported a net income attributable to LMHC of $717 million for the three months ended June 30, 2024, compared to a net loss of $585 million for the same period in 2023. For the six months ended June 30, 2024, the net income attributable to LMHC was $2.252 billion, a substantial increase from the net loss of $660 million in the first half of 2023.
Tim Sweeney, Liberty Mutual President & Chief Executive Officer, expressed his satisfaction with the company’s performance in the second quarter, highlighting the continued improvement in their underlying combined ratio and strong investment results. The underlying combined ratio improved by 9.5 points to 84.0%, driven by targeted underwriting strategies in both personal and commercial lines. Additionally, the expense management program contributed to a 2.4 point improvement in the expense ratio, bringing it down to 26.4% for the quarter and half-year.
Despite elevated catastrophe losses, primarily due to severe convective storm activity in the US Midwest, the total combined ratio for the quarter improved by 9.8 points to 99.6%. Investment results were also strong, with $1.3 billion of net investment income, benefiting from higher reinvestment rates and favorable private equity valuations.
The tables provided in the financial report outline the net written premium by business segment, consolidated results of operations, combined ratio, and equity information. The company’s financial performance reflects its commitment to delivering value to its shareholders and maintaining a strong financial position.
In a subsequent event, Liberty Mutual announced the agreement to sell Hughes Insurance in Northern Ireland to Markerstudy Group, subject to regulatory approval. The transaction is expected to close in the second half of 2024.
For more detailed financial information and analysis, interested parties can access the company’s Investor Relations website. Additionally, a conference call will be hosted by Tim Sweeney on August 8, 2024, to discuss the second quarter financial results.
As a leading global property and casualty insurer, Liberty Mutual has a long-standing history of providing insurance products and services to individuals and businesses worldwide. With a focus on security and progress, the company aims to help people embrace the present and confidently pursue the future.
In conclusion, Liberty Mutual’s strong financial performance in the second quarter of 2024 reflects its strategic initiatives and commitment to delivering value to its stakeholders. The company’s focus on underwriting excellence, expense management, and investment results has contributed to its positive results and continued growth.