Donegal Group announces quarterly results

Donegal Group, whose subsidiaries specialize in non-life insurance, has released its earnings report for the first three months of 2024.

Here are some of the key results for the quarter:

Commenting on the numbers, President and CEO Kevin G. Burke said: “We enter 2024 with a renewed focus on executing clearly defined strategies, including targeted new business growth, multiple initiatives to improve our underwriting performance and continued modernization of our activities. for more effectiveness and efficiency.

“In addition, we have committed to a multi-year expense management initiative strategically designed to mitigate the 2024 peak impact of allocated spend associated with the technological advancements Donegal Mutual Insurance Company has implemented in recent years.

The CEO further highlighted that net premium growth in the first quarter was primarily driven by continued increases in renewal premiums supported by acquisitions of new businesses by commercial lines that fit within the framework of the group’s refined underwriting criteria.

“While the increase in new business commercial coverage is notable, it has been largely offset by planned attrition from regions targeted for exit or earnings enhancement under our state-specific strategies,” Burke further noted.

“In the first quarter of 2024, our profitability reflected the impact of average weather-related losses, the severity of large fire losses than we have experienced in recent quarterly periods, and the atypical development of labor compensation reserves related to prior year losses.

“We expect that the underwriting improvements that are actively underway, combined with the increasing impact of the rate increases we have implemented over the past year, will result in further improvement in our underwriting results as the year progresses.”

What do you think of this story? Share your thoughts in the comments below.