Travelers’ Q2 results pressured by cat losses

Travelers’ second quarter performance was dented by catastrophe losses and certain non-catastrophe weather related losses, according to a company statement.

The company said that catastrophe and certain non-catastrophe weather-related losses were up by $135 million after tax and by $200 million pre-tax in the second quarter compared to the same period a year ago, driving down operating income.

Operating income was down 19 percent year over year at $649 million in the quarter ending June 30.

Overall, Travelers reported an 18 percent year-over-year decline in net profit for the second quarter to $664 million while net written premiums grew 3 percent over the period to $6.35 billion.

The combined ratio deteriorated to 93.1 percent from 90.8 percent in the second quarter of 2015.

Alan Schnitzer, chief executive officer, said: “We continue to be very pleased with the execution of our marketplace strategies, both in terms of the record volume of premium we wrote in the quarter and the modeled returns on that business."