The U.S. property/casualty insurance industry's net income after taxes rose 4.4%, to $28.8 billion, in the first nine months of 2005 from the year earlier, according to data from ISO and the Property Casualty Insurers Association of America.
The industry's net income grew despite record losses from Hurricanes Dennis, Katrina, Ophelia, and Rita, the association said on Tuesday. Direct insured property losses due to catastrophes through Sept. 30 totaled $47.6 billion - almost double the $27 billion of property losses in the period the year before, ISO said.
"Given the massive catastrophe losses absorbed by insurers in … 2005, the increase in income and surplus during the first three quarters of the year is a testament to the underlying financial health of the industry," Gregory Heidrich, the association's senior vice president for policy development and research, said in a press release.
