Cincinnati Financial (CINF) Reports Preliminary Prop. Casualty Catastrophe Losses of $140M to $160M
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Price: $47.93 +0.38%
Financial Fact:
Underwriting, acquisition and insurance expenses: 298M
Today's EPS Names:
ANF, DXLG, FL, More
Financial Fact:
Underwriting, acquisition and insurance expenses: 298M
Today's EPS Names:
ANF, DXLG, FL, More
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Cincinnati Financial Corporation (Nasdaq: CINF) estimated its second-quarter 2012 property casualty combined ratio will be in the range of 108 percent to 112 percent, with continued strong core underwriting profits partially offsetting significant storm-related losses. The Cincinnati Insurance Companies' property casualty underwriting results affect consolidated net income, which also includes contributions from investment operations and life insurance operations.
The company expects the quarter's results to include property casualty pretax natural catastrophe losses of approximately $140 million to $160 million, with approximately two-thirds of that total from its commercial lines insurance segment. Approximately three-fourths of the 2012 second-quarter catastrophe losses were caused by two storms. In late April, Cincinnati Insurance catastrophe response teams assisted policyholders mainly in St. Louis, Louisville and Nashville; and in late June, additional claims representatives responded to affected policyholders across Midwest and Mid-Atlantic states.
The estimated impact of total catastrophe losses on the second-quarter 2012 combined ratio is expected to be approximately 17 to 19 percentage points, based on estimated property casualty earned premiums. That impact is less than half of the 40 catastrophe points reported in the 2011 second quarter. It rises slightly above the company's historical five-year averages of 16.9 points for the second quarter. The full-year average for the five years ended December 31, 2011 was 6.3 points.
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The company expects the quarter's results to include property casualty pretax natural catastrophe losses of approximately $140 million to $160 million, with approximately two-thirds of that total from its commercial lines insurance segment. Approximately three-fourths of the 2012 second-quarter catastrophe losses were caused by two storms. In late April, Cincinnati Insurance catastrophe response teams assisted policyholders mainly in St. Louis, Louisville and Nashville; and in late June, additional claims representatives responded to affected policyholders across Midwest and Mid-Atlantic states.
The estimated impact of total catastrophe losses on the second-quarter 2012 combined ratio is expected to be approximately 17 to 19 percentage points, based on estimated property casualty earned premiums. That impact is less than half of the 40 catastrophe points reported in the 2011 second quarter. It rises slightly above the company's historical five-year averages of 16.9 points for the second quarter. The full-year average for the five years ended December 31, 2011 was 6.3 points.
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