Global Indemnity Group Sees Strong Underlying Trends, Despite Uncertainty

Global Indemnity Group reported solid results for its fourth quarter of 2025, with a combined ratio of 89.3 and an underwriting profit of $11 million.

The company's President, Evan Kasowitz, highlighted the strong underlying trends in the industry during the earnings call. 'This quarter's results continue the very strong underlying positive insurance operating trends that we have seen for the last several quarters,' he said.

One notable exception to this trend was a loss from a California wildfire in the first quarter of 2025, which had a significant impact on the company's accident year combined ratio. However, excluding this incident, Global Indemnity's quarterly year-to-date accident results improved each quarter with a sequence of 94.8%, 94.7%, 93.2%, and 92.2% for the full year.

The company also made a modest adjustment to prior year loss reserves in the fourth quarter of $9 million, about 1.2% of year-end carried reserves. This was largely attributed to poor loss experience in a couple of programs that have since been terminated.

Despite these challenges, Global Indemnity Group's Core Belmont business continued to grow at 9%, with notable increases in its assumed reinsurance book and VacantExpress lines.

The company also highlighted the uncertainty surrounding global markets during this time. As Joseph W. Brown, Chief Executive of Global Indemnity, put it: 'Given where we are in a very uncertain world today, I am personally happy that we are playing defense and have the ability to redeploy into a more attractive portfolio once things settle down.'

Global Indemnity's investment portfolio delivered acceptable net investment income results at $15.3 million, which is lower than last quarter but still strong considering the short duration of 1 year.