Lancashire grows GWP by 12.7% during Q1

By Scott Vincent

May 1 - (The Insurer) - Lancashire reported gross written premium growth of 12.7% in its first-quarter trading statement on Thursday, with the group's estimate for California wildfire losses unchanged at $145 million to $165 million.

Growth was largely driven by an increase in reinstatement premiums as a result of the wildfires. Excluding these, gross written premiums were up 6.6% during the quarter.

Premium growth was driven by the group's reinsurance segment, which recorded a 20.7% increase in gross written premium to $482.3 million. Insurance segment premiums contracted modestly, down 0.9% to $229.8 million.

Lancashire said growth in its insurance segment was particularly strong in its U.S. platform, but said this was offset by reductions in its aviation classes.

Insurance revenue rose by 8.7% to $458.9 million during the quarter.

Lancashire's investment portfolio returned 1.9% in the first quarter of 2025, including unrealised gains and losses.

Group CEO Alex Maloney said rating levels remain more than adequate, albeit slightly below the levels of recent years.

Should the remainder of 2025 see a similar level of catastrophe losses to 2024, Maloney said Lancashire still expects to deliver a return on equity in the mid-teens this year, even allowing for the impact of January's wildfires.