Everest Re turns in a profit

Everest Re reported net income for the year at $807.0m, turning around the previous year’s net loss of $18.8m.

After-tax operating income was $763.7m, up from $562.7m in 2008 and its combined ratio fell from 95.6% to 89.6% with its reinsurance combined ratio down to 84.8% from 92.3%.

Financial highlights (2008 in brackets)

• Gross written premiums $4,128,955 ($3,678,139)
• Net written premiums $3,929,761 ($3,505,213)
• Net premiums earned $3,894,098 ($3,694,301)
• Reinsurance Gross written premiums $3,286,391 ($2,906,341)
• Pre-tax investment income $547,793 ($565,887)
• Net pre-tax catastrophe losses $65,166 ($307,198)
• Net income/loss $806,989 (-$18,758)
• Operating income $763,707 ($562,732)
• Combined ratio 89.6% (95.6%)
• Reinsurance Combined ratio 84.8% 92.3%

Chairman and chief executive officer, Joseph Taranto said, "We are pleased to have grown premium 12%, achieved a 15% return on equity and increased book value per share by 27% in 2009. Our performance demonstrates the strength of the Everest franchise."