Convex Group Ltd.’s net loss narrowed to $142 million for the year ended Dec. 31, 2022, compared with a net loss of $158 million in 2021, as underwriting profit was offset by investment losses and foreign exchange impacts, the Bermuda-based specialty insurer and reinsurer reported Tuesday.
The net loss reflected a negative investment return of $107 million, against a positive investment return of $25 million in 2021, as adverse effects of rising inflation and interest rates on global financial markets generated unrealized losses.
Its combined ratio improved to 98%, compared with 117% in 2021, and Convex reported a 43% increase in gross written premium to $3.04 billion in 2022, driven by strong rating conditions.
Convex also reported a 62% increase in net premium earned to $1.69 billion in 2022.
Convex last year named Paul Brand as group CEO.