After a somewhat quiet start to the year, 2018 is shaping up to be a busy year for catastrophes again. The third quarter saw the impact of both Hurricane Florence in the southeastern U.S. and Typhoon Jebi, which was the strongest typhoon to hit Japan’s mainland in 25 years.

These and other events led AAIC to a loss ratio of 88.5% and an underwriting loss of $3,672,891 for the quarter. Surplus grew by $9,889,966 during the quarter, in part a result of positive stock market growth.

Losses during the third quarter were tempered in part by our good financial results from the first half of the year. Results as of September 30, 2018, are as follows:

• Underwriting Gain: $3,585,821
• Loss Ratio: 78.5%
• Combined Ratio: 99.3%
• Earned Premium: $251,232,490
• Year to Date Gain in Surplus: $22,102,563
• Ending Surplus: $606,861,059

Losses from Hurricane Michael and the California wildfires will be accounted for during the fourth quarter.