Last year's slump hits Markel Markel hit by tough financial markets

Hit by last year's slump in financial markets, Richmond-based specialty insurance giant <a href="https://www.markel.com/insurance/our-locations" target="_blank">Markel</a> reported investment losses, even as its core insurance operations saw gains in its business.

The company reported operating revenue fell 9% for the year, to $11.68 billion, as it saw a more than $3.5 billion swing from 2021's $1.98 billion in gains on its investment holdings to last year's nearly $1.6 billion loss.

A more than $900 million increase in payments for claims, to $4.44 billion, also pressured results, leaving Markel with a net loss to common stockholders of $250 million compared to 2021's income of $2.39 billion.

Its insurance and reinsurance businesses' operating revenue rose 18% to $8.09 billion while its profit from these businesses was essentially flat, at $627 million. Strong results from its reinsurance business offset a drop in underwriting profit from its insurance segment.

The company's Markel Ventures unit - its holdings in companies ranging from a luxury handbag firm to a heavy lift crane company to the Richmond homebuilder Eagle - saw a 31% rise in revenue, to $4.76 billion and a 10% increase in net income, to $192 million.

Markel noted that accounting rules for unrealized gains or losses on its investments may tend to hide its operating performance, because of the size of its more than $27 billion of investments.

<!--BC Bold--><strong>Dave Ress</strong><!--p:BC TAG Body Copy Tagline--> (804) 649-6948<!--p:BC TAG Body Copy Tagline-->[email protected]<!--p:BC TAG Body Copy Tagline-->@DaveRess1 on Twitter<!--p:BC TAG Body Copy Tagline-->