PartnerRe Ltd. Reports Third Quarter and Nine Month 2019 Results

PEMBROKE, Bermuda, Nov. 8 -- PartnerRe, a reinsurer that helps insurance companies, issued the following news:

PartnerRe Ltd. ("the Company") today reported a net income available to common shareholder of $216 million for the third quarter of 2019, which includes net realized and unrealized investments gains of $41 million on fixed maturities and short-term investments, primarily due to decreases in world-wide risk-free rates, and $39 million net foreign exchange gains. This compared to a net loss attributable to common shareholder of $106 million for the third quarter of 2018, which included net realized and unrealized investment losses on fixed maturities and short-term investments of $73 million, and $17 million net foreign exchange losses.

Net income available to common shareholder was $998 million for the first nine months of 2019, which includes net realized and unrealized investment gains on fixed maturities and short-term investments of $484 million, primarily due to decreases in world-wide risk-free rates and credit spreads, and net foreign exchange losses of $8 million. This compared to a net loss attributable to common shareholder of $101 million for the first nine months of 2018, which included net realized and unrealized investment losses on fixed maturities and short-term investments of $407 million, and $53 million net foreign exchange gains.

The majority of the Company's investments, including all fixed maturities, such as government bonds and investment grade corporate debt, are accounted for at fair value with changes in the fair value recorded in the Consolidated Statements of Operations.

Commenting on results, PartnerRe President and Chief Executive Officer Emmanuel Clarke said, "Our third quarter results were highlighted by improved year-on-year profitability in the Non-Life and Life & Health segments, increased Investments contribution from both net investment income and realized gains and a lower expense ratio. We achieved double digit growth in net premium written in both the Non-Life and Life & Health segments, benefiting from an improved pricing and underwriting environment in Non-Life and from the continued execution of our Life & Health growth strategy."

Mr. Clarke also added: "We are very focused on delivering further underwriting margin improvement in 2020, helped by a Non-Life pricing environment we expect to continue to firm. With our capital and book value up 9.9% and 14.2% respectively for the year, we are well positioned to capitalize on selective growth opportunities with improved margins and attractive returns, while reducing our exposure to underperforming segments."

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- Net income available to common shareholder of $216 million for the third quarter and common shareholder's book value growth, excluding dividends on common shares, of 3.2% compared to June 30, 2019

- Non-life combined ratio of 96.4% during the third quarter, including $93 million pre-tax losses (6.9 points) from Hurricane Dorian and Typhoon Faxai, compared with a combined ratio of 107.8% in the prior year. Non-Life net premiums written increased 17% to $1.26 billion

- Life and Health profitability, including underwriting result and allocated net investment income, of $31 million for the third quarter, a $13 million increase compared to the prior year. Life and Health net premiums written increased 19% to $352 million

- Total investment return of $225 million (1.3%) for the third quarter, driven by $109 million net investment income (up 5% compared to the prior year) and $114 million net realized and unrealized gains