FOR IMMEDIATE RELEASE
NAIC RELEASES REPORT ON PROFITABILITY BY LINE BY STATE
Report Contains Key Ratios on Profitability Results for
the Property and Casualty Insurance Industry on a Countrywide and State
WASHINGTON, D.C. (Jan. 14, 2014) —The National Association of Insurance
Commissioners (NAIC) released the Report on Profitability by Line by
State in 2012. The report estimates and allocates profitability in
property/casualty insurance by state and by line of insurance. The ability
to analyze results on a by state by line basis enhances transparency on the
financial impact that the economic climate has had on each of these lines.
Combined with other information, this can be utilized in further analysis
of competition and market performance.
The Report on Profitability by Line by State in 2012 combines
by line and by state calendar year data from certain exhibits of the annual
statement to develop estimates of profits on earned premium and the return
on net worth by line and by state. The report also shows the various
components of estimated profits including: premiums earned; losses
incurred; loss adjustment expense; general expenses; selling expenses;
state taxes, licenses and fees; dividends to policyholders; changes in
premium deficiency reserves; underwriting profits; investment income and
federal income taxes. As fluctuations in calendar year financial results
occur, long-term historical averages are also provided.
The complete report is also available for purchase through the NAIC Store.