[October 18, 2017] |
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RLI Reports Third Quarter 2017 Results
RLI Corp. (NYSE: RLI) - RLI Corp. reported third quarter 2017 net
earnings of $1.7 million ($0.04 per share), compared to $22.3 million
($0.50 per share) for the third quarter of 2016. Operating earnings(1)
for the third quarter of 2017 were $1.7 million ($0.04 per share)
compared to $16.2 million ($0.37 per share) for the same period in 2016.
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Third Quarter
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Year to Date
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Earnings Per Diluted Share
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2017
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2016
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2017
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2016
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Net earnings
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$
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0.04
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$
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0.50
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$
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1.07
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$
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1.86
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Operating earnings (1)
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$
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0.04
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$
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0.37
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$
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1.08
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$
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1.52
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(1) See discussion below of non-GAAP and performance measures.
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Highlights for the quarter included:
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Underwriting loss of $14.9 million, resulting in a combined ratio of
108.2.
-
1% decline in gross premiums written, while investment income
increased 5%.
-
Losses from hurricanes resulting in a $31.7 million net decrease to
underwriting income.
-
Favorable development in prior years' loss reserves resulting in a
$14.9 million net increase in underwriting income.
-
Book value per share of $19.95, an increase of more than 9% from year
end 2016, inclusive of dividends.
"Our third quarter results reflect the impact of a very active hurricane
season, which contributed 17 points to the overall 108 combined ratio,"
said RLI Corp. Chairman & CEO Jonathan E. Michael. "Despite this impact,
our casualty and surety segments delivered strong results, with combined
ratios of 97 and 70, respectively. We also managed to earn 4 cents of
operating income, due to our conservative approach to risk management,
the strength of our diversified product portfolio and contributions from
investments. Overall premium was relatively flat in the quarter
supported by modest growth in our casualty segment. Surety segment
premium declined due to continued competitive market conditions and our
property segment was adversely impacted by previously discussed product
exits."
"After many years of benign hurricane activity, recent events have
solidified both our purpose and commitment to serving our policyholders
in times of need. I would like to thank all RLI associates, and in
particular our claim team, for providing timely and unparalleled service
to our agents, brokers and insureds."
Underwriting Income
RLI had $14.9 million of underwriting loss in the third quarter of 2017
on a 108.2 combined ratio, compared to $10.6 million of underwriting
income on a 94.2 combined ratio in the same quarter for 2016. The third
quarter of 2017 was impacted by hurricane losses with a $31.7 million
net decrease in underwriting income due to Hurricanes Harvey, Irma and
Maria. Results for the three-month period ended September 30, 2017
include $14.9 million in favorable development in prior years' loss
reserves, compared to $1.4 million in unfavorable development in the
prior years' loss reserves for the comparable period in 2016.
The following table highlights underwriting income and combined ratios
by segment.
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Underwriting Income (1)
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Third Quarter
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Combined Ratio (1)
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Third Quarter
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(in millions)
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2017
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2016
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2017
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2016
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Casualty
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$
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3.6
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$
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0.3
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Casualty
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97.0
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99.8
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Property
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(27.5
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)
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0.5
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Property
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182.0
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98.7
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Surety
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9.0
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9.8
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Surety
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69.9
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67.5
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Total
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$
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(14.9
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)
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$
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10.6
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Total
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108.2
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94.2
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(1) See discussion below of non-GAAP and performance measures.
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Other Income
RLI's net investment income for the quarter increased 5.1% to $14.2
million, compared to the same period in 2016. For the nine-month period
ended September 30, 2017, investment income was $40.4 million versus
$39.9 million for the same period in 2016. The investment portfolio's
total return was 1.4% for the quarter. The bond portfolio's return was
1.0% in the quarter, while the equity portfolio's return was 3.4%.
Through nine months, the investment portfolio's total return was 5.1%
with the bond portfolio returning 4.0% and equities returning 9.5%.
Comprehensive earnings, which include after-tax unrealized gains/losses
from the investment portfolio, were $10.2 million for the quarter ($0.23
per share) compared to $15.3 million ($0.34 per share) for the same
quarter in 2016.
Equity in earnings of unconsolidated investees was $3.7 million for the
quarter compared to $1.9 million from the same period last year. These
results are related to Maui Jim, Inc. ($3.1 million), a producer of
premium sunglasses, and Prime Holdings Insurance Services, Inc. ($0.6
million), a specialty E&S insurance company. For the third quarter of
2016, equity in earnings of unconsolidated investees from Maui Jim and
Prime was $1.6 million and $0.3 million, respectively. For the
nine-month period ended September 30, 2017, equity in earnings of
unconsolidated investees was $15.4 million versus $10.8 million in 2016.
Dividends Paid in the Third Quarter 2017
On September 20, 2017, the company paid an ordinary dividend of $0.21
per share, the same amount as the prior quarter. RLI's cumulative
dividends total more than $635 million paid over the last five years.
Non-GAAP and Performance Measures
Management has included certain non-generally accepted accounting
principles ("non-GAAP") financial measures in presenting the Company's
results. Management believes that these non-GAAP measures better explain
the Company's results of operations and allow for a more complete
understanding of the underlying trends in the Company's business. These
measures should not be viewed as a substitute for those determined in
accordance with generally accepted accounting principles ("GAAP"). In
addition, our definitions of these items may not be comparable to the
definitions used by other companies.
Operating earnings and earnings per share (EPS) from operations consist
of our GAAP net earnings adjusted by the net realized gains/(losses) and
taxes related thereto. Net earnings and net earnings per share are the
GAAP financial measures that are most directly comparable to operating
earnings and EPS from operations. A reconciliation of the operating
earnings and EPS from operations to the comparable GAAP financial
measures is included in the 2017 financial highlights below.
Underwriting income or profit represents the pretax profitability of our
insurance operations and is derived by subtracting loss and settlement
expenses, policy acquisition costs and insurance operating expenses from
net premium earned, which are all GAAP financial measures. The combined
ratio, which is derived from components of underwriting income, is a
performance measure commonly used by property and casualty insurance
companies to help users of their financial information to better
understand company performance.
Other News
During the third quarter, the Company's A+ (Superior) financial strength
rating was affirmed by A.M. Best Company for the Company's insurance
subsidiaries - RLI Insurance Company, Mt. Hawley Insurance Company and
Contractors Bonding and Insurance Company.
On July 19, 2017, RLI was named as one of the insurance industry's top
performing companies by Ward Group for the 27th consecutive
year. RLI is one of only two property casualty insurers to be recognized
as a Ward's 50® Top P&C Performer every year since the list's
inception in 1991.
At 10 a.m. central daylight time (CDT) tomorrow, October 19, 2017, RLI
management will hold a conference call to discuss quarterly results with
insurance industry analysts. Interested parties may listen to the
discussion through the Internet at https://edge.media-server.com/m6/p/u6oeonxn.
Except for historical information, this news release may include
forward-looking statements (within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of
1934) including, without limitation, statements reflecting our current
expectations about the future performance of our company or our business
segments or about future market conditions. These statements are subject
to certain risk factors that could cause actual results to differ
materially. Various risk factors that could affect future results are
listed in the company's filings with the Securities and Exchange
Commission, including the Form 10-K Annual Report for the year ended
December 31, 2016.
About RLI
RLI Corp. (NYSE: RLI) is a specialty insurer serving diverse, niche
property, casualty and surety markets. The company provides deep
underwriting expertise and superior service to commercial and personal
lines customers nationwide. RLI's products are offered through its
insurance subsidiaries RLI Insurance Company, Mt. Hawley Insurance
Company and Contractors Bonding and Insurance Company. All of RLI's
insurance subsidiaries are rated A+ (Superior) by A.M. Best Company. RLI
has paid and increased regular dividends for 42 consecutive years and
delivered underwriting profits for 21 consecutive years. To learn more
about RLI, visit www.rlicorp.com.
Supplemental disclosure regarding the earnings impact of specific items:
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Operating Earnings Per Share
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2017
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2016
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2017
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2016
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3rd Qtr
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3rd Qtr
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9 Mos.
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9 Mos.
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Operating Earnings Per Share (1)
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$
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0.04
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$
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0.37
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$
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1.08
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$
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1.52
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Specific items included in operating earnings per share: (2)
(3)
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• Favorable (unfavorable) development in casualty prior years'
reserves
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$
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0.15
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$
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(0.05
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)
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$
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0.23
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$
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0.26
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• Favorable (unfavorable) development in property prior years'
reserves
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$
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0.02
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$
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(0.03
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)
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$
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0.06
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$
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-
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• Favorable development in surety prior years' reserves
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$
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0.04
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$
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0.05
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$
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0.16
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$
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0.09
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• Catastrophe impact
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? Hurricanes Harvey, Irma and Maria
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$
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(0.46
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-
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(0.46
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)
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-
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? 2017 spring storms
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$
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-
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$
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-
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$
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(0.04
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)
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$
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-
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? 2016 and prior events
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$
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0.01
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$
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(0.04
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)
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$
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0.02
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$
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(0.10
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)
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(1) See discussion above of non-GAAP and performance measures.
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(2) Includes bonus and profit sharing-related impacts which affected
other insurance and general corporate expenses.
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(3) Reserve development reflects changes from previously estimated
losses.
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RLI CORP.
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2017 FINANCIAL HIGHLIGHTS
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(Unaudited)
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(Dollars in thousands, except per share amounts)
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Three Months Ended September 30,
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Nine Months Ended September 30,
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2017
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2016
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% Change
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2017
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2016
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% Change
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SUMMARIZED INCOME STATEMENT DATA:
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Net premiums earned
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$
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182,025
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$
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183,595
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(0.9
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)
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%
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$
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549,641
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$
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540,739
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1.6
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%
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Net investment income
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14,187
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13,504
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5.1
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%
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40,430
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39,922
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1.3
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%
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Net realized gains (losses)
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|
35
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9,252
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(99.6
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)
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%
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(700
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)
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23,362
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|
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|
-
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Consolidated revenue
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$
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196,247
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|
$
|
206,351
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(4.9
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)
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%
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$
|
589,371
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|
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$
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604,023
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(2.4
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)
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%
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Loss and settlement expenses
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$
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123,190
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$
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97,892
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25.8
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%
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$
|
306,927
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$
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259,340
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18.3
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%
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Policy acquisition costs
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62,066
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61,761
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0.5
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%
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186,264
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184,525
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0.9
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%
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Insurance operating expenses
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11,701
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13,338
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(12.3
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)
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%
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38,582
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38,950
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(0.9
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)
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%
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Interest expense on debt
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1,856
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1,857
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(0.1
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)
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%
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5,569
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5,570
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(0.0
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)
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%
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General corporate expenses
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1,956
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2,242
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(12.8
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)
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%
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|
7,816
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|
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|
|
7,385
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5.8
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%
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Total expenses
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|
$
|
200,769
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|
|
$
|
177,090
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13.4
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%
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|
|
$
|
545,158
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|
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$
|
495,770
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|
|
|
10.0
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%
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Equity in earnings of
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unconsolidated investees
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3,660
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|
|
1,881
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94.6
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%
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|
15,404
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|
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|
10,823
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|
42.3
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%
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|
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|
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|
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Earnings (loss) before income taxes
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|
$
|
(862
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)
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|
$
|
31,142
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|
|
-
|
|
|
|
|
$
|
59,617
|
|
|
|
$
|
119,076
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|
|
|
(49.9
|
)
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%
|
Income tax expense (benefit)
|
|
|
|
(2,596
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)
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|
|
8,879
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|
|
-
|
|
|
|
|
|
11,847
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|
|
|
|
36,343
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|
|
|
(67.4
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)
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%
|
Net earnings
|
|
|
$
|
1,734
|
|
|
$
|
22,263
|
|
|
(92.2
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)
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%
|
|
|
$
|
47,770
|
|
|
|
$
|
82,733
|
|
|
|
(42.3
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)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive earnings (loss), net of tax
|
|
|
|
8,444
|
|
|
|
(6,931
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)
|
|
-
|
|
|
|
|
|
30,812
|
|
|
|
|
33,898
|
|
|
|
(9.1
|
)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive earnings
|
|
|
$
|
10,178
|
|
|
$
|
15,332
|
|
|
(33.6
|
)
|
%
|
|
|
$
|
78,582
|
|
|
|
$
|
116,631
|
|
|
|
(32.6
|
)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating earnings: (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings
|
|
|
$
|
1,734
|
|
|
$
|
22,263
|
|
|
(92.2
|
)
|
%
|
|
|
$
|
47,770
|
|
|
|
$
|
82,733
|
|
|
|
(42.3
|
)
|
%
|
Less: Realized (gains) losses
|
|
|
|
(35
|
)
|
|
|
(9,252
|
)
|
|
(99.6
|
)
|
%
|
|
|
|
700
|
|
|
|
|
(23,362
|
)
|
|
|
-
|
|
|
Income tax on realized gains (losses)
|
|
|
|
12
|
|
|
|
3,237
|
|
|
(99.6
|
)
|
%
|
|
|
|
(245
|
)
|
|
|
|
8,176
|
|
|
|
-
|
|
|
Operating earnings
|
|
|
$
|
1,711
|
|
|
$
|
16,248
|
|
|
(89.5
|
)
|
%
|
|
|
$
|
48,225
|
|
|
|
$
|
67,547
|
|
|
|
(28.6
|
)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings (trailing four quarters)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
9.2
|
|
%
|
|
|
13.2
|
|
%
|
|
|
|
Comprehensive earnings (trailing four quarters)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8.7
|
|
%
|
|
|
17.2
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per Share Data:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding (in 000's)
|
|
|
|
44,515
|
|
|
|
44,492
|
|
|
|
|
|
|
|
44,517
|
|
|
|
|
44,416
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings per share
|
|
|
$
|
0.04
|
|
|
$
|
0.50
|
|
|
(92.0
|
)
|
%
|
|
|
$
|
1.07
|
|
|
|
$
|
1.86
|
|
|
|
(42.5
|
)
|
%
|
Less: Realized (gains) losses
|
|
|
|
-
|
|
|
|
(0.21
|
)
|
|
-
|
|
|
|
|
|
0.02
|
|
|
|
|
(0.52
|
)
|
|
|
-
|
|
|
Income tax on realized gains (losses)
|
|
|
|
-
|
|
|
|
0.08
|
|
|
-
|
|
|
|
|
|
(0.01
|
)
|
|
|
|
0.18
|
|
|
|
-
|
|
|
EPS from operations (1)
|
|
|
$
|
0.04
|
|
|
$
|
0.37
|
|
|
(89.2
|
)
|
%
|
|
|
$
|
1.08
|
|
|
|
$
|
1.52
|
|
|
|
(28.9
|
)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive earnings per share
|
|
|
$
|
0.23
|
|
|
$
|
0.34
|
|
|
(32.4
|
)
|
%
|
|
|
$
|
1.77
|
|
|
|
$
|
2.63
|
|
|
|
(32.7
|
)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends per share
|
|
|
$
|
$0.21
|
|
|
$
|
$0.20
|
|
|
5.0
|
|
%
|
|
|
$
|
0.62
|
|
|
|
$
|
0.59
|
|
|
|
5.1
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Cash Flow provided by Operations
|
|
|
$
|
71,363
|
|
|
$
|
53,429
|
|
|
33.6
|
|
%
|
|
|
$
|
145,933
|
|
|
|
$
|
123,000
|
|
|
|
18.6
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See discussion above of non-GAAP and performance measures.
|
|
RLI CORP.
|
2017 FINANCIAL HIGHLIGHTS
|
(Unaudited)
|
(Dollars in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
September 30,
|
|
|
December 31,
|
|
|
|
|
|
|
|
2017
|
|
|
2016
|
|
|
% Change
|
SUMMARIZED BALANCE SHEET DATA:
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed income
|
|
|
$
|
1,713,558
|
|
|
$
|
1,605,209
|
|
|
6.7
|
|
%
|
(amortized cost - $1,680,321 at 9/30/17)
|
|
|
|
|
|
|
|
|
|
|
|
|
(amortized cost - $1,596,227 at 12/31/16)
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity securities
|
|
|
|
393,213
|
|
|
|
369,219
|
|
|
6.5
|
|
%
|
(cost - $189,212 at 9/30/17)
|
|
|
|
|
|
|
|
|
|
|
|
|
(cost - $187,573 at 12/31/16)
|
|
|
|
|
|
|
|
|
|
|
|
|
Other invested assets
|
|
|
|
25,998
|
|
|
|
24,115
|
|
|
7.8
|
|
%
|
Cash and cash equivalents
|
|
|
|
38,802
|
|
|
|
23,284
|
|
|
66.6
|
|
%
|
Total investments and cash
|
|
|
$
|
2,171,571
|
|
|
$
|
2,021,827
|
|
|
7.4
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Premiums and reinsurance balances receivable
|
|
|
|
127,388
|
|
|
|
126,387
|
|
|
0.8
|
|
%
|
Ceded unearned premiums
|
|
|
|
54,186
|
|
|
|
52,173
|
|
|
3.9
|
|
%
|
Reinsurance balances recoverable on unpaid losses
|
|
|
|
291,074
|
|
|
|
288,224
|
|
|
1.0
|
|
%
|
Deferred policy acquisition costs
|
|
|
|
77,782
|
|
|
|
73,147
|
|
|
6.3
|
|
%
|
Property and equipment
|
|
|
|
55,770
|
|
|
|
54,606
|
|
|
2.1
|
|
%
|
Investment in unconsolidated investees
|
|
|
|
88,374
|
|
|
|
72,240
|
|
|
22.3
|
|
%
|
Goodwill and intangibles
|
|
|
|
59,427
|
|
|
|
64,371
|
|
|
(7.7
|
)
|
%
|
Other assets
|
|
|
|
30,948
|
|
|
|
24,658
|
|
|
25.5
|
|
%
|
Total assets
|
|
|
$
|
2,956,520
|
|
|
$
|
2,777,633
|
|
|
6.4
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unpaid losses and settlement expenses
|
|
|
$
|
1,253,729
|
|
|
$
|
1,139,337
|
|
|
10.0
|
|
%
|
Unearned premiums
|
|
|
|
443,110
|
|
|
|
433,777
|
|
|
2.2
|
|
%
|
Reinsurance balances payable
|
|
|
|
21,006
|
|
|
|
17,928
|
|
|
17.2
|
|
%
|
Funds held
|
|
|
|
75,294
|
|
|
|
72,742
|
|
|
3.5
|
|
%
|
Income taxes - deferred
|
|
|
|
84,982
|
|
|
|
64,494
|
|
|
31.8
|
|
%
|
Bonds payable, long-term debt
|
|
|
|
148,881
|
|
|
|
148,741
|
|
|
0.1
|
|
%
|
Accrued expenses
|
|
|
|
35,682
|
|
|
|
51,992
|
|
|
(31.4
|
)
|
%
|
Other liabilities
|
|
|
|
14,680
|
|
|
|
25,050
|
|
|
(41.4
|
)
|
%
|
Total liabilities
|
|
|
$
|
2,077,364
|
|
|
$
|
1,954,061
|
|
|
6.3
|
|
%
|
Shareholders' equity
|
|
|
|
879,156
|
|
|
|
823,572
|
|
|
6.7
|
|
%
|
Total liabilities & shareholders' equity
|
|
|
$
|
2,956,520
|
|
|
$
|
2,777,633
|
|
|
6.4
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OTHER DATA:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding (in 000's)
|
|
|
|
44,060
|
|
|
|
43,945
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per share
|
|
|
$
|
19.95
|
|
|
$
|
18.74
|
|
|
6.5
|
|
%
|
Closing stock price per share
|
|
|
$
|
57.36
|
|
|
$
|
63.13
|
|
|
(9.1
|
)
|
%
|
Cash dividends per share - ordinary (annualized)
|
|
|
$
|
0.83
|
|
|
$
|
0.79
|
|
|
5.1
|
|
%
|
Cash dividends per share - special
|
|
|
$
|
-
|
|
|
$
|
2.00
|
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Statutory surplus
|
|
|
$
|
900,972
|
|
|
$
|
859,976
|
|
|
4.8
|
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RLI CORP.
|
2017 FINANCIAL HIGHLIGHTS
|
UNDERWRITING SEGMENT DATA
|
(Unaudited)
|
(Dollars in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
Casualty
|
|
Ratios
|
|
|
|
|
Property
|
|
Ratios
|
|
|
|
|
Surety
|
|
Ratios
|
|
|
|
|
Total
|
|
Ratios
|
|
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross premiums written
|
|
|
$
|
145,016
|
|
|
|
|
|
$
|
44,613
|
|
|
|
|
|
|
$
|
30,804
|
|
|
|
|
|
$
|
220,433
|
|
|
|
|
Net premiums written
|
|
|
|
122,421
|
|
|
|
|
|
|
35,207
|
|
|
|
|
|
|
|
29,499
|
|
|
|
|
|
|
187,127
|
|
|
|
|
Net premiums earned
|
|
|
|
118,393
|
|
|
|
|
|
|
33,559
|
|
|
|
|
|
|
|
30,073
|
|
|
|
|
|
|
182,025
|
|
|
|
|
Net loss & settlement expenses
|
|
|
|
73,895
|
|
62.4
|
%
|
|
|
|
46,037
|
|
|
137.2
|
%
|
|
|
|
3,258
|
|
10.8
|
%
|
|
|
|
123,190
|
|
|
67.7
|
%
|
Net operating expenses
|
|
|
|
40,944
|
|
34.6
|
%
|
|
|
|
15,041
|
|
|
44.8
|
%
|
|
|
|
17,782
|
|
59.1
|
%
|
|
|
|
73,767
|
|
|
40.5
|
%
|
Underwriting income (loss) (1)
|
|
|
$
|
3,554
|
|
97.0
|
%
|
|
|
$
|
(27,519
|
)
|
|
182.0
|
%
|
|
|
$
|
9,033
|
|
69.9
|
%
|
|
|
$
|
(14,932
|
)
|
|
108.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross premiums written
|
|
|
$
|
141,078
|
|
|
|
|
|
$
|
48,334
|
|
|
|
|
|
|
$
|
32,181
|
|
|
|
|
|
$
|
221,593
|
|
|
|
|
Net premiums written
|
|
|
|
116,246
|
|
|
|
|
|
|
39,323
|
|
|
|
|
|
|
|
29,978
|
|
|
|
|
|
|
185,547
|
|
|
|
|
Net premiums earned
|
|
|
|
115,619
|
|
|
|
|
|
|
37,532
|
|
|
|
|
|
|
|
30,444
|
|
|
|
|
|
|
183,595
|
|
|
|
|
Net loss & settlement expenses
|
|
|
|
75,912
|
|
65.7
|
%
|
|
|
|
20,425
|
|
|
54.4
|
%
|
|
|
|
1,555
|
|
5.1
|
%
|
|
|
|
97,892
|
|
|
53.3
|
%
|
Net operating expenses
|
|
|
|
39,448
|
|
34.1
|
%
|
|
|
|
16,639
|
|
|
44.3
|
%
|
|
|
|
19,012
|
|
62.4
|
%
|
|
|
|
75,099
|
|
|
40.9
|
%
|
Underwriting income (loss) (1)
|
|
|
$
|
259
|
|
99.8
|
%
|
|
|
$
|
468
|
|
|
98.7
|
%
|
|
|
$
|
9,877
|
|
67.5
|
%
|
|
|
$
|
10,604
|
|
|
94.2
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended September 30,
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
|
GAAP
|
|
|
|
|
|
Casualty
|
|
Ratios
|
|
|
|
|
Property
|
|
Ratios
|
|
|
|
|
Surety
|
|
Ratios
|
|
|
|
|
Total
|
|
Ratios
|
|
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross premiums written
|
|
|
$
|
431,874
|
|
|
|
|
|
$
|
131,791
|
|
|
|
|
|
|
$
|
92,582
|
|
|
|
|
|
$
|
656,247
|
|
|
|
|
Net premiums written
|
|
|
|
365,653
|
|
|
|
|
|
|
103,016
|
|
|
|
|
|
|
|
88,293
|
|
|
|
|
|
|
556,962
|
|
|
|
|
Net premiums earned
|
|
|
|
354,636
|
|
|
|
|
|
|
103,849
|
|
|
|
|
|
|
|
91,156
|
|
|
|
|
|
|
549,641
|
|
|
|
|
Net loss & settlement expenses
|
|
|
|
227,103
|
|
64.0
|
%
|
|
|
|
72,050
|
|
|
69.4
|
%
|
|
|
|
7,774
|
|
8.5
|
%
|
|
|
|
306,927
|
|
|
55.8
|
%
|
Net operating expenses
|
|
|
|
122,212
|
|
34.5
|
%
|
|
|
|
47,651
|
|
|
45.9
|
%
|
|
|
|
54,983
|
|
60.3
|
%
|
|
|
|
224,846
|
|
|
40.9
|
%
|
Underwriting income (loss) (1)
|
|
|
$
|
5,321
|
|
98.5
|
%
|
|
|
$
|
(15,852
|
)
|
|
115.3
|
%
|
|
|
$
|
28,399
|
|
68.8
|
%
|
|
|
$
|
17,868
|
|
|
96.7
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross premiums written
|
|
|
$
|
426,257
|
|
|
|
|
|
$
|
145,814
|
|
|
|
|
|
|
$
|
96,434
|
|
|
|
|
|
$
|
668,505
|
|
|
|
|
Net premiums written
|
|
|
|
358,241
|
|
|
|
|
|
|
117,017
|
|
|
|
|
|
|
|
91,258
|
|
|
|
|
|
|
566,516
|
|
|
|
|
Net premiums earned
|
|
|
|
336,572
|
|
|
|
|
|
|
114,011
|
|
|
|
|
|
|
|
90,156
|
|
|
|
|
|
|
540,739
|
|
|
|
|
Net loss & settlement expenses
|
|
|
|
199,270
|
|
59.2
|
%
|
|
|
|
49,686
|
|
|
43.6
|
%
|
|
|
|
10,384
|
|
11.5
|
%
|
|
|
|
259,340
|
|
|
48.0
|
%
|
Net operating expenses
|
|
|
|
116,812
|
|
34.7
|
%
|
|
|
|
50,414
|
|
|
44.2
|
%
|
|
|
|
56,249
|
|
62.4
|
%
|
|
|
|
223,475
|
|
|
41.3
|
%
|
Underwriting income (loss) (1)
|
|
|
$
|
20,490
|
|
93.9
|
%
|
|
|
$
|
13,911
|
|
|
87.8
|
%
|
|
|
$
|
23,523
|
|
73.9
|
%
|
|
|
$
|
57,924
|
|
|
89.3
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See discussion above of non-GAAP and performance measures.
|
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20171018006430/en/
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