Kemper Corporation has posted its results for the first quarter of 2024, which includes total revenues decreasing by $151.8 million, or 11.7%, to $1,143.0 million, compared to the first quarter of 2023.
The company attributed this decrease towards $104.2 million of reduced Specialty property & casualty (P&C) earned premiums due to continued lower level of new business volumes resulting from targeted actions to improve profitability, partially offset by higher average earned premium per exposure from rate increases.
The firm’s Specialty P&C Insurance segment reported adjusted net operating income of $69.2 million for the first quarter, compared to an adjusted net operating loss of $58.4 million in the prior year quarter.
Kemper noted that this increase in results was primarily due to an improvement seen in the underlying combined ratio and lower prior year loss and LAE development.
Additionally, the segment’s underlying combined ratio sat at 93.6% compared to 108.0% in the first quarter of 2023.
Meanwhile, Kemper’s Life Insurance segment generated an adjusted net operating income of $11.9 million in Q124, compared to $13.2 million in Q123.
At the same time, the firm posted net income of $71.3 million for Q124, compared to a net loss of $80.1 million from the prior year quarter.
Total Kemper Corporation Shareholders’ Equity at the end of the quarter sat at $2,589.8 million, an increase of $84.6 million, or 3%, since year-end 2023 primarily driven net income for the year.
Further, Kemper and its direct non-insurance subsidiaries ended the quarter with cash and investments of $395.6 million, and $424.0 million of available borrowing capacity under the revolving credit agreement.
Joseph P. Lacher, Jr., President and CEO, commented: “Overall, we’re pleased with our results this quarter. We continued to deliver significantly improved profitability in our Specialty P&C business, where we are now exceeding target returns. We made substantial progress on growing new business applications in the first quarter, delivered our fourth consecutive quarter of underlying business improvement, and our second straight quarter of solid operating and underwriting profits. Our profit restoration actions led to this positive outcome.
“Moving forward, we’re focused on stabilizing our policy in force levels, further expanding new business availability, and delivering on our ROE commitments.”
