Amica reports profit decline in 2015 due to more weather-related claims

LINCOLN – Amica Mutual Insurance Co. reported net income fell about 81 percent to $35 million in 2015, as extreme climate patterns resulted in the insurer dishing out more than a quarter-billion dollars in weather-related claims, according to its CEO.
Robert A. DiMuccio, chairman, president and CEO of Amica, announced financial results during the company’s annual meeting Thursday. A portion of the results were shared in a press release on Friday. Despite the multi-million dollar hit to Amica’s bottom line, DiMuccio called 2015 an “outstanding year from a sales perspective.”
“Our net policy growth was 4.5 percent, bringing our total number of policies in force to more than 1.5 million at the end of 2015,” he said in a statement.
Extreme weather events throughout the U.S. last year, including several in the Northeast, resulted in a total of $259 million in weather-related claims compared with $71 million in 2014, according to the company. The company’s total assets for 2015 totaled $4.9 billion, representing a 3.9 percent decrease compared with 2014. At the same time, Amica’s surplus fell 7.1 percent to $2.6 billion compared with $2.8 billion in 2014.
“Mother Nature reminded us in 2015 just how unpredictable she can be, but we’re built for this from an operational standpoint,” DiMuccio said. “Although we certainly would prefer that our claims were lower, it was an opportunity for our employees to be there for our customers when they needed us most.”
The company grew its life insurance in force by 5.4 percent and life premiums and annuity deposits totaled about $64 million, marking an increase of more than $1.4 million compared with 2015, according to a release.
A full financial statement for 2015 was not immediately available.

No posts to display