Earnings

Ategrity's Combined Ratio Falls to a Record 84.7%

The Tip Desk · November 8, 2026 · 3 min read

Underwriting income rose 83.7% to $19.5 million as the specialty insurer's combined ratio improved to 84.7% from 88.7% a year earlier.

Ategrity Specialty Insurance Company Holdings (ASIC) posted a record low combined ratio of 84.7% in the quarter ended September 30, 2026, and underwriting income of $19.5 million, up 83.7% from $10.6 million a year earlier.

The specialty excess-and-surplus insurer said the combined ratio improved from 88.7% in the year-ago quarter, after 85.9% in the prior quarter, as both the loss and expense ratios declined. Gross written premiums rose 14.7% to $165.0 million, a slower pace than the 23.4% year-over-year increase recorded in the second quarter.

Net income attributable to stockholders was $14.6 million, or $0.29 a share, compared with $22.7 million, or $0.45 a share, a year earlier. Adjusted net income attributable to stockholders was $14.7 million, or $0.29 a share. The earnings decline tracked a $17.2 million net realized and unrealized investment loss, versus gains of $9.2 million a year earlier. Adjusted return on stockholders’ equity was 8.9% in the quarter.

The loss ratio decreased 2.5 percentage points to 57.5% from 60.0% a year earlier, reversing a 0.5-point increase to 58.5% in the prior quarter. The company said the improvement reflected continued strong loss experience across both property and casualty lines. The overall expense ratio was 27.2%, down from 28.7% a year earlier.

Operating expenses, net of fee income, fell to 10.0% of net earned premiums from 10.8% a year earlier. Policy acquisition costs were 17.2% of net earned premiums, down 0.7 percentage points from 17.9% a year earlier. The company attributed the expense-ratio improvement to operating expense leverage and lower net policy acquisition costs, and said operating expenses reflected emerging scale benefits of its centralized model while acquisition costs reflected a favorable shift in business mix.

Property gross written premiums increased 25.0% year-over-year to $56.2 million, accelerating from 21.3% growth in the prior quarter. The company said property growth was supported by lower-risk geographies, including the Midwest and New England. Casualty gross written premiums increased 10.0% year-over-year to $108.8 million, slowing from 24.7% growth in the prior quarter. The company said casualty growth reflected a strategic focus on broadening casualty-related products and verticals.

Chief Executive Officer Justin Cohen said submissions grew 30% and that gross written premiums increased approximately 15%, which the company described as well ahead of industry estimates of E&S premium growth. President and Chief Underwriting Officer Chris Schenk said the company delivered the lowest combined ratio in its history and continued to gain market share across both property and casualty. He said core middle-market casualty business grew substantially even as the company implemented meaningful rate increases on new business, and that property gross written premiums increased approximately 25%, countering broader market trends and reflecting regional strategies including Project Heartland and New England.

The company said it launched four new specialty products—Energy, Environmental Liability, Life Sciences, and Sports & Entertainment—in a record four weeks, deployed its next-generation underwriting platform across its established Brokerage business, redesigned core product offerings, and launched a “We Cover What Matters” campaign. Net investment income was $13.1 million. Book value per share was $13.72 at quarter-end, up 7.4% from year-end.

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