Chicago-based commercial insurer ‘s woes continue as the company announced a net loss of $28 million for the third quarter, thanks in part to $174 million in losses due to the quadruple kick to the pants delivered by Hurricanes Charley, Frances, Ivan and Jeanne.
In addition, the company recorded a bad debt provision related to Professional Employer Organization accounts of $62 million after-tax. The third quarter of 2003 net results were adversely impacted by significant charges, primarily related to net prior-year development and increases in the bad debt provisions for insurance and reinsurance receivables.
CEO Steve Lilienthal tried to put a brave face on the situation: “The hurricane losses notwithstanding, the thirdrd quarter of 2004 was a continuation of the progress made in the first two. We continued to improve our underlying performance with a consistent focus on underwriting and portfolio optimization.”
CNA is the country’s seventh-largest commercial insurer.
Topics Profit Loss
Was this article valuable?
Here are more articles you may enjoy.
Hedge Fund Money Is Reshaping a 180-Year-Old Insurance Model 
‘The Arms Race Is On’: Chubb’s Greenberg on Mythos, Middle East 
AI for the Defense: Should Insurers or Law Firms Pay? 
NYC Mayor Eyes City-Run Insurance Program for Affordable Housing 
