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AMERISAFE Reports 2024 Earnings Amid Market Challenges

AMERISAFE Reports 2024 Earnings Amid Market Challenges

AMERISAFE, Inc. ( (AMSF) ) has released its Q4 earnings. Here is a breakdown of the information AMERISAFE, Inc. presented to its investors.

AMERISAFE, Inc. is a specialty insurance provider focusing on workers’ compensation for high-hazard industries, including construction, trucking, and manufacturing, operating across 27 states in the U.S.

In its latest earnings report, AMERISAFE announced a net income of $55.4 million for the year 2024, with a return on equity of 20.2%. Despite a competitive market, the company maintained profitability and growth, attributing success to effective risk selection and claims handling.

Key financial metrics revealed a slight increase in net premiums earned by 1.3% to $270.6 million, while net investment income saw a decline of 6.8% to $29.2 million. The company also reported a decrease in net income by 10.7% compared to the previous year. The net combined ratio was slightly higher at 88.7% for the year, reflecting the company’s efficiency in managing expenses and claims.

Strategically, AMERISAFE experienced a 4.6% increase in voluntary premiums for the year, driven by strong premium retention and new business. The company also benefited from favorable net loss reserve development, which reduced expenses significantly.

Looking ahead, AMERISAFE’s management remains optimistic about navigating the competitive landscape, focusing on maintaining strong underwriting margins and capitalizing on growth opportunities in the workers’ compensation market.

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