Heritage Insurance reports Q3 2024 results

Heritage Insurance  hosted its Q3 2024 earnings call on November 7, 2024. Key highlights include:

• Heritage reported Q3 net income of $8.2 million, a significant improvement from a $7.4 million loss in Q3 2023. Year-to-date net income reached $41.2 million, up from $14.4 million in the same period of 2023, despite $48 million in hurricane losses from Debbie and Helen.
• It reduced exposures in over-concentrated and unprofitable areas while expanding in profitable regions and products. This approach lowered policy counts by over 66,000 (14.2%) compared to Q3 2023, while premiums in force grew by $80.6 million (6%). The company expects policy declines to stabilize as new territories are opened, maintaining underwriting discipline.
• Expects significant rate earnings in 2025 to boost financial results.
• The company has resumed writing Personal Lines business selectively, marking a strategic shift toward controlled growth after curtailing new business in this segment since 2022, while maintaining a focus on risk management and strict underwriting.
• Heritage has grown its revenue through organic expansion in its commercial, residential and E&S portfolios, along with rate adjustments in its Personal Lines portfolio.
• It maintains a balanced, diversified portfolio, ensuring no single state exceeds 30% of total insured value.