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Amerisafe reports decline in underwriting profit and net income

Amerisafe said first-quarter 2026 gross premiums written rose 5.6% to $88.5 million from $83.8 million a year earlier, while net premiums earned increased 9.0% to $75.1 million from $68.9 million. Voluntary premiums on policies written climbed 8.2% year over year, supported by stronger new business and retention.

The company’s underwriting profit fell to $5.1 million from $7.5 million, a decline of 31.5%, as loss and loss adjustment expenses increased 15.6% to $46.4 million from $40.2 million and policyholder dividends jumped 93.8% to $1.2 million from $634,000. The net loss ratio widened to 61.9% from 58.3%, while the net combined ratio moved to 93.2% from 89.1%.

Underwriting and certain other operating costs rose 8.1% to $22.3 million from $20.6 million, but the net underwriting expense ratio edged down to 29.7% from 29.9%.

Net income declined 9.0% to $8.1 million from $8.9 million, and diluted earnings per share fell to $0.43 from $0.47. Operating net income dropped to $9.5 million from $11.4 million, with operating earnings per share down to $0.50 from $0.60.

Net investment income slipped 0.8% to $6.6 million from $6.7 million. The company reported $1.7 million in net unrealized losses on equity securities, versus $3.2 million in losses a year earlier. Pre-tax investment yield improved to 3.4% from 3.2%, and tax-equivalent yield rose to 3.9% from 3.8%.

Book value per share was $13.18 at March 31, 2026, down 3.7% from $13.69 a year earlier and down 1.6% from $13.39 at Dec. 31, 2025. Return on average equity was 13.1%, compared with 13.8% in the first quarter of 2025.

Amerisafe repurchased 119,959 shares during the quarter for $4.0 million at an average cost of $33.60 per share. It also paid a quarterly dividend of $0.41 per share, up 5.1% from the prior-year quarter. Following these announcements, the company's shares moved 0.56%, and are now trading at a price of $32.98. For more information, read the company's full 8-K submission here.

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