Conifer HoldingsInc. expects to report a first-quarter net loss allocable to shareholdersof about $2.0 million, or 28 cents per share.
The expected loss is primarily due to underwriting losses inthe personal automobile business, and reserve strengthening in both the commercialauto and Florida homeowners lines. The company anticipates recording an adjustedloss ratio of 54.6%, compared to 57.0% a year earlier.
Conifer's personal auto line incurred $564,000 in adverse developmentduring the quarter, primarily due to greater-than-expected severity of runoff claims.The commercial auto line incurred $858,000 of reserve strengthening, while the Floridahomeowners line experienced additional reserve strengthening of $758,000.
Combined ratio is projected to come in at 112.2%, up sharplyfrom 99.2% in the first quarter of 2015. The company expects an underlyingcombined ratio of 104.4%, compared with 99.0% in the year-ago period.