Mercury General Corporation, a property and casualty insurance provider, has reported a net loss of $13.7 million in the third quarter of 2026, compared with net income of $280.4 million in the same period a year earlier.
Mercury’s net loss was driven by net realised investment losses, net of tax, of $206.9 million, compared with a gain of $66.7 million in Q3 2025.
For the quarter, direct premiums written (DPW) stood at $1.7 billion, an 8.7% increase from $1.56 billion.
Net premiums earned rose 9.6% to $1.55 billion from $1.41 billion, while net premiums written increased 9.2% to $1.64 billion from $1.5 billion.
Operating income amounted to $193.3 million, a 9.6% decline from $213.7 million.
Mercury reported a 20.7% decrease in catastrophe losses net of reinsurance to $23 million from $29 million.
Mercury’s Q3 2026 combined ratio rose to 90.2%, compared with 87.0% a year earlier, driven by a higher loss ratio of 65.8%, compared with 62.6%. The expense ratio remained unchanged at 24.4%.
Net investment income increased to $93.3 million from $84 million.