Markel publishes its results for the third quarter and nine months of 2022

RICHMOND, Va., November 1, 2022 /PRNewswire/ — Markel Corporation (NYSE: MKL) today released its financial results for the third quarter of 2022. The company also announced today that it has filed its Form 10-Q for the quarter ended September 30, 2022 with of the Securities and Exchange Commission.

“Our insurance, investments and Markel Ventures engines together provide a well-balanced and diversified cash flow to create shareholder value. Our insurance engine has delivered double-digit revenue growth and underwriting profits of $490 million over the three quarters as we continued to perform well in the current underwriting environment and underwrote a substantial volume of new business,” said Thomas S. Gayner and Richard R. Whittjoint managing directors.

“In addition to our underwriting and expense discipline, recent changes to our property catastrophe underwriting strategy focused on minimizing volatility have mitigated the impact of Hurricane Ian on our underwriting results and contributed to a combined ratio at a 90s low for the quarter Markel Ventures also delivered profitable growth while continuing to navigate a challenging macro environment.

“In our investment engine, we are starting to see the benefits of higher interest rates on our net investment income from our recent purchases of higher yielding securities, which will also have a positive impact on our future cash flows. cash from interest income,” Gayner and Whitt said. added. “The higher interest rate environment has negatively impacted our overall income and book value due to the decline in fair value of our bond portfolio this year. However, we generally hold our bonds until as they mature and we generally expect these unrealized losses to reverse as the bonds mature. There are no current or anticipated credit losses in our portfolio of highly rated fixed income securities. .

“After recent years of extraordinary stock market returns, our equity portfolio is down this year. Generally accepted accounting principles require us to include unrealized gains and losses on equity securities in net income. Given the breadth of our equity portfolio, we believe this approach creates revenue and net income volatility that can obscure the strong operating performance of our businesses and is inconsistent with our long-term investment philosophy. . Our long-term investment performance is best reflected in the cumulative unrealized gains of $3.9 billion in the fair value of our equity portfolio at September 30, 2022“, remarked Gayner and Whitt.

“As we allocate capital to our three engines, we expect to find more opportunities in the current volatile market environment. We continue to buy high-quality equity securities, including Markel shares.”

The following tables present summary financial data for the quarters and nine months ended September 30, 2022 and 2021.

Quarter ended September 30

Nine-month period ended September 30

(in thousands of dollars, except per share amounts)





Earned premiums





Markel Ventures Operating Revenues





Net investment gains (losses)





Comprehensive income (loss) to shareholders





Diluted net earnings (loss) per common share





Combined report





(in thousands, except per share amounts)

September 30,

The 31st of December,

Book value per common share



Common shares outstanding



Highlights of the results for the quarter and nine months include:

  • Earned premiums for the quarter and nine months ended September 30, 2022 increased by 20% and 18%, respectively, reflecting continued growth in gross premium volume from new business, strong policy retention levels, better rates and expanded product offerings.
  • Underwriting results for the quarter ended September 30, 2022 included $70.0 million, or four points on the combined ratio, net losses and claims adjustment expenses caused by Hurricane Ian. Underwriting results for the quarter ended September 30, 2021 included $114.4 millioni.e. seven points on the combined ratio, net losses and claims adjustment expenses attributed to Hurricane Ida and the floods in Europe.
  • The combined ratio for the quarter and nine months ended September 30, 2022 was consistent with the same periods of 2021. For both periods of 2022, lower catastrophe losses and lower expense ratio were offset by the impact of a less favorable development on claims reserves for years of previous occurrences.
  • Operating revenue growth from our Markel Ventures businesses reflects contributions from our 2021 acquisitions and the impact of increased demand and pricing across many of our businesses.
  • Net investment losses in 2022 reflected a substantial decline in the fair value of our equity portfolio resulting from significant stock market declines. Substantially all of our net investment losses in 2022 were unrealized. We hold our investments for longer periods, with investment returns generally reflecting less volatility than quarterly and annual results.
  • The overall shareholder loss in 2022, for both the quarter and nine months, was the result of net investment losses and unrealized losses on our fixed-term portfolio. We generally hold our fixed-maturity investments to maturity and generally expect these losses to reverse over time.

We believe that our financial performance is measured more meaningfully over longer periods of time, which generally mitigates the effects of short-term volatility and aligns with the longer-term perspective we apply to operating our activities. We generally use five-year periods to measure our performance. Over the five-year period ended September 30, 2022, the compound annual growth in book value per common share was 6.3%. During the five-year period ended September 30, 2022, our share price increased at a compound annual rate of 0.3%.

A copy of our Form 10-Q is available on our website at or on the SEC website at Readers are invited to consult the Form 10-Q for a more complete analysis of our financial performance. Our quarterly conference call, which will involve a discussion of our financial results and changes in our business and may include forward-looking information, will take place Wednesday, November 2, 2022starting at 9:30 a.m. (Eastern time). Investors, analysts and the general public can listen to the call for free on the Internet through our website at in the “For Investors” section. The call can also be viewed by dialing (888) 330-2508 in the United States or (240) 789-2735 internationally and providing the conference ID: 4614568. A replay of the call will be also available on our website approximately one hour after the call is concluded until Monday, November 14, 2022.

About Markel Corporation
Markel Corporation is a diversified financial holding company serving a variety of niche markets. The principal activities of the Company market and underwrite specialized insurance products. In each of the Company’s activities, it seeks to provide quality products and excellent customer service in order to be a market leader. The Company’s financial objectives are to achieve consistent underwriting and operating profits and superior investment returns to create shareholder value. Visit Markel Corporation on the web at

Certain of the statements in this release may be deemed to be forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995, as amended. Statements that are not historical facts, including statements about our beliefs, plans or expectations, are forward-looking statements. These statements are based on our current plans, estimates and expectations. There are risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Factors that could cause actual results to differ are often set forth with the forward-looking statements themselves. Other factors that could cause actual results to differ from those expected are set forth under the headings ”Overview of the Business”, ”Risk Factors” and ”Management’s Discussion and Analysis of the Financial Condition and Results of operations” of our Annual Report on Form 10-K for the year ended December 31, 2021 and under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” in our quarterly report on Form 10-Q for the quarter ended September 30, 2022. We assume no obligation to update this release (including any forward-looking statements) as a result of new information, developments or otherwise. This press release speaks only as of the date of publication.


SOURCE Markel Corporation

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