Skyward Specialty Commutes the LPT, Announces Preliminary Fourth Quarter 2024 Results and Provides Guidance for 2025

Core Viewpoint - Skyward Specialty Insurance Group has successfully commuted its Loss Portfolio Transfer with R&Q Re, receiving $11.7 million in cash, while also strengthening its loss reserves by$25.3 million as of December 31, 2024 [1][3]. Financial Performance - For the fourth quarter of 2024, Skyward Specialty reported gross written premiums of $388.4 million, reflecting an increase of$66.8 million or 20.8% compared to 2023 [6]. - The adjusted combined ratio for the fourth quarter was 91.6%, including catastrophe losses of 2.2 points [6][15]. - Net income for the fourth quarter was $14.4 million, with adjusted operating income at$33.2 million [6][13]. 2025 Guidance - The company anticipates growth in gross written premiums to be in the low to mid-teens for 2025, with a combined ratio expected between 91% and 92% [3][6]. - Net income guidance for 2025 is projected to be between $138.0 million and$150.0 million, indicating strong confidence in the business outlook [3][6]. Risk Management - The company has assessed its exposure to the January California wildfires, expecting total losses and loss adjustment expenses to be less than $10.0 million, net of reinsurance [2]. Strategic Focus - Skyward Specialty is focusing on intentional investments in various divisions, including surety, global agriculture, and accident & health, contributing to its strong growth [3].