HCI Group, Inc., a Tampa-based holding company primarily engaged in property and casualty insurance through its subsidiaries, reported a 13% rise in gross premiums earned for the third quarter of 2025 to $301.1 million from $265.5 million in Q3’24, driven by a higher volume of policies in force.
Meanwhile, during the quarter, losses and loss adjustment expenses were $66.2 million, compared with $105.7 million in Q3’24, which included net losses of $40.0 million from Hurricane Helene.
The gross loss ratio for Q3’25 is 22% compared with 39.8% in Q3’24, reflecting lower catastrophic event activity and a reduced claim frequency on other non-catastrophic claims.
Additionally, policy acquisition and other underwriting expenses rose to $31.7 million compared with $26.1 million in Q3’24, due to a higher volume of premiums in force.
The insurer has reported pre-tax income of $90.6 million and net income of $67.9 million for the third quarter of 2025, compared with pre-tax income of $14.1 million and net income of $9.4 million in the same period last year.
Net income after noncontrolling interests was $65.5 million compared with $5.7 million in the third quarter of 2024. Diluted earnings per share were $4.90 in the third quarter of 2025, compared with $0.52 in the third quarter of 2024.
Lastly, for the quarter, the insurer reported total revenues of $216 million compared with $175 million in Q3’24.
For the first nine months of 2025, HCI reported pre-tax income of $285.3 million and net income of $212.4 million compared with pre-tax income of $167.5 million and net income of $123.4 million last year.
The net income after noncontrolling interests was $201.4 million compared with $107.4 million for 9M’24. Meanwhile, gross premiums earned increased by 15.1% to $904.1 million from $785.7 million in 9M’24, driven by a higher volume of policies in force.
Additionally, premiums ceded for reinsurance for 9M’25 were $308.2 million compared with $254.5 million last year, attributable to growth in the number of policies in force and total insured value.
Losses and loss adjustment expenses for 9M’25 were $189.9 million compared with $264 million for 9M’24, which again included net losses of $40.0 million from Hurricane Helene. The gross loss ratio dipped to 21% compared with 33.6% for 9M’24, due to the same reasons as the quarterly results.
Lastly, policy acquisition and other underwriting expenses for 9M’25 were $89.5 million compared with $71.7 million last year, driven by a higher volume of premiums in force.
Paresh Patel, Chairman and Chief Executive Officer, HCI Group, commented, “This was another strong quarter, marked by solid profitability, industry-leading net combined ratios, and meaningful growth in book value per share. Most importantly, we progressed our initiative to unlock shareholder value and establish Exzeo as an independent, publicly traded entity, which was achieved earlier this week.”
About the Author
