CNA POSTS IMPROVED RESULTS OWING TO 2010 CHARGE

Chicago-based commercial p/c insurer CNA Financial saw improved results for both Q3 and the first nine months of the year owing to a Q3 2010 charge of $344m on the cession of its asbestos and environmental liabilities, but operating income for both periods showed decreases thanks to higher catastrophe losses and lower investment income. For the nine months, CNA saw net income grow 9.3% to $424m on net written premiums of $4.72bn. Excluding the year-ago A&E charge, operating income fell 38% to $423m, as catastrophe losses increased to $133m from $65m and the group swung to $16m in realized investment losses from gains of $40m. The combined ratio rose to 102.1% from 96.6%, as the loss ratio was 6.7 points higher at 69.5%, with catastrophes accounting for 4.5 points against the year-earlier 2.3 points.