Kemper

The affirmations reflect Kemper’s recent rate increases in California and its exit of the preferred home and auto insurance market to redeploy capital to the carrier’s core segments.

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The segment will now be a non-core part of the business and will no longer be reflected in future reporting, Lacher told analysts on the carrier’s Q2 earnings call on Monday.

The Inside P&C news team runs you through the earnings results for the day.

All policies will be non-renewed or canceled in accordance with state regulations, according to an announcement released ahead of the company’s Q2 earnings call on Monday.

The company also expects to record an after-tax goodwill impairment charge of approximately $45.5mn following a strategic review of its personal insurance business.

However, the carrier reiterated its prior guidance of a return to underwriting profitability In H2 2023 with a 2024 financial target of achieving 10%+ in full year RoE.

The auto insurer’s results were adversely impacted by prior-year claim reserve additions and catastrophes.

CEO Joe Lacher projected that the company will be profitable in the first half of the year and produce an underwriting profit in the second half.

Five auto insurers receive approval to raise rates after 32-month halt by the California Department of Insurance.

The insurer estimated a 109% combined ratio for Kemper Auto in Q4, which included $7mn of adverse legal cost development for the first three quarters of last year.

The sell-off was one of the carrier’s “strategic initiatives” to focus on core capabilities as the company navigates a challenging environment for personal line businesses.