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Strategies & Market Trends : Value Investing

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To: Madharry who wrote (20410)1/5/2005 10:42:16 PM
From: Paul Senior  Read Replies (1) of 78688
 
Madharry, I have only limited experience with combined ratios for medmal companies. 125% imo is high. The benefit is that it allows for rate increases to be put through.

I've had ACAP since '03, and its combined ratio was 156% on 10/03 and 106% a year later. The company says this improvement is due to rate increases (prime reason, I am guessing), exiting a market, stricter underwriting standards, etc. So I am hoping improvements can be got as well by NCRI management for their company.
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