The automobile and home insurer
said Monday that third-quarter earnings fell 7%.
The Los Angeles-based company earned $68.2 million, or $1.25 a share, in the quarter, compared with $73 million, or $1.33 a share, a year ago. Analysts polled by Thomson First Call were expecting earnings of $1.13 a share.
Net premiums written increased 1.7% to $776.2 million and net premiums earned rose 4.2% to $753.12 million.
The company's combined ratio was 93% in the third quarter compared with 90.8% in the same period for 2005. Net investment income increased 19.4% to $36.9 million. The after-tax yield on investment income was 3.7% in the latest quarter, compared with 3.4% a year ago.
Shares rose $3.42 to $54.80.
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