FORT LAUDERDALE, Fla.,
Oct. 6, 2016 /PRNewswire/
-- Universal Insurance Holdings, Inc. (NYSE: UVE) (the
"Company") today noted that on May 31,
2016, Universal Property & Casualty Insurance Company
("UPCIC") and American Platinum Property and Casualty Insurance
Company ("APPCIC"), the Company's wholly-owned insurance company
subsidiaries, completed the placement of the Company's 2016-2017
reinsurance programs, effective June
1, 2016.
As publicly disclosed at the time, UPCIC has a net retention of
$35 million per catastrophe event for
losses incurred, in all states, up to a first event loss of
$2.4 billion. In addition, under an
excess catastrophe contract specifically covering risks located
outside the state of Florida and
intended to further reduce UPCIC's $35
million net retention, UPCIC has obtained catastrophe
coverage of $30 million in excess of
$5 million covering certain loss
occurrences, including hurricanes, in states outside of
Florida.
In certain circumstances involving a catastrophic event
impacting both Florida and other
states, UPCIC's retention could result in pre-tax net liability as
low as $5 million – the $35 million net retention under the all states
reinsurance program could be offset by as much as $30 million in coverage under the other states
reinsurance program. These retention amounts are gross of any
potential tax benefit the Company would receive in paying such
losses. UPCIC's statutory surplus as of June
30, 2016 was $294
million.
Additional detail on the Company's 2016-2017 reinsurance
programs can be found in the Form 8-K filed with the U.S.
Securities and Exchange Commission on June
3, 2016, accessible here.
About Universal Insurance Holdings, Inc.
Universal
Insurance Holdings, Inc., with its wholly-owned subsidiaries, is a
vertically integrated insurance company performing all aspects of
insurance underwriting, distribution and claims. Universal Property
& Casualty Insurance Company (UPCIC), a wholly-owned subsidiary
of the Company, is one of the leading writers of homeowners
insurance in Florida and is now
fully licensed and has commenced operations in North Carolina, South Carolina, Hawaii, Georgia, Massachusetts, Maryland, Delaware, Indiana, Pennsylvania, Minnesota, Michigan and Alabama. For additional information on the
Company, please visit our investor relations website at
www.universalinsuranceholdings.com.
Forward-Looking Statements and Risk Factors
This
press release may contain "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995.
The words "believe," "expect," "anticipate," and similar
expressions identify forward-looking statements, which speak only
as of the date the statement was made. Such statements may include
commentary on plans, products and lines of business, marketing
arrangements, reinsurance programs and other business developments
and assumptions relating to the foregoing. Forward-looking
statements are inherently subject to risks and uncertainties, some
of which cannot be predicted or quantified. Future results could
differ materially from those described, and the Company undertakes
no obligation to correct or update any forward-looking statements.
For further information regarding risk factors that could affect
the Company's operations and future results, refer to the Company's
reports filed with the Securities and Exchange Commission,
including Form 10-K for the year ended December 31, 2015.
Investor Contact:
Andy Brimmer / Mahmoud
Siddig
Joele Frank, Wilkinson Brimmer
Katcher
212-355-4449
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SOURCE Universal Insurance Holdings, Inc.