Kingsway reports $2.5-million profit in 2010 Q3

Kingsway Financial Services Inc. reported a 2010 Q3 net income of $2.5 million, up substantially from its 2009 Q3 loss of $118.1 million.Gross premiums written decreased by 24.2% for the quarter to $62.8 million (32.8% to $206 million year to date) from $82.8 million in 2010 Q3.”The significant reduction in premium volume is a reflection of the company’s strategy of discontinuing certain lines of business, primarily within its commercial lines,” the company reported in a press release. “As a result of the company re-focusing its efforts on core, profitable lines of business, non standard automobile premiums for nine months to Sept. 30, 2010 were $173.5 million or 84.2% of the total gross premiums written compared to $232.1 million or 75.8% of gross premiums written in the same period last year.”The company’s 2010 Q3 combined ratio was 137.9%, up from 135.7% over the same period last year.