IronRock Insurance ompany Ltd returned to profit in its second-quarter 2026 with $21.7-million profit as the general insurer worked through claims from Hurricane Melissa while growing its top line at double-digit rates.
CEO Christian Watt said the result reflected improving underwriting performance and disciplined cost management.
“These combined factors contributed to our return to profitability,” Watt said in the quarterly report filed with the Jamaica Stock Exchange.
Second-quarter performance
Insurance revenue for the three months ended June 30 rose 7.0 per cent to $577.8 million from $539 million a year earlier. Insurance service expenses declined 5.0 per cent to $178.6 million, producing an insurance service result of $17.5 million — a turnaround from a loss of $2.8 million in the second quarter of 2025.
“This improvement was driven primarily by lower motor claims costs, while claims experience across our remaining portfolios continued to perform within expectations,” Watt said.
Investment returns jumped 77 per cent to $48.3 million, boosted by gains in the equity portfolio and favourable foreign-exchange movements. Other operating expenses dipped marginally to $53.75 million.
Year-to-date results
For the six months, insurance revenue reached $1.17 billion, up 14 per cent from $1.03 billion, driven by expansion in the fire, liability and accident segments. Reinsurance costs kept pace, climbing 14 per cent to $756.99 million, reflecting the higher premiums Caribbean insurers have faced since the October 2025 hurricane. Insurance service contract expenses rose a more modest 4 per cent to $372.65 million, producing an insurance service result of $42.1 million, up from $9.0 million a year earlier.
Investment returns for the half-year rose 62 per cent to $85.0 million, while other operating expenses increased just 3 per cent to $105.0 million. Pre-tax profit for the six months was $28.7 million, against a loss of $31.42 million in the prior-year period. Earnings per share were $0.13, compared with a loss of $0.15.
Melissa claims near completion
The half-year result marks a recovery from 2025, when IronRock reported a full-year net loss of $12.45 million after Hurricane Melissa’s Category 5 landfall in western Jamaica generated a wave of property and motor claims. The company had crossed the $2-billion annual revenue milestone for the first time that year, but the claims burden erased profitability.
IronRock said it has substantially concluded 95 per cent of Hurricane Melissa claims for policies where it is the sole or lead insurer as at July 31, achieving the milestone roughly two months ahead of the September target set at the annual general meeting earlier this year. Of those, 87 per cent have been settled and closed, with a further 8.0 per cent having settlement offers issued and expected to be concluded in early August. Remaining claims relate primarily to co-insurance placements coordinated by other lead insurers.
Balance sheet and ownership
As at June 2026, total assets stood at $3.5 billion and shareholders’ equity increased to $808.5 million, up from $781.8 million at the end of the 2025 financial year. IronRock’s shares are listed on the Junior Market of the Jamaica Stock Exchange. The company is a subsidiary of Granite Group Limited, which holds a 50.93 per cent stake, followed by Mayberry Jamaican Equities Limited at 22.7 per cent.
business@gleanerjm.com
