Swiss (re)insurer Allied World has reported a net loss of $US51.6 million ($71.34 million) for the third quarter.

This compares with a net income of $US30.9 million ($42.7 million) in the corresponding period last year.

Allied’s gross written premium (GWP) was $US754.1 million ($1.04 billion), up 6.5% due to the acquisition of Asian operations earlier this year.

Its combined operating ratio deteriorated to 95.8% from 91.7%.

Net investment income was $US45.6 million ($62.99 million) in the quarter, up 5.2% due to contributions from the fixed-income portfolio and higher returns from the hedge fund and private equity portfolios.

Net realised investment losses totalled $US113.6 million ($156.98 million), compared with $US35.13 million ($48.54 million) in the corresponding period last year.

The North American insurance segment’s GWP decreased 1.4%, led by drops in various lines including healthcare and property, while the reinsurance segment’s GWP fell 9% on non-renewal of several casualty and property treaties.

The company, which has an office in Sydney, blames the net income result in part on losses of $US28.9 million ($39.89 million) incurred in the recent explosions at the port of Tianjin, China.

“Despite a challenging investment environment and a large-event loss, we believe we are well positioned to create shareholder value,” President and CEO Scott Carmilani said.

“We continue to be excited about the attractive platform we have built over the past few years.”

Earlier this year insuranceNEWS.com.au reported Allied had acquired Royal & Sun Alliance Insurance’s Hong Kong and Singapore operations.