US-based global insurer Liberty Mutual has reported net income for the third quarter of $US609 million ($700 million), up 26.6% on the corresponding period last year.

Chairman and CEO David Long hailed the “solid” result, which also saw revenue grow 2.5% to $US10.09 billion ($11.59 billion) and the combined operating ratio improve 2.4 points to 96.6%. Catastrophe losses were down 1.4% to $US288 million ($331 million).

“We also completed two significant capital-related transactions,” Mr Long said.

“We entered into a reinsurance agreement with National Indemnity Company, substantially mitigating the uncertainty of certain long-tail liabilities, and raised $US1.05 billion ($1.21 billion) in debt. These transactions further strengthened the balance sheet and the overall financial position of the company.”

For the first nine months, net income was up 2.2% to $US1.27 billion ($1.46 billion) and revenue grew 4.4% to $US29.68 billion ($34.1 billion).