WR Berkley recorded profit of $US601.92 million ($782.81 million) last year, up 19.5% on the previous year.

This was despite underwriting results taking a hit from above-average catastrophe activity, including Hurricane Matthew in September and the Great Smoky Mountains wildfires the following month in Tennessee.

“Our financial flexibility and ability to adjust to the underwriting cycle, combined with potential tailwinds from rising interest rates, regulatory reform and tax changes, give us confidence we can deliver outstanding returns [this year] and beyond,” the company says.

Gross written premium was up 4% to $US7.54 billion ($9.81 billion), while the combined operating ratio deteriorated to 94.9% from 93.7%.

Investment income increased by 10% to $US564.16 million ($733.7 million).