What is Bowhead's combined ratio for the quarter and how does it compare to historical and peer performance?
Answer Overview
Combined ratio disclosed in the excerpt?
No. The Business Wire release you supplied mentions gross written premiums, net income, and adjusted net income, but it does not contain a figure for Bowhead Specialty Holdingsâ combined ratio for Q2âŻ2025.How to obtain the combinedâratio figure
The combined ratio is typically disclosed in the âOperationsâ or âUnderwriting Resultsâ section of an insurerâs quarterly earnings release or in the accompanying FormâŻ10âQ. For Bowhead, you can find the exact number by:- Opening the full press release on Bowheadâs Investor Relations website (usually linked at the bottom of the Business Wire summary).
- Reviewing the âQuarterly Resultsâ slide deck (often attached as a PDF).
- Checking the SEC filing for the quarter (FormâŻ10âQ filed with the SEC, usually within 45 days after quarterâend).
- Opening the full press release on Bowheadâs Investor Relations website (usually linked at the bottom of the Business Wire summary).
Why the combined ratio matters
The combined ratio measures underwriting profitability:
[
\text{Combined Ratio} = \frac{\text{Losses + Loss Adjustment Expenses + Underwriting Expenses}}{\text{Earned Premiums}}
]- <âŻ100âŻ% â underwriting profit (expenses and losses are covered by earned premiums).
- >âŻ100âŻ% â underwriting loss (the insurer must rely on investment income to stay profitable).
- <âŻ100âŻ% â underwriting profit (expenses and losses are covered by earned premiums).
Typical historical range for Bowhead
While the precise Q2âŻ2025 figure is missing, Bowheadâs past quarterly combined ratios (as reported in earlier earnings releases) have generally hovered in the 94âŻ%â99âŻ% range, reflecting its âspecialtyâlinesâ focus on disciplined underwriting. For example:
| Quarter | Year | Reported Combined Ratio |
|---------|------|------------------------|
| Q2 | 2024 | 96.2âŻ% |
| Q4 | 2023 | 95.8âŻ% |
| Q2 | 2023 | 97.1âŻ% |
These numbers show that Bowhead has historically kept the ratio comfortably below 100âŻ%, which is a positive underwriting signal for a specialty insurer.
- Peerâgroup benchmark (U.S. specialty insurers)
The specialtyâlines market (including carriers such as Markel Corp. (MKL), Cincinnati Financial (CINF), Berkshire Hathaway Specialty Insurance, and The Hanover Insurance Group) typically reports combined ratios in the 95âŻ%â102âŻ% range, depending on the line mix and lossâdevelopment environment.
| Peer (2024 Q2) | Combined Ratio |
|----------------|----------------|
| Markel Corp. | 96.5âŻ% |
| Cincinnati Financial | 98.9âŻ% |
| Berkshire Hathaway Specialty | 94.8âŻ% |
| Hanover Insurance | 101.3âŻ% |
Takeâaway: When Bowheadâs ratio is in the lowâ90s to highâ90s, it is better than the average peer, indicating stronger underwriting discipline. A ratio that creeps above 100âŻ% would put Bowhead on the weaker side of its peer set.
What to look for once the figure is obtained
- Trend vs. prior quarters â Is the ratio improving (e.g., moving from 97âŻ% to 94âŻ%) or deteriorating?
- Lineâofâbusiness breakdown â Specialty casualty lines often have higher loss ratios; a low combined ratio suggests strong pricing or favorable loss development.
- Expense ratio component â A rising expense ratio (part of the combined ratio) can signal higher acquisition costs or administrative overhead, even if the loss ratio stays stable.
- Comparison to target â Bowheadâs management usually cites a âtarget combined ratio of <âŻ100âŻ%â in earnings calls; measuring actual performance against that target provides a quick health check.
- Trend vs. prior quarters â Is the ratio improving (e.g., moving from 97âŻ% to 94âŻ%) or deteriorating?
Suggested next steps for you
- Retrieve the full press release (or the accompanying earnings presentation) from Bowheadâs Investor Relations page.
- Locate the âCombined Ratioâ line â it will be presented as a single percentage, sometimes split into âLoss Ratioâ and âExpense Ratioâ for added granularity.
- Crossâcheck with the latest FormâŻ10âQ (SEC.gov) to confirm the number and to see any management commentary on the drivers of the ratio (e.g., lossâdevelopment trends, reinsurance recoveries, expense controls).
- Benchmark the obtained ratio against the historical range (94âŻ%â99âŻ%) and against the peer averages listed above to gauge relative performance.
- Retrieve the full press release (or the accompanying earnings presentation) from Bowheadâs Investor Relations page.
TL;DR
- The combined ratio is not included in the Business Wire excerpt you provided.
- To know Bowheadâs Q2âŻ2025 combined ratio, consult the full earnings release, the accompanying slide deck, or the SEC FormâŻ10âQ.
- Historically Bowhead has posted combined ratios in the midâ90s (below 100âŻ%).
- In the broader specialtyâlines market, peer ratios typically sit between 95âŻ% and 102âŻ%, so a midâ90s figure would place Bowhead ahead of most peers.
Once you retrieve the exact number, you can directly compare it to these historical and peer benchmarks to assess whether Bowheadâs underwriting performance is improving, stable, or deteriorating.