1347 Property Insurance Holdings, Inc. Provides Preliminary Estimate of Catastrophe Losses for Its First Quarter Ended March 31, 2016
1347 Property Insurance Holdings, Inc. (NASDAQ:PIH) (“PIH” or “the Company”), a property and casualty insurance holding company offering insurance to individual and commercial customers in Louisiana and Texas through its wholly-owned subsidiary, Maison Insurance Company (“Maison”), today announced that on February 23, 2016, Louisiana experienced severe storms, which produced multiple tornadoes throughout the state. While the ultimate cost and impact on the Company’s financial results cannot be determined at this time, the Company expects to incur significant losses with respect to claims related to wind and other damage resulting from these storms. The Company’s catastrophe reinsurance program is structured so that its retention is set at $4,000,000 for a single event such as this storm, thus the pre-tax losses incurred by the Company, net of reinsurance, are not expected to exceed $4,000,000. The Company also believes that it may have recoveries available to it under its per-risk reinsurance program. As of February 26, 2016, the Company’s policyholders have reported a total of 150 claims as a result of these storms.
Doug Raucy, Chief Executive Officer, stated, “We continue to work closely with our agents and reinsurance partners to quickly evaluate and expedite the claims process following this period of storm activity. We are focused on ensuring that we properly support our agents and policy holders during this period and help them recover. We continue to maintain a strong capital position and intend to provide regular updates to our investors throughout the process.”
The Company anticipates providing additional detail, along with a detailed explanation of its operations and growth prospects, on its upcoming 2015 fourth quarter and full year 2015 financial results conference call in mid-March.
About 1347 Property Insurance Holdings, Inc.
1347 Property Insurance Holdings, Inc. is a property and casualty insurance holding company incorporated in Delaware. The Company provides property and casualty insurance in Louisiana and Texas through its wholly-owned subsidiary Maison Insurance Company. The Company’s insurance offerings for personal and commercial customers currently include homeowners, wind and hail only, manufactured home and dwelling fire policies.
Forward Looking Statements
This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that are not historical facts, and involve risks and uncertainties that could cause actual results to differ materially from those expected and projected. Words such as "expects", "believes", "anticipates", "intends", "estimates", "seeks" and variations and similar words and expressions are intended to identify such forward-looking statements. Such forward-looking statements relate to future events or future performance, but reflect Company management's current beliefs, based on information currently available. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements. For information identifying important factors that could cause actual results to differ materially from those anticipated in the forward looking statements, please refer to the section entitled "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2014. Except as expressly required by applicable securities law, the Company disclaims any intention or obligation to update or revise any forward looking statements whether as a result of new information, future events or otherwise.
1347 Property Insurance Holdings, Inc.
Douglas N. Raucy, 813-579-6210
Chief Executive Officer
The Equity Group Inc.
Jeremy Hellman, 212-836-9626