State Auto's first-quarter combined ratio was 100.2 compared to 109.4 a year ago.

Also at play within State Auto's financial results is the termination of several programs written through its former Risk Evaluation & Design (RED) unit last year. This resulted in net written premiums for the first quarter declining 18.5 percent in the specialty insurance segment.

First-quarter net written premiums increased 1.4 percent in the personal segment and 14.9 percent in the business segment, says State Auto.

Joel Brown, vice president of standard lines, says State Auto received rate increases of 6.9 percent on personal auto policies and 14 percent on homeowners.

“As we are reshaping our homeowners' book, we continue to see growth in desirable less [catastrophe-probe] states and are reducing policies in those states which have higher-than-average [catastrophe] activity,” he says during an earnings conference call.

The plan in homeowners, which includes agency terminations, has resulting in an overall reduction in policies-in-force in homeowners and personal auto lines.

Jessica Buss, vice president of specialty lines, says E&S property saw strong results. The book is dominated by Florida hurricane insurance, which saw rate increases of 13.5 percent during the quarter.

“Our property rates have not yet been affected by what the general market believes will be a decrease in rate on catastrophe reinsurance, which is driven by new capacity entering the market and the anticipated release of RMS Version 13—which is predicted to reduce the probably maximum loss curve,” says Buss.