Bermuda reinsurer IPC Holdings last night reported that its net income for 2003 had increased by 69 percent from $157.9 million to $260.6 million after a record year for premiums written and growth in book value.

In its fourth quarter and year end results, the company said it had shown underwriting and expense discipline which had been reinforced its high profit margin.

Net income for the quarter ended December 31, 2003, at $65.4 million was over three times the amount of net income seen during the same period in 2002, when it stood at $20.0 million.

?2003 saw the completion of a second consecutive record year for IPC in terms of premiums written and growth in book value,? said Jim Bryce, president and chief executive officer of IPC.

And he went on to point out that 2003 was a year in which the company maintained its high ratings from both A.M. Best and Standard & Poor?s, despite many downgrades in the insurance and reinsurance industry.

He added: ?We believe our stable ratings are in part due to the underwriting and expense discipline that we continue to exercise, and the fact that the strength of our balance sheet has been reinforced by our results.?

And he went on to say that January 2004 renewals were satisfactory, generally in line with expectations.

Mr Bryce said they were ?accomplished through our enhanced financial position, ten year track record of transactional excellence, and consistency of shareholders, business strategy, ratings and personnel, in times of turmoil and dislocation within the industry.

?Renewals were conducted against a market backdrop of continued underwriting discipline, in which healthy conditions generally prevailed.?

Net operating income, which is net income less net realised gains and losses, was $58.1 million or $1.20 per share, for the quarter ended December 31, 2003, compared to $56.6 million, or $1.17 per share for the fourth quarter of 2002, and $246.9 million or $5.11 per share for the year ended December 31, 2003, compared to $202.8 million or $4.20 per share, for the year ended December 31, 2002.

Gross premiums stood at $20.5 million in the fourth quarter of 2003, compared to $17.0 million in the fourth quarter of 2002, an increase of 21 percent.

IPC wrote business for new clients and additional business for existing clients, which partially offset business, which they said they did not renew. Premium writings in the fourth quarter of 2003 also included an additional $3.1 million of adjustment premiums, compared to the fourth quarter of 2002.

For the year ended December 31, 2003, gross premiums were $322.8 million, an increase of 24 percent over the $259.7 million IPC wrote in 2002, primarily due to new business, rate increases generally in the range 0 percent to 10 percent. The company said that program restructuring more than offset business that was not renewed.

Gross premiums written in 2003 include $21.1 million of adjustment premiums, and $7.3 million of reinstatement premiums, compared to $5.8 million and $1.4 million, respectively, in 2002.