Bermudian-based specialty underwriter SiriusPoint announced a deal expected to release more than $200 million of capital tied to its legacy business.

The company agreed a loss portfolio transfer with legacy specialist RiverStone covering substantially all its remaining run-off reserves. SiriusPoint announced the transaction, which is subject to regulatory approval, in its third-quarter earnings statement.

Net income fell slightly year over year to $87 million from $90.7 million in the third quarter of 2025. Operating net income, which excludes certain investment and other items, rose to $103.2 million from $87.4 million.

Core gross written premiums increased 13.7 per cent to $990.6 million, driven by growth in the Insurance & Services segment.

Core underwriting income rose to $75.9 million from $69.6 million, although the core combined ratio deteriorated to 90.1 per cent from 89.1 per cent. A ratio below 100 per cent indicates an underwriting profit.

Scott Egan, SiriusPoint’s chief executive officer, said: “Our third-quarter results represent continued strong performance, with our diversified, low-volatility portfolio again delivering on both growth and profitability.”

Mr Egan said operating returns on equity of 17.6 per cent for the quarter and 15.8 per cent for the first nine months exceeded the company’s target range of 12 to 15 per cent.

Insurance & Services gross written premiums increased 19.8 per cent to $673 million, supported by surety growth and higher professional liability premium estimates. However, underwriting income fell to $33 million from $37.7 million.

Reinsurance underwriting income increased to $42.9 million from $31.9 million, helped by favourable development of prior-year property and energy reserves. The segment’s combined ratio improved to 86 per cent from 87.9 per cent, while gross written premiums rose 2.6 per cent to $317.6 million.

Net investment income slipped to $65.9 million from $66.5 million, reflecting lower yields on cash and short-term investments, alongside portfolio repositioning.

For the first nine months, net income increased 25 per cent to $255 million. Core underwriting income rose to $201.8 million from $165.7 million as catastrophe losses fell sharply from a prior-year period affected by California wildfires.

SiriusPoint also plans to change its reporting structure in the fourth quarter, replacing its existing segments with stand-alone Accident & Health and Specialty P & C segments. Its accident and health business now accounts for more than $1 billion in premiums.