(November 9 – 19:15 ET) – Kingsway Financial Services Inc. is reporting record financial results for the third quarter and nine months ended September 30.

Net income for the high-risk auto insurer in third quarter was $9.7 million, compared with $7.2 million last quarter and $10 million reported in the third quarter last year. Net income for the nine-month period was $20.1 million, compared with $13.6 million for fiscal 1999.

Basic earnings per share were a record 29¢ in the third quarter, compared with 28¢ reported in the same quarter last year. Basic earnings per share for the nine-month period were 59¢, compared to 73¢ for the first nine months of last year, and 38 cents for fiscal 1999.

“I am extremely pleased to report significantly improved earnings and an underwriting profit for the quarter,” said Bill Star, president and CEO. “We continue to experience tremendous growth and improved pricing in our major markets, the benefits of which have yet to be fully realized in our results. We are therefore extremely optimistic about the future.”

During the third quarter, gross and net premiums written increased to record third quarter levels, growing by 29% and 27%, respectively. Kingsway says the growth was primarily attributable to the its core non-standard automobile markets in Canada and the southern United States, and to rate increases on commercial automobile lines.

Kingsway achieved an underwriting profit of $4.2 million in the third quarter and the combined ratio improved to 97.2% (100.8% year-to-date) compared to 100.6% in the previous quarter.