Thank morning, you, Tim, and good everyone.
Over across several prepared to results. the and disciplines the for have have me with our course of be second to different my working CFO, pleasure had this of with role of that Erie, XX-year share morning I'm career I delighted you quarter the
factors As contributing the Tim our to combined that business of early of ratio primary to the loss season, unusually the pressure increase are the mentioned, higher conditions to and continue experienced and storm drivers These are inflationary our an severities. severe start we the two in Exchange. in the feel
growth the substantial in we Exchange profitability, the Exchange's improve of the prioritizing While quarter efforts second generated XXXX. are to
in the This a written direct time written of billion $X quarter over in marks single quarter. we've first our that history premium
substantial drove growth management Exchange, you'll the in to insurance fee XXst. XX.X% driven second XX.X%, business production operations almost down the for $XXX of With which Indemnity revenue by policyholder we premium, quarter billion, of the decreased review the amount year. results. $X.X from was the climbed for which over for increase prior combined the our million manage, the XXXX strong Exchange's This ratio growth as surplus see a the Starting in quarter premium the new direct written quarter growth XXX.X%, Company, with second we December
rate more environment. address the appropriately to losses in we're us combined current resulted The taking has our also rate more elevated the This of the frequently. ratio of needs to match taking rating double-digit increases evaluating primary increases focus our level and in experiencing strategy is
in monitor the industry. are the increases Of rate course, taking competitive and our are we we line with position
profitability. our overall targeted We on to and These towards underwriting certain continue strategies, combined ratio. driving with focused discipline along allow management also stay others, down and us our agency will have several improving identified initiatives
or $X.XX second Indemnity the $XXX per income $XX XXXX. quarter, generated net of quarter million, Now shifting $X.XX In share, second to to million, per diluted in compared share, Indemnity. the diluted of or
increased income For $XX of or million, or net the to second $X.XX net compared diluted income XXXX $XXX compared million, $X.XX was XX%, of quarter first per the first or half an income diluted the increase of in XXXX million, per XXXX, quarter of half of $XXX share. Operating second the to share, XXXX.
the of year half XX.X% increased to income compared policy revenue last increase $XX million or fee first for services an the or the second saw quarter issuance of first for this management million XX.X% $XX second operating renewal of XXXX. and compared year. the to of in Indemnity's of also in XXXX half quarter Indemnity
of XXXX. quarter $X or six million to in revenue compared $XXX first an over the periods XX.X%, administrative fee in half For same second in allocated months compared services the the to first Management of $X XXXX. saw increased months and XXXX, the increase of Indemnity to of the first just million, XXXX million six
affiliated assumed related premium, second growth to by a first and increased cost policy both driven $XX Indemnity's of to renewal million decrease compensation. of direct to the growth. services, production periods XXXX. million incentive to and million XXXX periods in issuance Underwriting for second in Turning and same the policy $X.X in written quarter in offset and compared compared compensation the in the operations agent The the were commissions $XX expenses of in processing partially XXXX. primarily million, in by increases agent XXXX increased increased half increased $XX.X Non-commission expense in quarter
of fees. partially Information administrative and XXXX, technology period by increased personnel costs, XXXX million professional to other driven costs personnel in professional by expenses driven costs in decrease and same increased by compared Also, million, by in second increases fees. in $X.X increased the $X.X offset quarter the a
administrative were million For Indemnity technology and of million, higher an costs the professional in of XXXX, and million. $XX $XX.X costs. and in increase by months expenses increases driven first of primarily costs costs fees, The $XX.X six and costs hardware technology by saw personnel of non-commission increased software driven other
Investment by totaled to costs other Overall, offset million in decrease lower costs, before costs by before taxes to second incentive personnel quarter in professional loss and were period compared a estimated by compensation, costs of million, an personnel XXXX. partially the pension same taxes from including of XXXX. offset in in $X a primarily the investments million compared $XX partially for Administrative to awards, income increased plan costs impacted increase higher $XX.X increased due fees.
For months six XXXX. recorded of income of compared million to taxes investment $X XXXX, the of months million in six $X first first we before the
losses and the improvement drove months losses bond both XXXX, While higher investment same of were by securities, these partnership the lower in six realized income and XXXX. we of which the equity first limited over unrealized net offset recognized period on losses
class in in limited I the is expect will asset remind asset earnings you that the runoff, limited partnership to future. and continue this from and inconsistent class we more
a take a very we and to always, maintain strong balance we measured management our capital As sheet. approach
pay first us the our of six enabled performance XXXX, in shareholders our financial dividends. For to over $XXX.X million months
today. you Thank your time again for
the Tim. turn Tim? to I'll call Now over back
