Mission Insurance Posted a Smaller 3rd-Quarter Loss

Mission Insurance Group reported sharply lower losses for its third quarter and nine months.

The Los Angeles-based company said it lost $3.2 million in the quarter ended Sept. 30, compared to a $30.3-million loss in the year-ago period.

The 1985 quarter, however, included a net loss of $15.8 million attributable to Mission Insurance Co. and certain other “uncontrolled” subsidiaries that were placed in conservatorship by the California Department of Insurance in the fourth quarter of 1985 due to their severe financial problems.

Results for the 1986 quarter, on the other hand, excluded a net loss of $53.5 million from the uncontrolled subsidiaries that would have further reduced the company’s investment in the subsidiaries below zero.

For the first nine months of 1986, Mission lost $15.8 million compared to $65 million in the year-ago period.