UniCare Financial’s Quarterly Results Down

UniCare Financial Corp., an Irvine-based workers compensation insurance underwriter, posted earnings of $1.1 million in the second quarter, a 22% drop from the $1.5 million earned in the same period last year. Quarterly revenues rose 49% to $12.4 million from $8.3 million.

For the first half of the year, the company reported earnings of $2.2 million, up 47% from $1.5 million a year earlier. Revenues in the period rose 52% to $24.5 million from $16.1 million.

The lower net income was attributed to drastically reduced gains on investments--down 81% in the quarter and down 67% in the first six months.

Because of regulatory changes, reinsurance difficulties and market conditions, UniCare has discontinued underwriting commercial automobile and general liability insurance policies, which represented about 6% of its net premiums, Chairman Ralph W. Leatherby said.