Bermuda-based Axis Capital Holdings has reported a rise in annual net profit after benign weather contributed to a stronger fourth quarter.

Net income last year increased to $US684 million ($764 million) from $US495 million ($553 million) in 2012.

Fourth-quarter earnings were $US172 million ($192 million), compared with a $US19 million ($21 million) loss in the corresponding period of 2012.

The fourth quarter benefitted from an absence of significant catastrophe or weather events compared with 2012, when earnings were hit by Superstorm Sandy in the US.

“Financially, it was a year of solid progress,” President and CEO Albert Benchimol said.

Gross written premium gained 13% to $US4.7 billion ($5.2 billion) last year, including growth of 17% in reinsurance and 11% in the insurance segment.

Reinsurance underwriting income increased to $US343 million ($383 million) from $US198 million ($221 million), due mainly to the drop in natural catastrophe and weather-related activity, while growth in business written also contributed to the improvement.

“Much has been made of the inflection point in pricing and increased competition in reinsurance,” Mr Benchimol said. “However, this remains a business of relationships and risk selection, and Axis remains well positioned to access, write and retain profitable business.”

Insurance underwriting income grew to $US85 million ($95 million) last year from $US65 million ($73 million) in 2012.