EMC Insurance Group Inc. revised earnings guidance for the full year of 2016. For the period, the company announced that it expects to report net income in the range of $2.18 to $2.23 per share and non-GAAP operating income in the range of $2.05 to $2.10 per share for the year ended December 31, 2016. The increase in guidance is primarily attributed to the property and casualty insurance segment, which is expected to report a fourth quarter GAAP combined ratio of approximately 92.2% that is much lower than previously anticipated. This improvement was primarily driven by favorable development on prior years’ reserves and a low amount of catastrophe and storm losses. The favorable development on prior years’ reserves primarily reflects moderate reductions in the ultimate loss ratios for several accident years in the workers’ compensation line of business and a reduction in settlement expense reserves.