Mercury General Corp. shares fell 8 percent Monday after the insurer said that it swung to a fourth-quarter loss after making large payouts related to heavy California storms and sinkholes in Florida. It also announced that it was exiting the Florida market.

The Los Angeles provider of homeowner’s and auto insurance reported a net loss of $23.6 million (-43 cents a share), compared with net income of $34.2 million (62 cents) a year earlier.

Revenue fell 3.2 percent to less than $656 million, with net premiums written down 0.3 percent to $617 million. Its combined ratio – the percentage of premiums spent on claims and expenses – rose from 98 percent to nearly 110 percent.

The company had a per-share operating loss, excluding investment gains, of 15 cents, compared with income of 69 cents a year earlier. Analysts surveyed by Thomson Reuters had expected per-share operating income of 70 cents on revenue of $674 million.

Mercury said it expects payouts related to California storms to reach about $25 million. In addition, its Florida homeowners business had a $19 million loss. In exiting the Florida homeowners market, the company said it will give a 180-day non-renewal notice to about 8,000 Florida policyholders in March and fully withdraw from the market by the second half of next year.

Shares closed down $3.44, or 8 percent, to $39.50 on the New York Stock Exchange.