FAIRFIELD — Local insurer Cincinnati Financial blamed excessive storm damage for a reported net loss of $19 million compared, with net income of $63 million in the second quarter of 2008.

The Fairfield-based company also reported today, July 30, it had an operating loss of $5 million, or 3 cents per share, compared with operating income of $69 million, or 42 cents per share during the same period last year. Total revenues fell 4.7 percent, to $874 million from $917 million.

Net income and operating income declined 25 cents per share compared to second-quarter 2008 from the effects of higher catastrophe losses as well as a lesser amount of favorable development on loss expenses for prior accident years, the company said.

Company officials said they are trying to reduce catastrophic losses by expanding into seven states less prone to hurricanes, such as Colorado, where it recently appointed its first agency. The insurer also has plans to move into Wyoming.

Its Midwest base, especially Ohio, Indiana and Illinois, has been hit hard by storms due to abnormally cool weather this summer. Kenneth Stecher, president and CEO of Cincinnati Financial, said he hopes this weather pattern will change in the long-term.

The company also continues to diversify its investment portfolio and is gearing up to implement a commercial lines policy administration system to drive future premium growth. The system is already being used by associates to produce commercial package and commercial auto policies for Ohio and Indiana agencies, Stecher said.

“It’s been a stormy second quarter with just a few rays of sunshine. We have the capital and strength to grow profitably. We have the ability and intent to out-perform. We are making good progress on initiatives that increase our long-term advantages, and bring them to the bottom line,” he said.

For the first six months of 2009, Cincinnati Financial reported net income of $17 million, or 10 cents per share, versus $21 million, or 13 cents per share, in the same 2008 period. Total revenues grew almost 9 percent, to $1.8 billion from $1.6 billion.

Cincinnati Financial offers commercial, personal, and life-insurance products.

Contact this reporter at (513) 705-2843 or jheffner@coxohio.com.