Boston-based insurer Liberty Mutual Group’s net income rose more than 11 percent year-over-year in the fourth quarter of 2008, but fell almost 25 percent in the full year, the company said.

Fourth quarter net income was $474 million, compared to $425 million for the same period in 2007 – an 11.5 percent increase, according to a statement issued by the company. For 2008, Liberty Mutual reported $1.1 billion in net income, compared to net income of $1.5 billion in 2007 – a 24.9 percent decrease.

"Results in the quarter and full year reflect the strength of Liberty’s core businesses, the success of our diversification strategy and our strong investment operation," said Edmund F. Kelly, chairman, president and CEO of Liberty Mutual Group. "The current economic crisis is challenging, but our risk management process and operating model have proven stronger than most and have served us well in terms of our ability to succeed in these extreme economic conditions. In particular, our decision to substantially exit the public equities market was clearly the right decision to make."