\n| \n \n\u00a0\n<\/p>\n ($ in millions except per share data)<\/i><\/p>\n<\/td>\n | \n Mar 31
\n
2025<\/b><\/p>\n<\/td>\n | \n Mar 31
\n
2024<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n Change<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nNet income available to common stockholders\n<\/p>\n<\/td>\n | \n \n$625\n<\/p>\n<\/td>\n | \n \n$748\n<\/p>\n<\/td>\n | \n \n(16)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Net income available to common stockholders per diluted share1<\/sup><\/i><\/p>\n<\/td>\n| \n $2.15<\/i><\/p>\n<\/td>\n | \n $2.47<\/i><\/p>\n<\/td>\n | \n \n(13)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCore earnings\n<\/p>\n<\/td>\n | \n \n$639\n<\/p>\n<\/td>\n | \n \n$709\n<\/p>\n<\/td>\n | \n \n(10)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Core earnings per diluted share<\/i><\/p>\n<\/td>\n | \n $2.20<\/i><\/p>\n<\/td>\n | \n $2.34<\/i><\/p>\n<\/td>\n | \n \n(6)%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nBook value per diluted share\n<\/p>\n<\/td>\n | \n \n$57.07\n<\/p>\n<\/td>\n | \n \n$50.23\n<\/p>\n<\/td>\n | \n \n14%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nBook value per diluted share (ex. accumulated other comprehensive income (AOCI))2<\/sup><\/p>\n<\/td>\n| \n \n$65.99\n<\/p>\n<\/td>\n | \n \n$60.18\n<\/p>\n<\/td>\n | \n \n10%\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nNet income available to common stockholders’ return on equity (ROE)3<\/sup>, last 12-months\n<\/p>\n<\/td>\n| \n \n18.8%\n<\/p>\n<\/td>\n | \n \n18.5%\n<\/p>\n<\/td>\n | \n \n0.3\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCore earnings ROE3<\/sup>, last 12-months\n<\/p>\n<\/td>\n| \n \n16.2%\n<\/p>\n<\/td>\n | \n \n16.6%\n<\/p>\n<\/td>\n | \n \n(0.4)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n [1] Includes dilutive potential common shares; for net income available to common stockholders per diluted share, the numerator is net income less preferred dividends<\/i><\/p>\n [2] Denotes financial measure not calculated in accordance with generally accepted accounting principles (non-GAAP); definitions of non-GAAP measures and reconciliations to their closest U.S. GAAP measures can be found in this news release under the heading Discussion of Non-GAAP Financial Measures<\/i><\/p>\n [3] Return on equity (ROE) is calculated based on last 12-months net income available to common stockholders and core earnings, respectively; for net income ROE, the denominator is common stockholders\u2019 equity including AOCI; for core earnings ROE, the denominator is common stockholders\u2019 equity excluding AOCI<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n \nFirst quarter 2025 net income available to common stockholders of $625 million, or $2.15 per diluted share, declined from $748 million in first quarter 2024, primarily driven by P&C CAY CAT losses of $467 million, before tax, including $325 million, net of reinsurance, related to the January 2025 California Wildfire Event, and a change from net realized gains in 2024 to net realized losses in 2025, partially offset by improvement in the P&C underlying loss and loss adjustment expense ratio*, earned premium growth in Business Insurance, a lower Employee Benefits loss ratio, and higher net investment income.\n<\/p>\n \nIncluded in the first quarter 2025 net income was a benefit of $32 million, before tax, compared with a benefit of $24 million in the 2024 period, from amortization of a deferred gain on retroactive reinsurance related to an adverse development cover for Navigators pertaining to 2018 and prior accident years (Navigator\u2019s ADC).\n<\/p>\n \nFirst quarter 2025 core earnings of $639 million, or $2.20 per diluted share, compared with $709 million of core earnings in first quarter 2024. Contributing to the results were:\n<\/p>\n \n- \nBusiness Insurance loss and loss adjustment expense ratio of 62.8 compared with 58.3 in first quarter 2024, including 4.8 points of higher CATs and 0.7 points of more favorable PYD. Underlying loss and loss adjustment expense ratio of 56.9 compared with 56.6 in first quarter 2024.\n<\/li>\n
- \nPersonal Insurance loss and loss adjustment expense ratio of 79.1 compared with 76.3 in first quarter 2024, including 14.4 points of higher CATs and 3.4 points of more favorable PYD. Underlying loss and loss adjustment expense ratio* of 62.6 improved 8.1 points from first quarter 2024, largely due to the impact of earned pricing increases and lower frequency in automobile physical damage.\n<\/li>\n
- \nNet favorable prior accident year development (PYD) in core earnings of $90 million, before tax, in 2025 compared with net favorable PYD of $32 million in core earnings in 2024. Net favorable PYD included in core earnings in first quarter 2025 was primarily driven by reserve reductions in workers\u2019 compensation, homeowners, and personal auto.\n<\/li>\n
- \nNet investment income of $656 million, before tax, compared with $593 million in first quarter 2024, primarily driven by a higher level of invested assets, reinvesting at higher interest rates, and greater income from limited partnerships and other alternative investments (LPs), partially offset by a lower yield on variable rate securities.\n<\/li>\n
- \nEmployee Benefits loss ratio of 71.9 improved 1.6 points compared with 73.5 in first quarter 2024, with improvement in both the group life and group disability loss ratios.\n<\/li>\n
- \nAn increase in earnings generated by 9% growth in P&C earned premium.\n<\/li>\n
- \nThe P&C expense ratio increased from first quarter 2024, driven by Personal Insurance, which includes higher direct marketing costs, partially offset by a decrease in the Business Insurance expense ratio.\n<\/li>\n<\/ul>\n
\nMarch 31, 2025, book value per diluted share of $57.07 increased 3.6%, from $55.09 at Dec. 31, 2024, principally due to net income in excess of stockholder dividends through March 31, 2025, and a decline in average net unrealized losses on investments in AOCI, partially offset by the dilutive effect of share repurchases.\n<\/p>\n \nBook value per diluted share (excluding AOCI) of $65.99 as of March 31, 2025, increased 1.6%, from $64.95 at Dec. 31, 2024, as the impact from net income in excess of stockholder dividends through March 31, 2025, was partially offset by the dilutive effect of share repurchases.\n<\/p>\n \nNet income available to common stockholders’ ROE (net income ROE) for the trailing 12-month period ending March 31, 2025, was 18.8%, an increase of 0.3 points from March 31, 2024, primarily due to an increase in 12-month trailing net income available to common stockholders.\n<\/p>\n \nCore earnings ROE for the trailing 12-month period ending March 31, 2025, was 16.2%, decreasing 0.4 points from March 31, 2024, due to higher average common stockholder’s equity excluding AOCI, partially offset by higher trailing 12-month core earnings.\n<\/p>\n BUSINESS RESULTS:
\n
<\/b>Business Insurance<\/b><\/p>\n\n\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n Three Months Ended<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n ($ in millions, unless otherwise noted)<\/i><\/p>\n<\/td>\n | \n Mar 31
\n
2025<\/b><\/p>\n<\/td>\n | \n Mar 31
\n
2024<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n Change<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Net income<\/b><\/p>\n<\/td>\n | \n $477<\/b><\/p>\n<\/td>\n | \n $573<\/b><\/p>\n<\/td>\n | \n (17%)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Core earnings<\/b><\/p>\n<\/td>\n | \n $471<\/b><\/p>\n<\/td>\n | \n $546<\/b><\/p>\n<\/td>\n | \n (14%)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Written premiums<\/b><\/p>\n<\/td>\n | \n $3,686<\/b><\/p>\n<\/td>\n | \n $3,362<\/b><\/p>\n<\/td>\n | \n 10%<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Underwriting gain1<\/sup><\/b><\/p>\n<\/td>\n| \n $187<\/b><\/p>\n<\/td>\n | \n $301<\/b><\/p>\n<\/td>\n | \n (38%)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Underlying underwriting gain1<\/sup><\/b><\/p>\n<\/td>\n| \n $384<\/b><\/p>\n<\/td>\n | \n $354<\/b><\/p>\n<\/td>\n | \n 8%<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Losses and loss adjustment expense ratio<\/b><\/p>\n<\/td>\n | \n 62.8<\/b><\/p>\n<\/td>\n | \n 58.3<\/b><\/p>\n<\/td>\n | \n 4.5<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Expenses<\/b><\/p>\n<\/td>\n | \n 31.3<\/b><\/p>\n<\/td>\n | \n 31.5<\/b><\/p>\n<\/td>\n | \n (0.2)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Policyholder dividends<\/b><\/p>\n<\/td>\n | \n 0.3<\/b><\/p>\n<\/td>\n | \n 0.3<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Combined ratio<\/b><\/p>\n<\/td>\n | \n 94.4<\/b><\/p>\n<\/td>\n | \n 90.1<\/b><\/p>\n<\/td>\n | \n 4.3<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nImpact of catastrophes and PYD on combined ratio\n<\/p>\n<\/td>\n | \n \n(5.9)\n<\/p>\n<\/td>\n | \n \n(1.8)\n<\/p>\n<\/td>\n | \n \n(4.1)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Underlying combined ratio<\/b><\/p>\n<\/td>\n | \n 88.4<\/b><\/p>\n<\/td>\n | \n 88.4<\/b><\/p>\n<\/td>\n | \n \u2014<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Losses and loss adjustment expense ratio<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nUnderlying loss and loss adjustment expense ratio\n<\/p>\n<\/td>\n | \n \n56.9\n<\/p>\n<\/td>\n | \n \n56.6\n<\/p>\n<\/td>\n | \n \n0.3\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCurrent accident year catastrophes\n<\/p>\n<\/td>\n | \n \n8.4\n<\/p>\n<\/td>\n | \n \n3.6\n<\/p>\n<\/td>\n | \n \n4.8\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nFavorable prior accident year development\n<\/p>\n<\/td>\n | \n \n(2.5)\n<\/p>\n<\/td>\n | \n \n(1.8)\n<\/p>\n<\/td>\n | \n \n(0.7)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Total Losses and loss adjustment expense ratio<\/b><\/p>\n<\/td>\n | \n 62.8<\/b><\/p>\n<\/td>\n | \n 58.3<\/b><\/p>\n<\/td>\n | \n 4.5<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n [1] Denotes financial measure not calculated in accordance with generally accepted accounting principles (non-GAAP); definitions of non-GAAP measures and reconciliations to their closest U.S. GAAP measures can be found in this news release under the heading Discussion of Non-GAAP Financial Measures<\/i><\/p>\n<\/td>\n<\/tr>\n<\/table>\n \nFirst quarter 2025 net income of $477 million compared with net income of $573 million in first quarter 2024, principally due to CAY CAT losses of $280 million, before tax, including $207 million, net of reinsurance, related to the January 2025 California Wildfire Event and a change from net realized gains in 2024 to net realized losses in 2025, partially offset by the impact of earned premium growth, higher net investment income, and more favorable PYD. PYD includes a $32 million, before-tax, benefit due to the amortization of the deferred gain related to the Navigators ADC, compared with a $24 million benefit in 2024.\n<\/p>\n \nBusiness Insurance core earnings of $471 million in first quarter 2025 compared with $546 million in first quarter 2024. Contributing to the results were:\n<\/p>\n \n- \nAn underlying loss and loss adjustment expense ratio of 56.9 in first quarter 2025 compared with 56.6 in first quarter 2024.\n<\/li>\n
- \n9% growth in earned premium.\n<\/li>\n
- \nNet investment income of $437 million, before tax, compared with $391 million in first quarter 2024.\n<\/li>\n
- \nNet favorable PYD within core earnings of $51 million, before tax, in first quarter 2024, compared with $32 million of net favorable PYD within core earnings in first quarter 2024. The net favorable PYD in first quarter 2025 primarily includes reserve reductions in workers\u2019 compensation.\n<\/li>\n<\/ul>\n
\nCombined ratio of 94.4 compared with 90.1 in first quarter 2024, primarily due to a 4.5 point increase in the loss and loss adjustment expense ratio, including 4.8 points of higher CATs and 0.7 points of more favorable PYD (including 0.2 points of additional favorable development related to the amortization of the deferred gain). Underlying combined ratio of 88.4 was flat with first quarter 2024, primarily due to improvement in the expense ratio offset by a slight increase in the underlying loss and loss adjustment expense ratio.\n<\/p>\n \n- \nSmall Business combined ratio of 93.3 compared with 89.0 in first quarter 2024, including 4.2 points of higher CAY CATs and 0.2 points of less favorable PYD. Underlying combined ratio of 89.4 improved from 89.6 in first quarter 2024.\n<\/li>\n
- \nMiddle & Large Business combined ratio of 99.8 compared with 94.0 in first quarter 2024, including 5.3 points of higher CAY CATs and 0.9 points of less unfavorable PYD. Underlying combined ratio of 90.6 compared with 89.2 in first quarter 2024, increased primarily due to slightly higher loss ratios across most lines, as expected, partially offset by improvement in the expense ratio.\n<\/li>\n
- \nGlobal Specialty combined ratio of 89.3 compared with 87.8 in first quarter 2024, including 5.4 points of higher CAY CATs and 2.7 points of more favorable PYD. The combined ratio included 0.6 points of more favorable development due to the amortization of the deferred gain related to the Navigators ADC. Underlying combined ratio of 84.0 improved from 85.3 in first quarter 2024, primarily due to a lower loss ratio in global reinsurance and improvement in the expense ratio.\n<\/li>\n<\/ul>\n
\nFirst quarter 2025 written premiums of $3.7 billion were up 10% from first quarter 2024, with increases across the segment, including double-digit growth in Global Specialty, driven in part by renewal written price increases. New business growth was strong across the segment, with double-digit growth in Small Business.\n<\/p>\n Personal Insurance<\/b><\/p>\n\n\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n Three Months Ended<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \n\u00a0\n<\/p>\n ($ in millions, unless otherwise noted)<\/i><\/p>\n<\/td>\n | \n Mar 31
\n
2025<\/b><\/p>\n<\/td>\n | \n Mar 31
\n
2024<\/b><\/p>\n<\/td>\n | \n Change<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Net income<\/b><\/p>\n<\/td>\n | \n $5<\/b><\/p>\n<\/td>\n | \n $34<\/b><\/p>\n<\/td>\n | \n (85%)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Core earnings<\/b><\/p>\n<\/td>\n | \n $6<\/b><\/p>\n<\/td>\n | \n $33<\/b><\/p>\n<\/td>\n | \n (82%)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Written premiums<\/b><\/p>\n<\/td>\n | \n $913<\/b><\/p>\n<\/td>\n | \n $844<\/b><\/p>\n<\/td>\n | \n 8%<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Underwriting loss<\/b><\/p>\n<\/td>\n | \n $(55)<\/b><\/p>\n<\/td>\n | \n $(13)<\/b><\/p>\n<\/td>\n | \n NM<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Underlying underwriting gain<\/b><\/p>\n<\/td>\n | \n $93<\/b><\/p>\n<\/td>\n | \n $32<\/b><\/p>\n<\/td>\n | \n 191%<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Losses and loss adjustment expense ratio<\/b><\/p>\n<\/td>\n | \n 79.1<\/b><\/p>\n<\/td>\n | \n 76.3<\/b><\/p>\n<\/td>\n | \n 2.8<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Expenses<\/b><\/p>\n<\/td>\n | \n 27.0<\/b><\/p>\n<\/td>\n | \n 25.3<\/b><\/p>\n<\/td>\n | \n 1.7<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n Combined ratio<\/b><\/p>\n<\/td>\n | \n 106.1<\/b><\/p>\n<\/td>\n | \n 101.6<\/b><\/p>\n<\/td>\n | \n 4.5<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \nImpact of catastrophes and PYD on combined ratio\n<\/p>\n<\/td>\n | \n \n(16.5)\n<\/p>\n<\/td>\n | \n \n(5.5)\n<\/p>\n<\/td>\n | \n \n(11.0)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Underlying combined ratio<\/b><\/p>\n<\/td>\n | \n 89.7<\/b><\/p>\n<\/td>\n | \n 96.1<\/b><\/p>\n<\/td>\n | \n (6.4)<\/b><\/p>\n<\/td>\n<\/tr>\n\n| \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Losses and loss adjustment expense ratio<\/b><\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n | \n \n\u00a0\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nUnderlying loss and loss adjustment expense ratio\n<\/p>\n<\/td>\n | \n \n62.6\n<\/p>\n<\/td>\n | \n \n70.7\n<\/p>\n<\/td>\n | \n \n(8.1)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nCurrent accident year catastrophes\n<\/p>\n<\/td>\n | \n \n20.8\n<\/p>\n<\/td>\n | \n \n6.4\n<\/p>\n<\/td>\n | \n \n14.4\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n \nFavorable prior accident year development\n<\/p>\n<\/td>\n | \n \n(4.3)\n<\/p>\n<\/td>\n | \n \n(0.9)\n<\/p>\n<\/td>\n | \n \n(3.4)\n<\/p>\n<\/td>\n<\/tr>\n | \n| \n Total Losses and loss adjustment expense ratio<\/b><\/p>\n<\/td>\n | \n 79.1<\/b><\/p>\n<\/td>\n | \n 76.3<\/b><\/p>\n<\/td>\n | \n 2.8<\/b><\/p>\n<\/td>\n<\/tr>\n<\/table>\n \nNet income of $5 million in first quarter 2025 compared with $34 million in first quarter 2024, primarily driven by CAY CAT losses of $187 million, before tax, including $118 million, net of reinsurance, related to the January 2025 California Wildfire Event and a higher expense ratio, partially offset by more favorable PYD and improvement in the underlying loss and loss adjustment expense ratio driven by the impact of higher earned premium.\n<\/p>\n \nPersonal Insurance core earnings of $6 million compared with $33 million in first quarter 2024. Contributing to the results were:\n<\/p>\n \n- \nAn underlying loss and loss adjustment expense ratio of 62.6 in first quarter 2025, which improved 8.1 points from 70.7 in first quarter 2024, primarily driven by the impact of earned pricing increases and improvement in automobile physical damage frequency.\n<\/li>\n
- \n$39 million, before tax, of favorable PYD in first quarter of 2025, compared with $7 million of favorable PYD in first quarter 2024. The net favorable PYD in first quarter 2025 primarily includes reserve reductions in homeowners, automobile liability and physical damage.\n<\/li>\n
- \n11% growth in earned premium.\n<\/li>\n
- \nNet investment income of $57 million, before tax, in first quarter 2025 compared with $50 million in first quarter 2024.\n<\/li>\n<\/ul>\n
\nCombined ratio of 106.1 in first quarter 2025 compared with 101.6 in first quarter 2024, primarily due to a 2.8 point increase in the loss and loss adjustment expense ratio, including 14.4 points of higher CAY CAT losses, an 8.1 point improvement in the underlying loss and loss adjustment expense ratio, and more favorable PYD of 3.4 points, as well as a higher expense ratio. Underlying combined ratio of 89.7 improved 6.4 points from 96.1 in first quarter 2024, primarily due to improvement in the underlying loss and loss adjustment expense ratio in automobile and homeowners, partially offset by a 1.7 point increase in the expense ratio.\n<\/p>\n | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |