The Zacks Accident and Health Insurance industry is expected to benefit from an increase in underwriting exposure. Globe Life. (GL) , Trupanion (TRUP) and Employers Holdings, Inc. (EIG) are expected to be driven by increasing demand for group insurance and prudent underwriting standards. However, higher inflation, as well as rising medical costs, could offset the positives. The industry has been witnessing soft pricing over the past several quarters, and this is not expected to change anytime soon. Nonethel ...

Financial Data and Key Metrics Changes - Gross premiums written decreased to $156.8 million from $176.3 million, an 11% decline primarily due to lower new business writings and lower final audit premiums [8] - Losses and LAE increased to $134.4 million from $113.2 million, an 18.7% increase attributed to a higher accident year 2025 selected loss and LAE ratio [8] - Net investment income rose to $31.4 million from $26.7 million, a 17.6% increase driven by private equity investment returns and a higher book yield on the fixed income portfolio [9] - Adjusted net income was $14.5 million compared to $28.7 million in the previous year [11] - Book value per share increased by 11% to $51.31 [7] Business Line Data and Key Metrics Changes - The small commercial franchise maintained strong retention rates throughout 2025, indicating successful investments in automation and ease of use [4] - The company is experiencing lower new business writings and has exited certain classes of business, particularly in California [35] Market Data and Key Metrics Changes - The California market is characterized as hardening, with rate increases being implemented [24] - The overall competitive environment remains, with some carriers exiting certain states or classes of business [24] Company Strategy and Development Direction - The company is expanding its capabilities with a new excess workers' compensation product, leveraging core expertise and AI tools for development [6] - A focus on disciplined underwriting, prudent risk management, and strategic investments is expected to strengthen the company's position in the workers' compensation insurance market [7] - The company aims to return capital to shareholders through share repurchases and dividends, reflecting confidence in its financial position [7] Management's Comments on Operating Environment and Future Outlook - Management noted that the frequency of cumulative trauma claims in California is still elevated but has shown signs of flattening [20] - The company expects reduced written premium in 2026 due to the hard market conditions [4] - Management is optimistic about the impact of AI initiatives on operational efficiency and expense ratios [27] Other Important Information - The board declared a quarterly dividend of $0.32 per share, payable on March 18 [14] - The company repurchased $215 million in shares and dividends in 2025, with a focus on capital management [7] Q&A Session Summary Question: Trajectory of CT claims - Management observed that the acceleration of CT claims frequency has slowed down, although it remains elevated compared to historical levels [20] Question: Dynamics of the hardening market - Management indicated that while the California market is hardening, the overall environment remains competitive, with some carriers exiting certain areas [24] Question: Buybacks for 2026 - Management expects to return to a normal level of share repurchase authority in 2026, being opportunistic in timing [26] Question: Improvement in expense ratio - Management is hopeful for continued improvement in the expense ratio due to ongoing AI initiatives [27] Question: Gross written premium in California - Management confirmed that lower new business writings and non-renewals are contributing to the decline in gross written premium in California [35] Question: Scaling the new excess workers' comp product - Management plans to scale the new product cautiously, with expectations for it to become a significant revenue driver over time [36] Question: Competitive advantages in the excess workers' comp market - Management believes that efficiency through AI and unique loss control offerings will help differentiate their product in a competitive market [44] Question: Performance expectations for the new product - Management anticipates a combined ratio in the mid-80s for the excess workers' compensation product, with a strong expense ratio [48] Question: Future proportion of premiums from excess workers' comp - Management hopes that excess workers' comp could represent about 10% of overall written premium in the next 4-7 years [50]

Financial Data and Key Metrics Changes - Gross premiums written decreased to $156.8 million from $176.3 million, an 11% decline primarily due to lower new business writings and lower final audit premiums [8] - Losses and LAE increased to $134.4 million from $113.2 million, an 18.7% increase attributed to a higher accident year 2025 selected loss and LAE ratio [8] - Net investment income rose to $31.4 million from $26.7 million, a 17.6% increase driven by private equity investment returns and a higher book yield on the fixed income portfolio [9] - Adjusted net income was $14.5 million compared to $28.7 million in the previous year [11] - Book value per share increased by 11% to $51.31 [7] Business Line Data and Key Metrics Changes - The small commercial franchise maintained strong retention rates throughout 2025, indicating successful investments in automation and ease of use [4] - The company is experiencing lower new business writings and has exited certain classes of business, particularly in California [35] Market Data and Key Metrics Changes - The California market is characterized as hardening, with rate increases being implemented, while the overall environment remains competitive across the country [22][24] - Average renewal rates increased by over 5% for the entire book, driven largely by California [24] Company Strategy and Development Direction - The company is expanding its capabilities with a new excess workers' compensation product, leveraging core expertise and AI tools to create new growth avenues [6] - A focus on disciplined underwriting, prudent risk management, and strategic investments is expected to strengthen the company's position in the workers' compensation insurance market [7] - The company aims to improve its expense ratio through AI initiatives and operational excellence, with a target to reduce the expense ratio further [14][29] Management's Comments on Operating Environment and Future Outlook - Management noted that the frequency of cumulative trauma claims in California has flattened, although it remains elevated compared to historical levels [20] - The company anticipates reduced written premiums in 2026 due to the hardening market and cautious risk selection [22][35] - Confidence in financial strength and strategic capital management was emphasized, with ongoing share repurchases and dividends planned [14] Other Important Information - The board declared a quarterly dividend of $0.32 per share, payable on March 18 [14] - The company executed a $125 million recapitalization plan in January, reflecting confidence in its financial position [7] Q&A Session Summary Question: Trajectory of CT claims - Management observed that the acceleration of CT claims frequency has slowed down and flattened, although it remains elevated compared to the past [20] Question: Dynamics of the hardening market - The hardening market is primarily in California, with some competitors exiting certain states or classes of business, while the overall environment remains competitive [22][24] Question: Buybacks for 2026 - Management expects to return to a normal level of share repurchases in 2026, being opportunistic in timing [26] Question: Improvement in expense ratio - Management is optimistic about improving the expense ratio through ongoing AI initiatives and operational enhancements [27][29] Question: Gross written premium in California - Lower new business writings and some non-renewals are contributing to the decline in gross written premium in California [35] Question: Scaling the new excess workers' comp product - The company plans to scale the new product cautiously, with expectations for it to become a meaningful revenue driver over time [36] Question: Competition in the excess workers' comp market - Management believes that efficiency through AI and unique offerings in loss control will help differentiate the company in a competitive market [44] Question: Performance expectations for the new product - The excess comp space is expected to perform with a combined ratio in the mid-80s, with a strong expense ratio due to AI-driven underwriting [48]

Financial Data and Key Metrics Changes - Gross premiums written decreased to $156.8 million from $176.3 million year-over-year, a decline of 11% primarily due to lower new business writings and lower final audit premiums [7] - Losses and LAE increased by 18.7% to $134.4 million compared to $113.2 million in the prior year, driven by an increase in the accident year 2025 selected loss and LAE ratio [7] - Net investment income rose by 17.6% to $31.4 million from $26.7 million in the previous year, attributed to private equity investment returns and a higher book yield on the fixed income portfolio [8] - Adjusted net income was $14.5 million for the quarter, down from $28.7 million last year [10] - Book value per share increased by 11% to $51.31 [6] Business Line Data and Key Metrics Changes - The small commercial franchise maintained strong retention rates throughout 2025, indicating successful investments in automation and ease of use [4] - The company is experiencing lower new business writings and has exited certain classes of business, particularly in California [34] Market Data and Key Metrics Changes - The California market is characterized as hardening, with rate increases being implemented, while the overall environment remains competitive across the country [20][22] - The average rate on renewal increased by over 5% for the entire book, with California driving much of this increase [22][23] Company Strategy and Development Direction - The company is expanding its capabilities with a new excess workers' compensation product, leveraging core expertise to diversify its risk profile [5] - AI tools are being aggressively adopted to enhance product development and operational efficiency, with a focus on creating a sustainable competitive advantage [13][26] - The company aims to return capital to shareholders through share repurchases and dividends, reflecting confidence in its financial position [6][12] Management's Comments on Operating Environment and Future Outlook - Management noted that the frequency of cumulative trauma claims in California has flattened, although it remains elevated compared to historical levels [18] - The company expects reduced written premium in 2026 due to the hard market conditions, but is optimistic about maintaining profitability through disciplined underwriting and strategic actions [4][19] - Management expressed confidence in the company's financial strength and operational performance, with a focus on improving expense ratios through AI initiatives [12][25] Other Important Information - The company repurchased $215 million in shares and declared a quarterly dividend of $0.32 per share for Q1 2026 [6][12] - The investment rebalancing strategy aimed to reduce equity investments to target levels while increasing overall portfolio yield [9] Q&A Session Summary Question: Trajectory of CT claims - Management observed that the acceleration of CT claims frequency has slowed down, although it remains elevated compared to past levels [18] Question: Dynamics of the hardening market - The hardening market is primarily observed in California, with some competitors still taking market share, but the company is cautious about pricing margins [19][20] Question: Gross written premium in California - The decline in gross written premium is attributed to lower new business and non-renewals, particularly in California [34] Question: Scaling the new excess workers' comp product - The company plans to write its first business effective July 1 and will proceed cautiously to learn and adapt as it scales [35] Question: Performance expectations for the excess workers' comp product - Management anticipates a combined ratio in the mid-80s for the excess comp space, with a strong expense ratio due to AI-driven underwriting [44]

分组1 - Employers Holdings (EIG) reported quarterly earnings of $0.66 per share, exceeding the Zacks Consensus Estimate of $0.41 per share, but down from $1.15 per share a year ago, representing an earnings surprise of +60.98% [1] - The company posted revenues of $170.5 million for the quarter ended December 2025, missing the Zacks Consensus Estimate by 21.24%, compared to year-ago revenues of $216.6 million [2] - Employers Holdings shares have underperformed the market, losing about 2.3% since the beginning of the year, while the S&P 500 gained 0.5% [3] 分组2 - The current consensus EPS estimate for the coming quarter is $0.36 on revenues of $217.41 million, and for the current fiscal year, it is $1.93 on revenues of $877.28 million [7] - The Zacks Industry Rank for Insurance - Accident and Health is currently in the bottom 35% of over 250 Zacks industries, indicating potential challenges for stock performance [8] - Employers Holdings has a Zacks Rank 3 (Hold), suggesting that the shares are expected to perform in line with the market in the near future [6]

Financial Performance - Gross premiums written decreased by 11% to $156.8 million for Q4 2025 compared to $176.3 million in Q4 2024[4] - Net premiums earned slightly decreased by 1% to $188.5 million for Q4 2025 from $190.2 million in Q4 2024, while annual net premiums earned increased by 2% to $761.9 million[4] - The company reported a net loss of $23.4 million in Q4 2025, a significant decline from a net income of $28.3 million in Q4 2024, representing a 183% decrease[4] - Adjusted net income for Q4 2025 was $14.5 million, down 49% from $28.7 million in Q4 2024[4] - Net income for the three months ended December 31, 2025, was a loss of $23.4 million, compared to a profit of $28.3 million in the same period of 2024[11] - Adjusted net income for the year ended December 31, 2025, was $21.8 million, down from $94.0 million in 2024[11] - Basic earnings per share (EPS) for Q4 2025 was $(1.06), compared to $1.14 in Q4 2024, indicating a significant decline[22] Investment Income - Net investment income increased by 18% to $31.4 million in Q4 2025, up from $26.7 million in Q4 2024, and annual net investment income rose by 9% to $116.7 million[4] - The company reported net realized and unrealized gains on investments of $49.7 million in Q4 2025, compared to $0.4 million in Q4 2024, indicating a significant improvement[22] Assets and Equity - Total assets decreased by 3% to $3,436.6 million as of December 31, 2025, compared to $3,541.3 million as of December 31, 2024[7] - Stockholders' equity fell by 11% to $955.7 million in 2025 from $1,068.7 million in 2024[7] - The average stockholders' equity for the year ended December 31, 2025, was $1,012.2 million, down from $1,041.3 million in 2024[11] - Stockholders' equity decreased to $955.7 million in 2025 from $1,068.7 million in 2024, a decline of approximately 10.5%[19] Underwriting Performance - The combined ratio excluding LPT increased to 106.8% in Q4 2025 from 95.5% in Q4 2024, indicating a decline in underwriting performance[4] - The GAAP combined ratio for the three months ended December 31, 2025, was 106.1%, compared to 95.5% in 2024, indicating a decline in underwriting performance[13] - The loss and LAE ratio for the three months ended December 31, 2025, was 71.3%, up from 59.5% in the same period of 2024[13] Shareholder Returns - Cash dividends declared per share increased by 7% to $0.32 in Q4 2025 from $0.30 in Q4 2024[4] - Cash dividends declared per share rose to $1.26 in 2025 from $1.18 in 2024, an increase of 6.8%[19] - The book value per share increased by 8% to $46.98 in 2025 from $43.52 in 2024[7] - Book value per share increased by 10.8% to $46.98 in 2025 from $43.52 in 2024[19] - Adjusted book value per share was $50.95 in 2025, slightly up from $50.71 in 2024, showing a modest increase[19] Share Count - Average common shares outstanding (basic) decreased to 21,922,345 in Q4 2025 from 24,725,425 in Q4 2024, a reduction of approximately 11.5%[22] Other Financial Metrics - Total investments and cash as of December 31, 2025, amounted to $2,498.8 million, a decrease from $2,532.4 million in 2024[17] - The weighted average ending book yield on fixed income securities, cash, and cash equivalents was 4.9% as of December 31, 2025, compared to 4.5% in 2024[17] - The impact of the LPT Agreement on net income was a loss of $1.4 million in Q4 2025, compared to a gain of $0.1 million in Q4 2024[22] - Net unpaid losses and LAE at the end of the period for December 31, 2025, were $1,419.3 million, unchanged from the previous year[15] - The company reported a return on stockholders' equity of (2.3)% for the three months ended December 31, 2025, compared to 2.6% in 2024[11]

Core Insights - Employers Holdings, Inc. reported financial results for the full year and fourth quarter of 2025, highlighting challenges and strategic responses to increased claim frequency in California [1][2]. Full-Year 2025 Financial Highlights - Net income decreased to $10.8 million ($0.46 per diluted share) from $118.6 million ($4.71 per diluted share) in 2024 [3]. - Adjusted net income was $21.8 million ($0.93 per diluted share), down from $94.0 million ($3.73 per diluted share) [3]. - Gross premiums written totaled $756.1 million, a decline from $776.3 million [3]. - Net premiums earned increased to $761.9 million from $749.5 million [3]. - The loss and LAE ratio rose to 76.4% from 60.9% [3]. - The GAAP combined ratio was 110.9%, compared to 97.9% in the previous year [3]. Fourth Quarter 2025 Financial Highlights - Net loss was $(23.4) million ($(1.06) per diluted share), compared to a profit of $28.3 million ($1.14 per diluted share) in Q4 2024 [3]. - Adjusted net income for the quarter was $14.5 million ($0.66 per diluted share), down from $28.7 million ($1.15 per diluted share) [3]. - Gross premiums written were $156.8 million, an 11% decrease from $176.3 million [7]. - Net investment income increased by 18% to $31.4 million from $26.7 million [11]. - The GAAP combined ratio for the quarter was 106.1%, compared to 95.5% in Q4 2024 [3]. CEO Commentary - CEO Katherine Antonello emphasized the company's resilience and strategic actions taken to address increased claim frequency, which are expected to lead to a return to historical profitability levels [2][4]. Strategic Developments - The company launched a new excess workers' compensation product, leveraging AI for innovation and customer expansion [5]. - Employers Holdings returned $215.4 million to shareholders through share repurchases and dividends, reflecting confidence in financial strength [6]. Investment Performance - Net investment income for the year increased by 9% to $116.7 million from $107.0 million [3]. - The company experienced net realized and unrealized losses on investments of $(20.4) million, compared to gains of $24.1 million in 2024 [3]. Shareholder Returns - The company repurchased 2,368,845 shares at an average price of $40.94 per share during Q4 2025 [15]. - A first-quarter dividend of $0.32 per share was declared, payable on March 18, 2026 [16].

OSHKOSH, Wis.--(BUSINESS WIRE)-- #4imprint--Promotional products retailer 4imprint is included in the 2026 Forbes America's Best Employers list, continuing a tradition of workplace honors. ...

Core Insights - Child care has become a more critical workplace benefit than retirement benefits for working parents, according to new data from KinderCare Learning Companies, Inc. [1] Group 1: Importance of Child Care - The seventh annual KinderCare Confidence Index indicates that parents increasingly view child care as essential for productivity, employee retention, and loyalty [1]

Core Insights - Employers Holdings, Inc. has launched a new Excess Workers' Compensation insurance product aimed at large self-insured employers, groups, pools, and joint powers authorities across the United States [1][2] - The new product represents a strategic expansion of the company's portfolio, enhancing its ability to meet the evolving needs of employers and public entities [2] Product Features - The Excess Workers' Compensation insurance integrates specific and aggregate coverage, predictive analytics, and advanced risk management services [1][6] - It provides actionable intelligence on claim trends, severity drivers, and risk exposures, enabling self-insured employers to mitigate losses and improve safety outcomes [3][6] Market Positioning - The product is designed to transform Excess Workers' Compensation coverage from a cost center into a competitive advantage for clients [4] - Employers Holdings, Inc. has over a century of experience in workers' compensation insurance, focusing on small and mid-sized businesses as well as self-insured enterprises [5] Underwriting and Availability - The program is underwritten by Employers Assurance Company, which has an A (Excellent) rating from A.M. Best Company [4][6] - The Excess Workers' Compensation insurance is currently available in select jurisdictions nationwide [5][6]