UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________________________ FORM 10-Q ____________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to ______________ Commission file number 001-13958 _____________________ ...

[Part I - Financial Information](index=6&type=section&id=Part%20I%20-%20Financial%20Information) This section details the company's financial statements, management's analysis, and internal controls [Item 1. Financial Statements](index=6&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for Q1 2019, highlighting key financial performance and position [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) For the first quarter of 2019, total revenues increased to $4.94 billion, driven by a shift to net realized capital gains, with net income rising to $630 million Key Financial Metrics | Financial Metric | Q1 2019 (in millions) | Q1 2018 (in millions) | Change | | :--- | :--- | :--- | :--- | | **Total Revenues** | $4,940 | $4,691 | +5.3% | | Net Realized Capital Gains (Losses) | $163 | $(30) | NM | | Income from Continuing Operations, net of tax | $630 | $428 | +47.2% | | **Net Income** | $630 | $597 | +5.5% | | Net Income Available to Common Stockholders | $625 | $597 | +4.7% | | **Diluted EPS (Continuing Operations)** | $1.71 | $1.18 | +44.9% | | **Diluted EPS (Net Income)** | $1.71 | $1.64 | +4.3% | [Condensed Consolidated Balance Sheets](index=9&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2019, total assets increased to $63.3 billion, and total stockholders' equity significantly rose to $14.3 billion Key Balance Sheet Items | Balance Sheet Item | March 31, 2019 (in millions) | Dec 31, 2018 (in millions) | Change | | :--- | :--- | :--- | :--- | | **Total Investments** | $47,895 | $46,790 | +2.4% | | **Total Assets** | $63,324 | $62,307 | +1.6% | | **Total Liabilities** | $48,984 | $49,206 | -0.5% | | **Total Stockholders' Equity** | $14,340 | $13,101 | +9.5% | [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash provided by operating activities decreased to $279 million in Q1 2019, while investing activities provided $129 million in cash Key Cash Flow Activities | Cash Flow Activity | Q1 2019 (in millions) | Q1 2018 (in millions) | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $279 | $712 | | **Net Cash from (used for) Investing Activities** | $129 | $(242) | | **Net Cash used for Financing Activities** | $(428) | $(677) | | **Net Decrease in Cash** | $(17) | $(212) | [Notes to Condensed Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed disclosures on accounting policies, segment performance, investments, reserves, and contingencies, including strategic transactions and significant estimates - The company entered into a definitive agreement to acquire The Navigators Group, Inc. for **$2.2 billion** in cash, with the transaction expected to close in Q2 2019[26](index=26&type=chunk) - In May 2018, the company completed the sale of its life and annuity business, the results of which are now reported as discontinued operations for the prior year period[27](index=27&type=chunk)[235](index=235&type=chunk) Segment Net Income Contribution | Segment | Net Income Q1 2019 (in millions) | Net Income Q1 2018 (in millions) | | :--- | :--- | :--- | | Commercial Lines | $363 | $298 | | Personal Lines | $96 | $89 | | Property & Casualty Other Operations | $23 | $17 | | Group Benefits | $118 | $54 | | Hartford Funds | $30 | $34 | | Corporate | $0 | $105 | - The company maintains significant reserves for Asbestos and Environmental (A&E) claims, with net reserves of **$1.024 billion** for asbestos and **$196 million** for environmental as of March 31, 2019. An adverse development cover (ADC) with NICO provides up to **$1.5 billion** of reinsurance coverage for unfavorable development over the December 31, 2016 reserve levels[212](index=212&type=chunk)[213](index=213&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=60&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's analysis of financial condition and results, covering segment performance, investment results, and capital position [Consolidated Results of Operations](index=72&type=section&id=Consolidated%20Results%20of%20Operations) Consolidated net income available to common stockholders increased 5% to $625 million, driven by a positive swing in net realized capital gains and improved Group Benefits results - The increase in income from continuing operations was primarily due to a shift to net realized capital gains from net realized capital losses in 2018, a lower disability loss ratio and lower expenses in Group Benefits[308](index=308&type=chunk) - Other revenues increased significantly due to recognizing **$28 million** in income from the company's 9.7% ownership interest in the entity that acquired its former life and annuity business[313](index=313&type=chunk) [Segment Operating Summaries](index=87&type=section&id=Segment%20Operating%20Summaries) Segment performance was mixed, with Group Benefits showing significant improvement, while Commercial and Personal Lines experienced weaker underwriting results - **Commercial Lines:** Underwriting gain decreased **39%** to **$70 million**, and the combined ratio deteriorated **2.8 points** to **96.1%**, driven by a higher underlying loss ratio and increased expenses[384](index=384&type=chunk)[390](index=390&type=chunk)[393](index=393&type=chunk) - **Personal Lines:** Underwriting gain fell **19%** to **$54 million**. The combined ratio increased **1.0 point** to **93.2%** due to higher expenses and less favorable prior year development[408](index=408&type=chunk)[413](index=413&type=chunk)[418](index=418&type=chunk) - **Group Benefits:** Net income surged **119%** to **$118 million**. The total loss ratio improved by **2.7 points** to **74.7%**, driven by a **5.3 point** improvement in the group disability loss ratio due to favorable claim trends[437](index=437&type=chunk)[442](index=442&type=chunk)[455](index=455&type=chunk) - **Hartford Funds:** Net income fell **12%** to **$30 million**, reflecting lower fee revenue from a **4%** decrease in daily average AUM compared to the prior year[459](index=459&type=chunk)[466](index=466&type=chunk) [Enterprise Risk Management](index=103&type=section&id=Enterprise%20Risk%20Management) The company manages primary risks through established policies, limits, and comprehensive reinsurance programs, including protection against property, workers' compensation, and terrorism catastrophes - The company utilizes a Per Occurrence Property Catastrophe Treaty covering losses between **$350 million** and **$1.1 billion**, and a Workers' Compensation Catastrophe Treaty covering losses between **$100 million** and **$450 million**[481](index=481&type=chunk) - The company's estimated deductible under the federal Terrorism Risk Insurance Program (TRIPRA) is **$1.3 billion** for 2019[487](index=487&type=chunk) - As of March 31, 2019, the company has ceded **$523 million** in adverse A&E reserve development to NICO under its ADC, leaving approximately **$977 million** of coverage available[488](index=488&type=chunk)[367](index=367&type=chunk) [Capital Resources and Liquidity](index=116&type=section&id=Capital%20Resources%20and%20Liquidity) The company maintains a strong capital and liquidity position, with $2.9 billion in liquid assets and an improved debt-to-capitalization ratio, supporting strategic initiatives like the Navigators Group acquisition - The holding company (HFSG Holding Company) held **$2.9 billion** in fixed maturities, short-term investments, and cash[558](index=558&type=chunk) - A new **$1.0 billion** share repurchase authorization was announced in February 2019, effective through December 31, 2020[568](index=568&type=chunk)[623](index=623&type=chunk) Capitalization Metrics | Capitalization Metric | March 31, 2019 | Dec 31, 2018 | | :--- | :--- | :--- | | Total Debt | $4,266 million | $4,678 million | | Total Stockholders' Equity | $14,340 million | $13,101 million | | **Total Capitalization** | **$18,606 million** | **$17,779 million** | | Debt to Capitalization | 23% | 26% | [Item 4. Controls and Procedures](index=123&type=section&id=Item%204.%20Controls%20and%20Procedures) The company's disclosure controls and procedures were effective as of March 31, 2019, with no material changes to internal control over financial reporting during the quarter - Management concluded that the company's disclosure controls and procedures are effective as of the end of the period[615](index=615&type=chunk) - No material changes in internal control over financial reporting occurred during the first quarter of 2019[616](index=616&type=chunk) [Part II. Other Information](index=124&type=section&id=Part%20II.%20Other%20Information) This section covers legal proceedings, risk factors, and equity security sales [Item 1. Legal Proceedings](index=124&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various ordinary course legal actions, for which reserves have been established, with no expected material adverse effect on financial condition - The company faces ordinary course claims litigation, which is accounted for through unpaid loss and loss adjustment expense reserves[618](index=618&type=chunk) - Other legal actions include putative class actions alleging underpayment of claims or improper underwriting, as well as individual actions seeking punitive damages for alleged bad faith[619](index=619&type=chunk) [Item 1A. Risk Factors](index=125&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the year ended December 31, 2018 - The report incorporates by reference the risk factors disclosed in the company's 2018 Form 10-K, indicating no material changes during the quarter[621](index=621&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=126&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) In February 2019, the Board of Directors authorized a new $1.0 billion share repurchase program, effective through December 31, 2020 - A **$1.0 billion** share repurchase program was authorized in February 2019, effective through the end of 2020[623](index=623&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) þ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2018 or o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-13958 THE HARTFORD FINANCIAL SERVICES GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-3317783 (State o ...