Financial Data and Key Metrics Changes - AFG's Core Net Operating Earnings were $10.29 per share for the full year 2025, with a core operating return on equity of 18.2% [5] - For Q4 2025, Core Net Operating Earnings per share were $3.65, resulting in an annualized core return on equity of 25.2% [5] - The company returned over $700 million to shareholders in 2025, including $334 million in special dividends and $274 million in regular dividends [6][10] Business Line Data and Key Metrics Changes - Underwriting profits in specialty property and casualty businesses grew 41% in Q4 2025, with a combined ratio of 84.1%, an improvement of nearly 5 points from the prior year [14] - Gross written premiums for Q4 2025 were up 2%, while net written premiums were down 1% compared to the same period in 2024 [14] - The Property and Transportation Group achieved a 70.6% combined ratio in Q4 2025, an improvement of nearly 19 points from the prior year [16] Market Data and Key Metrics Changes - The annualized return on alternative investments in the P&C portfolio was 0.9% for Q4 2025, down from 4.9% in the prior year [8] - AFG's investment portfolio totaled $17.2 billion, with approximately 65% invested in fixed maturities yielding about 5.25% [7][10] Company Strategy and Development Direction - AFG aims for premium growth of 3%-5% in 2026, with a combined ratio target of approximately 92.5% [23] - The company is optimistic about several startup businesses and expects to see growth opportunities in specialty casualty and other lines [24][68] - AFG's strategy includes maintaining a disciplined focus on underwriting profitability while pursuing growth opportunities [24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of reserves and the ability to navigate competitive conditions while pursuing profitable growth [24] - The company anticipates a stable crop year in 2026, which is expected to positively impact the crop insurance business [47] - Management acknowledged pockets of softening rates but remains focused on disciplined growth strategies [24] Other Important Information - AFG declared a special dividend of $1.50 per share, payable on February 25, 2026, with an aggregate amount of approximately $125 million [9] - The company has declared $55.50 per share in special dividends since 2021, totaling $4.7 billion [10] Q&A Session Summary Question: What does the 2026 business plan assume in terms of rates relative to the 5% P&C renewal pricing? - Management indicated that they do not specifically identify amounts for prior development in the combined ratio but expect favorable development based on historical trends [27] Question: Was there any change in loss picks for the casualty underlying loss ratio? - Management noted continued caution around social inflation-exposed businesses and adjustments in loss picks, particularly in California workers' compensation [30][32] Question: What drove the inflection in pricing for the lender-placed business? - Management expressed confidence in the profitability of the lender-placed business and noted that pricing can vary based on client property characteristics [53][55] Question: Are the social inflation-related businesses stabilized? - Management indicated that corrective steps have been taken, and there are opportunities for mid-single-digit growth in these businesses [60] Question: What is the outlook for the alternative investment portfolio? - Management expects a return to historical levels of 10% or better, contingent on improvements in the multifamily property market [62][63]

Core Thesis - Chubb Limited is viewed positively due to its strong financial performance, disciplined capital allocation, and long-standing reputation for stability in the insurance sector [1][6]. Financial Performance - Chubb reported Q4 2025 results with revenue of $11.2 billion, net income of $2.58 billion, operating income of $2.45 billion, and EPS of $6.33, reflecting revenue growth of 16.8% and EPS growth of 18.4% year-over-year [4]. - The company has a current dividend yield of 1.28% and a conservative payout ratio of 16.19%, indicating a balance between shareholder returns and reinvestment for growth [3]. Growth Drivers - Chubb's client base has expanded by over 9% in the past year, with recurring revenue accounting for approximately 73% of total revenue, providing stable cash flows [4]. - Strategic acquisitions, particularly in Asia, have broadened market presence and added new premium streams [5]. - Investments in digital transformation and automation are enhancing efficiency and customer experience [5]. Historical Performance - Chubb has a 31-year consecutive dividend growth record, demonstrating its commitment to returning value to shareholders [3]. - The company has achieved 24% dividend growth over the past five years, ensuring sustainable payouts even during economic uncertainty [4]. Market Position - Chubb operates in 54 countries, serving a diverse range of clients through various insurance products, which contributes to its strong reliability and consistent dividend growth [3][5]. - The company's legacy of over 140 years reinforces its track record of innovation, adaptability, and shareholder value creation [5].

Financial Data and Key Metrics Changes - AFG's core net operating earnings were $10.29 per share for the full year 2025, with a core operating return on equity of 18.2% [5] - For Q4 2025, core net operating earnings per share were $3.65, resulting in an annualized fourth quarter core return on equity of 25.2% [5] - The company returned over $700 million to shareholders in 2025, including $334 million in special dividends and $274 million in regular dividends [6][10] Business Line Data and Key Metrics Changes - Underwriting profit in specialty property and casualty insurance grew 41% in Q4 2025, with a combined ratio of 84.1%, an improvement of nearly 5 points from the prior year [12][13] - Gross written premiums for Q4 2025 increased by 2%, while net written premiums decreased by 1% compared to the same period in 2024 [13] - The property and transportation group achieved a combined ratio of 70.6% in Q4 2025, an improvement of nearly 19 points from the prior year [16] Market Data and Key Metrics Changes - The annualized return on alternative investments in the P&C portfolio was 0.9% for Q4 2025, down from 4.9% in the prior year [8] - The company expects a growth in net written premiums of 3%-5% for 2026, with a combined ratio target of approximately 92.5% [22] Company Strategy and Development Direction - AFG aims to maintain a disciplined focus on underwriting profitability while pursuing growth opportunities in 2026 [24] - The company is optimistic about several startup businesses and expects to see progress in areas like Specialty Construction and Embedded Solutions [45] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strength of reserves and the ability to navigate changing economic conditions [12] - The company is mindful of softening rates and competitive conditions but believes its reserve strength and healthy rate environment will support growth [24] Other Important Information - AFG's leverage ratio is less than 28%, with no debt maturities until 2030, and insurance company financial strength ratings at A+ [10] - The company declared a special dividend of $1.50 per share, payable on February 25, 2026 [9] Q&A Session Summary Question: What does the 2026 business plan assume in terms of rates relative to the 5% P&C renewal pricing? - Management indicated that they are not specifically identifying amounts for prior development but expect favorable development based on their reserving strategy [27] Question: Was there any change in loss picks for the casualty underlying loss ratio? - Management noted continued caution around social inflation-exposed businesses and adjustments in loss picks, particularly in California workers' compensation [30][31] Question: What drove the inflection in pricing in the lender-placed business? - Management stated that pricing can vary based on client property types and that the business remains extremely profitable despite some lumpiness in pricing [56] Question: Are the social inflation-related businesses stabilized? - Management indicated that corrective steps have been taken, and there is potential for mid-single-digit growth in these businesses moving forward [62] Question: What is the outlook for the alternative investment portfolio? - Management expects a return to historical levels of returns on alternatives will require a better rate environment for multifamily properties [66]

Table of Contents | | Page | | --- | --- | | Consolidated Financial Highlights | 3 | | Consolidated Statements of Operations | 4 | | Consolidated Balance Sheets | 5 | | Capital Metrics | 6 | | Property & Casualty Segment | | | Statements of Operations | 7 | | Auto Products | 8 | | Property & Other Products | 9 | | Life & Retirement Segment | | | Statements of Operations | 10 | | Life Insurance Products | 10 | | Retirement Products | 11 | | Account Value Rollforward | 12 | | Supplemental & Group Benefits | | ...

Core Insights - American Financial Group, Inc. (AFG) reported fourth-quarter 2025 net operating earnings per share of $3.65, exceeding the Zacks Consensus Estimate by 14.8% and reflecting a 17% year-over-year increase driven by underwriting income [1][2] Financial Performance - Total revenues for the quarter were $2 billion, a decrease of 2.7% year over year, primarily due to lower net investment income, and missed the Zacks Consensus Estimate by 1.4% [3] - Net earned premiums declined 2.4% year over year to $1.81 billion, slightly missing the Zacks Consensus Estimate of $1.82 billion [3] - Net investment income fell 5.7% year over year to $183 million, below both the estimate of $192 million and the Zacks Consensus Estimate of $196 million [4] - Total costs and expenses decreased 7.9% year over year to $1.7 billion, attributed to lower losses and expenses of managed investment entities, also lower than the estimate of $1.8 billion [4] Segment Analysis - The Specialty P&C Insurance segment generated $1.4 billion in net written premiums, down 1% year over year, with the Property & Transportation Group seeing a 2% decline to $398 million [5] - Specialty Casualty Group's net written premiums increased 3% year over year to $796 million, surpassing the estimate of $758 million, while Specialty Financial Group's premiums decreased 10% to $250 million, below the estimate of $291.8 million [6] - Underwriting profit for the Specialty P&C Insurance segment rose 41% year over year to $287 million, driven by the Property and Transportation Group, exceeding the estimate of $178.8 million [7] Catastrophe Impact - Catastrophe losses were $4 million in the quarter, significantly lower than the $21 million loss in the previous year, contributing to improved underwriting profit in the Property and Transportation Group [8] Profitability Metrics - The current combined ratio was 83.0%, up 230 basis points from the previous year's 80.7%, with results benefiting from favorable prior-year reserve development [9] - Pre-tax core operating earnings before income taxes for the P&C Insurance segment increased 16.4% year over year to $440 million [7] Shareholder Returns - AFG returned $707 million to shareholders in 2025, including $334 million in special dividends and $99 million in share repurchases, and declared a $1.50 special dividend payable on February 25, 2026 [10][13] Full-Year Overview - For the full year, net operating EPS was $10.29, down 4.3% year over year, with revenues decreasing 1.8% to $8.3 billion and net premiums written remaining flat at $7.1 billion [11] - The combined ratio improved by 20 basis points to 91% [11] Future Projections - AFG projects core operating EPS of $11 and a core operating ROE of approximately 18% for 2026, with net written premiums expected to grow by 3-5% and a combined ratio estimated at 92.5% [14]

American Financial Group, Inc. Investor Supplement - Fourth Quarter 2025 February 3, 2026 American Financial Group, Inc. Corporate Headquarters Great American Insurance Group Tower 301 E Fourth Street Cincinnati, OH 45202 513 579 6739 | Table of Contents - Investor Supplement - Fourth Quarter 2025 | 2 | | --- | --- | | Financial Highlights | 3 | | Summary of Earnings | 4 | | Earnings Per Share Summary | 5 | | Property and Casualty Insurance Segment | | | Property and Casualty Insurance - Summary Underwritin ...

Core Insights - Chubb Limited reported a fourth-quarter 2025 core operating income of $7.52 per share, exceeding the Zacks Consensus Estimate by 13.9% and showing a year-over-year improvement of 24.9% [1][2] - Total operating revenues increased by 7.4% year over year to $15.3 billion, surpassing the Zacks Consensus Estimate by 1.7% [1][2] Financial Performance - Net premiums written rose by 8.9% year over year to $13.1 billion, exceeding both internal estimates and the Zacks Consensus Estimate [4][9] - Record net investment income reached $1.7 billion, an increase of 8%, while adjusted net investment income was $1.8 billion, up 7.3% year over year [4][9] - Property and casualty (P&C) underwriting income hit a record $2.2 billion, up 39.6% year over year, significantly above the Zacks Consensus Estimate of $1.8 billion [5][9] - The P&C combined ratio improved by 450 basis points year over year to 81.2%, better than the Zacks Consensus Estimate of 83.6% [6][9] Segment Performance - North America Commercial P&C Insurance saw net premiums written increase by 4.3% year over year to $5.1 billion, with a combined ratio improvement of 180 basis points to 78.8% [7] - North America Personal P&C Insurance reported a 6.1% increase in net premiums written to $1.72 billion, with a combined ratio improvement of 850 basis points to 74.1% [10] - North America Agricultural Insurance experienced a significant 45.1% increase in net premiums written to $459 million, driven by growth in crop insurance [11] - Overseas General Insurance net premiums written increased by 10.8% year over year to $3.8 billion, with a combined ratio improvement of 460 basis points to 83% [12] - Life Insurance net premiums written rose by 16.9% year over year to $1.8 billion, with segment income increasing by 19.3% in constant dollars [12] Full-Year Highlights - For the full year 2025, Chubb's core operating income was $24.79 per share, slightly missing the Zacks Consensus Estimate of $24.83, but showing a year-over-year increase of 10.8% [13] - Total net premiums written for the year reached $54.8 billion, up 6.6%, while P&C underwriting income improved by 11.6% year over year to $6.5 billion [13] Financial Position - As of December 31, 2025, Chubb's cash balance was $2.5 billion, a decrease of 3.1% from the previous year, while total shareholders' equity grew by 16.7% to approximately $80 billion [14] - Book value per share increased by 18% to $188.59 [14] - Operating cash flow for the quarter was $4.06 billion, with adjusted operating cash flow at $4.17 billion [15] Capital Deployment - In 2025, Chubb returned $4.91 billion to shareholders, including $3.39 billion in share repurchases and $381 million in dividends [16]

Financial Data and Key Metrics Changes - The company achieved a record fourth quarter with an operating return on equity of 23.1%, and a full-year combined ratio of 91.6%, improving over three points year-over-year [21][22] - The full-year operating return on equity reached an all-time high of 20%, with record annual operating earnings per share [8][21] - The expense ratio for the year improved by 20 basis points to 31.1%, driven by higher variable agency and employee compensation [22][32] Business Line Data and Key Metrics Changes - Personal Lines net written premium growth increased to 4.4% in the fourth quarter, with full-year growth of 3.7%, primarily driven by pricing [10][24] - Core Commercial net written premiums grew 3.6% for the year and 2.5% in the quarter, led by Small Commercial with double-digit new business growth [28][30] - Specialty segment premium growth moderated to approximately 4% in the fourth quarter, reflecting competitive pressure across property lines [17][30] Market Data and Key Metrics Changes - The company reported strong retention rates in Personal Lines, with retention remaining stable, indicating strong customer loyalty [10][24] - In the Core Commercial segment, overall retention improved to 85.3%, up nearly a point from the previous quarter [30] - The competitive environment in Middle Market is heating up, particularly in larger property schedules, but opportunities remain in sectors like human services [62] Company Strategy and Development Direction - The company is focused on disciplined execution and strong engagement across the enterprise, prioritizing profitability and quality risk selection [6][7] - Investments are being made to enhance product and service capabilities, technology, and agency partnerships to sharpen competitive edge [8][19] - The company aims to achieve mid-single-digit growth in net written premiums for 2026, with a combined ratio excluding catastrophes expected to be in the range of 88%-89% [35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to sustain strong margins despite competitive pressures and changing market conditions [10][19] - The company is well-positioned to capitalize on opportunities in any market environment, driving sustainable growth and profitability [8][19] - Management noted that liability severity trends are stabilizing, and they are being prudent with reserving strategies in a litigious environment [58][59] Other Important Information - The company raised its quarterly dividend by 5.6% to $0.95 per share, marking the 21st consecutive year of dividend increases [34] - The investment portfolio saw a 24.9% increase in net investment income in the fourth quarter, reflecting growth in the asset base and higher reinvestment yields [32][33] - The company repurchased approximately 307,000 shares totaling $55 million in the fourth quarter, continuing its commitment to responsible capital management [34][73] Q&A Session Summary Question: Adjustments to auto liability severity - Management confirmed that adjustments were made to personal auto liability reserves due to increased severity [40] Question: Changes in agency partner approach in a softer pricing environment - Management indicated that dialogue with top agents is increasing, focusing on strategic partnerships and operational efficiency [41][42] Question: Non-CAT property benefits in homeowners - Management noted that favorable weather and pricing above loss trends contributed to improved margins, but specific benefits were difficult to quantify [50] Question: Competitive dynamics in Middle Market commercial - Management acknowledged heightened competition in larger property schedules but emphasized opportunities in specific sectors like human services [62] Question: Future CAT load management - Management stated that while they aim to reduce CAT exposure, they will remain conservative in their approach to modeling and managing CAT loads [64][66]

Financial Data and Key Metrics Changes - Voya Financial reported over $1 billion of pre-tax adjusted operating earnings for the full year 2025, which is $168 million higher than the previous year, and increased earnings per share by 22% to $8.85 [15][16] - The company generated $775 million of excess cash, significantly exceeding its target [7][16] - Adjusted return on equity expanded by over 200 basis points to 18.6% [26] Business Line Data and Key Metrics Changes - In the retirement segment, adjusted operating earnings reached nearly $1 billion, a 17% increase from 2024, with defined contribution net flows surpassing $28 billion, the highest in Voya's history [17][19] - Investment management achieved record net revenues exceeding $1 billion, with 4.8% organic growth, well above the long-term target [12][20] - Employee benefits saw adjusted operating earnings improve to $152 million from $40 million in the prior year, driven by better margins in Stop Loss [22] Market Data and Key Metrics Changes - Combined retirement and investment management assets surpassed $1 trillion, illustrating the scale and value of Voya's integrated business model [7][8] - The company reported a record $360 billion in assets under management (AUM) due to strong net flows [13] Company Strategy and Development Direction - Voya's strategic priorities for 2026 include growing excess cash generation, maintaining balance sheet strength, driving commercial momentum in retirement and investment management, and improving margins in employee benefits [31][32] - The integration of OneAmerica exceeded financial targets and expanded capabilities, contributing to the overall growth strategy [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to continue generating excess capital and achieving financial targets in 2026, supported by strong commercial momentum and disciplined expense management [16][31] - The company anticipates meaningful defined contribution net inflows in 2026, underpinned by plans expected to fund in the latter half of the year [19] Other Important Information - Voya plans to repurchase $150 million of shares in the first quarter of 2026, with similar plans for the second quarter, subject to macro conditions [28] - The company is actively assessing opportunities for mergers and acquisitions in the retirement space while maintaining a high bar for such activities [94] Q&A Session Summary Question: Inquiry about Stop Loss reserves - Management clarified that the reserve increase was due to a combination of conservative estimates and modestly better claims experience compared to the previous year [34][35] Question: Follow-up on Stop Loss rate increases - Management indicated that the 24% rate increase for January 2026 is expected to be sufficient, given the current demand and pricing environment [39][41] Question: Outlook for full-service retirement organic growth - Management expects strong organic growth in retirement, building off the previous year's performance and high retention rates [90][92] Question: Strategic rationale for Stop Loss in relation to other business lines - Management emphasized that Stop Loss is a critical product that complements other offerings and helps clients manage volatile medical expenses [75][78] Question: Comments on artificial intelligence opportunities and risks - Management sees significant opportunities in leveraging AI for efficiency and client experience, while also being aware of potential disintermediation risks [105][106]

Financial Data and Key Metrics Changes - Voya Financial reported over $1 billion of pre-tax adjusted operating earnings for the full year 2025, which is $168 million higher than the previous year, and increased earnings per share by 22% to $8.85 [17][28] - The company generated $775 million of excess cash, exceeding its target, with approximately $175 million generated in the fourth quarter [17][28] - Adjusted return on equity expanded by over 200 basis points to 18.6% [28] Business Line Data and Key Metrics Changes - In the retirement segment, adjusted operating earnings reached nearly $1 billion, a 17% increase from 2024, with defined contribution net flows surpassing $28 billion, the highest in Voya's history [18][20] - Investment management achieved record net revenues exceeding $1 billion, with 4.8% organic growth, significantly above the long-term target [13][22] - Employee benefits saw adjusted operating earnings improve to $152 million from $40 million in the prior year, driven by improvements in Stop Loss [24][28] Market Data and Key Metrics Changes - Combined retirement and investment management assets surpassed $1 trillion, reflecting the scale and integrated business model of Voya [7][8] - The company reported a record $360 billion in assets under management (AUM) due to strong net flows [14] Company Strategy and Development Direction - Voya's strategic priorities for 2026 include growing excess cash generation, maintaining balance sheet strength, driving commercial momentum in retirement and investment management, and improving margins in employee benefits [32][33] - The integration of OneAmerica exceeded financial targets and expanded client capabilities, contributing to the growth strategy [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to generate excess capital in 2026, supported by strong performance across all business segments [30][63] - The company anticipates continued strong defined contribution net inflows and margin expansion in employee benefits, particularly in Stop Loss [21][24] Other Important Information - The company plans to repurchase $150 million of shares in the first quarter of 2026, with similar plans for the second quarter, subject to macro conditions [30] - Voya is actively assessing opportunities for mergers and acquisitions in the retirement space while maintaining a high bar for such activities [95] Q&A Session Summary Question: Details on Stop Loss reserves - Management indicated that the reserve increase was due to a wider range of outcomes in claims experience, particularly related to cancer and high-cost therapies [35][82] Question: Future pricing for Stop Loss - Management believes the 24% rate increase for January 2026 is sufficient, given the current demand and supply dynamics in the market [40][41] Question: Outlook for retirement business growth - The company expects strong organic growth in retirement, building on the $28 billion in net flows from 2025 and a participant base of approximately 10 million [91][92] Question: Strategic rationale for Stop Loss - Management highlighted the importance of Stop Loss in controlling volatile medical expenses for self-insured employers, which complements other offerings in the employee benefits portfolio [75][78] Question: AI opportunities and risks - Management sees AI as an opportunity to improve client experience and operational efficiency, while also being aware of potential disintermediation risks [106][107]