v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information SEGMENT INFORMATION
Our Personal Lines segment writes insurance for personal autos, special lines products (e.g., recreational vehicles, such as motorcycles, RVs, and watercraft), personal residential property insurance for homeowners and renters, umbrella insurance, and flood insurance through the “Write Your Own” program for the National Flood Insurance Program. Property information for the three and six months ended June 30, 2024, was recast to conform to the current year presentation; see Note 10 – Segment Information in our 2024 Annual Report to Shareholders for further discussion.
Our Commercial Lines segment writes auto-related liability and physical damage insurance, business-related
general liability and commercial property insurance predominately for small businesses, and workers’ compensation insurance primarily for the transportation industry.
Our service businesses provide insurance-related services, including serving as an agent for homeowners, general liability, and workers’ compensation insurance, among other products, through programs in our direct Personal Lines and Commercial Lines businesses.
All segment revenues are generated from external customers and all intercompany transactions are eliminated in consolidation.

Following are the operating results for the respective periods:
(millions)Personal LinesCommercial Lines
Other1
Companywide
Three Months Ended June 30, 2025
Net premiums earned$17,544 $2,765 $1 $20,310 
Fees and other revenues263 40 0 303 
Total underwriting revenue17,807 2,805 1 20,613 
Losses and loss adjustment expenses:
Losses (excluding catastrophe losses)9,574 1,561 (1)11,134 
Catastrophe losses688 19 0 707 
Loss adjustment expenses1,471 292 1 1,764 
Total losses and loss adjustment expenses11,733 1,872 0 13,605 
Underwriting expenses:
Distribution expenses2
2,328 308 1 2,637 
Other underwriting expenses3
1,298 261 4 1,563 
Total underwriting expenses3,626 569 5 4,200 
Pretax underwriting profit (loss)$2,448 $364 $(4)2,808 
Investment profit (loss)4
1,249 
Service businesses profit (loss)(6)
Interest expense(69)
Total pretax profit (loss)$3,982 

(millions)Personal LinesCommercial Lines
Other1
Companywide
Three Months Ended June 30, 2024
Net premiums earned$14,545 $2,664 $0 $17,209 
Fees and other revenues216 44 0 260 
Total underwriting revenue14,761 2,708 0 17,469 
Losses and loss adjustment expenses:
Losses (excluding catastrophe losses)8,148 1,581 (1)9,728 
Catastrophe losses1,243 26 0 1,269 
Loss adjustment expenses1,324 274 0 1,598 
Total losses and loss adjustment expenses10,715 1,881 (1)12,595 
Underwriting expenses:
Distribution expenses2
1,828 284 0 2,112 
Other underwriting expenses3
1,135 239 2 1,376 
Total underwriting expenses2,963 523 2 3,488 
Pretax underwriting profit (loss)$1,083 $304 $(1)1,386 
Investment profit (loss)4
551 
Service businesses profit (loss)(8)
Interest expense(69)
Total pretax profit (loss)$1,860 
(millions)Personal LinesCommercial Lines
Other1
Companywide
Six Months Ended June 30, 2025
Net premiums earned$34,254 $5,464 $1 $39,719 
Fees and other revenues512 78 0 590 
Total underwriting revenue34,766 5,542 1 40,309 
Losses and loss adjustment expenses:
Losses (excluding catastrophe losses)18,683 3,120 (1)21,802 
Catastrophe losses1,142 24 0 1,166 
Loss adjustment expenses2,861 579 1 3,441 
Total losses and loss adjustment expenses22,686 3,723 0 26,409 
Underwriting expenses:
Distribution expenses2
4,676 594 1 5,271 
Other underwriting expenses3
2,573 523 8 3,104 
Total underwriting expenses7,249 1,117 9 8,375 
Pretax underwriting profit (loss)$4,831 $702 $(8)5,525 
Investment profit (loss)4
1,844 
Service businesses profit (loss)(12)
Interest expense(139)
Total pretax profit (loss)$7,218 

(millions)Personal LinesCommercial Lines
Other1
Companywide
Six Months Ended June 30, 2024
Net premiums earned$28,136 $5,222 $0 $33,358 
Fees and other revenues412 84 0 496 
Total underwriting revenue28,548 5,306 0 33,854 
Losses and loss adjustment expenses:
Losses (excluding catastrophe losses)15,711 3,174 (3)18,882 
Catastrophe losses1,581 35 0 1,616 
Loss adjustment expenses2,521 548 0 3,069 
Total losses and loss adjustment expenses19,813 3,757 (3)23,567 
Underwriting expenses:
Distribution expenses2
3,388 558 0 3,946 
Other underwriting expenses3
2,223 478 4 2,705 
Total underwriting expenses5,611 1,036 4 6,651 
Pretax underwriting profit (loss)$3,124 $513 $(1)3,636 
Investment profit (loss)4
1,319 
Service businesses profit (loss)(16)
Interest expense(139)
Total pretax profit (loss)$4,800 
1 Includes other underwriting businesses and run-off operations.
2 Includes policy acquisition costs, agents’ contingent commissions, and advertising costs attributable to our operating segments. A portion of our companywide advertising costs are also attributed to our service businesses.
3 Primarily consists of employee compensation and benefit costs, and the increase in the allowance for credit loss exposure on our premiums receivable.
4 Calculated as recurring investment income plus total net realized gains (losses) on securities, less investment expenses.
Our management uses underwriting margin and combined ratio as primary measures of underwriting profitability. The underwriting margin is the pretax underwriting profit (loss) expressed as a percentage of net premiums earned. Pretax underwriting profit (loss) is calculated as net premiums earned plus fees and other revenues, less: (i) losses and loss adjustment expenses; (ii) policy acquisition costs; and (iii) other underwriting expenses. Combined ratio is the complement of the underwriting margin. Fees and other revenues are netted against either loss adjustment expenses or underwriting expenses in the ratio calculations, based on the underlying activity that generated the revenue. Following are the underwriting margins and combined ratios for our underwriting operations for the respective periods:
Three Months Ended June 30,Six Months Ended June 30,
 2025202420252024
Under-
writing
Margin		Combined
Ratio		Under-
writing
Margin		Combined
Ratio		Under-
writing
Margin		Combined
Ratio		Under-
writing
Margin		Combined
Ratio
Personal Lines14.0 %86.0 7.4 %92.6 14.1 %85.9 11.1 %88.9 
Commercial Lines13.2 86.8 11.4 88.6 12.9 87.1 9.8 90.2 
Total underwriting operations13.8 86.2 8.1 91.9 13.9 86.1 10.9 89.1