v3.26.3
Segments of Operations
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segments of Operations Segments of Operations
AFG manages its business as two segments: Property and casualty insurance and Other, which includes holding company assets and costs.

AFG reports its property and casualty insurance business in the following Specialty sub-segments: (i) Property and transportation, which includes physical damage and liability coverage for buses and trucks and other specialty transportation niches, inland and ocean marine, agricultural-related products and other commercial property coverages, (ii) Specialty casualty, which includes primarily excess and surplus and excess liability, general liability for the energy, construction and environmental industries, executive and professional liability, specialty coverages in targeted markets, and workers’ compensation insurance, and (iii) Specialty financial, which includes risk management insurance programs for lending and leasing institutions (including equipment leasing and collateral and lender-placed mortgage property insurance), surety and fidelity products and trade credit insurance. AFG’s reportable segments and their components were
determined based primarily upon similar economic characteristics, products and services. The impacts of all intercompany transactions between segments have been eliminated.

AFG’s Chief Operating Decision Makers (“CODMs”) are its Co-CEOs. The CODMs evaluate the performance of the Property and casualty insurance segment based on return on equity and underwriting profit. The CODMs use this measure to allocate resources and make capital decisions.

Sales of property and casualty insurance outside of the United States represented 3% and 4% of AFG’s revenues in the third quarter of 2026 and 2025, respectively, and 4% in both the first nine months of 2026 and 2025.

The following tables (in millions) show AFG’s assets, revenues and earnings before income taxes by segment and sub-segment.
September 30,
2026		December 31,
2025
Assets
Property and casualty insurance (*)$30,382 $27,654 
Other5,356 4,988 
Total assets$35,738 $32,642 
(*)Not allocable to sub-segments.
Three months ended September 30,Nine months ended September 30,
2026202520262025
Revenues
Property and casualty insurance:
Net earned premiums:
Specialty
Property and transportation$1,026 $935 $2,142 $2,011 
Specialty casualty831 810 2,444 2,403 
Specialty financial307 268 881 826 
Total net earned premiums
2,164 2,013 5,467 5,240 
Net investment income (a)289 205 678 554 
Other income3 6 10 9 
Total property and casualty insurance2,456 2,224 6,155 5,803 
Other (a)162 94 349 290 
Total revenues before realized gains (losses)
2,618 2,318 6,504 6,093 
Realized gains (losses) on securities
(35)12 (37)17 
Realized gain on subsidiaries
— 1 — 1 
Total revenues$2,583 $2,331 $6,467 $6,111 
Earnings Before Income Taxes
Property and casualty insurance:
Underwriting:
Specialty
Property and transportation$68 $55 $190 $119 
Specialty casualty42 33 121 102 
Specialty financial23 51 122 126 
Other lines(3)(1)(5)(2)
Total underwriting (b)130 138 428 345 
Investment and other income, net
276 190 637 502 
Total property and casualty insurance406 328 1,065 847 
Other (c)(12)(73)(114)(171)
Total earnings before realized gains (losses) and income taxes
394 255 951 676 
Realized gains (losses) on securities
(35)12 (37)17 
Realized gain on subsidiaries— 1 — 1 
Total earnings before income taxes
$359 $268 $914 $694 
(a)The sale of Charleston Harbor Resort and Marina in August 2026 generated $126 million in pretax net investment income. Since a property and casualty subsidiary and AFG parent each owned half of the property, these earnings are split evenly between the property and casualty segment and holding company results in “Other”.
(b)Significant segment expenses, which are losses and loss adjustment expenses and commissions and other underwriting expenses, are shown in the table below by sub-segment.
(c)Includes interest charges on borrowed money and other holding company expenses. Holding company expenses include special charges of $24 million and $25 million in the third quarter of 2026 and 2025, respectively, to increase environmental liabilities related to AFG’s former railroad and manufacturing operations.
The following table shows the components of underwriting profit, including significant segment expenses, for the Property and casualty insurance segment (in millions):
Three months ended September 30,Nine months ended September 30,
2026202520262025
Property and casualty insurance:
Specialty:
Property and transportation:
Net earned premiums
$1,026 $935 $2,142 $2,011 
Losses and loss adjustment expenses796 728 1,466 1,426 
Commissions and other underwriting expenses162 152 486 466 
Underwriting profit
$68 $55 $190 $119 
Specialty casualty:
Net earned premiums
$831 $810 $2,444 $2,403 
Losses and loss adjustment expenses539 541 1,581 1,593 
Commissions and other underwriting expenses250 236 742 708 
Underwriting profit
$42 $33 $121 $102 
Specialty financial:
Net earned premiums
$307 $268 $881 $826 
Losses and loss adjustment expenses132 85 324 306 
Commissions and other underwriting expenses152 132 435 394 
Underwriting profit
$23 $51 $122 $126 
Other lines:
Losses and loss adjustment expenses$3 $1 $5 $2 
Underwriting profit (loss)
$(3)$(1)$(5)$(2)
Total property and casualty insurance segment:
Net earned premiums
$2,164 $2,013 $5,467 $5,240 
Losses and loss adjustment expenses1,470 1,355 3,376 3,327 
Commissions and other underwriting expenses564 520 1,663 1,568 
Underwriting profit
$130 $138 $428 $345