Selective Insurance ( (SIGI) ) has released its Q2 earnings. Here is a breakdown of the information Selective Insurance presented to its investors.
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Selective Insurance Group, Inc. is a holding company for ten property and casualty insurance companies, offering standard and specialty insurance products through independent agents, and is recognized for its unique operating model and strong market presence.
In the second quarter of 2025, Selective Insurance reported a net income per diluted common share of $1.36 and a non-GAAP operating income per diluted common share of $1.31, with a return on common equity of 10.7%. The company saw a 5% increase in net premiums written and an 18% rise in after-tax net investment income compared to the same quarter in 2024.
Key financial highlights include a GAAP combined ratio of 100.2%, a significant improvement from 116.1% in the previous year, driven by lower unfavorable prior year casualty reserve development and catastrophe losses. The company’s commercial lines saw a 6% growth in premiums, while personal lines experienced a 5% decline due to strategic profit improvement actions. The investments segment reported a robust 18% increase in after-tax net investment income.
Selective Insurance’s management remains focused on improving profitability through pricing and underwriting actions, leveraging its unique operating model to enhance risk selection and pricing granularity. The company aims to deliver profitable growth in the current market environment by executing its strategic initiatives effectively.
Looking ahead, Selective Insurance anticipates a GAAP combined ratio of 97% to 98% for the full year 2025, with expectations of continued growth in net investment income and a stable effective tax rate, positioning the company for sustained financial performance.