CB

Wrapping up Q1 earnings, we look at the numbers and key takeaways for the multi-line insurance stocks, including Chubb (NYSE:CB) and its peers. Multi-line insurance companies operate a diversified business model, offering a broad suite of products that span both Property & Casualty (P&C) and Life & Health (L&H) insurance. This diversification allows them to generate revenue from multiple, often uncorrelated, underwriting pools while also earning investment income on their combined float. Interest rates matter for the sector (and make it cyclical), with higher rates allowing insurers to reinvest their fixed-income portfolios at more attractive yields and vice versa. The market environment also matters for P&C operations specifically, with a 'hard market' characterized by pricing increases that outstrip claim costs, resulting in higher profits while a 'soft market' is the opposite. On the other hand, a key headwind is increasing volatility and severity of catastrophe losses, driven by climate change, which poses a significant threat to P&C underwriting results. The 4 multi-line insurance stocks we track reported a slower Q1. As a group, revenues beat analysts’ consensus estimates by 9.8%. While some multi-line insurance stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 4% since the latest earnings results. Dating back to when a Civil War veteran created a frost-proof water meter, Chubb Limited (NYSE:CB) provides commercial and personal property and casualty insurance, reinsurance, and life insurance products to a diverse client base across 54 countries. Chubb reported revenues of $15.3 billion, up 11.9% year on year. This print exceeded analysts’ expectations by 4.7%. Despite the top-line beat, it was still a mixed quarter for the company with an impressive beat of analysts’ net premiums earned estimates but a significant miss of analysts’ book value per share estimates. Evan G. Greenberg, Chairman and Chief Executive Officer of Chubb Limited, commented: "We had an excellent quarter and start to the year, which speaks to the strength and resilience of our company in a period of elevated uncertainty. Our globally diversified business, underwriting discipline and strong balance sheet contribute to our returns while creating continued opportunities for growth. Chubb scored the fastest revenue growth...

Palomar Holdings, Inc. PLMR reported first-quarter 2026 operating income of $2.31 per share, which beat the Zacks Consensus Estimate by 6.4%. The bottom line increased 23.5% year over year. Total revenues improved 58.7% year over year to $281 million, mainly driven by higher premiums, commission, investment income and other income. The top line beat the Zacks Consensus Estimate by 7.8%. Palomar delivered robust first-quarter premium and revenue growth, supported by higher net earned premiums and investment income. However, higher losses and underwriting expenses pressured profitability, leading to a decline in underwriting income. Palomar Holdings, Inc. price-consensus-eps-surprise-chart | Palomar Holdings, Inc. Quote Gross written premiums increased 42.4% year over year to $629.8 million but missed our estimate of $659.9 million. Net earned premiums rose 59.3% year over year to $261.4 million, exceeding our estimate of $236.6 million and the Zacks Consensus Estimate of $242.5 million. Net investment income climbed 49% year over year to $18 million, driven by higher yields on invested assets and a larger average investment balance supported by strong operating cash flow. The figure surpassed both the Zacks Consensus Estimate of $16.6 million and our estimate of $16.4 million. Palomar reported adjusted underwriting income of $62.8 million, marking a 21.6% increase from the prior-year level. Reported underwriting income fell 8% year over year to $40.5 million, missing our estimate of $48.1 million. Total expenses rose 86.5% year over year to $225.5 million due to higher losses and loss adjustment expenses, increased acquisition costs, elevated underwriting expenses and higher interest expense. The figure exceeded our estimate of $189.6 million. The loss ratio was 33.3%, deteriorated 970 basis points year over year. It was higher than our estimate of 30% and the Zacks Consensus Estimate of 32.1%. The adjusted combined ratio worsened 750 basis points year over year to 76%, above the Zacks Consensus Estimate of 74.9%. Cash and cash equivalents declined 47.1% to $56.5 million from the 2025-end level. Shareholders’ equity increased 1.7% to $959 million from the 2025-end level. Annualized adjusted return on equity for the first quarter of 2026 was 26.6%, down 40 basis points year over year. During the quarter, the company repurchased 0.2 million shares for $23.1 mil...

Mercury General Corporation MCY reported first-quarter 2026 operating income of $3.50 per share, which beat the Zacks Consensus Estimate by 63%. The bottom line rebounded from a loss of $2.29 incurred in the prior-year quarter. Total operating revenues in the quarter were $1.5 billion, up 10.5% year over year. The top line surpassed the consensus estimate by 6.1%. The better-than-expected quarterly results were driven by higher net premiums, favorable investment results, lower catastrophe losses and improved operating expenses. Mercury General Corporation price-consensus-eps-surprise-chart | Mercury General Corporation Quote Net premiums earned climbed 13.2% year over year to $1.4 billion, which surpassed the Zacks Consensus Estimate by 6.7%. Net investment income, before income taxes, increased 5.1% year over year to $85.6 million, driven primarily by higher average invested assets and cash, along with an improved average yield. The figure missed the Zacks Consensus Estimate by approximately 3.5%. Total expenses decreased 15.1% year over year to $1.3 billion, primarily due to lower losses and loss adjustment expenses, policy acquisition costs and interest expenses. Catastrophe losses, net of reinsurance, totaled $93 million, lower than $447 million incurred in the year-ago quarter. The majority of 2026 catastrophe losses stemmed from the Palisades and Eaton wildfires in California, as well as severe storms in Texas, Oklahoma and California. The combined ratio — a measure of underwriting profitability — improved 2,990 basis points (bps) year over year to 89.3. The Zacks Consensus Estimate was pegged at 95.5. The loss ratio improved 3,090 bps to 64.2, while the expense ratio deteriorated 110 bps to 25.1. Mercury General exited first-quarter 2026 with total assets of $9.8 billion, which were 3.3% above the 2025-end level. As of March 31, 2026, MCY reported a solid cash balance of $1.3 billion, reflecting an increase of 2.7% from the 2025-end level. Notes payable of $574.6 million inched up 0.2% from the 2025-end level. The debt-to-total capitalization ratio improved 100 basis points year over year to 18.2% as of March 31, 2026. Shareholder equity was $2.5 billion as of March 31, 2026, up 7.1% from the 2025-end level. As of March 31, 2026, book value per share was $46.76, up 7.2% from the 2025-end level. The board of directors declared a quarterly dividend of 3...

AXIS Capital Holdings Limited AXS reported first-quarter 2026 operating income of $3.42 per share, which outpaced the Zacks Consensus Estimate of $3.23 and rose 7.9% year over year. The quarterly results benefited from higher net premiums earned and stronger underwriting income, partly offset by lower net investment income and higher expenses. Axis Capital Holdings Limited price-consensus-eps-surprise-chart | Axis Capital Holdings Limited Quote Total operating revenues of $1.7 billion marginally beat the Zacks Consensus Estimate by 0.4%. The top line rose nearly 7.7% year over year on higher premiums earned. Net premiums written increased 9% to $1.9 billion, driven by a 24% rise in the Insurance segment, partially offset by a 13% decline in the Reinsurance segment. Net investment income decreased 11.1% year over year to $184.7 million, due to lower income from cash. The Zacks Consensus Estimate was pegged at $225.1 million. Total expenses in the quarter increased 3.8% year over year to $1.3 billion due to higher net losses and loss expenses, acquisition costs and reorganization expenses. Our estimate was pegged at $1.4 billion. Pre-tax catastrophe and weather-related losses, net of reinsurance, totaled $48 million, including $33 million from natural catastrophes. The remaining $15 million was attributable to the Middle East conflict. AXIS Capital’s underwriting income of $187 million increased 15% year over year. The combined ratio improved to 89.8 in the quarter from 90.2 a year ago, reflecting stronger underwriting performance. The Zacks Consensus Estimate was pegged at 93.1. Our estimate was 92.6. Insurance: Gross premiums written improved 19.8% year over year to $2 billion. Our estimate was $1.8 billion. Net premiums earned increased 23.8% year over year to $1.3 billion, driven by higher gross premiums written and a lower cession rate in liability lines, partly offset by a higher cession rate in property lines. Our estimate was $1.1 billion. Underwriting income of $157.4 million increased 17% year over year. The combined ratio improved 40 basis points to 86.3. The Zacks Consensus Estimate for the combined ratio was pegged at 88.4. Reinsurance: Gross premiums written decreased 2.2% year over year to $1.1 billion, mainly due to non-renewals and reduced line sizes in liability and motor lines, in line with our estimate of $1.1 billion. Net premiums earned i...

Everest Group, Ltd. EG reported first-quarter 2026 operating income of $16.08 per share, which beat the Zacks Consensus Estimate by 14.6%. The bottom line increased significantly 149% year over year. Everest Group benefited from solid investment income growth and improved catastrophe losses, which driving a sharp improvement in profitability despite weaker premiums and top-line pressure. Total operating revenues of about $4 billion declined 4.6% year over year, reflecting lower premiums. The top line missed the Zacks Consensus Estimate by 7.7%. Everest Group, Ltd. price-consensus-eps-surprise-chart | Everest Group, Ltd. Quote Gross written premiums fell 18.5% year over year to $3.6 billion, reflecting an 8.5% decline in Reinsurance Treaty, partially offset by growth in Global Wholesale &Specialty. Our estimate was $4.8 billion. Net investment income rose 15.5% year over year to $567 million, driven by a larger asset base and strong alternative investment returns. The figure exceeded our estimate of $491 million and the Zacks Consensus Estimate of $513 million. Total claims and expenses declined 17% to $3.3 billion, primarily due to lower incurred losses and loss adjustment expenses, commissions, brokerage, taxes and fees. Our estimate was $3.7 billion. Underwriting income totaled $316 million in contrast to an underwriting loss of $104 million in the year-ago quarter. Pre-tax catastrophe losses, net of recoveries and reinstatement premiums, were $130 million, narrower than $472 million a year ago. The combined ratio improved 1160 basis points year over year to 91.2. The Zacks Consensus Estimate was 94.2, while our estimate was 93.9. Reinsurance Treaty segment generated gross written premiums of $2.7 billion, down 8.5% year over year and below our estimate of $3.6 billion. The decline reflected lower volumes in Property Non-Catastrophe XOL, Casualty Pro-Rata and Casualty XOL, which were offset by growth in Property Catastrophe XOL and Financial Lines. The segment’s combined ratio improved to 87.2 from 104.7 a year ago. Our estimate was 91. Global Wholesale & Specialty segment posted gross written premiums of $793 million, up 1.6% year over year. Higher premiums in Accident and Health and Other Specialty were offset by declines in Property / Short Tail, Specialty Casualty, Professional Liability and Workers' Compensation. The combined ratio improved 110 basis...

Chubb Limited (NYSE:CB) is one of the Best Fundamental Stocks to Invest in According to Billionaires. On April 21, the company released results for Q1 2026, with core operating earnings coming at $2.7 billion, or $6.82 per share. Notably, healthy growth in P&C underwriting income, investment income, and life income resulted in the core operating earnings. Chubb Limited (NYSE:CB)’s globally diversified business, underwriting discipline, and robust balance sheet help generate returns and create growth opportunities. Given the company’s diversification and balance of opportunities, it produced healthy growth. Its consolidated net premiums rose by 10.7% to $14 billion, which include 21% growth in the global consumer businesses (both P&C and Life). Chubb Limited (NYSE:CB)’s book value witnessed an unfavourable impact of after-tax net realized and unrealized losses of $1.94 billion in its investment portfolio. This was mainly due to the mark-to-market impact in the public fixed-income portfolio. However, this was partially mitigated by $346 million of foreign currency gains. Chubb Limited (NYSE:CB) offers insurance and reinsurance products. While we acknowledge the potential of CB as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 Best FMCG Stocks to Invest In According to Analysts and 11 Best Long-Term Tech Stocks to Buy According to Analysts. Disclosure: None. Follow Insider Monkey on Google News.

Unum Group’s UNM first-quarter 2026 operating net income of $2.14 per share missed the Zacks Consensus Estimate by 3.4%. The bottom line decreased 9.7% year over year. The quarterly results were adversely impacted by higher benefit costs and weaker international profitability. However, premium growth and strong sales momentum partly offset the decline. Unum Group price-consensus-eps-surprise-chart | Unum Group Quote Total operating revenues of Unum Group were $3.4 billion, up 8.5% year over year. The top line surpassed the Zacks Consensus Estimate by 14.4%. Premium increased 3.4% from the prior-year quarter to $2.8 billion, which is higher than our estimate of $2.5 billion. The Zacks Consensus Estimate was pegged at $2.7 billion. Total benefits and expenses increased 7.2% year over year to $3.1 billion, largely attributable to higher policy benefits, commissions and other expenses. The figure was higher than our estimate of $2.5 billion. Unum U.S.: Premium income was $1.8 billion, up 3.3% year over year. Adjusted operating income increased 2.7% year over year to $338 million. It excludes the amortization of the deferred gain on reinsurance of $4.4 million and the impact of non-contemporaneous reinsurance of $0.6 million. The Zacks Consensus Estimate was pegged at $328 million, while our estimate was $341 million. The group disability line of business reported a 10.6% decrease in adjusted operating income while the group life and accidental death and dismemberment line of business reported a 66.3% increase. The supplemental and voluntary line of business reported a decrease of 17.4%. Unum International: Premium income of $286.7 million increased 16.2% year over year. Adjusted operating income was $30.9 million, down 20.2% year over year. The Zacks Consensus Estimate was pegged at $41 million, while our estimate was $47.5 million. The Unum U.K. line of business premium income totaled £172.1 million, up 6.6% from the year-ago quarter, primarily due to in-force block growth, sales, and favorable persistency. Adjusted operating income, in local currency, was £20.4million was down 30.8% year over year. The benefit ratio, excluding the reserve assumption updates, was 72.9%, which deteriorated 580 basis points (bps), primarily due to higher average claim size and increased claim incidence in the group long-term disability business. Sales increased 15% to £24.5 milli...

Chubb’s first quarter results were shaped by strong premium growth across both property and casualty (P&C) and life insurance businesses, with management attributing the performance to disciplined underwriting and geographic diversification. CEO Evan Greenberg emphasized that “core operating earnings of $6.82 per share were up substantially over the prior year,” highlighting growth in international markets and a rebound from last year’s catastrophe losses. However, management expressed caution about the current market environment, particularly in property pricing, which Greenberg described as softening at an unsustainable pace. This acknowledgment of external pressures, combined with robust investment income and tangible book value gains, formed the backbone of the quarter’s outcomes. Is now the time to buy CB? Find out in our full research report (it’s free). Revenue: $15.3 billion vs analyst estimates of $14.61 billion (11.9% year-on-year growth, 4.7% beat) Adjusted EPS: $6.82 vs analyst estimates of $6.61 (3.2% beat) Adjusted Operating Income: $3.40 billion vs analyst estimates of $3.51 billion (22.2% margin, 3.3% miss) Operating Margin: 22.2%, up from 14% in the same quarter last year Market Capitalization: $126.1 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Jian Huang (Morgan Stanley) asked how Middle East conflict-related inflation could affect U.S. pricing; CEO Evan Greenberg replied that the impact is unknowable but expects some inflationary effect, which Chubb will adapt to as needed. Michael Zaremski (BMO Capital Markets) questioned declining property pricing and increased competition; Greenberg attributed this to capital chasing volume-based incentives and intermediaries, noting Chubb’s emphasis on disciplined underwriting instead of chasing underpriced business. Charles Peters (Raymond James) explored the risks posed by new AI technologies for cyber insurance; Greenberg detailed that AI-driven vulnerabilities are increasing, especially for middle-market companies, and Chubb is investing in monitoring and patching capabilities to manage these exposures. Meyer Shields (KBW) inquired about whethe...

First American Financial Corporation FAF reported first-quarter 2026 operating earnings of $1.33 per share, which beat the Zacks Consensus Estimate by 25.4% and rose 58.3% year over year. Operating revenues climbed 16.2% to $1.8 billion, driven by growth in direct premiums, escrow fees, and Information and other revenues. The top line surpassed the consensus estimate by 1.08%. The quarterly results were supported by robust growth in its Title segment, particularly commercial business, alongside increased average revenue per order and higher investment income. These gains were partly offset by elevated operating expenses. Direct premiums and escrow fees reached $660.2 million, marking a 17.7% increase from the prior-year level. The figure exceeded the Zacks Consensus Estimate by 17.7% and our model estimate by 17.7%. First American Financial Corporation price-consensus-eps-surprise-chart | First American Financial Corporation Quote Investment income totaled $152.4 million in the first quarter, up 13% year over year, driven by a 12% increase in Title segment investment income, partially offset by losses at the corporate level. The figure was below our estimate and the Zacks Consensus Estimate of $155.2 million. Expenses increased 12.8% to $1.6 billion, caused by higher interest expense, agent premiums, personal costs and other operating expenses. The figure was on par with our estimate of $1.6 billion. Title Insurance and Services: Total revenues rose 16.7% year over year to $1.7 billion, which beat the Zacks Consensus Estimate by 1.2%. This was driven by 21% growth in direct premiums and escrow fees, and agent premiums along with steady net investment income. Investment income increased 12% to $154 million, supported by higher interest income from the company's investment portfolio and warehouse lending business Adjusted pretax margin expanded 250 bps to 10%. Title open orders grew 8..2% to 182,900, closed orders rose 9%, and average revenue per direct title order increased to $4,229, reflecting a 48% jump in commercial order revenues. This was partly offset by a mix shift toward lower-premium refinance . Home Warranty: Total revenues rose 2% to $110.3 million, missing our model estimate of $111.2 million. Pretax income climbed 4% year over year to $26 million. The claim loss rate improved to 36%, driven by small reductions in the number and severity of claim...

AMERISAFE, Inc. AMSF reported first-quarter 2026 adjusted earnings per share of 50 cents, which missed the Zacks Consensus Estimate of 52 cents. The bottom line declined 16.7% year over year. Operating revenues increased 7.9% year over year to $81.75 million but missed the consensus estimate by 0.9%. The quarterly result was affected by higher expenses and weaker underwriting margins, with additional pressure from lower fee income and weaker investment income. Stronger premium growth partially offset the downside. AMERISAFE, Inc. price-consensus-eps-surprise-chart | AMERISAFE, Inc. Quote Net premiums earned of $75.1 million advanced 9% year over year. The metric missed the Zacks Consensus Estimate by 0.8%. Net investment income declined 0.8% year over year to $6.6 million due to lower average investable assets, partly offset by higher yield and lower expenses. The reported figure missed the Zacks Consensus Estimate by 1.5%. Fee and other income fell 63.3% year over year. Total expenses escalated 13.9% year over year to $69.9 million due to higher loss and loss adjustment expenses incurred, underwriting and other operating costs and policyholder dividends. AMERISAFE’s pre-tax underwriting profit amounted to $5.1 million, which fell 31.5% year over year. Operating net income of $9.5 million declined 17.4% year over year in the reported quarter. The net combined ratio deteriorated 410 basis points year over year to 93.2. The Zacks Consensus Estimates was pegged at 92.7. AMERISAFE exited the first quarter with cash and cash equivalents of $34.2 million, down from $61.9 million at the end of 2025. Total assets declined to $1.12 billion from $1.13 billion at the end of 2025. Shareholders’ equity decreased to $246.6 million from $251.6 million a year ago. Book value per share was $13.18, down 3.7% year over year. Return on average equity declined 70 basis points year over year to 13.1%. AMERISAFE bought back common shares worth $4 million during the first quarter. As of March 31, 2026, it had $12.9 million left under its share buyback program. Management approved a quarterly cash dividend of 41 cents per share, which will be paid on June 19, 2026, to shareholders of record as of June 12, 2026. The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The Progressive Corporation PGR reporte...

This article first appeared on GuruFocus. Core Operating Earnings: $2.7 billion or $6.82 per share, up substantially over the prior year first quarter. Net Premiums: Grew 10.7% to over $14 billion. P&C Underwriting Income: $1.8 billion with a combined ratio of 84%. Adjusted Net Investment Income: $1.8 billion, up more than 10%. Invested Assets: $170 billion, up from $152 billion a year ago. Core Operating Return on Tangible Equity: 20.6%. Core Operating ROE: 14%. Pre-tax Catastrophe Losses: $500 million. Pre-tax Prior Period Development: Favorable $301 million. Adjusted Operating Cash Flow: $3.8 billion. Capital Returned to Shareholders: $1.5 billion, including $1.1 billion in share repurchases and $380 million in dividends. Book Value Per Share: Nearly $189.93. Life Insurance Premiums: Rose 37%. North America Premium Growth: 4.1%, with personal lines up 8.3% and commercial up 2.8%. International Retail Business Premiums: Up more than 15%. Warning! GuruFocus has detected 8 Warning Signs with NLY. Is CB fairly valued? Test your thesis with our free DCF calculator. Release Date: April 22, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Chubb Ltd (NYSE:CB) reported strong growth in P&C underwriting, investment, and life income, leading to core operating earnings of $2.7 billion, up substantially from the previous year. Net premiums grew 10.7% for the quarter, with P&C premiums up 7.2% and Life premiums increasing by more than 33%, benefiting from foreign exchange. The company's underwriting performance was excellent, with a P&C underwriting income of $1.8 billion and a combined ratio of 84%. Chubb Ltd (NYSE:CB) achieved an annualized core operating return on tangible equity of 20.6% and a core operating ROE of 14%. The company returned $1.5 billion of capital to shareholders, including $1.1 billion in share repurchases and $380 million in dividends. The geopolitical situation in the Middle East raises concerns about higher inflation and potentially slower economic growth, which could impact financial markets. Chubb Ltd (NYSE:CB) noted that property and financial lines pricing conditions are soft in several important markets, with property pricing softening at a concerning pace. The company experienced pre-tax catastrophe losses of $500 million for the quarter, primarily from weather-related events. In th...

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Chubb (NYSE:CB) has appointed Kevin Rampe as Senior Vice President, Chubb Group, Global Claims Officer, expanding his remit across global claims management. The leadership change comes alongside operational results and a repositioning of the property portfolio in light of what management views as inadequate market pricing. Chubb is also emphasizing investment in AI and technology across claims and underwriting while highlighting risks such as geopolitical tensions and softening property pricing. For you as an investor, the focus on global claims leadership sits at the heart of how a multiline insurer like Chubb manages risk and capital. Claims decisions affect loss costs, customer retention, and the consistency of earnings, especially when property pricing and large loss activity are in focus across the insurance industry. At the same time, management is pointing to AI and broader technology investment as tools for underwriting discipline and operational efficiency. How effectively Chubb balances these investments with exposure to geopolitical and pricing risks could influence the quality and stability of results that equity holders in NYSE:CB monitor over time. Stay updated on the most important news stories for Chubb by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Chubb. Does the team leading Chubb have what it takes? See our full breakdown of the management team's track record and compensation. The leadership move to appoint Kevin Rampe as Global Claims Officer lands at the same time Chubb is reporting strong Q1 2026 numbers and reshaping its property exposure. Claims, underwriting and AI investment are tightly linked here. A more centralised claims organisation can help keep the combined ratio in check when the company is pulling back from what it views as poorly priced property business and leaning into areas like casualty, risk management and life insurance. Rampe’s long tenure inside Chubb, combined with his regulatory and legal background, may also support consistent decision making as AI tools are rolled out across claims and underwriting. The appointment supports the narrative’s focus on disciplined underwriting and portfolio reshaping by reinforcing global oversight of loss co...