The Hartford has reported its full-year 2025 results, posting net income available to common stockholders of $3.8 billion, up from $3.1 billion in 2024, primarily driven by a higher P&C underwriting gain.
The insurer said the improvement in P&C underwriting was supported by earned premium growth across all lines, increased net favourable prior accident year development (PYD), an improved underlying loss and LAE ratio in Personal Insurance, and higher net investment income.
Within the Personal Insurance segment, the loss and LAE ratio improved to 65.9 in 2025 from 73.1 a year earlier, including 1.7 points of more favourable PYD and 0.6 points of higher catastrophe losses.
The underlying loss and LAE ratio declined to 61.9 from 68.1, reflecting lower loss ratios in both automobile and homeowners.
In Business Insurance, the loss and LAE ratio improved to 56.8 in 2025 from 58.5 in 2024, benefiting from lower catastrophe losses of 0.8 points and a more favourable PYD of 1.4 points.
However, the underlying loss and LAE ratio edged up to 57.0 from 56.5, largely due to slightly higher loss ratios in workers’ compensation and general liability, partially offset by favourable non-catastrophe property losses.
The Hartford’s net investment income before tax reached $2.9 billion in 2025, up from $2.6 billion in 2024.
The firm said the increase was primarily driven by higher invested assets, increased income from limited partnerships and other alternative investments, and reinvestment at higher rates, partially offset by a lower yield on variable-rate securities.
For the fourth quarter of 2025 alone, net income available to common stockholders was $1.1 billion, up from $848 million in Q4 2024.
This improvement was again primarily driven by higher net investment income, net favourable PYD, lower P&C current accident year catastrophe losses, earned premium growth across P&C, and an improvement in the Personal Insurance underlying loss and loss adjustment expense ratio.
The Hartford’s Chairman and CEO, Christopher Swift, commented, “The Hartford delivered an outstanding year, with core earnings of $3.8 billion and a core earnings ROE of 19.4%.
“Results were driven by excellent performance in Business Insurance, which once again generated robust top-line growth at highly profitable margins, a pivotal year in Personal Insurance that restored target profitability in auto, strong margins in Employee Benefits, and solid performance from our investment portfolio.
“These outstanding fourth quarter and full-year results demonstrate the effectiveness of our strategy and the impact of innovation across the enterprise.
“We enter 2026 with momentum. Disciplined underwriting, extensive and trusted distribution relationships, and an unparalleled customer experience position The Hartford to continue delivering superior returns for shareholders.”
