We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Chubb Limited posted Q3 core operating income of $7.49 per share, up 30.9% year over year.
Solid underwriting and investment income drove results, aided by fewer catastrophe losses.
P&C combined ratio improved 590 bps to 81.8%, with strength across North America and Overseas units.
Chubb Limited (CB - Free Report) reported third-quarter 2025 core operating income of $7.49 per share, which beat the Zacks Consensus Estimate by 26%. The bottom line increased 30.9% year over year.
The quarterly results reflect strong performance across most of the segments, solid underwriting income, improved investment income, and a lower level of catastrophe.
Net premiums written improved 7.5% year over year to $14.8 billion in the quarter. Our estimate was $14.4 billion while the Zacks Consensus Estimate was pegged at $14.5 billion.
Pre-tax net investment income was $1.65 billion, up 9.3% year over year. Our estimate and the Zacks Consensus Estimate were both pegged at $1.8 billion.
Revenues of $16.1 billion beat the consensus estimate by 1.6% and improved 7.4% year over year.
Property and casualty (P&C) underwriting income was $2.2 billion, up 55% year over year. The Zacks Consensus Estimate was pegged at $1.4 billion. Current accident year underwriting income, excluding catastrophe losses, was $2.2 billion, up 10.3%.
Chubb Limited incurred a pre-tax P&C catastrophe loss, net of reinsurance and including reinstatement premiums of $285 million, which was narrower than the year-ago catastrophe loss of $765 million.
The P&C combined ratio improved 590 basis points (bps) on a year-over-year basis to 81.8% in the quarter under review. The Zacks Consensus Estimate for the combined ratio was pegged at 88.
Segmental Update
North America Commercial P&C Insurance: Net premiums written increased 2.9% year over year to $5.6 billion. Our estimate was $5.4 billion. The combined ratio improved 500 bps to 81.5%. Our estimate was 85.9.
North America Personal P&C Insurance: Net premiums written climbed 8.1% year over year to $1.8 billion. Our estimate was $1.7 billion. The combined ratio improved 1,620 bps to 65.1%, reflecting lower catastrophe losses and higher favorable prior period development. Our estimate was 85.9.
North America Agricultural Insurance: Net premiums written increased 5.6% from the year-ago quarter to $1.4 billion, primarily due to an increase in exposure in the company’s crop insurance business, which more than offset year-over-year declines in commodity prices. The figure matched our estimate. The combined ratio improved 240 bps to 88%. Our estimate was 96.4%.
Overseas General Insurance: Net premiums written jumped 9.7% year over year to $3.6 billion. The figure matched both the Zacks Consensus Estimate and our estimate. The combined ratio improved 270 bps to 83.3%. Our estimate was 88.4.
Global Reinsurance: Net premiums written declined 13.5% year over year to $304 million. Our estimate was $408.4 million. The combined ratio improved 1,700 bps to 77.4%. Our estimate was 127.9.
Life Insurance: Net premiums written increased 24.6% year over year to $1.93 billion, with growth of 26.5% in International Life. Our estimate was $1.8 billion.
The Life Insurance segment income was $324 million, up 13.9% in constant dollars. The Zacks Consensus Estimate was pegged at $278 million.
Financial Update
The cash balance of $2.4 billion, as of Sept. 30, 2025, decreased 3.7% from the 2024-end level. Total shareholders’ equity grew 13.7% from the level at 2024-end to $77.8 billion as of Sept. 30, 2025. Book value per share, as of Sept. 30, 2024, was $182.22, up 14% from the figure as of Dec. 31, 2024.
Core operating return on tangible equity expanded 280 bps year over year to 24.5%. Operating cash flow was $3.64 billion in the quarter under consideration, while adjusted operating cash flow was $4.51 billion.
Capital Deployment
In the quarter, Chubb Limited bought back shares worth $1.23 billion and paid $385 million in dividends.
The Progressive Corporation’s (PGR - Free Report) third-quarter 2025 earnings per share of $4.05 missed the Zacks Consensus Estimate by 20.3%. Operating revenues of $22.2 billion missed the Zacks Consensus Estimate by 0.6%. However, the bottom line increased 13.1% year over year and the top line rose 12.7%.
Net premiums written were $21.3 billion in the quarter, up 10% from $19.5 billion a year ago. Net premiums earned grew 14% to $20.8 billion, missing the Zacks Consensus Estimate of $21.1 billion.
The Travelers Companies, Inc. (TRV - Free Report) reported third-quarter 2025 core income of $8.14 per share, which beat the Zacks Consensus Estimate by 35.4%. The bottom line increased 55% year over year. Travelers’ total revenues increased 5% from the year-ago quarter to $12.44 billion, primarily driven by higher premiums, net investment income, fee income and other revenues. The top-line figure beat the Zacks Consensus Estimate by 0.7%.
Net written premiums increased 1% year over year to a record $11.47 billion. The underwriting gain doubled year over year to $1.4 billion. The consolidated underlying combined ratio of 83.9 improved 170 bps year over year. The combined ratio improved 590 bps year over year to 87.3 due to lower catastrophe losses and an improvement in the underlying combined ratio, partially offset by lower net favorable prior year reserve development.
W.R. Berkley Corporation's (WRB - Free Report) third-quarter 2025 operating income of $1.10 per share beat the Zacks Consensus Estimate of $1.03 by 2.8%. The bottom line increased 18.3% year over year. Operating revenues came in at $3.6 billion, up 8.2% year over year, on the back of higher net premiums earned as well as improved net investment income and higher insurance service fees. The top line beat the consensus estimate by 0.4%.
W.R. Berkley’s net premiums written were $3.4 billion, up 5.5% year over year. Our estimate was $3.3 billion. The consolidated combined ratio (a measure of underwriting profitability) remained flat year over year at 90.9. The Zacks Consensus Estimate was pegged at 89.6.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Chubb Limited Q3 Earnings & Revenues Beat Estimates, Premiums Rise Y/Y
Key Takeaways
Chubb Limited (CB - Free Report) reported third-quarter 2025 core operating income of $7.49 per share, which beat the Zacks Consensus Estimate by 26%. The bottom line increased 30.9% year over year.
The quarterly results reflect strong performance across most of the segments, solid underwriting income, improved investment income, and a lower level of catastrophe.
Chubb Limited Price, Consensus and EPS Surprise
Chubb Limited price-consensus-eps-surprise-chart | Chubb Limited Quote
Quarter in Detail
Net premiums written improved 7.5% year over year to $14.8 billion in the quarter. Our estimate was $14.4 billion while the Zacks Consensus Estimate was pegged at $14.5 billion.
Pre-tax net investment income was $1.65 billion, up 9.3% year over year. Our estimate and the Zacks Consensus Estimate were both pegged at $1.8 billion.
Revenues of $16.1 billion beat the consensus estimate by 1.6% and improved 7.4% year over year.
Property and casualty (P&C) underwriting income was $2.2 billion, up 55% year over year. The Zacks Consensus Estimate was pegged at $1.4 billion. Current accident year underwriting income, excluding catastrophe losses, was $2.2 billion, up 10.3%.
Chubb Limited incurred a pre-tax P&C catastrophe loss, net of reinsurance and including reinstatement premiums of $285 million, which was narrower than the year-ago catastrophe loss of $765 million.
The P&C combined ratio improved 590 basis points (bps) on a year-over-year basis to 81.8% in the quarter under review. The Zacks Consensus Estimate for the combined ratio was pegged at 88.
Segmental Update
North America Commercial P&C Insurance: Net premiums written increased 2.9% year over year to $5.6 billion. Our estimate was $5.4 billion. The combined ratio improved 500 bps to 81.5%. Our estimate was 85.9.
North America Personal P&C Insurance: Net premiums written climbed 8.1% year over year to $1.8 billion. Our estimate was $1.7 billion. The combined ratio improved 1,620 bps to 65.1%, reflecting lower catastrophe losses and higher favorable prior period development. Our estimate was 85.9.
North America Agricultural Insurance: Net premiums written increased 5.6% from the year-ago quarter to $1.4 billion, primarily due to an increase in exposure in the company’s crop insurance business, which more than offset year-over-year declines in commodity prices. The figure matched our estimate. The combined ratio improved 240 bps to 88%. Our estimate was 96.4%.
Overseas General Insurance: Net premiums written jumped 9.7% year over year to $3.6 billion. The figure matched both the Zacks Consensus Estimate and our estimate. The combined ratio improved 270 bps to 83.3%. Our estimate was 88.4.
Global Reinsurance: Net premiums written declined 13.5% year over year to $304 million. Our estimate was $408.4 million. The combined ratio improved 1,700 bps to 77.4%. Our estimate was 127.9.
Life Insurance: Net premiums written increased 24.6% year over year to $1.93 billion, with growth of 26.5% in International Life. Our estimate was $1.8 billion.
The Life Insurance segment income was $324 million, up 13.9% in constant dollars. The Zacks Consensus Estimate was pegged at $278 million.
Financial Update
The cash balance of $2.4 billion, as of Sept. 30, 2025, decreased 3.7% from the 2024-end level. Total shareholders’ equity grew 13.7% from the level at 2024-end to $77.8 billion as of Sept. 30, 2025. Book value per share, as of Sept. 30, 2024, was $182.22, up 14% from the figure as of Dec. 31, 2024.
Core operating return on tangible equity expanded 280 bps year over year to 24.5%. Operating cash flow was $3.64 billion in the quarter under consideration, while adjusted operating cash flow was $4.51 billion.
Capital Deployment
In the quarter, Chubb Limited bought back shares worth $1.23 billion and paid $385 million in dividends.
Zacks Rank
Chubb Limited currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other P&C Insurers
The Progressive Corporation’s (PGR - Free Report) third-quarter 2025 earnings per share of $4.05 missed the Zacks Consensus Estimate by 20.3%. Operating revenues of $22.2 billion missed the Zacks Consensus Estimate by 0.6%. However, the bottom line increased 13.1% year over year and the top line rose 12.7%.
Net premiums written were $21.3 billion in the quarter, up 10% from $19.5 billion a year ago. Net premiums earned grew 14% to $20.8 billion, missing the Zacks Consensus Estimate of $21.1 billion.
The Travelers Companies, Inc. (TRV - Free Report) reported third-quarter 2025 core income of $8.14 per share, which beat the Zacks Consensus Estimate by 35.4%. The bottom line increased 55% year over year. Travelers’ total revenues increased 5% from the year-ago quarter to $12.44 billion, primarily driven by higher premiums, net investment income, fee income and other revenues. The top-line figure beat the Zacks Consensus Estimate by 0.7%.
Net written premiums increased 1% year over year to a record $11.47 billion. The underwriting gain doubled year over year to $1.4 billion. The consolidated underlying combined ratio of 83.9 improved 170 bps year over year. The combined ratio improved 590 bps year over year to 87.3 due to lower catastrophe losses and an improvement in the underlying combined ratio, partially offset by lower net favorable prior year reserve development.
W.R. Berkley Corporation's (WRB - Free Report) third-quarter 2025 operating income of $1.10 per share beat the Zacks Consensus Estimate of $1.03 by 2.8%. The bottom line increased 18.3% year over year. Operating revenues came in at $3.6 billion, up 8.2% year over year, on the back of higher net premiums earned as well as improved net investment income and higher insurance service fees. The top line beat the consensus estimate by 0.4%.
W.R. Berkley’s net premiums written were $3.4 billion, up 5.5% year over year. Our estimate was $3.3 billion. The consolidated combined ratio (a measure of underwriting profitability) remained flat year over year at 90.9. The Zacks Consensus Estimate was pegged at 89.6.