The Hartford reported third quarter 2026 results highlighted by a significant core EPS beat, driven by disciplined pricing and strong investment income that offset higher catastrophe losses. While total revenue of $7.22 billion fell slightly short of analyst estimates, net income available to common stockholders rose 23% to $1.3 billion, primarily due to a $497 million net gain from commuting an asbestos and environmental reinsurance cover. Capital management remained a priority, with the company increasing its quarterly dividend by 12% to $0.67 per share.
Key Highlights
- Core EPS of $3.50 beat the $3.15 estimate, though core earnings fell 6% YoY as P&C catastrophe losses more than doubled to $198 million.
- Personal Insurance underlying combined ratio improved 2.9 points to 87.1%, outperforming expectations of 87.9% as earned pricing outpaced loss trends.
- Business Insurance written premiums grew 6% to $3.8 billion, led by 7% growth in both Small Business and Global Specialty segments.
- Net investment income increased 13% to $850 million, supported by a 10.2% yield on limited partnerships and alternative investments.