[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]  LongYield [@LongYield](/creator/twitter/LongYield) on x 4471 followers Created: 2025-07-20 16:57:47 UTC $TRV The Travelers Companies, Inc. Earnings Call Key Highlights: (2/2) 📉 Catastrophe and Reserve Developments Catastrophe losses totaled $XXX million pretax (8.5 pts on the combined ratio), X points lower than internal Q2 planning estimates. Net favorable prior year reserve development of $XXX million pretax, with key contributions from Personal Insurance ($155 million), Bond & Specialty ($81 million), and Business Insurance ($79 million). Workers’ comp reserve releases continue, offsetting longer-tail exposures in runoff books like environmental and abuse claims. Favorable recent accident year development in personal auto and home lines further improved reserve performance. 📚 Investment Portfolio and Net Investment Income After-tax net investment income totaled $XXX million, up X% YoY, driven by higher yields and growth in the fixed income portfolio. Total invested assets (excluding unrealized losses) surpassed $XXX billion for the first time, reflecting long-term balance sheet strength. Fixed income new money yields exceed existing portfolio yields by over XXX bps, expected to drive continued NII growth. Fixed income NII guidance raised: $XXX million after tax in Q3 and $XXX million in Q4, with continued increases projected beyond 2025. 🛡️ Reinsurance Program and Risk Management Renewed Northeast Property Cat XoL program with $X billion of coverage above a $XXXX billion attachment point. Replaced Personal Insurance Coastal Hurricane treaty with broader all-perils nationwide treaty, attaching at $X billion, enhancing protection amid elevated weather volatility. These placements reflect proactive risk transfer strategy and disciplined cost management in volatile property environments. 🚗 Personal Insurance Momentum and Outlook Personal auto reported combined ratio of XXXX% (includes X pts PYD benefit), with underlying CR improving to 89%, aided by bodily injury and vehicle coverage trends. Homeowners underlying combined ratio dropped over X pts to 70.3%, reflecting pricing actions and favorable non-cat weather. Auto new business premium rose XX% YoY; PIF declines in home remain a headwind but are expected to moderate as restrictions ease by year-end. Management anticipates broad-based rate and non-rate easing in property by the end of 2025, aiding auto growth via increased bundling. 📌 Workers’ Compensation and Loss Cost Trends Workers’ comp continues to outperform expectations, with favorable trends and no material negative impact from OBB or Medicaid. Cumulative trauma claims in California remain elevated, but are offset by underwriting discipline and claim management. Loss cost trends remain favorable, supporting ongoing reserve releases and profitability in comp portfolios. 🔍 Market Conditions and Pricing Trends Renewal premium changes in commercial lines remain strong; pricing in property is moderating primarily in National Property, but remains stable elsewhere. Retention across commercial lines remains excellent (85%-89%), signaling rational market behavior and strong execution. Management emphasized no signs of adverse selection in growing personal lines business, particularly auto. Consolidation in broker distribution channels remains a tailwind for Travelers, given longstanding and scalable partnerships. 📌 Guidance and Strategic Outlook Expense ratio expected to remain in the 28%-28.5% range for full year 2025; Q2 figure of XXXX% aligns with plan. No macro impacts from tariffs or Medicaid evident yet; any future impacts will be incorporated into pricing and reserving assumptions. Portfolio mix shifting slightly toward auto in Personal Insurance; emphasis remains on profitable package business and bundling. Overall, Travelers remains highly confident in its outlook, supported by underwriting strength, investment tailwinds, disciplined capital deployment, and strategic clarity. XXX engagements  **Related Topics** [insurance](/topic/insurance) [losses](/topic/losses) [quarterly earnings](/topic/quarterly-earnings) [$trv](/topic/$trv) [travelers companies](/topic/travelers-companies) [stocks financial services](/topic/stocks-financial-services) [Post Link](https://x.com/LongYield/status/1946977850847793572)
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LongYield @LongYield on x 4471 followers
Created: 2025-07-20 16:57:47 UTC
$TRV The Travelers Companies, Inc. Earnings Call Key Highlights: (2/2)
📉 Catastrophe and Reserve Developments
Catastrophe losses totaled $XXX million pretax (8.5 pts on the combined ratio), X points lower than internal Q2 planning estimates.
Net favorable prior year reserve development of $XXX million pretax, with key contributions from Personal Insurance ($155 million), Bond & Specialty ($81 million), and Business Insurance ($79 million).
Workers’ comp reserve releases continue, offsetting longer-tail exposures in runoff books like environmental and abuse claims.
Favorable recent accident year development in personal auto and home lines further improved reserve performance.
đź“š Investment Portfolio and Net Investment Income
After-tax net investment income totaled $XXX million, up X% YoY, driven by higher yields and growth in the fixed income portfolio.
Total invested assets (excluding unrealized losses) surpassed $XXX billion for the first time, reflecting long-term balance sheet strength.
Fixed income new money yields exceed existing portfolio yields by over XXX bps, expected to drive continued NII growth.
Fixed income NII guidance raised: $XXX million after tax in Q3 and $XXX million in Q4, with continued increases projected beyond 2025.
🛡️ Reinsurance Program and Risk Management
Renewed Northeast Property Cat XoL program with $X billion of coverage above a $XXXX billion attachment point.
Replaced Personal Insurance Coastal Hurricane treaty with broader all-perils nationwide treaty, attaching at $X billion, enhancing protection amid elevated weather volatility.
These placements reflect proactive risk transfer strategy and disciplined cost management in volatile property environments.
đźš— Personal Insurance Momentum and Outlook
Personal auto reported combined ratio of XXXX% (includes X pts PYD benefit), with underlying CR improving to 89%, aided by bodily injury and vehicle coverage trends.
Homeowners underlying combined ratio dropped over X pts to 70.3%, reflecting pricing actions and favorable non-cat weather.
Auto new business premium rose XX% YoY; PIF declines in home remain a headwind but are expected to moderate as restrictions ease by year-end.
Management anticipates broad-based rate and non-rate easing in property by the end of 2025, aiding auto growth via increased bundling.
📌 Workers’ Compensation and Loss Cost Trends
Workers’ comp continues to outperform expectations, with favorable trends and no material negative impact from OBB or Medicaid.
Cumulative trauma claims in California remain elevated, but are offset by underwriting discipline and claim management.
Loss cost trends remain favorable, supporting ongoing reserve releases and profitability in comp portfolios.
🔍 Market Conditions and Pricing Trends
Renewal premium changes in commercial lines remain strong; pricing in property is moderating primarily in National Property, but remains stable elsewhere.
Retention across commercial lines remains excellent (85%-89%), signaling rational market behavior and strong execution.
Management emphasized no signs of adverse selection in growing personal lines business, particularly auto.
Consolidation in broker distribution channels remains a tailwind for Travelers, given longstanding and scalable partnerships.
đź“Ś Guidance and Strategic Outlook
Expense ratio expected to remain in the 28%-28.5% range for full year 2025; Q2 figure of XXXX% aligns with plan.
No macro impacts from tariffs or Medicaid evident yet; any future impacts will be incorporated into pricing and reserving assumptions.
Portfolio mix shifting slightly toward auto in Personal Insurance; emphasis remains on profitable package business and bundling.
Overall, Travelers remains highly confident in its outlook, supported by underwriting strength, investment tailwinds, disciplined capital deployment, and strategic clarity.
XXX engagements
Related Topics insurance losses quarterly earnings $trv travelers companies stocks financial services