Property and casualty insurance giant Travelers posted a 44% jump in second-quarter core profit, as the industry bellwether benefited from lower catastrophe losses and strong investment income.
Key Factors
Demand for insurance has remained resilient despite broader spending pressures, as businesses and consumers continue to seek protection against financial, legal, and catastrophe-related risks. Travelers has generally taken a conservative approach to underwriting, regularly raising rates and limiting exposure to riskier businesses to protect profitability.
Catastrophe losses fell to $518 million on a pre-tax basis from $927 million a year earlier. Travelers’ net investment income jumped 13.6% to $1.07 billion from $942 million a year earlier, while net written premiums came in at $11.53 billion, versus $11.54 billion a year earlier.
CEO Alan Schnitzer said in a statement, “The scale of our earnings and cash flow enable us to invest in differentiating technology, including AI… we remain highly confident in the outlook for Travelers.”
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
