Travelers Companies Inc

Latest Results (17.12.2024):

Net Income Surge

In the third quarter of 2024, Travelers Companies Inc. reported a significant increase in net income, reaching $1.260 billion, or $5.42 per diluted share. This marks a 211% rise compared to the $404 million, or $1.74 per diluted share, recorded in the same quarter of the previous year. The substantial growth in net income was driven by higher core income and net realized investment gains.

Core Income Growth

Travelers Companies Inc. achieved a core income of $1.218 billion, or $5.24 per diluted share, in the third quarter of 2024. This represents a 169% increase from the $454 million, or $1.95 per diluted share, reported in the third quarter of 2023. The rise in core income was primarily attributed to a higher underlying underwriting gain, net favorable prior year reserve development, and increased net investment income, despite higher catastrophe losses.

Improved Combined Ratio

The combined ratio for Travelers Companies Inc. improved significantly to 93.2% in the third quarter of 2024, a 7.8-point enhancement from the prior year's quarter. This improvement was driven by a better underlying combined ratio, which improved by 5.0 points, and net favorable prior year reserve development compared to net unfavorable development in the previous year, contributing an additional 2.8 points to the improvement.

Record Net Written Premiums

Travelers Companies Inc. reported record net written premiums of $11.317 billion in the third quarter of 2024, marking an 8% increase from the $10.493 billion recorded in the same quarter of the previous year. This growth was observed across all three segments of the company, with Business Insurance, Bond & Specialty Insurance, and Personal Insurance all contributing to the increase.

Investment Income and Book Value

Net investment income for Travelers Companies Inc. rose by 18% pre-tax in the third quarter of 2024 compared to the prior year quarter. Additionally, the company's book value per share increased by 39% over September 30, 2023, reaching $122.00, while the adjusted book value per share rose by 13% to $131.30. These increases were driven by lower interest rates and strong investment performance.