Travelers Companies reported third-quarter 2026 financial results, highlighting strong underwriting and investment performance across its three business segments. The company reported core income of $1.95 billion, or $9.18 per diluted share, resulting in a core return on equity of 22.1% for the quarter.
Underwriting performance was robust, with an underwriting income of $1.4 billion. The company achieved a combined ratio of 86.8%, while the underlying combined ratio remained strong at 84.1%. Net written premiums totaled $11.5 billion, with growth noted in Business Insurance, Bond and Specialty Insurance, and Personal Insurance.
In the investment sector, net investment income increased by 7% to $908 million. This performance, combined with strong underwriting results, allowed Travelers to return $1.8 billion in excess capital to shareholders during the quarter. This included $1.5 billion in share repurchases. Since the beginning of 2025, the company has returned $8 billion in capital through share repurchases, retiring 12% of shares outstanding.
Adjusted book value per share increased by 15% year-over-year. The company noted that catastrophe losses in the quarter were $538 million pre-tax, primarily due to tornado-hail events in the central United States.
Looking ahead, Travelers anticipates continued solid performance in the fourth quarter of 2026 and 2027. The company expects its full-year 2026 expense ratio to be slightly below 29% and projects net investment income for 2027 to exceed $3.6 billion.
