Third Quarter 2023 Statistical Supplement

Page Number

Consolidated Results

Financial Highlights

1

Reconciliation to Net Income (Loss) and Earnings Per Share

2

Statement of Income (Loss)

3

Net Income (Loss) by Major Component and Combined Ratio

4

Core Income

5

Selected Statistics - Property and Casualty Operations

6

Written and Earned Premiums - Property and Casualty Operations

7

Business Insurance

Segment Income

8

Segment Income by Major Component and Combined Ratio

9

Selected Statistics

10

Net Written Premiums

11

Bond & Specialty Insurance

Segment Income

12

Segment Income by Major Component and Combined Ratio

13

Selected Statistics

14

Net Written Premiums

15

Personal Insurance

Segment Income (Loss)

16

Segment Income (Loss) by Major Component and Combined Ratio

17

Selected Statistics

18

Net Written Premiums

19

Selected Statistics - Automobile

20

Selected Statistics - Homeowners and Other

21

Supplemental Detail

Interest Expense and Other

22

Consolidated Balance Sheet

23

Investment Portfolio

24

Investment Portfolio - Fixed Maturities Data

25

Investment Income

26

Net Realized Investment Gains (Losses) and Net Unrealized Investment Gains (Losses) included in Shareholders' Equity

27

Reinsurance Recoverables

28

Net Reserves for Losses and Loss Adjustment Expense

29

Asbestos Reserves

30

Capitalization

31

Statutory Capital and Surplus to GAAP Shareholders' Equity Reconciliation

32

Statement of Cash Flows

33

Statement of Cash Flows (continued)

34

Glossary of Financial Measures and Description of Reportable Business Segments

35-36

1Q2022

2Q2022

3Q2022

4Q2022

1Q2023

2Q2023

3Q2023

YTD

YTD

($ and shares in millions, except for per share data)

3Q2022

3Q2023

Net income (loss)

$

1,018

$

551

$

454

$

819

$

975

$

(14)

$

404

$

2,023

$

1,365

Net income (loss) per share:

Basic

$

4.20

$

2.29

$

1.91

$

3.49

$

4.18

$

(0.07)

$

1.75

$

8.43

$

5.89

Diluted

$

4.15

$

2.27

$

1.89

$

3.44

$

4.13

$

(0.07)

$

1.74

$

8.34

$

5.83

Core income

$

1,037

$

625

$

526

$

810

$

970

$

15

$

454

$

2,188

$

1,439

Core income per share:

Basic

$

4.27

$

2.60

$

2.22

$

3.45

$

4.16

$

0.06

$

1.97

$

9.12

$

6.21

Diluted

$

4.22

$

2.57

$

2.20

$

3.40

$

4.11

$

0.06

$

1.95

$

9.02

$

6.15

Retuon equity

15.0 %

9.1 %

8.5 %

15.8 %

17.5 %

(0.2)%

7.7 %

11.1 %

8.3 %

Core retuon equity

15.5 %

9.3 %

7.9 %

12.3 %

14.5 %

0.2 %

6.9 %

10.9 %

7.2 %

Total assets, at period end

$

118,592

$

116,587

$

114,317

$

115,717

$

118,352

$

120,573

$

121,384

$

114,317

$

121,384

Total equity, at period end

$

25,531

$

22,874

$

19,906

$

21,560

$

23,052

$

21,855

$

19,978

$

19,906

$

19,978

Book value per share, at period end

$

106.40

$

96.39

$

84.94

$

92.90

$

99.80

$

95.46

$

87.47

$

84.94

$

87.47

Less: Net unrealized investment gains (losses), net of tax

(5.79)

(15.98)

(26.96)

(21.10)

(16.75)

(19.99)

(28.31)

(26.96)

(28.31)

Adjusted book value per share, at period end

$

112.19

$

112.37

$

111.90

$

114.00

$

116.55

$

115.45

$

115.78

$

111.90

$

115.78

Weighted average number of common shares outstanding (basic)

240.9

238.4

235.4

233.2

231.7

229.7

228.8

238.3

230.0

Weighted average number of common shares outstanding and common stock

equivalents (diluted)

243.7

241.1

237.9

236.3

234.4

229.7

231.1

240.9

232.5

Common shares outstanding at period end

240.0

237.3

234.3

232.1

231.0

228.9

228.4

234.3

228.4

Common stock dividends declared

$

214

$

225

$

221

$

220

$

218

$

233

$

232

$

660

$

683

Common stock repurchased:

Under Board of Directors authorization

Shares

2.9

2.9

3.1

2.7

2.2

2.2

0.6

8.9

5.0

Cost

$

500

$

500

$

500

$

500

$

400

$

400

$

100

$

1,500

$

900

Other

Shares

0.4

-

-

-

0.3

-

-

0.4

0.3

Cost

$

59

$

-

$

1

$

1

$

62

$

-

$

1

$

60

$

63

1Q2022

2Q2022

3Q2022

4Q2022

1Q2023

2Q2023

3Q2023

YTD

YTD

($ and shares in millions, except earnings per share)

3Q2022

3Q2023

Net income (loss)

Net income (loss)

$

1,018

$

551

$

454

$

819

$

975

$

(14)

$

404

$

2,023

$

1,365

Adjustments:

19

74

72

(9)

(5)

29

50

165

74

Core income

$

1,037

$

625

$

526

$

810

$

970

$

15

$

454

$

2,188

$

1,439

Basic earnings per share

Net income (loss)

$

4.20

$

2.29

$

1.91

$

3.49

$

4.18

$

(0.07)

$

1.75

$

8.43

$

5.89

Adjustments:

0.07

0.31

0.31

(0.04)

(0.02)

0.13

0.22

0.69

0.32

Core income

$

4.27

$

2.60

$

2.22

$

3.45

$

4.16

$

0.06

$

1.97

$

9.12

$

6.21

Diluted earnings per share

Net income (loss)

$

4.15

$

2.27

$

1.89

$

3.44

$

4.13

$

(0.07)

$

1.74

$

8.34

$

5.83

Adjustments:

0.07

0.30

0.31

(0.04)

(0.02)

0.13

0.21

0.68

0.32

Core income

$

4.22

$

2.57

$

2.20

$

3.40

$

4.11

$

0.06

$

1.95

$

9.02

$

6.15

Basic and Diluted

1Q2022

2Q2022

3Q2022

4Q2022

1Q2023

2Q2023

3Q2023

YTD

YTD

3Q2022

3Q2023

Net income (loss), as reported

$

1,018

$

551

$

454

$

819

$

975

$

(14)

$

404

$

2,023

$

1,365

Participatingshare-basedawards - allocated income

(7)

(4)

(4)

(5)

(7)

(1)

(3)

(15)

(10)

Net income (loss) available to common shareholders - basic and diluted

$

1,011

$

547

$

450

$

814

$

968

$

(15)

$

401

$

2,008

$

1,355

Common Shares

Basic

Weighted average shares outstanding

240.9

238.4

235.4

233.2

231.7

229.7

228.8

238.3

230.0

Diluted

Weighted average shares outstanding

240.9

238.4

235.4

233.2

231.7

229.7

228.8

238.3

230.0

Weighted average effects of dilutive securities - stock options and performance shares

2.8

2.7

2.5

3.1

2.7

-

2.3

2.6

2.5

Diluted weighted average shares outstanding

243.7

241.1

237.9

236.3

234.4

229.7

231.1

240.9

232.5

1Q2022

2Q2022

3Q2022

4Q2022

1Q2023

2Q2023

3Q2023

YTD

YTD

($ in millions)

3Q2022

3Q2023

Billing and policy fees and other

$

27

$

27

$

27

$

28

$

28

$

28

$

28

$

81

$

84

Fee income:

Loss and loss adjustment expenses

$

35

$

39

$

38

$

39

$

42

$

40

$

42

$

112

$

124

Underwriting expenses

68

61

66

66

64

66

70

195

200

Total fee income

$

103

$

100

$

104

$

105

$

106

$

106

$

112

$

307

$

324

Non-insurance general and administrative expenses

$

82

$

87

$

83

$

88

$

95

$

92

$

99

$

252

$

286

1Q2022

2Q2022

3Q2022

4Q2022

1Q2023

2Q2023

3Q2023

YTD

YTD

($ in millions)

3Q2022

3Q2023

Statutory underwriting

Gross written premiums

$

9,283

$

9,536

$

9,812

$

9,245

$

10,347

$

10,907

$

11,263

$

28,631

$

32,517

Net written premiums

$

8,367

$

9,020

$

9,198

$

8,829

$

9,396

$

10,318

$

10,493

$

26,585

$

30,207

Net earned premiums

$

8,016

$

8,316

$

8,615

$

8,817

$

8,854

$

9,216

$

9,718

$

24,947

$

27,788

Losses and loss adjustment expenses

4,994

5,758

6,034

5,870

5,906

7,179

7,091

16,786

20,176

Underwriting expenses

2,441

2,568

2,533

2,450

2,727

2,863

2,860

7,542

8,450

Statutory underwriting gain (loss)

581

(10)

48

497

221

(826)

(233)

619

(838)

Policyholder dividends

11

6

14

9

12

10

14

31

36

Statutory underwriting gain (loss) after policyholder dividends

$

570

$

(16)

$

34

$

488

$

209

$

(836)

$

(247)

$

588

$

(874)

Other statutory statistics

Reserves for losses and loss adjustment expenses

$

49,027

$

49,676

$

50,139

$

50,762

$

51,164

$

52,643

$

53,692

$

50,139

$

53,692

Increase (decrease) in reserves

$

438

$

649

$

463

$

623

$

402

$

1,479

$

1,049

$

1,550

$

2,930

Statutory capital and surplus

$

24,168

$

23,776

$

23,375

$

23,677

$

23,689

$

22,934

$

23,267

$

23,375

$

23,267

Net written premiums/surplus (1)

1.36:1

1.42:1

1.48:1

1.50:1

1.54:1

1.65:1

1.68:1

1.48:1

1.68:1

1Q2022

2Q2022

3Q2022

4Q2022

1Q2023

2Q2023

3Q2023

YTD

YTD

($ in millions)

3Q2022

3Q2023

Written premiums

Gross

$

9,283

$

9,536

$

9,812

$

9,245

$

10,347

$

10,907

$

11,263

$ 28,631

$ 32,517

Ceded

(916)

(516)

(614)

(416)

(951)

(589)

(770)

(2,046)

(2,310)

Net

$

8,367

$

9,020

$

9,198

$

8,829

$

9,396

$

10,318

$

10,493

$ 26,585

$ 30,207

Earned premiums

Gross

$

8,565

$

8,897

$

9,216

$

9,415

$

9,469

$

9,866

$

10,397

$ 26,678

$ 29,732

Ceded

(551)

(580)

(601)

(598)

(615)

(650)

(679)

(1,732)

(1,944)

Net

$

8,014

$

8,317

$

8,615

$

8,817

$

8,854

$

9,216

$

9,718

$ 24,946

$ 27,788

1Q2022

2Q2022

3Q2022

4Q2022

1Q2023

2Q2023

3Q2023

YTD

YTD

($ in millions)

3Q2022

3Q2023

Billing and policy fees and other

$

3

$

4

$

4

$

4

$

4

$

4

$

4

$

11

$

12

Fee income:

Loss and loss adjustment expenses

$

35

$

39

$

38

$

39

$

42

$

40

$

42

$

112

$

124

Underwriting expenses

61

54

58

58

57

58

60

173

175

Total fee income

$

96

$

93

$

96

$

97

$

99

$

98

$

102

$

285

$

299

Non-insurance general and administrative expenses