Selective Insurance Group (SIGI) investor relations material

Executive summary

• Q3 net income rose 12% YoY to $128.7M; diluted EPS was $2.11 and non-GAAP operating EPS was $2.37.

• Q3 ROE was 15.1% and non-GAAP operating ROE was 16.9%; the combined ratio improved to 96.8% from 98.6%.

• Q3 after-tax net investment income rose 16% YoY to $127.3M; net premiums written fell 7% amid deliberate underwriting and pricing actions.

• Nine consecutive quarters of double-digit operating returns; YTD operating ROE was 14.3%.

• Priorities include disciplined underwriting, profitable organic growth, geographic expansion, revenue diversification, and investment in analytics and technology.

Financial highlights

• Q3 revenue declined 2% to $1,326.3M; 9M revenue rose 3% to $4.072B.

• Q3 non-GAAP operating income rose 33% to $141.7M; 9M non-GAAP operating income rose 23% to $361.3M and operating EPS increased 25% to $6.01.

• Q3 after-tax net investment income was $127.3M, up 16%; 9M was $359.6M, up 17%.

• 9M operating cash flow was $817.7M; invested assets were $11.5B at September 30, 2026.

• 9M GAAP combined ratio was 97.7%, with an underlying ratio of 91.9%; 9M net premiums written declined 4% to $3.569B.

Outlook and guidance

• FY2026 GAAP combined ratio guidance is 96.5%–97.5%, including 5.5 catastrophe-loss points and assuming no prior-year casualty reserve development.

• FY2026 after-tax net investment income guidance increased to $490M from $480M.

• Guidance assumes a 21.5% effective tax rate and 59.9M weighted-average diluted shares, assuming no additional repurchases.

• Long-term growth priorities include a near-national Standard Commercial footprint, 3% market share in existing markets, and 12% share of wallet with existing distribution partners.