Selective Insurance Group (SIGI) investor relations material

Executive summary

• Delivered a double-digit operating ROE of 12.0% and reported ROE of 11.2% in Q1 2026, with net income per diluted share of $1.58 and non-GAAP operating income per share of $1.69.

• Maintained stable reserves, consistent operating model, and disciplined underwriting, leveraging AI and technology for improved risk selection and operational efficiency.

• Expanded agency locations and geographic footprint, with new states contributing 9% of direct premiums and Standard Commercial Lines comprising 79%-81% of net premiums written.

• Returned $56 million to shareholders via dividends and share repurchases, representing 57% of after-tax net income.

• Strategic focus on data, technology, and operational efficiency to drive growth and profitability.

Financial highlights

• Fully diluted EPS was $1.58; non-GAAP operating EPS was $1.69; net income available to common stockholders was $95.4 million, down 11% year-over-year.

• Combined ratio was 98.3%, up from 96.1% in Q1 2025, driven by higher catastrophe losses; underlying combined ratio was 92.1%.

• After-tax net investment income rose 18% year-over-year to $113 million, with an annualized after-tax yield of 4.0%.

• Book value per share was $56.58, with adjusted book value per share at $58.94.

• Net premiums written were $1,225.5 million, down 1% year-over-year.

Outlook and guidance

• Full-year 2026 guidance: GAAP combined ratio expected between 96.5% and 97.5%, assuming six points of catastrophe losses and no prior year reserve development.

• After-tax net investment income projected at $465 million for 2026.

• Guidance assumes an effective tax rate of 21.5% and a fully diluted share count of 60.5 million.

• Continued focus on profitable growth, technology investment, and geographic expansion.