Selective Insurance Group (SIGI) Q2 2025 earnings summary

Executive summary

• Net income for Q2 2025 was $85.9M, reversing a $63.3M loss in Q2 2024; six-month net income rose to $195.8M from $19.2M year-over-year.

• Operating ROE reached 10.3% for Q2 2025 and 12.3% for the first half, with investment income up 18% year-over-year.

• Net premiums written grew 5% year-over-year in Q2 2025, with segment growth driven by disciplined underwriting and pricing.

• Combined ratio improved to 100.2% in Q2 2025 from 116.1% in Q2 2024, and to 98.2% for the six months from 107.3% year-over-year.

• Unfavorable prior year casualty reserve development of $45M in Q2 2025, mainly in commercial auto and general liability lines.

Financial highlights

• Fully diluted EPS was $1.36; non-GAAP operating EPS was $1.31 for Q2 2025.

• Total revenues grew 11% year-over-year to $1.33B in Q2 2025; net premiums earned increased 10%.

• After-tax net investment income was $101M in Q2 2025, up 18% year-over-year.

• Book value per share rose 9% to $52.09 as of June 30, 2025, with adjusted book value per share at $54.48.

• Combined ratio was 100.2% in Q2 2025 and 98.2% for the first half.

Outlook and guidance

• Full-year 2025 GAAP combined ratio guidance raised to 97–98%, including 6 points of catastrophe losses.

• After-tax net investment income guidance increased to $415M for 2025.

• Effective tax rate expected at 21.5%; weighted average diluted shares projected at 61.5M.

• No further share repurchases assumed in guidance.

• Ongoing expansion into new states, aiming for near-national commercial lines presence by end of 2026.