Selective Insurance Group (SIGI) Q4 2025 earnings summary

Executive summary

• Achieved a 14.4% ROE and 14.2% operating ROE for 2025, surpassing long-term industry averages.

• Net premiums written reached $4.9 billion in 2025, ranking as the 34th largest U.S. P&C carrier.

• Book value per share grew 18% year-over-year to $56.74, with $182 million returned to shareholders via dividends and buybacks.

• Expanded commercial lines footprint to nearly all states, focusing on profitable growth and diversification.

• Received A+ (Superior) rating from AM Best and strong ratings from other agencies.

Financial highlights

• Fully diluted EPS for Q4 was $2.52, up 66% year-over-year; non-GAAP operating EPS was $2.57, up 59%.

• Combined ratio improved to 93.8% in Q4 and 97.2% for the year; underlying combined ratio was 91.8%.

• Net premiums written grew 5% for the year, with an 8.9% CAGR from 2015 to 2025.

• After-tax net investment income for Q4 was $114 million, up 17% year-over-year; $421.2 million for the year.

• Book value per share increased from $26.42 in 2016 to $56.74 in 2025.

Outlook and guidance

• 2026 GAAP combined ratio expected between 96.5% and 97.5%, with 6 points of catastrophe losses assumed.

• After-tax net investment income projected at $465 million for 2026, up 10% from 2025.

• Operating ROE guidance for 2026 is around 14%.

• Underlying combined ratio for 2026 expected in the 90.5%-91.5% range, with improvement in Personal and Commercial Lines.

• Effective tax rate projected at 21.5% for 2026.