XML 48 R12.htm IDEA: XBRL DOCUMENT v3.25.0.1
Segments of Operations
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segments of Operations Segments of Operations
AFG manages its business as two segments: Property and casualty insurance and Other, which includes holding company assets and costs.

AFG reports its property and casualty insurance business in the following Specialty sub-segments: (i) Property and transportation, which includes physical damage and liability coverage for buses and trucks and other specialty transportation niches, inland and ocean marine, agricultural-related products and other commercial property coverages,
(ii) Specialty casualty, which includes primarily excess and surplus, executive and professional liability, general liability, umbrella and excess liability, specialty coverages in targeted markets, customized programs for small to mid-sized businesses and workers’ compensation insurance, and (iii) Specialty financial, which includes risk management insurance programs for lending and leasing institutions (including equipment leasing and collateral and lender-placed mortgage property insurance), fidelity and surety products and trade credit insurance. Premiums and underwriting profit (loss) included under Other specialty represent business assumed by AFG’s internal reinsurance program from the operations that make up AFG’s other Specialty sub-segments and amortization of a deferred gain on a retroactive reinsurance transaction related to the sale of a business. AFG’s reportable segments and their components were determined based primarily upon similar economic characteristics, products and services. The impacts of all intercompany transactions between segments have been eliminated.

AFG’s CODMs are its Co-CEOs. The CODMs evaluate the performance of the Property and casualty insurance segment based on return on equity and underwriting profit. The CODMs use this measure to allocate resources and make capital decisions.

Sales of property and casualty insurance outside of the United States represented 4% of AFG’s revenues in 2024, 3% in 2023 and 4% in 2022.

The following tables (in millions) show AFG’s assets, revenues and earnings before income taxes by segment and sub-segment.
20242023
Assets
Property and casualty insurance (*)$25,913 $24,475 
Other4,923 5,312 
Total assets$30,836 $29,787 
(*)Not allocable to sub-segments.
202420232022
Revenues
Property and casualty insurance:
Premiums earned:
Specialty
Property and transportation$2,793 $2,519 $2,487 
Specialty casualty2,967 2,886 2,659 
Specialty financial1,032 867 698 
Other specialty244 259 241 
Total premiums earned7,036 6,531 6,085 
Net investment income784 729 683 
Other income8 16 12 
Total property and casualty insurance7,828 7,276 6,780 
Other496 591 376 
Total revenues before realized gains (losses)8,324 7,867 7,156 
Realized gains (losses) on securities— (36)(116)
Realized loss on subsidiary
— (4)— 
Total revenues$8,324 $7,827 $7,040 
202420232022
Earnings Before Income Taxes
Property and casualty insurance:
Underwriting:
Specialty
Property and transportation$211 $184 $208 
Specialty casualty340 375 500 
Specialty financial134 110 114 
Other specialty(59)(36)(42)
Other lines(6)(2)(4)
Total underwriting (a)
620 631 776 
Investment and other income, net (b)
708 673 643 
Total property and casualty insurance1,328 1,304 1,419 
Other (c)
(204)(191)(180)
Total earnings before realized gains (losses) and income taxes
1,124 1,113 1,239 
Realized gains (losses) on securities— (36)(116)
Realized loss on subsidiary— (4)— 
Total earnings before income taxes
$1,124 $1,073 $1,123 
(a)Significant segment expenses, which are losses and loss adjustment expenses and commissions and other underwriting expenses, are shown in the table below by sub-segment.
(b)Includes the amortization of intangibles and other miscellaneous expenses.
(c)Includes the expenses of the managed investment entities, interest charges on borrowed money and salaries, depreciation and other general expenses. Additionally, includes a gain on retirement of debt of $1 million in 2023 and a loss on retirement of debt of $9 million in 2022, and special charges of $14 million and $15 million in 2024 and 2023, respectively, to increase asbestos and environmental liabilities related to AFG’s former railroad and manufacturing operations.
The following table shows the components of underwriting profit, including significant segment expenses, for the Property and casualty insurance segment (in millions) for the years ended:
202420232022
Property and casualty insurance:
Specialty:
Property and transportation:
Premiums earned
$2,793 $2,519 $2,487 
Losses and loss adjustment expenses1,952 1,741 1,735 
Commissions and other underwriting expenses630 594 544 
Underwriting profit
$211 $184 $208 
Specialty casualty:
Premiums earned$2,967 $2,886 $2,659 
Losses and loss adjustment expenses1,853 1,739 1,453 
Commissions and other underwriting expenses774 772 706 
Underwriting profit
$340 $375 $500 
Specialty financial:
Premiums earned$1,032 $867 $698 
Losses and loss adjustment expenses429 328 238 
Commissions and other underwriting expenses469 429 346 
Underwriting profit
$134 $110 $114 
Other Specialty:
Premiums earned$244 $259 $241 
Losses and loss adjustment expenses215 207 199 
Commissions and other underwriting expenses88 88 84 
Underwriting loss
$(59)$(36)$(42)
Other lines:
Losses and loss adjustment expenses$6 $2 $4 
Underwriting loss
$(6)$(2)$(4)
Total property and casualty insurance segment:
Premiums earned$7,036 $6,531 $6,085 
Losses and loss adjustment expenses4,455 4,017 3,629 
Commissions and other underwriting expenses1,961 1,883 1,680 
Underwriting profit
$620 $631 $776