Business Segments (Tables)

9 Months Ended

Sep. 30, 2025

Segment Reporting [Abstract]

Significant components of the Company's continuing operations and selected balance sheet items

The Company's results of operations and selected balance sheet items by segment are presented in the following tables.

Three months ended September 30, 2025	Specialty		Commercial		International		Life & Group		Corporate & Other
(In millions)											Eliminations		Total
Operating revenues
Net earned premiums	$	881	$	1,453	$	344	$	106	$	—	$	(1)	$	2,783
Net investment income	162		192		42		226		16		—		638
Non-insurance warranty revenue	393		—		—		—		—		—		393
Other revenues	1		8		—		—		2		(1)		10
Total operating revenues	1,437		1,653		386		332		18		(2)		3,824
Claims, benefits and expenses
Net incurred claims and benefits	534		960		203		336		(10)		—		2,023
Policyholders’ dividends	2		7		—		—		—		—		9
Amortization of deferred acquisition costs	197		215		71		—		—		—		483
Non-insurance warranty expense	377		—		—		—		—		—		377
Insurance related administrative expenses	88		165		42		29		1		(1)		324
Interest expense	—		—		—		—		36		—		36
Other segment items (1)	16		11		(1)		—		27		(1)		52
Total claims, benefits and expenses	1,214		1,358		315		365		54		(2)		3,304
Income tax (expense) benefit on core income (loss)	(47)		(62)		(24)		11		11		—		(111)
Core income (loss)	$	176	$	233	$	47	$	(22)	$	(25)	$	—	$	409
Net investment gains (losses)													(7)
Income tax (expense) benefit on net investment gains (losses)													1
Net investment gains (losses), after tax													(6)
Net income (loss)													$	403

(1) Other segment items for the Company's property and casualty insurance segments reflects expenses not directly related to the Company's insurance operations, including certain expenses related to the Company's non-insurance warranty business within Specialty, claims services offerings within Commercial and foreign currency transaction gains and losses within International. Other segment items for the Corporate & Other segment reflects certain corporate expenses not attributable to the Company's ongoing property and casualty insurance operations.

Three months ended September 30, 2024	Specialty		Commercial		International		Life & Group		Corporate & Other
(In millions)											Eliminations		Total
Operating revenues
Net earned premiums	$	848	$	1,325	$	311	$	110	$	—	$	(1)	$	2,593
Net investment income	157		183		32		240		14		—		626
Non-insurance warranty revenue	401		—		—		—		—		—		401
Other revenues	1		5		—		—		3		(1)		8
Total operating revenues	1,407		1,513		343		350		17		(2)		3,628
Claims, benefits and expenses
Net incurred claims and benefits	509		954		195		336		16		—		2,010
Policyholders’ dividends	2		7		—		—		—		—		9
Amortization of deferred acquisition costs	188		209		60		—		—		—		457
Non-insurance warranty expense	387		—		—		—		—		—		387
Insurance related administrative expenses	90		158		44		30		—		(1)		321
Interest expense	—		—		—		—		32		—		32
Other segment items (1)	13		8		(8)		1		24		(1)		37
Total claims, benefits and expenses (2)	1,189		1,336		291		367		72		(2)		3,253
Income tax (expense) benefit on core income (loss)	(47)		(38)		(16)		8		11		—		(82)
Core income (loss)	$	171	$	139	$	36	$	(9)	$	(44)	$	—	$	293
Net investment gains (losses)													(10)
Income tax (expense) benefit on net investment gains (losses)													3
Net investment gains (losses), after tax													(7)
Pension settlement transaction gains (losses)													(4)
Income tax (expense) benefit on pension settlement transaction gains (losses)													1
Pension settlement transaction gains (losses), after tax													(3)
Net income (loss)													$	283

(1) Other segment items for the Company's property and casualty insurance segments reflects expenses not directly related to the Company's insurance operations, including certain expenses related to the Company's non-insurance warranty business within Specialty, claims services offerings within Commercial and foreign currency transaction gains and losses within International. Other segment items for the Corporate & Other segment reflects certain corporate expenses not attributable to the Company's ongoing property and casualty insurance operations.

(2) Excludes the impact of pension settlement transaction gains (losses). See Note H to the Condensed Consolidated Financial Statements for additional information.

Nine months ended September 30, 2025	Specialty		Commercial		International		Life & Group		Corporate & Other
(In millions)											Eliminations		Total
Operating revenues
Net earned premiums	$	2,573	$	4,235	$	978	$	318	$	—	$	(1)	$	8,103
Net investment income	483		575		114		687		45		—		1,904
Non-insurance warranty revenue	1,188		—		—		—		—		—		1,188
Other revenues	1		26		—		—		8		(7)		28
Total operating revenues	4,245		4,836		1,092		1,005		53		(8)		11,223
Claims, benefits and expenses
Net incurred claims and benefits	1,562		2,907		590		949		107		—		6,115
Policyholders’ dividends	7		22		—		—		—		—		29
Amortization of deferred acquisition costs	581		645		197		—		—		—		1,423
Non-insurance warranty expense	1,146		—		—		—		—		—		1,146
Insurance related administrative expenses	268		498		125		90		2		(1)		982
Interest expense	—		—		—		—		99		—		99
Other segment items (1)	41		36		(12)		1		66		(7)		125
Total claims, benefits and expenses	3,605		4,108		900		1,040		274		(8)		9,919
Income tax (expense) benefit on core income (loss)	(137)		(153)		(55)		20		46		—		(279)
Core income (loss)	$	503	$	575	$	137	$	(15)	$	(175)	$	—	$	1,025
Net investment gains (losses)													(62)
Income tax (expense) benefit on net investment gains (losses)													13
Net investment gains (losses), after tax													(49)
Net income (loss)													$	976

(1) Other segment items for the Company's property and casualty insurance segments reflects expenses not directly related to the Company's insurance operations, including certain expenses related to the Company's non-insurance warranty business within Specialty, claims services offerings within Commercial and foreign currency transaction gains and losses within International. Other segment items for the Corporate & Other segment reflects certain corporate expenses not attributable to the Company's ongoing property and casualty insurance operations.

September 30, 2025	Specialty		Commercial		International		Life & Group		Corporate & Other
(In millions)											Eliminations		Total
Reinsurance receivables	$	1,803	$	1,786	$	559	$	77	$	2,242	$	—	$	6,467
Insurance receivables	1,008		2,277		406		1		1		—		3,693
Deferred acquisition costs	447		395		143		—		—		—		985
Goodwill	117		—		31		—		—		—		148
Deferred non-insurance warranty acquisition expense	3,340		—		—		—		—		—		3,340
Insurance reserves
Claim and claim adjustment expenses	7,769		12,153		3,315		615		2,673		—		26,525
Unearned premiums	3,295		3,392		796		95		—		—		7,578
Future policy benefits	—		—		—		13,546		—		—		13,546
Deferred non-insurance warranty revenue	4,294		—		—		—		—		—		4,294

Nine months ended September 30, 2024	Specialty		Commercial		International		Life & Group		Corporate & Other
(In millions)											Eliminations		Total
Operating revenues
Net earned premiums	$	2,493	$	3,774	$	937	$	329	$	—	$	(1)	$	7,532
Net investment income	461		534		95		710		53		—		1,853
Non-insurance warranty revenue	1,212		—		—		—		—		—		1,212
Other revenues	1		23		—		—		9		(7)		26
Total operating revenues	4,167		4,331		1,032		1,039		62		(8)		10,623
Claims, benefits and expenses
Net incurred claims and benefits	1,478		2,628		568		973		35		—		5,682
Policyholders’ dividends	7		19		—		—		—		—		26
Amortization of deferred acquisition costs	546		608		182		—		—		—		1,336
Non-insurance warranty expense	1,169		—		—		—		—		—		1,169
Insurance related administrative expenses	267		454		129		88		—		(1)		937
Interest expense	—		—		—		—		101		—		101
Other segment items (1)	41		33		(5)		2		72		(7)		136
Total claims, benefits and expenses (2)	3,508		3,742		874		1,063		208		(8)		9,387
Income tax (expense) benefit on core income (loss)	(142)		(125)		(41)		19		27		—		(262)
Core income (loss)	$	517	$	464	$	117	$	(5)	$	(119)	$	—	$	974
Net investment gains (losses)													(42)
Income tax (expense) benefit on net investment gains (losses)													9
Net investment gains (losses), after tax													(33)
Pension settlement transaction gains (losses)													(4)
Income tax (expense) benefit on pension settlement transaction gains (losses)													1
Pension settlement transaction gains (losses), after tax													(3)
Net income (loss)													$	938

(1) Other segment items for the Company's property and casualty insurance segments reflects expenses not directly related to the Company's insurance operations, including certain expenses related to the Company's non-insurance warranty business within Specialty, claims services offerings within Commercial and foreign currency transaction gains and losses within International. Other segment items for the Corporate & Other segment reflects certain corporate expenses not attributable to the Company's ongoing property and casualty insurance operations.

(2) Excludes the impact of pension settlement transaction gains (losses). See Note H to the Condensed Consolidated Financial Statements for additional information.

December 31, 2024	Specialty		Commercial		International		Life & Group		Corporate & Other
(In millions)											Eliminations		Total
Reinsurance receivables	$	1,405	$	1,710	$	539	$	82	$	2,336	$	—	$	6,072
Insurance receivables	1,062		2,219		410		4		2		—		3,697
Deferred acquisition costs	427		405		127		—		—		—		959
Goodwill	117		—		28		—		—		—		145
Deferred non-insurance warranty acquisition expense	3,525		—		—		—		—		—		3,525
Insurance reserves
Claim and claim adjustment expenses	7,426		11,336		2,920		622		2,672		—		24,976
Unearned premiums	3,275		3,252		727		92		—		—		7,346
Future policy benefits	—		—		—		13,158		—		—		13,158
Deferred non-insurance warranty revenue	4,530		—		—		—		—		—		4,530

The following table presents further detail of significant segment expenses included within Net incurred claims and benefits for the Property & Casualty segments.

Periods ended September 30	Three Months				Nine Months
(In millions)	2025		2024		2025		2024
Specialty
Non-catastrophe net incurred claim and claim adjustment expenses related to current year	$	534	$	509	$	1,552	$	1,486
Catastrophe losses	—		—		—		—
(Favorable) unfavorable development (1)	—		—		10		(8)
Commercial
Non-catastrophe net incurred claim and claim adjustment expenses related to current year	$	921	$	829	$	2,674	$	2,350
Catastrophe losses	39		127		182		285
(Favorable) unfavorable development (1)	(1)		(3)		46		(11)
International
Non-catastrophe net incurred claim and claim adjustment expenses related to current year	$	201	$	181	$	572	$	545
Catastrophe losses	2		16		18		28
(Favorable) unfavorable development (1)	—		(2)		—		(5)

(1) (Favorable) unfavorable development does not include the effects of interest accretion and change in allowance for uncollectible reinsurance.

Revenues by line of business

The following table presents operating revenues by line of business for each reportable segment.

Periods ended September 30	Three Months				Nine Months
(In millions)	2025		2024		2025		2024
Specialty
Management & Professional Liability	$	773	$	753	$	2,297	$	2,215
Surety	225		202		618		580
Warranty & Alternative Risks	439		452		1,330		1,372
Specialty revenues	1,437		1,407		4,245		4,167
Commercial
Middle Market	483		448		1,430		1,307
Construction	535		521		1,562		1,459
Small Business	160		161		477		472
Other Commercial	475		383		1,367		1,093
Commercial revenues	1,653		1,513		4,836		4,331
International
Canada	114		99		312		296
Europe	165		150		465		440
Hardy	107		94		315		296
International revenues	386		343		1,092		1,032
Life & Group revenues	332		350		1,005		1,039
Corporate & Other revenues	18		17		53		62
Eliminations	(2)		(2)		(8)		(8)
Total operating revenues	3,824		3,628		11,223		10,623
Net investment gains (losses)	(7)		(10)		(62)		(42)
Total revenues	$	3,817	$	3,618	$	11,161	$	10,581