Segment Information (Tables)

3 Months Ended

Mar. 31, 2021

Reconciliation of Revenue and operating Income from Segments to Consolidated

Following are the operating results for the respective periods:


	Three Months Ended March 31,
		2021	2020
(millions)			Revenues		Pretax Profit (Loss)		Revenues		Pretax Profit (Loss)
Personal Lines
Agency			$	4,098.2	$	547.5	$	3,828.7	$	601.6
Direct			4,431.7		414.6		3,992.4		473.0
Total Personal Lines1			8,529.9		962.1		7,821.1		1,074.6
Commercial Lines			1,417.8		228.5		1,189.0		112.5
Property2			472.5		(70.7)		420.6		49.2

Total underwriting operations			10,420.2		1,119.9		9,430.7		1,236.3
Fees and other revenues3			165.7		NA		153.5		NA
Service businesses			53.8		4.5		51.6		4.1
Investments4			805.5		799.9		(312.4)		(317.7)

Interest expense			NA		(56.4)		NA		(48.0)
Consolidated total			$	11,445.2	$	1,867.9	$	9,323.4	$	874.7

NA = Not applicable

1 Personal auto insurance accounted for 94% of the total Personal Lines segment net premiums earned during the three months ended March 31, 2021 and 2020; insurance for our special lines products (e.g., motorcycles, ATVs, RVs, watercraft, and snowmobiles) accounted for the balance of the Personal Lines net premiums earned.

2 For the three months ended March 31, 2021 and 2020, pretax profit (loss) includes $14.2 million and $14.5 million, respectively, of amortization expense predominately associated with intangible assets. See Note 12 – Goodwill and Intangible Assets for further discussion.

3 Pretax profit (loss) for fees and other revenues is allocated to operating segments.

4 Revenues represent recurring investment income and total net realized gains (losses) on securities; pretax profit is net of investment expense.

Underwriting Margins and Combined Ratios for our Underwriting Operations

Following are the underwriting margins and combined ratios for our underwriting operations for the respective periods:


	Three Months Ended March 31,
		2021	2020
			Underwriting Margin		Combined Ratio	Underwriting Margin		Combined Ratio
Personal Lines
Agency			13.4	%	86.6	15.7	%	84.3
Direct			9.4		90.6	11.9		88.1
Total Personal Lines			11.3		88.7	13.7		86.3
Commercial Lines			16.1		83.9	9.5		90.5
Property1			(15.0)		115.0	11.7		88.3

Total underwriting operations			10.7		89.3	13.1		86.9

1 Included in the three months ended March 31, 2021 and 2020, is 3.0 points and 3.4 points, respectively, of amortization expense predominately associated with intangible assets.