Chubb reports record-breaking profits in 2025
Chubb reports record-breaking profits in 2025 with $10.31 billion in net income, $9.95 billion in operating income, and a record low property and casualty (P&C) combined ratio at 85.7%
The insurance company’s net income increased by 11.2% and its operating income by 8.9%. The combined ratio dropped nearly a percentage point from 86.6% in 2024.
“We had a great quarter and a great year, with very strong contributions from all areas of the company,” said Evan Greenberg, Chubb chairman and CEO, in a press release. “Our consistent and enduring performance speaks to the broadly diversified global nature of our company.
“For the quarter, double-digit growth in underwriting and life income, together with record investment income, led to operating income increasing 21.7% and on a per share basis, up almost 25%.”
Greenberg said the company’s full-year results within virtually every category were the best in the company’s history. He said the results were achieved despite full-year catastrophe losses being modestly higher than the prior year, driven by the California wildfires in the first quarter.
P&C net premiums written were $47.6 billion, up 5.4% in North America, including a 7.5% increase in personal insurance. Underwriting income was recorded at $6.53 billion, up 11.6%.
For Q4, net income was $3.21 billion, core operating income was $2.98 billion, and a record-breaking P&C combined ratio of 81.2% was reached.
The company’s Q4 net premiums written were $11.31 billion, with an underwriting income of $2.20 billion.
Allstate also recently reported significant profit in 2025, including the doubling of its net income.
Allstate’s net income to common shareholders was $10.2 billion last year, compared to $4.6 billion in 2024.
The company’s total revenues also grew by 5.6% to $67.7 billion, and its adjusted net income was $9.3 billion.
Its auto insurance combined ratio lowered by 12.7 points to 80.8 in the fourth quarter, compared to the previous year.
Allstate also announced it had reduced premiums for 7.8 million auto and homeowners insurance customers after the big profit year.
Doug Heller, Consumer Federation of America director of insurance, recently discussed insurance costs during the Automotive Insights Symposium held by the Federal Reserve Bank of Chicago.
A number of insurance companies aggressively set prices as inflation climbed, he said. “A number of the big players really overshot in terms of their expectation of inflation,” Heller said. “They were building their insurance premiums as though that peak of inflation in ’22 and ’23 was going to last into ’24, ’25, and ’26.”
This gave many companies and shareholders big dividends and profits in 2024 and 2025.
Without naming the company, he mentioned an insurer in Florida that had to give back $1 billion due to excessive rates.
He later said that states that invest more resources in insurance regulatory oversight have a more stable pricing environment.
A recent Insurify report found that insurance dropped 6% nationally in 2025. The decrease follows the average cost of insurance rising 46% since 2022 to 2024, it says.
Insurance companies used the elevated premiums to improve their financial footing, helping the industry absorb tariff-driven costs without raising prices, according to the report. Yet, the report notes that the full effects of tariffs have not hit repair costs.
“Now, many insurers are cutting rates to attract and retain new customers,” the report says.
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