Cincinnati reports Q3‘25 revenue and net income growth with improved CoR

Cincinnati Financial Corporation has announced its financial results for the third quarter of 2025, reporting $3.72 billion in revenue and a 37% jump in net income to $1.12 billion, a strong performance fuelled by both investment gains and strong underwriting.

Net investment gains reached $77 million, with investment income adding another $30 million.

The property and casualty insurer also reported a $293 million underwriting profit as its combined ratio fell to 88.2%, an improvement from the 97.4% seen in the third quarter of 2024.

Q3 2025’s combined ratio is a sign of improved risk management, especially with fewer catastrophe losses this quarter.

Net written premiums grew 9% in the quarter, to $2.49 billion including price increases, premium growth initiatives and a higher level of insured exposures.

The contribution to third-quarter growth from Cincinnati Re and Cincinnati Global Underwriting Ltd. in total was less than 1 percentage point.

Additionally, the firm saw $356 million Q3 2025 property casualty new business written premiums, down 12%. Agencies appointed since the beginning of 2024 contributed $32 million or 9% of total new business written premiums.

Q3 2025 net income for the life insurance subsidiary increased by $8 million compared to the same period last year, reaching $28 million, with life insurance earned premiums seeing a 5% growth in this year’s Q3.

Stephen M. Spray, president and chief executive officer, commented: “Non-GAAP operating income more than doubled last year’s third quarter to $449 million, bolstered by underwriting profits as well as pretax investment income that increased 14% over last year’s third quarter.

“Property casualty insurance underwriting led our strong performance. Underwriting profits before taxes rose to $293 million in the third quarter, turning our nine-month results to a positive $123 million.”

He continued: “Our combined ratio of 88.2% was our best third quarter result since 2015. On a nine-month basis, our combined ratio was 98.4%. With one quarter to go, we are within striking distance of our target long-term annual average range of 92% to 98%.”

“Better weather helped us achieve healthy results for our insurance operations with a third-quarter impact from catastrophes at just 3.7 percentage points. More importantly, our results reflect the diligent execution of our deliberate strategies for profitable growth. We have set ambitious goals for ourselves, and our associates are rising to meet them.”