2024 was a Pretty Good Insurance Year — Verisk & APCIA Data Analysis

Verisk and the American Property Casualty Insurance Association (APCIA) analyzed the income data for 2024 and found last year that net income tripled from $40.9 billion to $169.6 billion. Looking at calendar year records, Verisk’s Saurabh Khemka said this is the first time net income has risen over $100 billion.

The Net underwriting gain also looked great and went from negative $21.8 billion to $24.8 billion on the plus side. Net written premiums rose 8.7% to $925.8 billion and net investment income jumped 18% to $83.96 billion.

“While many of the loss drivers of 2023 persisted into 2024, the industry’s ability to bring premiums closer to the requisite levels has led to an underwriting gain for the first time since 2020,” Khemka said.

A big worry continues to be property losses from catastrophes. Last year is the second worst year for catastrophic losses since 1950. “Most notably, Hurricane Milton, along with a series of late-season storms, drove fourth-quarter catastrophe claims to surge 113 percent higher than the same period in 2023, highlighting both the volatility and financial strain insurers face,” Khemka noted.

The APCIA’s Robert Gordon also worries about catastrophic losses.

“By this time next year, homeowners insurers will have likely reported seven consecutive years of net underwriting losses, including record insured losses caused by the California wildfires this January,” he said.

2024 P&C Results

Net written premium

2024 — $925.8 billion

2023 — $851.4 billion

Percent of change

2024 —8.7%

2023 — 10.4%

Net income after taxes

2024 — $169.6 billion

2023 — $40.9 billion

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