The Travelers Companies, Inc. · NYSE:TRV
The Travelers Companies — Q4 2025 Earnings Presentation
27 slides from The Travelers Companies's earnings presentation, Jan 21, 2026
Slide 1: Fourth Quarter 2025 Results
FOURTH QUARTER 2025 RESULTS January 21, 2026
Slide 2: Long-Term Financial Strategy
LONG-TERM FINANCIAL STRATEGY Generation of Balanced Meaningful top-tier earnings approach to and sustainable and capital rightsizing capital competitive substantially and growing book advantages in excess of value per share growth needs over time CREATE SHAREHOLDER VALUE Objective: Mid–Teens Core RO
Slide 3: Fourth Quarter 2025 Overview
FOURTH QUARTER 2025 OVERVIEW Travelers Reports Excellent Fourth Quarter and Full Year Results Fourth Quarter 2025 Net Income per Diluted Share of $11.06, up 23%, and Core Income per Diluted Share of $11.13, up 22% Full Year Net Income of $6.288 Billion and Core Income of $6.325 Billion Fourth Quarte
Slide 4: Consolidated Performance
CONSOLIDATED PERFORMANCE ($ in millions, except per share amounts, after-tax, except for premiums) FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Core income $ 2,511 $ 2,126 18 % $ 6,325 $ 5,025 26 % per diluted share $ 11.13 $ 9.15 22 % $ 27.59 $ 21.58 28 % Included the following items:
Slide 5: Very Strong Financial Position
VERY STRONG FINANCIAL POSITION ($ and shares in millions, except per share amounts) December 31, December 31, Capital 2025 2024 • Continued strong capitalization to support the Company’s business operations. Debt $ 9,267 $ 8,033 • Repurchased 5.8 million shares in fourth quarter 2025 for a total cos
Slide 6: Net Investment Income
NET INVESTMENT INCOME ($ in millions, after-tax) TOTAL Fourth Quarter 2025 vs. Prior Year Quarter Commentary $814 $850 $867 • Net investment income (NII) from the long-term fixed $738 $742 $785 $763 $774 $698 $727 income portfolio increased due to growth in average invested assets and a higher avera
Slide 7: Leading Core Return on Equity at Industry-Low Volatility
LEADING CORE RETURN ON EQUITY AT INDUSTRY-LOW VOLATILITY 12.7% 13.7% 11.3% 11.5% 17.2% 19.4% 10.4% 8.8% 9.0% 9.0% 8.5% 8.0% 1.1% 8.2% 0.8% 1.0% 0.6% 7.1% 0.7% 0.7% 0.2% 3.3% 0.7% 1.2% 0.2% 4.9% 4.2% 4.2% 3.5% 7.6% 7.3% 7.2% 6.6% 5.5% 5.7% 2005 through 2020 2021 2022 2023 2024 2025 Full Year Long-ter
Slide 8: Business Insurance Performance
BUSINESS INSURANCE PERFORMANCE ($ in millions) FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Segment income $ 1,292 $ 1,188 9 % $ 3,695 $ 3,306 12 % Loss and loss adjustment expense ratio 55.1 % 56.4 % 62.2 % 63.1 % Underwriting expense ratio 29.3 28.8 29.5 29.4 Combined ratio1 84.4 % 8
Slide 9: Domestic Business Insurance (ex. National Accounts)
DOMESTIC BUSINESS INSURANCE (EX. NATIONAL ACCOUNTS) IL L U STRATIV E BU SINESS STATISTICS Renewal Premium Change1 % Renewal Rate Change2 % Exposure/Other % 12% 10% 8% 7.0% 7.3% 6.8% 6.5% 6.2% 6% 5.2% 4.4% 3.8% 4% 2% —% ($ in millions) 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Retention 86% 85%
Slide 10: Domestic Business Insurance: Select Accounts
DOMESTIC BUSINESS INSURANCE: SELECT ACCOUNTS IL L U STRATIV E BU SINESS STATISTICS Renewal Premium Change1 % Renewal Rate Change2 % Exposure/Other % 12% 10% 8% 6% 5.3% 5.5% 5.6% 5.6% 5.3% 5.3% 5.3% 4% 3.8% 2% —% ($ in millions) 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Retention 84% 83% 82% 79
Slide 11: Domestic Business Insurance: Middle Market
DOMESTIC BUSINESS INSURANCE: MIDDLE MARKET IL L U STRATIV E BU SINESS STATISTICS Renewal Premium Change1 % Renewal Rate Change2 % Exposure/Other % 12% 10% 8.0% 7.6% 7.3% 8% 7.1% 7.1% 6.9% 6.3% 6% 5.1% 4% 2% —% ($ in millions) 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Retention 87% 88% 89% 88%
Slide 12: Bond & Specialty Insurance Performance
BOND & SPECIALTY INSURANCE PERFORMANCE ($ in millions) FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Segment income $ 236 $ 228 4 % $ 950 $ 815 17 % Loss and loss adjustment expense ratio 43.5 % 42.1 % 42.6 % 44.4 % Underwriting expense ratio 39.5 40.6 39.3 39.9 Combined ratio1 83.0 % 8
Slide 13: Domestic Bond & Specialty Insurance
DOMESTIC BOND & SPECIALTY INSURANCE ($ in millions) IL L U STRATIV E BU SINESS STATISTICS 2024 2025 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Management Liability 1 Retention 90% 90% 89% 89% 89% 87% 87% 87% Renewal premium change 2 3.2% 2.8% 1.3% 2.5% 2.4% 3.1% 3.7% 2.8% New business $91 $112 $109 $84 $71 $70 $71 $61
Slide 14: Personal Insurance Performance
PERSONAL INSURANCE PERFORMANCE ($ in millions) FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Segment income $ 1,086 $ 798 36 % $ 2,053 $ 1,249 64 % Loss and loss adjustment expense ratio 49.4 % 56.2 % 65.0 % 69.7 % Underwriting expense ratio 24.6 24.5 24.5 24.7 Combined ratio1 74.0 % 80
Slide 15: Personal Insurance Performance
PERSONAL INSURANCE PERFORMANCE FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Automobile Loss and loss adjustment expense ratio 67.1 % 71.9 % 63.4 % 72.6 % Underwriting expense ratio 22.3 22.3 22.3 22.4 Combined ratio1 89.4 % 94.2 % 4.8 pts 85.7 % 95.0 % 9.3 pts Net favorable prior year
Slide 16: Domestic Personal Insurance
DOMESTIC PERSONAL INSURANCE ($ in millions) IL L U STRATIV E BU SINESS STATISTICS 2024 2025 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Automobile Retention 1 81% 81% 81% 81% 81% 81% 81% 82% Renewal premium change 2 17.6% 16.3% 13.1% 10.7% 7.6% 5.2% 3.9% 2.2% Policies in force (in thousands) 2,985 2,958 2,939 2,930 2,9
Slide 17: Appendix
APPENDIX 17
Slide 18: A Decade of Success
A DECADE OF SUCCESS Significant NWP Growth Improved Underlying Profitability1 Improved Expense Ratio $44.4B AG R AVG = 90.3% %C 91.6% 31.5% 6.6 Impro ved 3 $25.0B 83.9% .0 pts 28.5% 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2016 2017 2018 201
Slide 19: Decade of Leading Returns & Strong Growth in EPS
DECADE OF LEADING RETURNS & STRONG GROWTH IN EPS ROE: Strong Margin Over the Risk-Free Rate Double Digit EPS Growth 20% 18% 16% CAGR 14% 11.8% 12% 10% 8% 6% $27.59 4% 2% $10.12 0% 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2016 2025 TRV Core Return on Equity Risk-Free Rate (10Y Treasury Yield
Slide 20: Balanced Approach to Capital Management
BALANCED APPROACH TO CAPITAL MANAGEMENT Adjusted Book Value 1 Per Share Dividends Per Share $4.35 % CAGR 8.0 $158.01 $1.01 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 8 .1% 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 20 R CAG Cumulative Share Buybacks ( $ i n b i l l i o
Slide 21: Technology Investments
TECHNOLOGY INVESTMENTS $ • Meaningfully increased our overall technology spend over the last nine years • Significantly reduced our expense ratio at the same time through our strategic focus on optimizing productivity and efficiency • Improved the mix of our technology spend ◦ Increased our spending
Slide 22: 2026 Catastrophe Reinsurance Effective 1/1/26
2026 CATASTROPHE REINSURANCE EFFECTIVE 1/1/26 Corporate Catastrophe Excess-of-Loss Reinsurance Treaty (Renewal) Covers the accumulation of certain property losses arising from one or In addition to the Corporate Catastrophe Excess-of-Loss multiple occurrences. This treaty provides for recovery up to
Slide 23: TRV Catastrophe Losses - Quarterly History & 2026 Plan
TRV CATASTROPHE LOSSES - QUARTERLY HISTORY & 2026 PLAN 1 36.7% Percentage of calendar 27.1% year CAT activity 23.5% attributed to each quarter 12.7% (10-year average) 1Q 2Q 3Q 4Q Over the past 10 years, the second quarter is on average the highest catastrophe loss quarter for Travelers 10-Year 5-Yea
Slide 24: Well-Defined and Consistent Investment Philosophy
Well-Defined and Consistent Investment Philosophy ($ in millions, as of December 31, 2025, unless otherwise noted) Investment Income reliable contributor to results Fixed Income Portfolio Rating % % Fixed Maturities by Rating3 Total Investments Corporates2 A2 $ 41,054 39 % Aaa 28.3 % Municipal Aaa/A
Slide 25: Explanatory Note
EXPLANATORY NOTE This presentation contains, and management may make, certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, may be forward-looking statements. Words such as “may,” “w
Slide 26: Disclosure
DISCLOSURE In this presentation, we may refer to some non-GAAP financial measures. For a reconciliation of these measures to the most comparable GAAP measures and a glossary of financial measures, we refer you to the press release and financial supplement that we have made available in connection wi
Slide 27: investor.travelers.com
investor.travelers.com 27
The Travelers Companies — Q4 2025 Earnings Presentation on 6ix