EX-99.1 2 q32024pressreleaseexh991.htm EX-99.1 Document
第99.1展示文本
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Selective報告2024年第三季度業績

每股攤薄後的淨利潤爲$1.47，並且非通用會計淨收入1 每股爲$1.40的
稀釋普通股份；12.6%的普通股權益回報率（"roe"）和非通用會計原則的營運roe1於 12.1%

季度股息增加 9% 至每股$0.38

2024年第三季度：

•2023年第三季度淨保費收入（"NPW"）較上年同期增長9%；
•GAAP綜合比率爲99.5%，2023年第三季度爲96.8%；
•淨災害損失使GAAP綜合比率增加了13.4個百分點，而2023年第三季度爲6.6個百分點；
•商業保險續保純定價上漲平均9.1%，較上漲 2.0 p7.1%的點 第三第 季度可能發生融資交易，因此以相應地實際獲得的總額爲基礎在該模型中使用股票價格進行調整。2023;
•稅後淨投資收益爲 $9300萬，比上年增長16% 第三第 季度可能發生融資交易，因此以相應地實際獲得的總額爲基礎在該模型中使用股票價格進行調整。2023;
•每股普通股賬面價值爲48.82美元，比上季度增長了9％；且
•每股調整後賬麪價值¹爲50.80美元，比上季度增長2%。
    
新澤西布蘭奇維爾-2024年10月21日- 選擇性保險集團股份有限公司（納斯達克股票代碼：SIGI）報告了截至2024年9月30日的第三季度財務業績，每股攤薄普通股淨利潤爲1.47美元，非通用會計淨收入1 每股攤薄普通股的實際爲1.40美元。普通股權益回報率爲12.6%，非通用會計經營ROE爲1爲 461.4 百萬12.1%.

NPW較一年前增長9%，主要受加速續保的淨保費增長和標準商業線續保率穩定推動。投資部門產生了 13.1 季度ROE年化收益率爲點，稅後淨投資收益與一年前相同。 $93 百萬美元，增長 16% 。

就本季度而言，Selective報告的合併損失率爲99.5%，沒有淨前一年的傷亡儲備發展。災難損失增加了 $14900萬增加了合併損失率 13.4 個點，比一年前的6.6個點高。損失源於本季度的19場命名風暴，颶風海倫估計造成了8500萬美元的稅前損失。

「第三季度持續頻繁和嚴重的風暴，包括颶風海倫帶來的破壞，突顯我們對客戶、代理夥伴和社區的堅定承諾。在這些受風暴影響的艱難時期，我感謝我的同事們繼續提供卓越的理賠服務，並支持客戶和申訴人，」John J. Marchioni主席，總裁兼首席執行官說。

我們在定價和承保業務時保持紀律性。損失趨勢仍然高漲且不確定，但我們繼續審慎和警惕地處理它們。在本季度，續保純價上漲了10.5%。在標準商業業務中，續保純價加速至9.1%。對於一般責任險，在之前幾個季度中損失爆發最嚴重的險種，續保純價爲10.2%，高於第二季度的7.6%。重要的是，在標準商業業務中，留存率保持在86%。

「我們的主要目標是始終實現我們95%的綜合比率目標。儘管災難損失影響了這一季度，但我們的基本業績表現出色，反映了我們的核保和定價舉動以及嚴謹的費用管理。我們在10月初將內華達、俄勒岡和華盛頓納入我們的標準商業線業務範圍，目前覆蓋35個州。憑藉我們強勁的資本實力、財務靈活性和戰略執行，我們已經做好了應對外部環境不確定性的準備。」 Marchioni先生總結道。






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經營亮點

合併財務結果截至9月30日的季度變更截至9月30日的年初至今 變更
金額和股數均以百萬爲單位，除每股數據外2024202320242023
淨保險費$1,157.6 1,058.3 9 %$3,540.4 3,143.0 13 %
淨保費收入1,112.2 981.9 13 3,243.4 2,826.4 15 
淨投資收入117.8 100.9 17 334.3 290.1 15 
淨實現和未實現收益（損失），稅前5.4 (6.9)(178)5.1 (9.0)(156)
總收入1,244.3 1,081.1 15 3,605.3 3,121.4 16 
淨承保收益（損失），稅後4.1 25.0 (83)(118.0)54.7 (316)
淨投資收入，稅後93.4 80.2 16 265.3 231.1 15 
淨利潤(可供普通股股東使用)
90.0 86.9 4 104.6 233.5 (55)
非通用會計原則下的營業收入（虧損）1
85.7 92.3 (7)100.6 240.6 (58)
綜合賠付率99.5 %96.8 2.7 pts104.6 %97.5 7.1 pts
損失和損失準備金比率68.8 65.8 3.0 73.8 65.7 8.1 
承保費用比率30.6 30.9 (0.3)30.6 31.6 (1.0)
投保人分紅派息比率0.1 0.1 — 0.2 0.2 — 
淨災難損失13.4 pts6.6 6.8 9.1 pts7.8 1.3 
非災難性財產損失和損失費用13.2 17.6 (4.4)15.5 16.9 (1.4)
(有利) 不利的前一年傷亡責任準備金髮展
— — — 6.5 (0.6)7.1 
淨利潤（損失）可供普通股股東分配的每股攤薄收益
$1.47 1.42 4 %$1.71 3.83 (55)%
非GAAP操作收益（損失）每股攤薄收益1
1.40 1.51 (7)1.64 3.95 (58)
加權平均攤薄普通股股份61.361.0— 61.360.91 
每股普通股賬面價值$48.82 40.35 21 $48.82 40.35 21 
調整後的每股普通股賬面價值1
50.80 48.54 5 50.80 48.54 5 

整體保險業務運營

截至第三 季度內，總淨保費增加 9%，下降了 $99 百萬美元，比去年同期增加。平均續保純價上漲 10.5%，比去年同期增加3.5個百分點。選擇的綜合比率爲99.5%，比去年同期高出 2.7 個百分點，因高額災難性損失部分抵消了較低的非災難性財產損失和較低的費用比率。在任何一期中，淨不利的前期傷亡準備金開發均爲零。不包括淨災難性損失和前期傷亡準備金開發的綜合比率爲 86.1%，上升了4.1個百分點。低於一年前的數字。

總體而言，我們的保險板塊在2024年第三季度的ROE上升了 0.6 個百分點。

標準商業線業務部

第三季度，標準商業險保費（代表 78%16.6%總NPW）較一年前增長了8%。 保費增長反映了平均續保定價的提高9.1%和86%的穩定續保率。 第三季度綜合損失率爲99.2%，比一年前增加了4.5個百分點，主要是因爲災難性損失。

與一年前的有利發展相比，本季度未出現淨前年傷亡準備金的發展，淨負面$3 million，或0.4個百分點。
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以下表格顯示了季度截至目前和年初至今關鍵指標的差異：

標準的商業線業務部門截至9月30日的季度變更截至9月30日的年度數據 變更
單位：百萬美元2024202320242023
淨保費收入 $903.9 833.6 8 %$2,798.7 2,517.0 11 %
淨保費收入875.4 785.3 11 2,563.0 2,279.7 12 
綜合賠付率99.2 %94.7 4.5 pts105.6 %95.5 10.1 pts
損失和損失準備金比率67.6 62.8 4.8 74.0 63.0 11.0 
承保費用比率31.4 31.7 (0.3)31.4 32.3 (0.9)
保單持有人紅利比率0.2 0.2 — 0.2 0.2 — 
淨災難損失11.5 pts4.7 6.8 7.4 pts5.9 1.5 
非災難性財產損失和賠償費用11.0 15.6 (4.6)13.1 14.9 (1.8)
（有利）不利的往年準備金發展對傷亡險種
— (0.4)0.4 8.2 (0.9)9.1 

Standard Personal Lines Segment

For the third quarter, Standard Personal Lines premiums (representing 10% of total NPW) decreased 2% from a year ago with renewal pure price of 22.8% and higher average policy sizes. Retention was 75%, down 13 points from a year ago, and new business decreased 49% due to deliberate profit improvement actions. Despite elevated catastrophe losses, the third quarter 2024 combined ratio decreased by 5.3 points from a year ago to 122.1%. There was no prior year casualty reserve development in the quarter, compared to $3 million in unfavorable prior year casualty reserve development in personal auto a year ago. Flood claims handling fees from the National Flood Insurance Program's Write Your Own program, primarily related to Hurricane Helene, reduced the loss and loss expense ratio by 4.3 points in the quarter, up from 1.2 points in the prior-year period.

The following table shows the variances in key quarter-to-date and year-to-date measures:

Standard Personal Lines SegmentQuarter ended September 30,ChangeYear-to-Date September 30, Change
$ in millions2024202320242023
Net premiums written $111.0 113.2 (2)%$327.1 307.5 6 %
Net premiums earned107.5 95.2 13 317.8 264.2 20 
Combined ratio122.1 %127.4 (5.3)pts115.2 %123.6 (8.4)pts
Loss and loss expense ratio98.7 104.5 (5.8)91.8 98.7 (6.9)
Underwriting expense ratio23.4 22.9 0.5 23.4 24.9 (1.5)
Net catastrophe losses38.8 pts25.6 13.2 24.8 pts22.8 2.0 
Non-catastrophe property losses and loss expenses35.3 44.7 (9.4)39.4 43.2 (3.8)
Unfavorable prior year reserve development on casualty lines
— 3.2 (3.2)— 3.4 (3.4)

Excess and Surplus Lines Segment

For the third quarter, Excess and Surplus Lines premiums (representing 12% of total NPW) increased 28% compared to the prior-year period, driven by new business growth of 43% and average renewal pure price increases of 8.0%. The third quarter 2024 combined ratio was 83.2%, down 0.7 points compared to a year ago.

The following table shows the variances in key quarter-to-date and year-to-date measures:

Excess and Surplus Lines SegmentQuarter ended September 30,ChangeYear-to-Date September 30, Change
$ in millions2024202320242023
Net premiums written $142.7 111.6 28 %$414.5 318.4 30 %
Net premiums earned129.3 101.4 28 362.6 282.5 28 
Combined ratio83.2 %83.9 (0.7)pts88.4 %89.7 (1.3)pts
Loss and loss expense ratio52.5 51.9 0.6 57.5 57.4 0.1 
Underwriting expense ratio30.7 32.0 (1.3)30.9 32.3 (1.4)
Net catastrophe losses5.2 pts3.5 1.7 7.1 pts9.0 (1.9)
Non-catastrophe property losses and loss expenses10.0 7.4 2.6 11.8 8.7 3.1 
(Favorable) prior year reserve development on casualty lines
— — — — (1.8)1.8 

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Investments Segment

For the third quarter, after-tax net investment income of $93 million was up 16% from a year ago. The after-tax income yield averaged 4.0% for the overall and fixed income securities portfolios. With this and invested assets per dollar of common stockholders' equity of $3.25 as of September 30, 2024, the Investments segment generated 13.1 points of non-GAAP operating ROE.

Investments SegmentQuarter ended September 30,ChangeYear-to-Date September 30, Change
$ in millions, except per share data2024202320242023
Net investment income earned, after-tax$93.4 80.2 16 %$265.3 231.1 15 %
Net investment income per common share 1.52 1.31 16 4.33 3.79 14 
Effective tax rate20.7 %20.5 0.2 pts20.6 %20.3 0.3 pts
Average yields:
Portfolio:
Pre-tax5.0 4.9 0.1 4.9 4.8 0.1 
After-tax4.0 3.9 0.1 3.9 3.8 0.1 
Fixed income securities:
Pre-tax5.0 %5.1 (0.1)pts4.9 %5.0 (0.1)pts
After-tax4.0 4.1 (0.1)3.9 4.0 (0.1)
Annualized ROE contribution13.1 13.1 — 12.6 12.7 (0.1)

Balance Sheet

$ in millions, except per share dataSeptember 30, 2024December 31, 2023Change
Total assets$13,473.1 11,802.5 14 %
Total investments 9,635.3 8,693.7 11 
Long-term debt508.2 503.9 1 
Stockholders’ equity3,167.8 2,954.4 7 
Common stockholders' equity2,967.8 2,754.4 8 
Invested assets per dollar of common stockholders’ equity3.25 3.16 3 
Net premiums written to policyholders' surplus1.63 1.51 8 
Book value per common share48.82 45.42 7 
Adjusted book value per common share1
50.80 50.03 2 
Debt to total capitalization13.8 %14.6 %(0.8)pts

Book value per common share increased by $3.40, or 7%, during the first nine months of 2024. The increase was primarily attributable to a $2.61 decrease in after-tax net unrealized losses on our fixed income securities portfolio and $1.71 of net income per diluted common share, partially offset by $1.05 in common stockholder dividends. The decrease in after-tax net unrealized losses on our fixed income securities portfolio was primarily related to lower interest rates. During the third quarter of 2024, the Company repurchased 103,000 shares of common stock at an average price of $84.34 for $8.7 million. Capacity under the existing repurchase authorization was $75.5 million as of September 30, 2024.

Selective's Board of Directors declared:

•    A 9% increase in the quarterly cash dividend on common stock to $0.38 per common share that is payable December 2, 2024, to holders of record on November 15, 2024; and
•    A quarterly cash dividend of $287.50 per share on our 4.60% Non-Cumulative Preferred Stock, Series B (equivalent to $0.28750 per depositary share) payable on December 16, 2024, to holders of record as of December 2, 2024.

Guidance
For 2024, we increased our expected GAAP combined ratio to 102.5%. The change reflects the third quarter's elevated catastrophe losses, partially offset by better-than-expected non-catastrophe property losses. Full-year expectations are as follows:

•A GAAP combined ratio of 102.5%, up 1 point from our prior guidance of 101.5%. Our combined ratio estimate includes net catastrophe losses of 7.5 points, up from prior guidance of 5.5 points. Although too early to provide a specific estimate, we expect losses from Hurricane Milton, which made landfall on October 9, 2024, to be immaterial.
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Our combined ratio estimate assumes no additional prior year casualty reserve development;
•After-tax net investment income of $360 million that includes $32 million from alternative investments;
•An overall effective tax rate of approximately 21.0%, which assumes an effective tax rate of 20.5% for net investment income and 21% for all other items; and
•Weighted average shares of 61.5 million on a fully diluted basis.

The supplemental investor package, with financial information not included in this press release, is available on the Investors page of Selective’s website at www.Selective.com.

Selective’s quarterly analyst conference call will be simulcast at 8:30 AM ET, on Tuesday, October 22, 2024, on www.Selective.com. The webcast will be available for rebroadcast until the close of business on November 21, 2024.

About Selective Insurance Group, Inc.
Selective Insurance Group, Inc. (Nasdaq: SIGI) is a holding company for 10 property and casualty insurance companies rated "A+" (Superior) by AM Best. Through independent agents, the insurance companies offer standard and specialty insurance for commercial and personal risks and flood insurance through the National Flood Insurance Program's Write Your Own Program. Selective's unique position as both a leading insurance group and an employer of choice is recognized in a wide variety of awards and honors, including listing in Forbes Best Midsize Employers in 2024 and certification as a Great Place to Work® in 2024 for the fifth consecutive year. For more information about Selective, visit www.Selective.com.

1Reconciliation of Net Income (Loss) Available to Common Stockholders to Non-GAAP Operating Income (Loss) and Certain Other Non-GAAP Measures
Non-GAAP operating income (loss), non-GAAP operating income (loss) per diluted common share, and non-GAAP operating return on common equity differ from net income (loss) available to common stockholders, net income (loss) available to common stockholders per diluted common share, and return on common equity, respectively, by the exclusion of after-tax net realized and unrealized gains and losses on investments included in net income (loss). Adjusted book value per common share differs from book value per common share by excluding total after-tax unrealized gains and losses on investments included in accumulated other comprehensive income (loss). These non-GAAP measures are used as important financial measures by management, analysts, and investors, because the timing of realized and unrealized investment gains and losses on securities in any given period is largely discretionary. In addition, net realized and unrealized gains and losses on investments could distort the analysis of trends. These operating measurements are not intended to be a substitute for net income (loss) available to common stockholders, net income (loss) available to common stockholders per diluted common share, return on common equity, and book value per common share prepared in accordance with U.S. generally accepted accounting principles (GAAP). Reconciliations of net income (loss) available to common stockholders, net income (loss) available to common stockholders per diluted common share, return on common equity, and book value per common share to non-GAAP operating income (loss), non-GAAP operating income (loss) per diluted common share, non-GAAP operating return on common equity, and adjusted book value per common share, respectively, are provided in the tables below.

Note: All amounts included in this release exclude intercompany transactions.

Reconciliation of Net Income (Loss) Available to Common Stockholders to Non-GAAP Operating Income (Loss)
$ in millionsQuarter ended September 30,Year-to-Date September 30,
2024202320242023
Net income (loss) available to common stockholders
$90.0 86.9 104.6 233.5 
Net realized and unrealized investment (gains) losses included in net income, before tax(5.4)6.9 (5.1)9.0 
Tax on reconciling items1.1 (1.4)1.1 (1.9)
Non-GAAP operating income (loss)
$85.7 92.3 100.6 240.6 

Reconciliation of Net Income (Loss) Available to Common Stockholders per Diluted Common Share to Non-GAAP Operating Income (Loss) per Diluted Common Share
Quarter ended September 30,Year-to-Date September 30,
2024202320242023
Net income (loss) available to common stockholders per diluted common share
$1.47 1.42 1.71 3.83 
Net realized and unrealized investment (gains) losses included in net income, before tax(0.09)0.11 (0.08)0.15 
Tax on reconciling items0.02 (0.02)0.01 (0.03)
Non-GAAP operating income (loss) per diluted common share
$1.40 1.51 1.64 3.95 

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Reconciliation of Return on Common Equity to Non-GAAP Operating Return on Common Equity
Quarter ended September 30,Year-to-Date September 30,
2024202320242023
Return on Common Equity12.6 %14.1 5.0 12.8 
Net realized and unrealized investment (gains) losses included in net income, before tax(0.8)1.1 (0.2)0.5 
Tax on reconciling items0.3 (0.2)— (0.1)
Non-GAAP Operating Return on Common Equity12.1 %15.0 4.8 13.2 

Reconciliation of Book Value per Common Share to Adjusted Book Value per Common Share
Quarter ended September 30,Year-to-Date September 30,
2024202320242023
Book value per common share$48.82 40.35 48.82 40.35 
Total unrealized investment (gains) losses included in accumulated other comprehensive (loss) income, before tax2.50 10.38 2.50 10.38 
Tax on reconciling items(0.52)(2.19)(0.52)(2.19)
Adjusted book value per common share$50.80 48.54 50.80 48.54 

Note: Amounts in the tables above may not foot due to rounding.
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Forward-Looking Statements

Certain statements in this report, including information incorporated by reference, are “forward-looking statements” defined in the Private Securities Litigation Reform Act of 1995 ("PSLRA"). The PSLRA provides a forward-looking statement safe harbor under the Securities Act of 1933 and the Securities Exchange Act of 1934. These statements discuss our intentions, beliefs, projections, estimations, or forecasts of future events and financial performance. They involve known and unknown risks, uncertainties, and other factors that may cause our or our industry’s actual results, activity levels, or performance to materially differ from those in or implied by the forward-looking statements. In some cases, forward-looking statements include the words “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “attribute,” “confident,” “strong,” “target,” “project,” “intend,” “believe,” “estimate,” “predict,” “potential,” “pro forma,” “seek,” “likely,” “continue,” or comparable terms. Our forward-looking statements are only predictions; we cannot guarantee or assure that such expectations will prove correct. We undertake no obligation to publicly update or revise any forward-looking statements for any reason, except as may be required by law.

Factors that could cause our actual results to differ materially from what we project, forecast, or estimate in forward-looking statements include, without limitation:
•Challenging conditions in the economy, global capital markets, the banking sector, and commercial real estate, including prolonged higher inflation, could increase loss costs and negatively impact investment portfolios;
•Deterioration in the public debt, public equity, or private investment markets that could lead to investment losses and interest rate fluctuations;
•Ratings downgrades on individual securities we own could affect investment values and, therefore, statutory surplus;
•The adequacy of our loss reserves and loss expense reserves;
•Frequency and severity of catastrophic events, including natural events that may be impacted by climate change, such as hurricanes, severe convective storms, tornadoes, windstorms, earthquakes, hail, severe winter weather, floods, and fires, and man-made events such as criminal and terrorist acts, including cyber-attacks, explosions, and civil unrest;
•Adverse market, governmental, regulatory, legal, political, or judicial conditions or actions, including social inflation;
•The significant geographic concentration of our business in the eastern portion of the United States;
•The cost, terms and conditions, and availability of reinsurance;
•Our ability to collect on reinsurance and the solvency of our reinsurers;
•The impact of changes in U.S. trade policies and imposition of tariffs on imports that may lead to higher than anticipated inflationary trends for our loss and loss expenses;
•Related to COVID-19, we have successfully defended against payment of COVID-19-related business interruption losses based on our policies' terms, conditions, and exclusions. However, should the highest courts determine otherwise, our loss and loss expenses may increase, our related reserves may not be adequate, and our financial condition and liquidity may be materially impacted.
•Ongoing wars and conflicts impacting global economic, banking, commodity, and financial markets, exacerbating ongoing economic challenges, including inflation and supply chain disruption, which influences insurance loss costs, premiums, and investment valuations;
•Uncertainties related to insurance premium rate increases and business retention;
•Changes in insurance regulations that impact our ability to write and/or cease writing insurance policies in one or more states;
•The effects of data privacy or cyber security laws and regulations on our operations;
•Major defect or failure in our internal controls or information technology and application systems that result in harm to our brand in the marketplace, increased senior executive focus on crisis and reputational management issues, and/or increased expenses, particularly if we experience a significant privacy breach;
•Potential tax or federal financial regulatory reform provisions that could pose certain risks to our operations;
•Our ability to maintain favorable financial ratings, which may include sustainability considerations, from rating agencies, including AM Best, Standard & Poor’s, Moody’s, and Fitch;
•Our entry into new markets and businesses; and
•Other risks and uncertainties we identify in filings with the United States Securities and Exchange Commission, including our Annual Report on Form 10-K and other periodic reports.

Investor Contact:
Brad B. Wilson
973-948-1283
Brad.Wilson@Selective.com
Media Contact:
Jamie M. Beal
973-948-1234
Jamie.Beal@Selective.com
Selective Insurance Group, Inc.
40 Wantage Avenue
Branchville, New Jersey 07890
www.Selective.com
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