Best’s Special Report: First Look: U.S. Property/Casualty Industry Registers $24.3 Billion Underwriting Loss in the First Nine Months of 2022

OLDWICK, N.J., November 30, 2022--(BUSINESS WIRE)--The U.S. property/casualty (P/C) industry recorded a $24.3 billion net underwriting loss in the first nine months of 2022, nearly quadrupling the loss total recorded in the same prior year period, according to a new AM Best special report.

The Best’s Special Report, titled, "First Look: Nine-Month 2022 U.S. Property/Casualty Financial Results," states that an 8.4% growth in net earned premiums and a 22.3% decline in policyholder dividends were countered by a 14.0% increase in incurred losses and loss adjustment expenses (LAE) and a 6.5% rise in other underwriting expenses. The personal lines segment, specifically the automobile lines of business, was responsible for the decline in underwriting results. Increased automobile losses and Hurricane Ian’s impact also contributed to the P/C industry’s underwriting loss. These factors drove the segment’s combined ratio to 102.8 during this period, with an estimated 7.0 points attributable to catastrophe losses.

The P/C industry’s surplus declined 11.0% from the end of 2021, to $919.6 billion. The report notes that $37.9 billion of net income, contributed capital and other surplus gains were reduced by $27.7 billion of stockholder dividends and a combined $113.3 billion change in unrealized losses at National Indemnity Company, Columbia Insurance Company and State Farm Mutual.

To access the full copy of this special report, please visit

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit

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