--- title: "Property & Casualty Reinsurance Industry" description: "34 SEC filers are classified under the Standard Industrial Classification codes that describe the property & casualty reinsurance industry." canonical: https://www.getswoopr.com/stocks/industries/financials/property-and-casualty-reinsurance/ source: "Swoopr Investment: https://www.getswoopr.com" --- # Property & Casualty Reinsurance Industry ## Direct Answer 34 SEC filers are classified under the Standard Industrial Classification codes that describe the property & casualty reinsurance industry, and their latest annual reports show $707.7 billion of combined revenue and a median operating margin of 13.6%. Investors should still evaluate its revenue model, industry-specific KPIs, valuation framework and the risks that can change the group's economics. ## Industry Overview Property and casualty reinsurers take part of the risk that primary insurers write, particularly catastrophe and large-loss exposures, and charge premiums that reset yearly. Pricing cycles and catastrophe years decide returns. The first numbers to compare across companies here are combined ratio, premium growth and rate change and catastrophe loss ratio. ## Key Industry Metrics - **Combined ratio**: Claims plus expenses as a share of premiums. Reinsurers' results swing with large events, so view it over several years. - **Premium growth and rate change**: Increase in premiums and the average price change at renewals. Price increases after big loss years improve margins. - **Catastrophe loss ratio**: Share of premiums paid out for disasters such as hurricanes and earthquakes. It is the main source of volatility, and varies sharply by year. - **Reserve development**: Revisions of prior claim estimates. Adverse development indicates past underpricing, and is a concern in long-tail lines. - **Capital and ratings**: Equity and financial strength ratings that clients require. Strong capital allows writing more business, and downgrades reduce access to clients. ## Primary Macro Drivers - **Catastrophe frequency**: Large storms and quakes drive claims in any year, so event frequency and size move catastrophe loss ratio. - **Primary insurer demand**: Primary insurers need protection against big events, so growth in insured exposure and capital needs lifts premium. - **Capital supply including alternative capital**: New investor capital can enter the market and push prices down, so capital supply affects rate change and margins. - **Interest rates**: Float is invested, so higher yields add investment income that supports results. ## Major Risks - **Large catastrophe years**: A single year of heavy events can wipe out several years of profit. Watch catastrophe loss ratio and capital and ratings. - **Soft pricing**: Excess capital pushes down prices relative to risk. Watch rate change and combined ratio. - **Reserve deterioration**: Past claims may prove larger than reserved, forcing charges. Watch reserve development and loss trend. - **Climate trend**: More frequent and severe events than models expect hurt results. Watch catastrophe loss trends and model changes. ## Industry Characteristics | Characteristic | Profile | | --- | --- | | Cyclicality | Mixed | | Capital Intensity | High | | Regulatory Intensity | High | | Industry Maturity | Mature | | Geographic Importance | Global | ## Property & Casualty Reinsurance Filers in the SEC Record 34 companies with annual reports in the dataset are classified by the SEC in the Standard Industrial Classification codes 6331, 6399. Their latest fiscal years end in 2025, and together they reported $707.7 billion of revenue. Median revenue growth over the prior year was 6.6%. Median operating margin was 13.6% and median net margin 12.5%. Median total liabilities were 76% of total assets, and 31 of 34 reported a profit in their latest year. | Company | Revenue | Growth | Operating margin | Net margin | Year | | --- | --- | --- | --- | --- | --- | | [Berkshire Hathaway Inc](https://www.getswoopr.com/stocks/companies/berkshire-hathaway/) | $371.4 billion | 0.0% | n/a | 18.0% | FY 2025 | | [Allstate Corp](https://www.getswoopr.com/stocks/companies/allstate/) | $67.7 billion | 5.6% | n/a | 15.0% | FY 2025 | | [Travelers Companies, Inc.](https://www.getswoopr.com/stocks/companies/travelers-companies/) | $48.8 billion | 5.2% | n/a | 12.9% | FY 2025 | | [Hartford Insurance Group, Inc.](https://www.getswoopr.com/stocks/companies/hartford/) | $28.4 billion | 6.9% | n/a | 13.5% | FY 2025 | | [American International Group, Inc.](https://www.getswoopr.com/stocks/companies/american-international-group/) | $26.8 billion | -1.7% | n/a | 11.6% | FY 2025 | | [Arch Capital Group Ltd.](https://www.getswoopr.com/stocks/companies/arch-capital-group/) | $19.9 billion | 14.3% | n/a | 22.1% | FY 2025 | | [Loews Corp](https://www.getswoopr.com/stocks/companies/loews-corporation/) | $18.5 billion | 5.4% | n/a | 9.0% | FY 2025 | | [Everest Group, Ltd.](https://www.getswoopr.com/stocks/companies/everest-group/) | $17.5 billion | 1.2% | n/a | 9.1% | FY 2025 | The 8 largest of 34 by revenue. Source: each company's own annual report as filed with the SEC (XBRL data), figures in U.S. dollars. A company's SIC code reflects its main business as the SEC records it, so it can differ from how an index provider or analyst classifies the company, and a diversified group appears under only one code. ## Where to Go Next The Property & Casualty Reinsurance guide describes how the industry earns money, what to measure and what can go wrong. To see how it compares, read the neighbouring industries in the same sector, then apply the same checks to a specific company. ### More in Financials - [Financials sector overview](https://www.getswoopr.com/stocks/industries/financials/) - [Proxy & Governance Services](https://www.getswoopr.com/stocks/industries/financials/proxy-and-governance-services/) - [Property & Casualty Insurance](https://www.getswoopr.com/stocks/industries/financials/property-and-casualty-insurance/) - [Real-Time Payments](https://www.getswoopr.com/stocks/industries/financials/real-time-payments/) - [Private Equity Managers](https://www.getswoopr.com/stocks/industries/financials/private-equity-managers/) - [Regional Banks Industry: How It Works, Companies, KPIs & Risks](https://www.getswoopr.com/stocks/industries/financials/regional-banks/) - [Private Credit Managers](https://www.getswoopr.com/stocks/industries/financials/private-credit-managers/) - [Registered Investment Adviser Platforms](https://www.getswoopr.com/stocks/industries/financials/registered-investment-adviser-platforms/) - [Private Banks](https://www.getswoopr.com/stocks/industries/financials/private-banks/) ### Put it to work - [How to analyze a stock](https://www.getswoopr.com/stocks/how-to-analyze-a-stock/) - [Fundamental analysis guides](https://www.getswoopr.com/learn/fundamental-analysis/) - [Company research](https://www.getswoopr.com/stocks/companies/) - [All industries](https://www.getswoopr.com/stocks/industries/) ## Frequently Asked Questions What are the main KPIs for the Property & Casualty Reinsurance industry? Key performance indicators for the Property & Casualty Reinsurance industry include: Combined ratio, Premium growth and rate change, Catastrophe loss ratio, Reserve development, Capital and ratings. Which matter most depends on the company's model, so compare them across several companies rather than relying on one. How cyclical is the Property & Casualty Reinsurance industry? The Property & Casualty Reinsurance industry exhibits mixed cyclicality characteristics. Some segments move with the broader economy while others maintain more stable demand, making stock selection within the group particularly important. What are the biggest risks in the Property & Casualty Reinsurance industry? The primary risks for Property & Casualty Reinsurance companies include: Large catastrophe years, Soft pricing, Reserve deterioration, Climate trend. Investors should assess each company's exposure to these factors and its track record of navigating them. **[Swoopr Editorial Team](https://www.getswoopr.com/authors/swoopr-editorial-team/)** Swoopr's editorial team produces independent investment education content reviewed for accuracy and clarity. We do not provide personalized financial advice. See our [editorial policy](https://www.getswoopr.com/legal/editorial-policy/) and [corrections policy](https://www.getswoopr.com/legal/corrections-policy/).