Selective Reports Third Quarter 2026 Results
Selective Insurance reported Q3 2026 net income of $2.11 per diluted share and non-GAAP operating income of $2.37, up 35% YoY, with operating ROE of 16.9%. The combined ratio improved 1.8 points to 96.8%, helped by a lower loss ratio and zero prior-year casualty reserve development, though catastrophe losses rose to 5.4 points. Net premiums written fell 7% as management deliberately shed underpriced business, particularly an 8% decline in Standard Commercial Lines. The board raised the quarterly dividend 12% to $0.48 per share — the thirteenth consecutive annual increase — and authorized a new $200 million buyback, on top of $53 million remaining.
Key figures
- Eps
- 2.11
- Revenue
- $1,326.3 million (total revenues, Q3 2026)
- Guidance
- FY2026: GAAP combined ratio 96.5%-97.5% incl. 5.5 pts cat losses; after-tax net investment income $490M (raised from $480M); effective tax rate 21.5%; diluted shares 59.9M
- Revenue Yoy
- -2%
- Roe
- 15.1%
- Nii yoy
- 16%
- Npw yoy
- -7%
- Q3 buybacks
- $55 million (587,229 shares at avg $93.66)
- Operating roe
- 16.9%
- Combined ratio
- 96.8%
- Dividend increase
- 12%
- Operating eps yoy
- 35%
- Book value per share
- 55.02
- New dividend per share
- 0.48
- Non gaap operating eps
- 2.37
- Catastrophe loss points
- 5.4
- Buyback authorization usd
- 200000000
- Combined ratio prior year
- 98.6%
- Renewal pure price increase
- 5.6%
- Adjusted book value per share
- 62
- Net investment income after tax
- 127300000
AI analysis
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