CNA Financial Corporation reported net income of $299 million for the second quarter of 2025, down from $317 million in the same quarter last year.
Core income rose 3% to $335 million from $326 million in the second quarter of 2024.
Net investment losses totaled $36 million for the quarter, compared to $9 million in the prior-year period. Pretax net investment income increased 7% to $662 million, supported by gains of $22 million each in both fixed income and other investments, which rose to $562 million, and in limited partnerships and common stock, which rose to $100 million.
The second-quarter results follow a mixed performance in Q1 2025, when CNA reported net income of $274 million down from $338 million in the prior-year period. Core income in that quarter was $281 million, or $1.03 per share.
The Q1 P&C combined ratio rose to 98.4%, reflecting elevated catastrophe losses and reserve strengthening, though the underlying combined ratio was 92.1%.
CNA also entered 2025 under new leadership, with Doug Worman (pictured above) taking over as chief executive officer. He succeeded Dino Robusto, who moved into the role of executive chairman.
“We are proud of our results through the first half of 2025 as growth is balanced and core underwriting remains strong. We are well positioned and confident in our abilities to execute on the many opportunities to grow profitably for the remainder of the year," Worman said.
The company’s property and casualty (P&C) segments generated core income of $448 million for the second quarter, up from $380 million in the prior-year period. CNA attributed the increase to higher net investment income and improved current accident year underwriting performance.
Gross written premiums in the P&C segments, excluding third-party captives, grew 5%, while net written premiums increased 6%. The growth reflected a renewal premium change of +5%, which included a +3% written rate and a +1% exposure change. New business rose by 8%.
The P&C combined ratio was 94.1%, compared with 94.8% in the second quarter of 2024. The quarter included 2.4 points of catastrophe loss impact, down from 3.5 points in the same period last year. Catastrophe losses amounted to $62 million pretax, compared to $82 million in the prior year.
The underlying combined ratio for P&C was 91.7%, slightly above the 91.6% reported a year ago. The underlying loss ratio was 61.5%, and the expense ratio stood at 29.8%.
The life and group segment reported core income of $1 million, compared to a core loss of $1 million in the prior-year quarter.
The corporate and other segment posted a core loss of $114 million, wider than the $53 million loss in the same period last year. The current quarter includes an $88 million after-tax charge related to unfavorable prior-period development tied to legacy mass tort exposures, compared with a $28 million after-tax charge in the second quarter of 2024.
CNA’s book value per share at quarter-end was $39.39. Book value per share excluding accumulated other comprehensive income (AOCI) was $45.25, a 4% increase from year-end 2024 when adjusting for $2.92 in dividends per share paid.
The company’s board of directors declared a quarterly cash dividend of $0.46 per share, payable Sept. 4, to shareholders of record as of Aug. 18.
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