Zurich Insurance Group/2025/Full-year earnings press release: Difference between revisions
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<small>''Source: [https://edge.sitecorecloud.io/zurichinsur6934-zwpcorp-prod-ae5e/media/project/zurich/dotcom/media/news-releases/2026/docs/2026-0219-01.pdf?sc_lang=en Original URL]. Published: 2026-02-19. 8 pages.''</small> |
<small>''Source: [https://edge.sitecorecloud.io/zurichinsur6934-zwpcorp-prod-ae5e/media/project/zurich/dotcom/media/news-releases/2026/docs/2026-0219-01.pdf?sc_lang=en Original URL]. Published: 2026-02-19. 8 pages.''</small> |
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== Zurich Insurance Group — FY2025 Full-Year Earnings (Facts) == |
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Full-year earnings press release published by Zurich Insurance Group in February 2026, covering FY2025. Reports record operating profit, dividend increase, and progress toward 2027 targets. |
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'''Source.''' Full-year earnings press release, Zurich Insurance Group. Published 2026-02-19, 8 pages. Period covered: 12 months ended December 31, 2025. Comparison period: 12 months ended December 31, 2024. All figures USD millions unless noted. “LFL” = like-for-like. Adverse variances shown in parentheses. |
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== Executive summary == |
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---- |
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* Group business operating profit (BOP) USD 8.9 billion, a record, with net income attributable to shareholders USD 6.8 billion, also a record (p. 1) |
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* Core ROE 26.9%, up 2.2 points, and Core EPS USD 45.1, up 13% year-on-year (p. 1) |
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* Proposed dividend CHF 30 per share, up 7% (p. 1) |
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* P&C BOP surged 22% to USD 5.1 billion; combined ratio improved 1.6 points to 92.6% (p. 1) |
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* Life BOP USD 2.3 billion, underlying +10% excluding prior-year one-offs; CSM at all-time high USD 13.8 billion (p. 1, p. 4) |
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* Farmers BOP grew 4% to USD 2.4 billion; Farmers Exchanges net policy count increase >150,000, the first in over 10 years (p. 2) |
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* SST ratio estimated at 259%, up from 253% at year-end 2024 (p. 5) |
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* Cash remittances USD 7.4 billion (p. 1) |
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* Group CEO Mario Greco: "I am extremely proud to see all our businesses contributing to these record results, which indicate that we are well on track to achieve or even exceed our 2027 targets" (p. 1) |
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=== Group results (FY2025 vs FY2024) === |
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== Zurich delivers USD 8.9bn operating profit, raises dividend to CHF 30, strong progress toward 2027 targets == |
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* BOP: '''8,856''' vs 7,751 (+14%) — record (p. 1) (p. 6) |
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Group BOP USD 8.9bn (record), Core ROE 26.9% (+2.2pts YoY), Core EPS USD 45.1 (+13%), net income attributable to shareholders USD 6.8bn (record) (p. 1). P&C BOP +22% to USD 5.1bn, combined ratio 92.6% (-1.6pts); GWP exceeded USD 50bn (+5% LFL) (p. 1). Life BOP +2% to USD 2.3bn (underlying +10% excluding prior-year one-offs), CSM all-time high, GWP +7% LFL (p. 1). Farmers BOP +4% to USD 2.4bn; Exchanges GWP +4%, surplus ratio 52.9% (p. 1). Cash remittances USD 7.4bn; SST ratio 259% (p. 1). Proposed dividend CHF 30 per share (+7%) (p. 1). Board: Mary Forrest nominated; Jasmin Staiblin to become Vice-Chair (p. 1). |
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* NIAS: '''6,798''' vs 5,814 (+17%) — record (p. 1) (p. 6) |
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* Core ROE: '''26.9%''' vs 24.6% (+2.2pts) (p. 1) (p. 6) |
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* Core EPS: '''45.13''' vs 40.08 (+13%) (p. 1) (p. 6) |
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* Diluted EPS (CHF): '''39.12''' vs 35.33 (+11%) (p. 6) |
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* ROE: '''28.1%''' vs 24.7% (+3.4pts) (p. 6) |
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* Book value per share (CHF): '''158.93''' vs 162.23 (-2%) (p. 6) |
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* Shareholders’ equity: '''28,515''' vs 25,472 (+12%) (p. 6) |
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* Proposed dividend: '''CHF 30/share''', +7% (p. 1) |
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* Cash remittances: '''7,400''' (reported) (p. 1) |
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* CEO commentary (Mario Greco): record results indicate on track to achieve or exceed 2027 targets (p. 1) |
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---- |
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All businesses delivered record earnings in 2025, reflecting diversified portfolio and disciplined underwriting, positioning Zurich to meet 2025-2027 targets (p. 1). |
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=== Investments === |
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P&C insurance revenue rose 8% to USD 48.2bn, GWP reached USD 50.4bn; rates +2% overall, customer retention 82%, Retail customer base >82m (p. 2). Life protection business drives ~60% of Life BOP, with protection GWP +5% LFL and H2 growth accelerating to 7% (p. 2). Farmers Exchanges saw net policy count increase >150k, first in over 10 years, with momentum accelerating; combined ratio 84.6% (p. 2). Farmers Management Services delivered record USD 2.2bn (p. 2). |
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* Average Group investments: '''162,764''' vs 148,383 (+10%) (p. 6) |
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<blockquote>I am extremely proud to see all our businesses contributing to these record results, which indicate that we are well on track to achieve or even exceed our 2027 targets, and position us well to capture future growth opportunities. I would like to thank all our customers who have continued to reward us with their strengthened loyalty and my colleagues who contributed to achieving this outstanding performance. <small>(— Group Chief Executive Officer Mario Greco, p. 1)</small></blockquote> |
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* Net investment result on Group investments: '''7,552''' vs 6,814 (+11%) (p. 6) |
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* Net investment return on Group investments: '''4.6%''' vs 4.6% (unchanged) (p. 6) |
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* Total return on Group investments: '''3.9%''' vs 4.3% (-0.5pts) (p. 6) |
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---- |
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=== Business performance === |
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=== Capital position === |
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Record results across all segments driven by disciplined underwriting and operational excellence. |
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* SST ratio: estimated '''259%''' as of Dec 31, 2025 (Dec 31, 2024: 253%) (p. 1) (p. 5) (p. 6) |
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==== Property & Casualty ==== |
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* Improvement driven by strong operating earnings and favorable market movements, partially offset by dividend accrual (p. 5) |
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---- |
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Record BOP USD 5.1bn (+22% USD and LFL) (p. 3). Insurance revenue +8% USD (+4% LFL) to USD 48.2bn; GWP +8% USD (+5% LFL) to USD 50.4bn, exceeding USD 50bn for first time (p. 3). Combined ratio improved 1.6pts to 92.6% (p. 3). Rates +2% overall (p. 2). |
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=== Property & Casualty (P&C) === |
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Commercial Insurance BOP +12% to USD 3.8bn; combined ratio 91.0% (-1.2pts) (p. 3). GWP +4% to USD 31bn, with momentum in Specialty, Middle Market, and targeted portfolio actions (p. 3). Motor rates double-digit; excess liability double-digit; construction/infrastructure mid-single digit; Middle Market property mid-single digit; E&S and large property softened but profitability held (p. 3). Middle Market GWP +1%; underlying +7% excluding U.S. motor liability reductions; Europe +16% (UK, Germany, Italy strong) (p. 3). Underlying combined ratio 88.3%, 4pts better than rest of Commercial (p. 3). Commercial motor combined ratio 98.4%, >16pts improvement YoY, fell below 100% after targeted actions (p. 3). Crop profitability restored; Property combined ratio mid-80s (p. 3). |
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==== Headline metrics ==== |
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Specialty GWP +1%: EMEA and U.S. construction (+4% GWP, low-80s combined ratio) growth, offset by reduced large accounts in Property E&S (p. 3). Construction rates +5%, energy +4%; >200 data center construction projects underwritten (p. 3). Underlying Specialty combined ratio 88.5% (p. 3). |
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* BOP: '''5,129''' vs 4,204 (+22% LFL) — exceeded USD 5bn (p. 1) (p. 3) (p. 6) |
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Retail BOP surged 50% (+USD 491m) to USD 1.5bn (p. 2). GWP +16% USD (+7% LFL); rates +5% overall (motor rates +8%) (p. 3). International: EMEA GWP +8% LFL, Asia Pacific +5%, LatAm +10% (p. 3). Combined ratio 94.4%, improved 2.1pts YoY on pricing sophistication and risk selection (p. 3). |
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* GWP: '''50,422''' vs 46,624 (+8% USD / +5% LFL) — first time exceeding USD 50bn (p. 1) (p. 2) (p. 3) (p. 6) |
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* Insurance revenue: '''48,234''' vs 44,792 (+8% USD / +4% LFL) (p. 3) (p. 6) |
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* Combined ratio: '''92.6%''' vs 94.2% (1.6pts improvement) (p. 1) (p. 3) (p. 6) |
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* Customer retention rate: improved to '''82%''' (p. 2) |
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* Retail customer base: expanded to more than '''82 million''' (p. 2) |
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* Overall rate increase: '''2%''', supported by higher Retail rates and continued momentum in selected Commercial lines (p. 2) |
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==== Commercial Insurance ==== |
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{| class="wikitable" |
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|+ P&C segment financial highlights, 2025 vs 2024 |
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|- |
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! !! 2025 !! 2024 !! Change inUSD !! Change like-for- like 3 |
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|- |
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| P&C business operating profit (BOP) || 5,129 || 4,204 || 22% || 22% |
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|- |
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| P&C gross written premium and policy fees || 50,422 || 46,624 || 8% || 5% |
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|- |
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| P&C insurance revenue || 48,234 || 44,792 || 8% || 4% |
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|- |
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| P&C combined ratio || 92.6% || 94.2% || 1.6pts || n.m. |
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|} |
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* BOP: '''3,800''' (+12%) — driven by disciplined portfolio management, good underlying GWP growth in Middle Market and specialty lines, and lower natural catastrophe losses (p. 2) (p. 3) |
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==== Life ==== |
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* GWP: '''~31,000''' (+4%) (p. 3) |
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* Combined ratio: '''91.0%''' (1.2pts improvement YoY) (p. 3) |
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* Motor combined ratio: '''98.4%''', improved more than '''16pts''' YoY, supported by targeted portfolio actions including reduction of motor-heavy programs, exits from mono-line motor programs, and price increases (p. 3) |
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* Crop profitability restored to satisfactory levels through cost-reduction measures (p. 3) |
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* Property combined ratio: mid-80s, on disciplined underwriting and active management of nat cat exposures (p. 3) |
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* Rate growth continued at double-digit levels in motor and excess liability lines (p. 3) |
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* Construction and infrastructure rates: mid-single digit increases (p. 3) |
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* Middle Market property accounts rates: mid-single digit increases (p. 3) |
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* E&S and large property accounts softened through the year, but profitability remained strong (p. 3) |
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===== Middle Market ===== |
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Life BOP USD 2.3bn, +2% (underlying +10% excluding USD 154m prior-year one-offs) (p. 4). CSM all-time high USD 13.8bn (p. 4). Insurance service result and fee result both improved YoY (p. 4). |
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* GWP: '''+1%''', underlying growth offset by planned management actions to reduce motor liability exposure in the U.S. programs portfolio (p. 3) |
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Protection GWP +5% LFL to USD 9.7bn, driven by EMEA, Asia Pacific, captive benefits; LatAm returned to growth after H1 slowdown (p. 4). Savings and annuities GWP +77% LFL to USD 6.1bn, fueled by Spain retail savings launch with Banco Sabadell (p. 4). Unit-linked and investment contracts GWP -3% LFL to USD 20.4bn, due to lower Brazil sales (p. 4). |
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* Excluding portfolio actions, Middle Market GWP: '''+7%''' (p. 3) |
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* Europe: '''+16%''', with strong momentum in UK, Germany, Italy (p. 3) |
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* Underlying combined ratio: '''88.3%''', 4pts lower than the average for the rest of the Commercial book (p. 3) |
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===== Specialty ===== |
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New business premiums +14% LFL to USD 19.5bn; new business CSM added USD 1.2bn (+11% LFL) (p. 4). Short-term insurance revenue USD 3.0bn, +9% local currencies, mainly LatAm protection (p. 4). Fee revenue from investment contracts +13% LFL on higher AUM (p. 4). |
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* GWP: '''+1%''', with strong growth in EMEA and U.S. construction business, offset by reduction of large accounts in Property E&S due to softening rate environment (p. 3) |
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{| class="wikitable" |
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* Construction rates: '''+5%''' (p. 3) |
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|+ Life segment financial highlights, 2025 vs 2024 |
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* Energy rates: '''+4%''' (p. 3) |
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|- |
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* Construction GWP: '''+4%''', combined ratio in the low 80s (p. 3) |
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! !! 2025 !! 2024 !! Change inUSD !! Change like-for- like 3 |
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* Underlying combined ratio: '''88.5%''' (p. 3) |
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|- |
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* More than '''200''' data center construction projects underwritten (p. 3) |
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| Life business operating profit (BOP) || 2,288 || 2,235 || 2% || 2% |
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|- |
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| Life gross premiums 6 || 36,194 || 33,061 || 9% || 7% |
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|- |
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| Life present value of new business premiums (PVNBP) || 19,497 || 16,891 || 15% || 14% |
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|- |
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| Life new business contractual service margin (NB CSM) || 1,231 || 1,094 || 13% || 11% |
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|- |
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| Life insurance revenue, short-term contracts || 2,993 || 2,804 || 7% || 9% |
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|- |
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| Life fee revenue, investment contracts || 837 || 717 || 17% || 13% |
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|} |
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==== |
==== Retail ==== |
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* BOP: '''1,500''' (+50% / +USD 491m) — on 16% premium growth, improved pricing sophistication, enhanced risk selection, higher earned premium rates, and strong EMEA contribution (p. 2) (p. 3) |
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Farmers Exchanges GWP +4%, policy count net increase >150k, acceleration over last 9 months, adding continuing-business policies through year-end (p. 5). Gross earned premiums +3% (p. 5). Combined ratio 84.6%, improvement 6.8pts YoY, despite California wildfires; underwriting strong (p. 5). Surplus ratio 52.9%, up 10.5pts vs Dec 31 2024 (p. 5). |
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* GWP growth: '''+7% LFL''' (+16% USD) (p. 3) |
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* Rate increase: '''5%''', largely reflecting motor rate increases of '''8%''' (p. 3) |
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* EMEA: '''+8% LFL''' (p. 3) |
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* Asia Pacific: '''+5% LFL''' (p. 3) |
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* Latin America: '''+10% LFL''', supported by strong retail property growth and higher retail motor sales (p. 3) |
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* Combined ratio: '''94.4%''', improved '''2.1pts''' YoY, on improved pricing sophistication, disciplined risk selection in motor and property, and higher earned premium rates across all lines (p. 3) |
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---- |
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Farmers BOP USD 2.4bn (+4%), with FMS record USD 2.2bn benefiting from higher earned premium base and stable margin (p. 5). Agency Brokerages fee service revenue +21%, BOP contribution +26% to USD 49m (p. 5). Farmers Re strong on Exchanges underwriting, partly offset by lower All Lines Quota Share participation rate 8.0% (prior: 10.0%) (p. 5). |
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=== Life === |
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{| class="wikitable" |
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|+ Farmers segment financial highlights, 2025 vs 2024 |
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|- |
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! !! 2025 !! 2024 !! Change inUSD |
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|- |
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| Farmers Exchanges 4 || || || |
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|- |
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| Gross written premiums || 29,600 || 28,371 || 4% |
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|- |
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| Gross earned premiums || 28,854 || 28,004 || 3% |
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|- |
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| Combined ratio || 84.6% || 91.4% || 6.8pts |
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|- |
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| Surplus ratio || 52.9% || 42.4% || 10.5pts |
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|- |
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| Farmers || || || |
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|- |
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| Farmers business operating profit (BOP) || 2,387 || 2,286 || 4% |
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|} |
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* BOP: '''2,288''' vs 2,235 (+2% LFL); underlying '''+10%''' excluding prior-year non-recurring items of '''USD 154m''' (p. 2) (p. 4) (p. 6) |
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=== Capital position === |
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* GWP: '''36,194''' vs 33,061 (+9% USD / +7% LFL) (p. 4) (p. 6) |
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* CSM reached all-time high of '''13,800''' (p. 2) (p. 4) |
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* Protection GWP: '''9,700''' (+5% LFL); growth accelerating to +7% in H2 2025 following normalization of sales in Brazil bancassurance JV (p. 2) (p. 4) |
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* Savings and annuities GWP: '''6,100''' (+77% LFL), driven by launch of capital-efficient retail savings product in Spain through JV with Banco Sabadell (p. 4) |
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* Unit-linked and investment contracts GWP: '''20,400''' (-3% LFL), primarily on lower sales in Brazil (p. 4) |
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* PVNBP: '''19,497''' vs 16,891 (+15% USD / +14% LFL), driven by Spain retail savings product, EMEA protection, and Asia Pacific unit-linked (p. 4) (p. 6) |
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* New business CSM added: '''1,200''' (+11% LFL), on sales growth (p. 4) |
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* Short-term insurance contracts revenue: '''2,993''' vs 2,804 (+7% USD / +9% LFL), predominantly Latin American protection (p. 4) (p. 6) |
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* Fee revenue from investment contracts: '''837''' vs 717 (+17% USD / +13% LFL), on higher assets under management (p. 4) (p. 6) |
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* Protection business drives almost '''60%''' of Group Life BOP (p. 2) |
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---- |
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=== Farmers === |
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* Farmers BOP: '''2,387''' vs 2,286 (+4% reported) — record (p. 2) (p. 5) (p. 6) |
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* Farmers Management Services (FMS) BOP: '''2,200''' — record (p. 2) |
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* FMS MGEP margin: '''7.0%''' vs 7.0% (unchanged) (p. 6) |
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* Agency Brokerages: fee service revenue +21%, BOP contribution +26% to '''49''' (p. 5) |
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* Farmers Re: strong contribution from Exchanges underwriting; partly offset by lower All Lines Quota Share participation rate of '''8.0%''' (prior: 10.0%) (p. 5) |
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==== Farmers Exchanges ==== |
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* GWP: '''29,600''' (+4%) (p. 1) (p. 5) |
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* Gross earned premiums: '''28,900''' (+3%) (p. 5) |
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* Combined ratio: '''84.6%''' vs 91.4% (6.8pts improvement), supported by lower YoY catastrophe losses despite California wildfires (p. 5) |
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* Surplus ratio: '''52.9%''', +10.5pts from 42.4% (p. 1) (p. 5) |
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* Net policy count increase of more than '''150,000''' continuing-business policies — first net increase in over 10 years, momentum accelerating over last nine months; growth turned positive after Q1 decline (p. 2) (p. 5) |
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---- |
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=== Board nominations and governance === |
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* Mary Forrest nominated for election to Board at AGM on April 8, 2026 (p. 1) (p. 5) |
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** Formerly President and CEO North America Life, Munich Re (2008–2026); EVP Individual Life Services Canada (1998–2008); VP Individual Life Services Canada (1996–1998) (p. 5) |
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* Board intends to appoint Jasmin Staiblin as Vice-Chair, succeeding Christoph Franz, who will not stand for re-election after reaching maximum 12-year tenure (p. 1) (p. 5) |
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---- |
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=== Corporate calendar and upcoming events === |
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* Annual Report 2025: to be published on March 5, 2026 (p. 7) |
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* AGM: April 8, 2026, at Hallenstadion Zurich; invitation to be published in Swiss Official Gazette of Commerce on March 13, 2026, and on Zurich’s webpage (p. 7) |
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* Q&A for media: conference call at 09:15 CET, English (p. 7) |
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** Switzerland dial-in: +41 58 310 50 00 |
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** UK dial-in: +44 207 107 0613 |
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** US dial-in: +1 631 570 5613 |
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* Q&A for analysts and investors: conference call at 13:00 CET, media may listen in; podcast available from 17:00 CET; registration required via Zurich Q&A call registration link (p. 7) |
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---- |
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=== Company reference === |
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* Zurich Insurance Group is a leading global multi-line insurer founded over 150 years ago, serving more than 82 million customers in over 200 countries and territories; more than 65,000 employees; headquarters in Zurich, Switzerland (p. 7) |
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* Listed on SIX Swiss Exchange (ZURN); Level I ADR program (ZURVY) on OTCQX (p. 7) |
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* Since 2020, the Zurich Forest project supports reforestation and biodiversity restoration in Brazil’s Atlantic Forest (p. 7) |
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---- |
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=== CEO quote (verbatim) === |
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SST ratio estimated at 259% as of Dec 31, 2025 (prior: 253%), driven by strong operating earnings and favorable markets, partly offset by dividend accrual (p. 5). |
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: “I am extremely proud to see all our businesses contributing to these record results, which indicate that we are well on track to achieve or even exceed our 2027 targets, and position us well to capture future growth opportunities. I would like to thank all our customers who have continued to reward us with their strengthened loyalty and my colleagues who contributed to achieving this outstanding performance.” — Mario Greco, Group CEO (p. 1) |
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=== Board nominations === |
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---- |
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Mary Forrest nominated for election to Board; formerly President and CEO North America Life at Munich Re 2008-2026, and earlier roles in Canada (p. 5). Jasmin Staiblin intended to become Vice-Chair, succeeding Christoph Franz (maximum 12-year tenure) (p. 5). |
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=== |
=== Forward-looking statement disclaimer (p. 8) === |
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This document contains forward-looking statements subject to risks and uncertainties; Zurich undertakes no obligation to update them. Past performance is not a guide to future performance; interim results are not necessarily indicative of full‑year results. This communication is not an offer of securities; in the United States, securities may not be offered or sold absent registration or exemption, and any public offering would be made by prospectus. |
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Summarized consolidated group results and financial position for the twelve months ended December 31, 2025 and 2024, in USD millions. See table below. (p. 6) |
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---- |
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{| class="wikitable" |
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|+ Summarized consolidated results and financial position, 2025 vs 2024 |
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|- |
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! !! 2025 !! 2024 !! Change 1 |
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|- |
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| Business operating profit (BOP) || 8,856 || 7,751 || 14% |
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|- |
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| Net income attributable to shareholders after tax || 6,798 || 5,814 || 17% |
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|- |
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| P&C business operating profit (BOP) || 5,129 || 4,204 || 22% |
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|- |
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| P&C gross written premiums and policy fees || 50,422 || 46,624 || 8% |
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|- |
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| P&C insurance revenue || 48,234 || 44,792 || 8% |
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|- |
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| P&C combined ratio || 92.6% || 94.2% || 1.6pts |
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|- |
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| Life business operating profit (BOP) || 2,288 || 2,235 || 2% |
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|- |
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| Life gross premiums 2 || 36,194 || 33,061 || 9% |
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|- |
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| Life present value of new business premiums (PVNBP) || 19,497 || 16,891 || 15% |
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|- |
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| Life insurance revenue, short-term contracts || 2,993 || 2,804 || 7% |
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|- |
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| Life fee revenue, investment contracts || 837 || 717 || 17% |
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|- |
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| Farmers business operating profit (BOP) || 2,387 || 2,286 || 4% |
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|- |
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| Farmers Management Services managed gross earned premium (MGEP) margin || 7.0% || 7.0% || 0.0pts |
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|- |
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| Average Group investments 3 || 162,764 || 148,383 || 10% |
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|- |
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| Net investment result on Group investments 3 || 7,552 || 6,814 || 11% |
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|- |
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| Net investment return on Group investments 3,4 || 4.6% || 4.6% || 0.0pts |
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|- |
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| Total return on Group investments 3,4 || 3.9% || 4.3% || (0.5pts) |
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|- |
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| Shareholders' equity || 28,515 || 25,472 || 12% |
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|- |
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| Swiss Solvency Test 5 || 259% || 253% || 6pts |
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|- |
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| Diluted earnings per share (in CHF) || 39.12 || 35.33 || 11% |
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|- |
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| Core earnings per share (in USD) || 45.13 || 40.08 || 13% |
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|- |
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| Book value per share (in CHF) || 158.93 || 162.23 || (2%) |
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|- |
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| Return on common shareholders' equity (ROE) 6 || 28.1% || 24.7% || 3.4pts |
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|- |
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| Business operating profit (after tax) return on common shareholders' equity (Core ROE) 6 || 26.9% || 24.6% || 2.2pts |
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|} |
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=== |
=== Definitions and accounting notes === |
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* '''BOP''': Business operating profit |
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Supplemental financial information and investor presentation comments available on zurich.com. Annual Report 2025 to be published March 5, 2026; AGM April 8, 2026 in Zurich, invitation published March 13, 2026. Media Q&A conference call at 09:15 CET; analyst/investor Q&A at 13:00 CET with registration required. (p. 7) |
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* '''BOPAT''': Business operating profit after tax (used in Core ROE/Core EPS calculations) |
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* '''Core EPS''': BOPAT divided by diluted weighted average shares (p. 5) |
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* '''Core ROE (previously BOPAT ROE)''': BOPAT divided by average shareholders’ equity excluding unrealized gains/losses (p. 5) |
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* '''CSM''': Contractual service margin |
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* '''E&S''': Excess and surplus lines |
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* '''Farmers Exchanges''': Farmers Insurance Exchange, Fire Insurance Exchange, Truck Insurance Exchange and their subsidiaries and affiliates — California-domiciled interinsurance exchanges owned by policyholders. Zurich has no ownership interest; Farmers Group, Inc. (wholly owned subsidiary) provides non‑claims and ancillary services as attorney-in-fact for fees. (p. 5) (p. 8) |
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* '''FMS''': Farmers Management Services |
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* '''GWP''': Gross written premiums |
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* '''LFL (like-for-like)''': Change in local currencies after adjusting for acquisitions, disposals, methodological changes, and transfer of a Life portfolio to Non-Core Businesses (p. 5) |
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* '''Life GWP''': Gross written premiums for Protection; gross policyholder inflows (incl. deposits) for all other lines (incl. investment and asset management contracts) (p. 5) (p. 6) |
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* '''MGEP''': Management gross earned premiums |
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* '''NIAS''': Net income attributable to shareholders |
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* '''PVNBP''': Present value of new business premiums |
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* '''ROE''': Return on equity — calculated using shareholders’ equity that includes net unrealized gains/(losses) on financial assets, net change in discount rate for (re‑)insurance contracts, and net change in fair value of underlying items through OCI. Core ROE previously referred to as BOPAT ROE. (p. 6) |
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* '''SST ratio''': Swiss Solvency Test ratio — estimated as of Dec 31, 2025, based on Group internal model approved by FINMA; filed by end of April, subject to FINMA review (p. 5) (p. 6) |
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* '''Average Group investments''': Including investment cash and derivatives (p. 6) |
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* Net investment return and total return calculated on average Group investments (p. 6) |
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* All LFL figures primary basis unless noted; reported (USD) changes shown parenthetically where available. |
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Latest revision as of 01:01, 8 May 2026
Source: Original URL. Published: 2026-02-19. 8 pages.
Zurich Insurance Group — FY2025 Full-Year Earnings (Facts)
Source. Full-year earnings press release, Zurich Insurance Group. Published 2026-02-19, 8 pages. Period covered: 12 months ended December 31, 2025. Comparison period: 12 months ended December 31, 2024. All figures USD millions unless noted. “LFL” = like-for-like. Adverse variances shown in parentheses.
Group results (FY2025 vs FY2024)
- BOP: 8,856 vs 7,751 (+14%) — record (p. 1) (p. 6)
- NIAS: 6,798 vs 5,814 (+17%) — record (p. 1) (p. 6)
- Core ROE: 26.9% vs 24.6% (+2.2pts) (p. 1) (p. 6)
- Core EPS: 45.13 vs 40.08 (+13%) (p. 1) (p. 6)
- Diluted EPS (CHF): 39.12 vs 35.33 (+11%) (p. 6)
- ROE: 28.1% vs 24.7% (+3.4pts) (p. 6)
- Book value per share (CHF): 158.93 vs 162.23 (-2%) (p. 6)
- Shareholders’ equity: 28,515 vs 25,472 (+12%) (p. 6)
- Proposed dividend: CHF 30/share, +7% (p. 1)
- Cash remittances: 7,400 (reported) (p. 1)
- CEO commentary (Mario Greco): record results indicate on track to achieve or exceed 2027 targets (p. 1)
Investments
- Average Group investments: 162,764 vs 148,383 (+10%) (p. 6)
- Net investment result on Group investments: 7,552 vs 6,814 (+11%) (p. 6)
- Net investment return on Group investments: 4.6% vs 4.6% (unchanged) (p. 6)
- Total return on Group investments: 3.9% vs 4.3% (-0.5pts) (p. 6)
Capital position
- SST ratio: estimated 259% as of Dec 31, 2025 (Dec 31, 2024: 253%) (p. 1) (p. 5) (p. 6)
- Improvement driven by strong operating earnings and favorable market movements, partially offset by dividend accrual (p. 5)
Property & Casualty (P&C)
Headline metrics
- BOP: 5,129 vs 4,204 (+22% LFL) — exceeded USD 5bn (p. 1) (p. 3) (p. 6)
- GWP: 50,422 vs 46,624 (+8% USD / +5% LFL) — first time exceeding USD 50bn (p. 1) (p. 2) (p. 3) (p. 6)
- Insurance revenue: 48,234 vs 44,792 (+8% USD / +4% LFL) (p. 3) (p. 6)
- Combined ratio: 92.6% vs 94.2% (1.6pts improvement) (p. 1) (p. 3) (p. 6)
- Customer retention rate: improved to 82% (p. 2)
- Retail customer base: expanded to more than 82 million (p. 2)
- Overall rate increase: 2%, supported by higher Retail rates and continued momentum in selected Commercial lines (p. 2)
Commercial Insurance
- BOP: 3,800 (+12%) — driven by disciplined portfolio management, good underlying GWP growth in Middle Market and specialty lines, and lower natural catastrophe losses (p. 2) (p. 3)
- GWP: ~31,000 (+4%) (p. 3)
- Combined ratio: 91.0% (1.2pts improvement YoY) (p. 3)
- Motor combined ratio: 98.4%, improved more than 16pts YoY, supported by targeted portfolio actions including reduction of motor-heavy programs, exits from mono-line motor programs, and price increases (p. 3)
- Crop profitability restored to satisfactory levels through cost-reduction measures (p. 3)
- Property combined ratio: mid-80s, on disciplined underwriting and active management of nat cat exposures (p. 3)
- Rate growth continued at double-digit levels in motor and excess liability lines (p. 3)
- Construction and infrastructure rates: mid-single digit increases (p. 3)
- Middle Market property accounts rates: mid-single digit increases (p. 3)
- E&S and large property accounts softened through the year, but profitability remained strong (p. 3)
Middle Market
- GWP: +1%, underlying growth offset by planned management actions to reduce motor liability exposure in the U.S. programs portfolio (p. 3)
- Excluding portfolio actions, Middle Market GWP: +7% (p. 3)
- Europe: +16%, with strong momentum in UK, Germany, Italy (p. 3)
- Underlying combined ratio: 88.3%, 4pts lower than the average for the rest of the Commercial book (p. 3)
Specialty
- GWP: +1%, with strong growth in EMEA and U.S. construction business, offset by reduction of large accounts in Property E&S due to softening rate environment (p. 3)
- Construction rates: +5% (p. 3)
- Energy rates: +4% (p. 3)
- Construction GWP: +4%, combined ratio in the low 80s (p. 3)
- Underlying combined ratio: 88.5% (p. 3)
- More than 200 data center construction projects underwritten (p. 3)
Retail
- BOP: 1,500 (+50% / +USD 491m) — on 16% premium growth, improved pricing sophistication, enhanced risk selection, higher earned premium rates, and strong EMEA contribution (p. 2) (p. 3)
- GWP growth: +7% LFL (+16% USD) (p. 3)
- Rate increase: 5%, largely reflecting motor rate increases of 8% (p. 3)
- EMEA: +8% LFL (p. 3)
- Asia Pacific: +5% LFL (p. 3)
- Latin America: +10% LFL, supported by strong retail property growth and higher retail motor sales (p. 3)
- Combined ratio: 94.4%, improved 2.1pts YoY, on improved pricing sophistication, disciplined risk selection in motor and property, and higher earned premium rates across all lines (p. 3)
Life
- BOP: 2,288 vs 2,235 (+2% LFL); underlying +10% excluding prior-year non-recurring items of USD 154m (p. 2) (p. 4) (p. 6)
- GWP: 36,194 vs 33,061 (+9% USD / +7% LFL) (p. 4) (p. 6)
- CSM reached all-time high of 13,800 (p. 2) (p. 4)
- Protection GWP: 9,700 (+5% LFL); growth accelerating to +7% in H2 2025 following normalization of sales in Brazil bancassurance JV (p. 2) (p. 4)
- Savings and annuities GWP: 6,100 (+77% LFL), driven by launch of capital-efficient retail savings product in Spain through JV with Banco Sabadell (p. 4)
- Unit-linked and investment contracts GWP: 20,400 (-3% LFL), primarily on lower sales in Brazil (p. 4)
- PVNBP: 19,497 vs 16,891 (+15% USD / +14% LFL), driven by Spain retail savings product, EMEA protection, and Asia Pacific unit-linked (p. 4) (p. 6)
- New business CSM added: 1,200 (+11% LFL), on sales growth (p. 4)
- Short-term insurance contracts revenue: 2,993 vs 2,804 (+7% USD / +9% LFL), predominantly Latin American protection (p. 4) (p. 6)
- Fee revenue from investment contracts: 837 vs 717 (+17% USD / +13% LFL), on higher assets under management (p. 4) (p. 6)
- Protection business drives almost 60% of Group Life BOP (p. 2)
Farmers
- Farmers BOP: 2,387 vs 2,286 (+4% reported) — record (p. 2) (p. 5) (p. 6)
- Farmers Management Services (FMS) BOP: 2,200 — record (p. 2)
- FMS MGEP margin: 7.0% vs 7.0% (unchanged) (p. 6)
- Agency Brokerages: fee service revenue +21%, BOP contribution +26% to 49 (p. 5)
- Farmers Re: strong contribution from Exchanges underwriting; partly offset by lower All Lines Quota Share participation rate of 8.0% (prior: 10.0%) (p. 5)
Farmers Exchanges
- GWP: 29,600 (+4%) (p. 1) (p. 5)
- Gross earned premiums: 28,900 (+3%) (p. 5)
- Combined ratio: 84.6% vs 91.4% (6.8pts improvement), supported by lower YoY catastrophe losses despite California wildfires (p. 5)
- Surplus ratio: 52.9%, +10.5pts from 42.4% (p. 1) (p. 5)
- Net policy count increase of more than 150,000 continuing-business policies — first net increase in over 10 years, momentum accelerating over last nine months; growth turned positive after Q1 decline (p. 2) (p. 5)
Board nominations and governance
- Mary Forrest nominated for election to Board at AGM on April 8, 2026 (p. 1) (p. 5)
- Formerly President and CEO North America Life, Munich Re (2008–2026); EVP Individual Life Services Canada (1998–2008); VP Individual Life Services Canada (1996–1998) (p. 5)
- Board intends to appoint Jasmin Staiblin as Vice-Chair, succeeding Christoph Franz, who will not stand for re-election after reaching maximum 12-year tenure (p. 1) (p. 5)
Corporate calendar and upcoming events
- Annual Report 2025: to be published on March 5, 2026 (p. 7)
- AGM: April 8, 2026, at Hallenstadion Zurich; invitation to be published in Swiss Official Gazette of Commerce on March 13, 2026, and on Zurich’s webpage (p. 7)
- Q&A for media: conference call at 09:15 CET, English (p. 7)
- Switzerland dial-in: +41 58 310 50 00
- UK dial-in: +44 207 107 0613
- US dial-in: +1 631 570 5613
- Q&A for analysts and investors: conference call at 13:00 CET, media may listen in; podcast available from 17:00 CET; registration required via Zurich Q&A call registration link (p. 7)
Company reference
- Zurich Insurance Group is a leading global multi-line insurer founded over 150 years ago, serving more than 82 million customers in over 200 countries and territories; more than 65,000 employees; headquarters in Zurich, Switzerland (p. 7)
- Listed on SIX Swiss Exchange (ZURN); Level I ADR program (ZURVY) on OTCQX (p. 7)
- Since 2020, the Zurich Forest project supports reforestation and biodiversity restoration in Brazil’s Atlantic Forest (p. 7)
CEO quote (verbatim)
- “I am extremely proud to see all our businesses contributing to these record results, which indicate that we are well on track to achieve or even exceed our 2027 targets, and position us well to capture future growth opportunities. I would like to thank all our customers who have continued to reward us with their strengthened loyalty and my colleagues who contributed to achieving this outstanding performance.” — Mario Greco, Group CEO (p. 1)
Forward-looking statement disclaimer (p. 8)
This document contains forward-looking statements subject to risks and uncertainties; Zurich undertakes no obligation to update them. Past performance is not a guide to future performance; interim results are not necessarily indicative of full‑year results. This communication is not an offer of securities; in the United States, securities may not be offered or sold absent registration or exemption, and any public offering would be made by prospectus.
Definitions and accounting notes
- BOP: Business operating profit
- BOPAT: Business operating profit after tax (used in Core ROE/Core EPS calculations)
- Core EPS: BOPAT divided by diluted weighted average shares (p. 5)
- Core ROE (previously BOPAT ROE): BOPAT divided by average shareholders’ equity excluding unrealized gains/losses (p. 5)
- CSM: Contractual service margin
- E&S: Excess and surplus lines
- Farmers Exchanges: Farmers Insurance Exchange, Fire Insurance Exchange, Truck Insurance Exchange and their subsidiaries and affiliates — California-domiciled interinsurance exchanges owned by policyholders. Zurich has no ownership interest; Farmers Group, Inc. (wholly owned subsidiary) provides non‑claims and ancillary services as attorney-in-fact for fees. (p. 5) (p. 8)
- FMS: Farmers Management Services
- GWP: Gross written premiums
- LFL (like-for-like): Change in local currencies after adjusting for acquisitions, disposals, methodological changes, and transfer of a Life portfolio to Non-Core Businesses (p. 5)
- Life GWP: Gross written premiums for Protection; gross policyholder inflows (incl. deposits) for all other lines (incl. investment and asset management contracts) (p. 5) (p. 6)
- MGEP: Management gross earned premiums
- NIAS: Net income attributable to shareholders
- PVNBP: Present value of new business premiums
- ROE: Return on equity — calculated using shareholders’ equity that includes net unrealized gains/(losses) on financial assets, net change in discount rate for (re‑)insurance contracts, and net change in fair value of underlying items through OCI. Core ROE previously referred to as BOPAT ROE. (p. 6)
- SST ratio: Swiss Solvency Test ratio — estimated as of Dec 31, 2025, based on Group internal model approved by FINMA; filed by end of April, subject to FINMA review (p. 5) (p. 6)
- Average Group investments: Including investment cash and derivatives (p. 6)
- Net investment return and total return calculated on average Group investments (p. 6)
- All LFL figures primary basis unless noted; reported (USD) changes shown parenthetically where available.