Travelers Companies Inc

After yesterday’s Q3 earnings release, PayPal (PYPL) stock opened at $105.91, up 9.5%. PYPL stock closed at $96.64 yesterday day.

The DJIA (Dow Jones Industrial Average) fell over 0.9% in the week ending on October 4, 2019. It closed trading at $26,573.72.

In his annual shareholder letter, Buffett lamented the lack of big acquisition opportunities.

Berkshire Hathaway (BRK-B) is Apple’s second-largest shareholder.

Berkshire Hathaway is the largest shareholder in Wells Fargo (WFC), Bank of America (BAC), U.S. Bancorp (USB), and American Express (AXP).

Looking at Berkshire Hathaway’s third-quarter 13F, the company added more Apple shares and added a new position in JPMorgan Chase.

The price-to-book ratio of Prudential Financial (PRU) stood at 0.85x on an NTM (next-12-month) basis, which is lower than the peer average of 1.22x.

Prudential Financial’s (PRU) Life Planner operations saw adjusted operating income of $416 million in 1Q18, while in 1Q17 it was $408 million.

Prudential Financial’s (PRU) asset management business is overseen by PGIM.

Prudential Financial’s (PRU) US Workplace Solutions division comprises two businesses.

Prudential’s investment management division is deploying money to expand its offerings and reach.

PGIM, which distributes Prudential Financial’s (PRU) retail products, has introduced the PGIM Ultra-Short Bond ETF, an actively managed fund focusing on capital appreciation and income generation.

In March 2018, American International Group (AIG) is being tracked by 18 analysts, seven of whom have suggested “holds” on the stock.

On March 1, 2018, American International Group (AIG) announced that changes had been made to its leadership positions.

Emerging markets such as China provide a great growth opportunity for property and casualty insurers.

AIG’s Canadian business unit, AIG Canada, announced on February 13, 2018, that it had made the list of Canada’s Top 100 Employers of the younger generation.

Chubb (CB) is tracked by 18 analysts in February 2018. One analyst has recommended a “sell” for the stock, and one has recommended a “hold.”

Chubb’s (CB) PE (price-to-earnings) ratio is 14.37x on an NTM (next 12-month) basis. The average for its competitors was 13.36x.

Chubb (CB) has reported 4Q17 EPS of $3.17, which exceeds analysts’ estimate by $0.88. The company’s core operating income in 4Q17 was $1.48 billion.

Of 20 analysts tracking AIG, seven suggested a “strong buy,” nine recommended a “hold,” one suggested a “sell,” and three rated AIG stock as a “buy.”

On an NTM (next-12-months) basis, American International Group (AIG) has a price-to-earnings ratio of ~11.6x compared to its peers’ average of ~13.9x, which implies lower valuations.

In January 2018, Tom Bolt will become AIG’s chief underwriting officer. Bolt has more than 30 years of experience in the reinsurance and insurance industry.

AIG’s Life Insurance division generated other income of $34.0 million in 9M17 versus $43.0 million in 9M16, which implies a substantial 21.0% fall.

In 9M17 and 9M16, American International Group’s (AIG) Group Retirement business garnered $21.0 million in premiums, reflecting no change.

American International Group’s (AIG) Individual Retirement business posted pretax operating income of $1.8 billion in 9M17 versus $1.7 billion in 9M16, reflecting a rise of 5.0%.

American International Group’s (AIG) Liability and Financial Lines business saw a decline in net premiums earned to $6.5 billion in 9M17 from $8.1 billion in 9M16, reflecting a 20.0% fall.

Chubb Limited (CB) reported a marginal 1.0% year-over-year rise in its total revenues in 3Q17 compared to 3Q16.

Chubb reported a net income margin of ~12.4% over the last 12 months.

Chubb Limited (CB) reported its 3Q17 earnings on October 26, 2017. The insurance giant reported a loss of $0.13 per share in 3Q17.

Brian Duperreault, chief executive officer of American International Group (AIG), has taken a major step by reshuffling the company into three units.

American International Group (AIG) is expected to announce its earnings for 3Q17 on November 2, 2017. Wall Street analysts have provided a high estimate of $0.90 for AIG’s 3Q17 EPS.

Lincoln National is covered by 14 analysts, of which four have rated the stock a “strong buy,” three have given a “buy” rating, and seven have given a “hold.”

Chubb’s one-year forward PE ratio stands at 13.15x, compared with the peer average of 12.09x, which means that Chubb is trading at a premium valuation.

As of December 31, 2016, Chubb (CB) had total assets totaling $159.7 billion, compared with its total assets of $162.9 billion as of June 30, 2017.

Mercury General (MCY) has consistently recorded revenue growth since fiscal 2011, except for a minor decline in fiscal 2015

ACE stock returned ~15% to investors over the past three months. It focuses on serving retail and corporate clients in insurance and reinsurance products.

American Financial Group (AFG) has outperformed most of its ETFs based on price movement and PE ratio. The PE ratios of AFG, KBWP, KIE, and XMLV are 16.1x, 11.0x, 12.5x, and 20.2x, respectively.

After its 3Q15 earnings report, which included a 55.3% drop in net income, American Financial Group (AFG) fell by 0.59% to close at $72.27 per share on November 3, 2015.

After its 3Q15 earnings report, Alleghany fell by 0.29% to close at $501.09 per share as of November 3, 2015.

Hartford (HIG) reported core earnings of its mutual funds division at $22 million in 3Q15, similar to the prior year’s corresponding quarterly earnings.

Hartford Financial Services Group (HIG) reported its 3Q15 earnings on October 26. With operating income per share of $0.86, the company missed Wall Street analysts’ estimates.

Progressive (PGR) reported 3Q15 earnings per share of $0.47, a 6% decrease over the third quarter of 2015.

Progressive’s (PGR) Commercial Lines business revenues increased by 12.1% to $511 million in 3Q15, up from $456 million in 3Q14.

Progressive Corporation (PGR) reported its second-quarter earnings on July 17. The firm reported net income of $363 million and revenues of $5.25 billion, up by 13.4% over 2Q14.

ACE has substantial international operations, with a presence in 54 countries. In contrast, Chubb has a more US-centric model.

The combined entity will become the world’s number one property and casualty insurance company by underwriting income, with total underwriting income of $3.3 billion.

Hurricanes Sandy, Ike, and Andrew remain near the top of the list of the costliest catastrophes in terms of insured losses.

Insured losses are the ones that impact the profitability of insurance companies.

The percentage points for catastrophe losses in the combined ratio have increased in recent years.

Catastrophe losses are one of the key risks to P&C insurers because these losses negatively impact profitability and capital.

Auto insurance and homeowner’s insurance form two important product types of the personal lines business.

The US personal lines businesses have seen improved profitability from the 2011 levels.

The underwriting cycle moves between hard and soft market conditions, which have different sets of characteristics that determine the profitability of the insurance industry.

The property and casualty insurance business is cyclical in nature. The underwriting cycle alternates between two phases: the hard market and the soft market.

MetLife is the market leader in the Large market with ~30% of the market share, while its market share is slightly above 5% in the Middle market.

Policyholder liabilities, or policyholder reserves, represent the future claims that may arise for the pool of policies the insurer writes.

As customers use Internet-based aggregators to purchase insurance policies, insurers use online sales to interact directly with customers and reduce costs.

An underwriting loss is not unusual for an insurance company. In a soft pricing environment, pricing of P&C products is low due to intense competition.

In 2013, the top ten life and health insurance companies had just above 50% market share in terms of direct premiums written.