American Financial Group (AFG) 2025 Raymond James Virtual Insurance Conference presentation summary

Business overview and strategy

• Over 55% of gross written premium comes from businesses with top 10 market rankings, with a 12-year streak of combined ratios under 94% and a 2024 combined ratio of 91.2%.

• Focus on specialty property and casualty insurance, with diversified offerings in property, transportation, casualty, and financial lines.

• Entrepreneurial culture, strategic alignment of interests, and significant management ownership drive performance.

• History of targeted acquisitions, divestitures, and start-ups to focus on core strengths and niche markets.

• Core values emphasize integrity, specialization, customer focus, and community engagement.

Financial performance and capital management

• Achieved record premium production in 2024, with gross written premiums of $10.5 billion and $10.7 billion LTM as of September 2025.

• Core net operating earnings for 2024 were $902 million, with a core operating ROE of 19.3%.

• Book value per share excluding AOCI rose to $57.59 as of September 2025.

• Returned $6.3 billion to shareholders over five years, including regular and special dividends and share repurchases.

• Maintains above-target capital levels, strong ratings (A+/A1), and no debt maturities until 2030.

Underwriting and investment outperformance

• Outperformed peers by 7.7 points in combined ratio over the past decade, with a 10-year average combined ratio of 91.9%.

• Pretax P&C returns consistently exceed major competitors over 5, 10, and 15-year periods.

• Investment portfolio of $16.8 billion, with 96% investment grade fixed maturities and 17% in alternative investments.

• Achieved 1.31% annualized investment outperformance over the industry for 17 years, equating to $2.0 billion pre-tax.

• Short duration fixed maturity portfolio positions the company to benefit from higher interest rates.