2023 TOP 50 Largest Property & Casualty Insurance Companies in the United State. P&C Insurers in U.S. wrote more than $800 bn (+9.5%) in premiums, generating about $780 bn (+7.5%) in earned premiums.
The America’s 10 Largest P&C insurance companies command almost half (47%) of the market, with the top 25 insurers accounting for two-thirds of the overall share. Direct written premiums (DWP) from these insurance providers reached almost $517 bn at the end of last year, while earned premiums slightly exceeded $488 bn.
US property and casualty insurance companies had a median price-to-estimated full-year 2023 earnings multiple of 12.1x in H1 2023, according to Beinsure Data.
The 10 largest property and casualty companies account for 48% of the total market. Each of the top six companies has auto insurance as the largest component of its insurance business.
Property and casualty is a broad category of insurance that includes auto and motorcycle insurance, home and renters insurance, crop insurance and even airplane insurance.
TOP 50 Largest P&C Insurers in the United States
|№||Insurers||Net Premiums Written, $ mn||Change, %|
|14||Fairfax Financial (USA)||10,409||21|
|17||Tokio Marine US PC||8,188||12,4|
|20||Everest Re US||7,736||16,1|
|24||FM Global Group||5,274||12,3|
|25||Great Amer P&C||5,234||10,6|
|30||Sompo Hldgs US||4,626||38,9|
|31||Auto Club Enterprises||4,604||3|
|36||Allianz US P&C||3,297||41,3|
|42||Old Republic Group||2,753||2,9|
|44||COUNTRY Financial PC||2,671||3,3|
Source: A.M. Best Company, Inc. and/or its affiliates. ALL RIGHTS RESERVED
Commercial P&C insurance has been riding on the back of a hard market. However, insurance premium increases have slowed. At the same time, insurance carriers have benefited from improving loss ratios, and capacity is starting to stabilize thanks to new market entrants.
Global commercial insurance prices rose by only 9% in the 2023, which was the sixth consecutive quarter of slowing premium increases for most P&C lines.
According to the Insurance Information Institute (III), US insurance industry net premiums written totaled $1.28 trillion in 2022, with premiums recorded by property/casualty insurers accounting for 51% and premiums by health/life insurers accounting for 49%.
P&C insurance includes auto, homeowners and commercial insurance. Net premiums written for the sector totaled $652.8 bn last year. Meanwhile, the life/annuity insurance sector includes annuities, accident and health, and life insurance with net premiums for the sector totaling $240 bn.
P&C carriers face a combination of complex and fast-evolving macroeconomic and industry trends, which interact with each other and the industry’s entrenched ways of working (see about P&C Insurance Claims Landscape).
The US insurance industry employed 2.9 mn people, according to the US Department of Labor. Of those, 1.7 mn worked for insurance companies, including life and health insurers (962,500 workers), P/C insurers (665,900 workers), and reinsurers (27,300 workers). The remaining 1.2 mn worked for insurance agencies, brokers, and other insurance-related enterprises.
The net combined ratio for the P&C insurance industry was 102.4, with underwriting losses for personal lines partially offset by underwriting gains for commercial lines.
The P&C insurance sector has long struggled with challenging fundamentals. Intense price competition erodes value across the board, and globally, only a small number of sector leaders turn a profit. Commoditization of both personal and commercial lines products, particularly in the small commercial segment, continues unabated.
TOP categories ranked by premiums in 2023
|Insurance line||Direct written premiums|
|Private passenger auto||$260.7 bn|
|All other lines||$186.7 bn|
|Homeowners multiple peril||$118.9 bn|
|Other liability||$109.8 bn|
|Commercial auto||$53.4 bn|
|Workers’ compensation||$51.9 bn|
|Medical professional liability||$10.9 bn|
Value of gross premiums written by leading reinsurers in the United States
NAIC compiles data from several lines of insurance. These are grouped into seven major categories, namely private auto, commercial vehicle, homeowners, workers’ compensation, medical liability, other liability, and all other lines, which include farm, marine, flood, earthquake, mortgage protection, financial guaranty, and fire insurance.
Fact checked by Oleg Parashchak – CEO Finance Media & Editor-in-Chief at Beinsure Media