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US mutual insurers report higher 2025 net income as underwriting improves
AM Best said net income at rated US mutual property and casualty insurers rose to $42.6 billion in 2025, up from $7.2 billion in underwriting losses in 2024.
AM Best said US property and casualty mutual insurers strengthened financial performance during 2025, despite ongoing competitive pressures and continued exposure to severe weather events, in its Best’s Market Segment Report. The agency reported that net income across its rated US mutual insurance composite reached $42.6 billion in 2025, double the year earlier level.
AM Best attributed the improvement primarily to underwriting results, noting the composite shifted from a $7.2 billion underwriting loss in 2024 to a $14.8 billion underwriting gain in 2025. The report also said investment income remained a key contributor, exceeding $20 billion in both 2024 and 2025.
AM Best added that the turnaround followed prior years in which mutual insurers adjusted pricing and underwriting practices in response to inflation and changing claims conditions, including rate increases, revised discounts, and increased deductibles before 2025. The agency said those steps helped support stronger premium revenue into 2025.