Company: AFGC
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001042046-25-000035
Chunk: 171

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 2
Chunk 171
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8%46.5%(14.7%)Total SpecialtyCurrent year, excluding catastrophe losses$1,355 $1,355 67.2%65.9%1.3%Prior accident years development(24)(17)(1.2%)(0.8%)(0.4%)Current year catastrophe losses including the impact of net reinstatement premiums23 90 1.2%4.4%(3.2%)Total Specialty losses and LAE and ratio$1,354 $1,428 67.2%69.5%(2.3%)Aggregate — including exited lines Current year, excluding catastrophe losses$1,355 $1,355 67.2%65.9%1.3%Prior accident years development(23)(15)(1.1%)(0.7%)(0.4%)Current year catastrophe losses including the impact of net reinstatement premiums23 90 1.2%4.4%(3.2%)Aggregate losses and LAE and ratio$1,355 $1,430 67.3%69.6%(2.3%)

Current accident year losses and LAE, excluding catastrophe losses

The current accident year loss and LAE ratio, excluding catastrophe losses, for AFG’s Specialty property and casualty insurance operations was 67.2% for the third quarter of 2025 compared to 65.9% for the third quarter of 2024, an increase of 1.3 percentage points.

Property and transportation   The 1.4 percentage points increase in the loss and LAE ratio for the current year, excluding catastrophe losses, reflects lower earnings in the crop business, partially offset by improved results in the transportation and ocean marine businesses.

Specialty casualty   The 3.6 percentage points increase in the loss and LAE ratio for the current year, excluding catastrophe losses, reflects higher claim severity in the excess and surplus and social services businesses.

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Table of ContentsAMERICAN FINANCIAL GROUP, INC. 10-QManagement’s Discussion and Analysis of Financial Condition and Results of Operations — Continued

Specialty financial   The 3.0 percentage points decrease in the loss and LAE ratio for the current year, excluding catastrophe losses, reflects improved results in the surety and fidelity businesses.

Net prior year reserve development 

AFG’s Specialty property and casualty insurance operations recorded net favorable reserve development related to prior accident years of $24 million in the third quarter