Company: HIG-PG
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000874766-25-000023
Chunk: 1358

Company: HARTFORD INSURANCE GROUP, INC.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 2
Chunk 1358
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 higher staffing costs, including higher incentive compensation and benefits costs and increased investments in technology.2025 OutlookThe Company expects growth in fully insured ongoing premiums in 2025 due to sales and continued strong book persistency.  The level of long-term disability incidence and recoveries will impact the group disability loss ratio. Although the group life loss ratio, which had been elevated during the pandemic, improved in 2024, we expect 2025 mortality to still be above pre-pandemic levels. We expect the long-term net income margin outlook for this business to be approximately 6% to 7%.

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|Table of ContentsIndex to MD&APart II - Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations

|HARTFORD FUNDS - RESULTS OF OPERATIONS

Operating Summary

202420232022Increase (Decrease) From 2023 to 2024Increase (Decrease) From 2022 to 2023Fee income and other revenue$1,035 $973 $1,044 6 %(7 %)Net investment income20 17 9 18 %89 %Net realized gains (losses)12 10 (24)20 %NMTotal revenues1,067 1,000 1,029 7 %(3 %)Operating costs and other expenses824 781 826 6 %(5 %)Income before income taxes243 219 203 11 %8 % Income tax expense [1]51 45 41 13 %10 %Net income$192 $174 $162 10 %7 %Daily average Hartford Funds AUM$136,477 $127,019 $135,124 7 %(6 %)ROA [2]14.1 13.7 12.0 0.41.7Adjustments to reconcile ROA to ROA, core earnings:Effect of net realized losses (gains), excluded from core earnings, before tax(0.8)(0.8)1.7 0.0(2.5)Effect of income tax expense (benefit)— 0.1 (0.4)(0.1)0.5ROA, core earnings [2]13.3 13.0 13.3 0.3(0.3)

[1] For discussion of income taxes, see Note 16 - Income