Company: AFGC
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001042046-25-000024
Chunk: 180

Company: AMERICAN FINANCIAL GROUP INC
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 2
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 $2 million in the first six months of 2024 related to business outside the Specialty group that AFG no longer writes.

Catastrophe losses

Catastrophe losses of $110 million in the first six months of 2025 resulted primarily from California wildfires and storms in multiple regions of the United States. Catastrophe losses of $70 million in the first six months of 2024 (before $1 million in net reinstatement premiums) resulted primarily from storms in multiple regions of the United States.

Commissions and Other Underwriting Expenses

AFG’s property and casualty commissions and other underwriting expenses (“U/W Exp”) were $1.05 billion in the first six months of 2025 compared to $984 million for the first six months of 2024, an increase of $64 million (7%). AFG’s underwriting expense ratio was 32.5% for the first six months of 2025 compared to 31.4% for the first six months of 2024, an increase of 1.1 percentage points. Detail of AFG’s property and casualty commissions and other underwriting expenses and underwriting expense ratios is shown below (dollars in millions):

Six months ended June 30,20252024Change inU/W Exp% of NEPU/W Exp% of NEP% of NEPProperty and transportation$314 29.1%$315 29.4%(0.3%)Specialty casualty472 29.7%442 28.1%1.6%Specialty financial262 46.9%227 46.8%0.1%$1,048 32.5%$984 31.4%1.1%

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

Property and transportation   Commissions and other underwriting expenses as a percentage of net earned premiums decreased 0.3 percentage points in the first six months of 2025 compared to the first six months of 2024 reflecting changes in the mix of business, partially offset by higher costs for software and other expenses associated with certain initiatives in IT security, customer experience and data analytics.

Specialty casualty   Commissions and other underwriting expenses as a percentage of net earned premiums increased 1.6 percentage points in the first six months of 2025 compared to the first six months