Company: HIG-PG
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000874766-25-000023
Chunk: 1057

Company: HARTFORD INSURANCE GROUP, INC.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 1C
Chunk 1057
---
 %)(20 %)Total losses and loss adjustment expenses219 224 280 (2 %)(20 %)Insurance operating costs9 4 9 125 %(56 %)Underwriting loss(228)(228)(289)— %21 %Net investment income [2]74 69 63 7 %10 %Net realized losses [2](4)(7)(16)43 %56 %Other expenses(4)— — NM— %Loss before income taxes(162)(166)(242)2 %31 %Income tax benefit [3](35)(36)(52)3 %31 %Net loss$(127)$(130)$(190)2 %32 %

[1]For discussion of prior accident year development, see MD&A - Critical Accounting Estimates, Property and Casualty Insurance Product Reserves, Net of Reinsurance and Note 10 - Reserve for Unpaid Losses and Loss Adjustment Expenses of Notes to Consolidated Financial Statements.

[2]For discussion of consolidated investment results, see MD&A - Investment Results.

[3]For discussion of income taxes, see Note 16 - Income Taxes of Notes to Consolidated Financial Statements. 

Net Loss  Year ended December 31, 2024 compared to the year ended December 31, 2023 Net loss decreased slightly primarily due to higher net investment income and lower net realized losses, partially offset by an increase in other expense relating to a one-time contract settlement charge on a claims servicing arrangement.Underwriting loss was unchanged as an increase in insurance operating costs was offset by a decrease in unfavorable prior accident year reserve development. Unfavorable prior accident year reserve development for the year ended December 31, 2024 was primarily due to a $203 increase in A&E reserves and a $28 increase in related ULAE reserves. Unfavorable prior accident year reserve development for the year ended December 31, 2023 was primarily due to a $194 increase in A&E reserves and a $23 increase in related ULAE reserves. In 2024, an increase in the deferred gain of $62 was recognized relating to ceding losses to the A&E ADC.Asbestos reserves prior accident year development in 2024 before NICO reinsurance of $167 was primarily due to  higher-than-expected frequency, higher settlement values for certain accounts, an increase in the Company’s share of liability due to insolvencies and cost sharing agreements and an increase in claim settlement