WASHINGTON (April 22, 2025)
VsportVÌåÓý Releases 2023 Profitability Report
Report contains key ratios on profitability results for the property and casualty insurance industry on a countrywide and state basis
The VsportVÌåÓý (VsportVÌåÓý) has released its Report on Profitability by Line by State in 2023. The report estimates and allocates profitability in property and casualty insurance by state/territory and line of insurance.
This report enhances transparency regarding the financial impact of the economic climate on each included line. It allows readers to analyze results by state/territory and line of business. When combined with additional information, the report can be used to further analyze market competition and performance.
The Report on Profitability by Line by State in 2023 includes aggregate data from annual statement exhibits to develop estimates of profits on earned premium and the return on net worth by line and by state/territory. The report is also broken out for stock insurers only and for mutual and reciprocal insurers only, starting with the 2022 data year.
Key highlights from the report include:
• Total premiums earned increased in 2023 for the 14th consecutive year, while losses incurred and loss adjustment expenses remained relatively flat.
• The countrywide direct return on net worth for the total property and casualty insurance market increased from 4.8% in 2022 to 7.9% in 2023.
• Private Passenger Auto (PPA) makes up a large portion of the property and casualty market, accounting for approximately 33% of the total direct premiums earned in 2023.
• The direct return on net worth for homeowners insurance increased from the prior year, moving from 0.7% in 2022 to 4.0% in 2023.
The report also shows the various components of estimated profits, including premiums earned; losses incurred; loss adjustment expense; general expenses; selling expenses; state taxes, licenses, and fees; dividends to policyholders; changes in premium deficiency reserves; underwriting profits; investment income; and federal income taxes. As fluctuations in calendar year financial results occur, long-term historical averages are also provided.
The complete report is available on the .
About the VsportVÌåÓý
As part of our state-based system of insurance regulation in the United States, the VsportVÌåÓý (VsportVÌåÓý) provides expertise, data, and analysis for insurance commissioners to effectively regulate the industry and protect consumers. The U.S. standard-setting organization is governed by the chief insurance regulators from the 50 states, the District of Columbia and five U.S. territories. Through the VsportVÌåÓý, state insurance regulators establish standards and best practices, conduct peer reviews, and coordinate regulatory oversight. VsportVÌåÓý staff supports these efforts and represents the collective views of state regulators domestically and internationally.