Markel’s insurance segment increased underwriting profit to $462.6 million in the first nine months of 2026, up 55% compared with $298.8 million in the same period last year, as its combined ratio improved by three percentage points to 92%.
The insurance segment’s adjusted operating income rose 19% to $1.17 billion for the first nine months of 2026, compared with $980.3 million in the same period of 2025, according to its financial results.
The segment’s underwriting profitability improved despite a 15% decline in gross underwriting premium volume, which fell to $7.09 billion from $8.32 billion in the first nine months of 2025.
However, Markel’s insurance segment’s adjusted underwriting premium volume increased 10% to $7.08 billion for the period, while its fronting premium volume grew 24% to $2.29 billion from $1.84 billion a year earlier.
The insurance segment’s recorded operating revenues were $6.88 billion for the first nine months of 2026, broadly unchanged from $6.90 billion a year earlier.
In Q3 2026 alone, Markel’s insurance segment increased underwriting profit by 15% year on year to $178.3 million from $155.5 million, while its combined ratio improved to 92% from 93%.
Despite the quarterly improvement in underwriting profit, the insurance segment’s adjusted operating income declined 2% to $420.9 million from $428.5 million a year earlier.
Meanwhile, the segment’s gross premium volume from underwriting declined 9% to $2.49 billion in Q3, while its adjusted underwriting premium volume rose 9% to $2.48 billion.
The segment’s fronting premium volume recorded the strongest growth, surging 151% to $419 million in Q3 from $166.7 million in the same period last year.
Net investment income in Markel’s insurance segment increased 5% in the quarter to $233.6 million, while operating revenues grew 2% to $2.44 billion.
Groupwide, Markel saw operating revenues increase 6% in Q3 and 2% in the first nine months of 2026. Operating income, which includes market movements in its equity portfolio, was $383 million for Q3 and $1.7 billion in the first nine months of 2026.
Adjusted operating income, which excludes those market movements, rose 14% to $707 million in the quarter, compared with $621 million in Q3 2025, but fell 2% in the first nine months of 2026 to $1.6 billion from $1.7 billion in the same period last year.
Tom Gayner, Chairman and Chief Executive Officer, commented, “We build Markel to relentlessly compound value over the long term by serving our customers and policyholders, owning businesses with staying power, underwriting with discipline, and reinvesting patiently through cycles.
“Our third quarter results demonstrate we continue to do exactly that. Markel Insurance increased profitability, our Industrial, Financial, and Consumer and Other businesses delivered strong returns, and we continued to deploy capital where we believe it creates the most long-term value.”
