Markel Group reported that its insurance business, Markel Insurance, reported a 3% increase in gross premiums written to $2.32 billion in the fourth quarter of 2025 from $2.25 billion in the year-earlier period, compared with a 4% increase for the full year of 2025 to $10.6 billion, compared with $10.3 billion in fiscal 2024.
The business’s underwriting profit for the quarter rose 87% to $156 million, compared with underwriting profit of $83 million in the fourth quarter of 2024. Meanwhile, underwriting profit rose 24% to $456 million in fiscal 2025, compared with $367 million in 2024.
This directly led to a 31% increase in adjusted operating income to $398 million in 4Q25 and a 16% increase in FY25 to $1.38 billion, also driven by net investment income.
Markel Insurance’s growth in total premiums written was driven by significant growth in its personal lines and international professional liability product lines, as well as growth in its plans, marine and energy and general liability product lines.
Underwriting results for the year include net losses and loss adjustment expenses of $61.9 million and $70.6 million in 2025 and 2024 due to natural catastrophes, respectively. In 2025, cats were lost to a series of wildfires in Southern California in January 2025.
For the quarter, premiums earned in this segment were $2.2 billion, up 7% from $2.05 billion in the previous year. Meanwhile, fiscal 2025 increased 3% to $8.4 billion compared with $8.13 billion in 2024.
Markel Insurance reported that the combined ratio improved to 92.9% in the fourth quarter of 2025, compared with 95.9% in the same period last year; the combined ratio improved slightly to 94.6% in fiscal year 25, a slight improvement from 95.5% in 2024.
The combined ratio for 2025 includes a favorable development of $484 million in prior accident year loss reserves compared with $454.9 million in 2024.
The segment’s net investment income increased 9% to $232 million in Q4 2025 and 9% to $871 million in FY25.
Operating income also rose 7% to $2.44 billion in the quarter and 4% year-to-date to $9.35 billion.
In August 2025, Markel Insurance sold the renewal rights for the underwriting business of its global reinsurance department, and the business entered the decisive stage. The underwriting performance of the 2025 gross premium volume segment of $1.0 billion will have an adverse impact on the Markel Insurance segment’s combined ratio of 2 percentage points in 2025 and 1 percentage point in 2024.
Tom Gayner, CEO of Markel Group, commented: “Markel Group made meaningful progress in 2025. Operating income was $3.2 billion and adjusted operating income exceeded $2.3 billion, with each reportable segment making a meaningful contribution.
“Within Markel Insurance, we have taken a series of decisive actions to simplify and refocus the business. Thank you to the team and everyone at Markel Group. By staying true to our values while providing a home for outstanding businesses and leaders to grow and prosper, we believe Markel Group is well-positioned to continue to increase shareholder value for generations.”