Liberty Mutual Holding Company Inc. booked consolidated first quarter 2025 net income of about $1 billion, down about 33% from the same period a year ago.
Catastrophe losses for the first three months of 2025—driven by the wildfires in California—were $1.8 billion compared to $824 million last year. Catastrophe losses added 16.4 points to the quarter’s combined ratio of 96.6. Liberty Mutual turned in a combined ratio of 95.8 for the first quarter 2024.
However, Tim Sweeny, CEO of the Boston-based insurer, said underwriting discipline resulted in a Q1 underlying combined ratio improvement of 6.5 points to 81.9.
“Overall, we are very pleased with our performance this quarter as we continue to pursue profitable growth and progress toward our 95% combined ratio goal at the end of 2025,” Sweeny added in a statement.
Related: Liberty Mutual CEO Sweeney Elected Chairman, Long Steps Away
Liberty Mutual reported a 7.4% drop in net written premiums (NWP) to about $6.1 billion for U.S. Retail Markets, consisting of personal lines and small commercial. Private passenger automobile NWP in U.S. Retail Markets decreased nearly 16% to about $2.6 billion. The insurers said the drop “reflects an increase in policyholder shopping.”
Homeowners insurance Q1 NWP stayed relatively steady at $1.8 billion.
Meanwhile, Liberty Mutual’s Global Risk Solutions business grew NWP 7.5% to about $4.7 billion.
Liberty Mutual earlier this year announced it was doing away with the Safeco brand and all of its personal lines products will be sold under the Liberty Mutual name.
Topics Profit Loss
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