SELECTIVE INSURANCE GROUP INC

For the period ended Mar 31, 2026. Filed Apr 24, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Mar 31, 2026 · Filed Apr 24, 2026

SIGI$103.34+2.8%Stored close · as of Nov 10, 2026

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Contents

Results of Operations and Related Information by Segment

Insurance Operations

The following table provides quantitative information for analyzing the combined ratio:

All Lines · Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Insurance Operations Results:
NPW	$1,225,508		1,240,443	(1)	%
Net premiums earned (“NPE”)	1,217,196		1,158,757	5
Less:
Loss and loss expense incurred	815,504		746,325	9
Net underwriting expenses incurred	379,747		365,812	4
Dividends to policyholders	700		983	(29)
Underwriting income (loss)	$21,245		45,637	(53)	%
Combined Ratios:
Loss and loss expense ratio	67.0	%	64.4	2.6	pts
Underwriting expense ratio	31.2		31.6	(0.4)
Dividends to policyholders ratio	0.1		0.1	—
Combined ratio	98.3		96.1	2.2

NPW decreased modestly in First Quarter 2026 compared to First Quarter 2025, reflecting lower new business in a competitive environment and deliberate actions to enhance underwriting profitability. While this is a primary focus of ours, we are also executing strategies to support future growth opportunities, including expanding our geographic footprint and broadening our E&S distribution capabilities with retail access.

	Quarter ended March 31,
($ in millions)	2026	2025
Direct new business premiums	$214.0	251.3
Renewal pure price increases	7.2%	10.3

NPE grew 5% in First Quarter 2026 compared to the First Quarter 2025, driven by growth in NPW in 2025 and the corresponding earnings of those premiums written.

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Loss and Loss Expense Incurred:
(Favorable) unfavorable prior year casualty reserve development	$—		5,000	(100)	%
Current year casualty loss costs	562,095		519,272	8
Net catastrophe losses	75,350		43,357	74
Non-catastrophe property loss and loss expenses	178,059		178,696	—
Total loss and loss expense incurred	815,504		746,325	9
Impact on Loss and Loss Expense Ratio:
(Favorable) unfavorable prior year casualty reserve development	—	%	0.4	(0.4)	pts
Current year casualty loss costs	46.2		44.9	1.3
Net catastrophe losses	6.2		3.7	2.5
Non-catastrophe property loss and loss expenses	14.6		15.4	(0.8)
Total impact on loss and loss expense ratio	67.0		64.4	2.6

The loss and loss expense ratio increased 2.6 points in First Quarter 2026 compared to First Quarter 2025, driven by higher net catastrophe losses and current year casualty loss costs. Net catastrophe losses were 2.5 points higher in First Quarter 2026 compared to First Quarter 2025, due to a higher frequency and severity of winter storms and thunderstorm events that impacted our footprint this year compared to last.

Current year casualty loss costs were higher in First Quarter 2026 compared to the same prior-year period, as the increased loss trend assumptions that we recognized over the course of 2025 are included in our expectations for 2026.

Standard Commercial Lines Segment

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Insurance Segments Results:
NPW	$992,387		1,003,225	(1)	%
NPE	965,759		912,210	6
Less:
Loss and loss expense incurred	656,834		581,666	13
Net underwriting expenses incurred	310,027		296,643	5
Dividends to policyholders	700		983	(29)
Underwriting income (loss)	(1,802)		32,918	(105)
Combined Ratios:
Loss and loss expense ratio	68.0	%	63.8	4.2	pts
Underwriting expense ratio	32.1		32.5	(0.4)
Dividends to policyholders ratio	0.1		0.1	—
Combined ratio	100.2		96.4	3.8

NPW decreased modestly in First Quarter 2026 compared to First Quarter 2025, reflecting lower new business and retention in a competitive environment and deliberate actions to strengthen underwriting profitability. Retention is flat with year-end 2025, but down three-points compared to First Quarter 2025 due to pricing and underwriting actions aimed at improving profitability.

	Quarter ended March 31,
($ in millions) · 2026 · 2025
Direct new business premiums	$132.0		172.2
Retention	82	%	85	%
Renewal pure price increases	7.1		9.1

NPE grew 6% in First Quarter 2026 compared to First Quarter 2025, driven by growth in NPW in 2025 and the corresponding earnings of those premiums written.

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Loss and Loss Expense Incurred:
(Favorable) unfavorable prior year casualty reserve development	$—		—	—	%
Current year casualty loss costs	471,876		433,064	9
Net catastrophe losses	57,184		19,811	189
Non-catastrophe property loss and loss expenses	127,774		128,791	(1)
Total loss and loss expense incurred	656,834		581,666	13
Impact on Loss and Loss Expense Ratio:
(Favorable) unfavorable prior year casualty reserve development	—	%	—	—	pts
Current year casualty loss costs	48.9		47.5	1.4
Net catastrophe losses	5.9		2.2	3.7
Non-catastrophe property loss and loss expenses	13.2		14.1	(0.9)
Total impact on loss and loss expense ratio	68.0		63.8	4.2

The loss and loss expense ratio increased 4.2 points in First Quarter 2026 compared to First Quarter 2025, driven by higher net catastrophe losses andcurrent year casualty loss costs. Net catastrophe property losses increased the loss and loss expense ratio by 3.7 points in First Quarter 2026 compared to the same prior-year period, driven by a higher frequency and severity of winter storms and thunderstorm events that impacted our footprint this year compared to last.

Current year casualty loss costs were higher in First Quarter 2026 compared to the same prior-year periodas the increased loss trend assumptions that we recognized over the course of 2025 are included in our expectations for 2026. Elevated severity trend assumptions attributable to social inflation on our general liability and commercial automobile liability lines of business drove the increased loss trend assumptions. Lower workers compensation loss trends provided a partial offset due to decreasing claim frequencies in our 2026 expectations.

Refer to the line of business sections below for qualitative discussion on the significant drivers of changes in current year casualty loss costs.

Information about our most significant Standard Commercial Lines of business follows:

General Liability
Quarter ended March 31, · Change % or Points1
($ in thousands) · 2026 · 2025
NPW	$334,057		333,896	—	%
Direct new business	37,757		53,665	n/a
Retention	83	%	85	n/a
Renewal pure price increases	9.2		12.0	n/a
NPE	$315,102		294,687	7	%
Underwriting income (loss)	(23,802)		(15,913)	50
Combined ratio	107.6	%	105.4	2.2	pts
% of total Standard Commercial Lines NPW	34		33

NPW growth was flat in First Quarter 2026 compared to the same prior-year period, reflecting deliberate actions to enhance underwriting profitability. In sectors and markets where pricing does not align with our view of rate need, we are taking targeted underwriting actions, including (i) revising underwriting guidelines, (ii) tightening coverage offerings, and (iii) reducing writings.

NPE grew 7% in First Quarter 2026 compared to First Quarter 2025, driven by growth in NPW in 2025 and the corresponding earnings of those premiums written.

The combined ratio increased 2.2 points in First Quarter 2026 compared to First Quarter 2025, primarily driven by the following:

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Loss and Loss Expense Incurred:
(Favorable) unfavorable prior year casualty reserve development	$—		—	—	%
Current year casualty loss costs	235,005		213,674	10
Total loss and loss expense incurred	235,005		213,674	10
Impact on Loss and Loss Expense Ratio:
(Favorable) unfavorable prior year casualty reserve development	—	%	—	—	pts
Current year casualty loss costs	74.6		72.5	2.1
Total impact on loss and loss expense ratio	74.6		72.5	2.1

The general liability line of business has experienced a long-term historical trend of meaningful severity increases, partially offset by claim frequency decreases. We attribute the increased severities to elevated social inflation, which we view as an industry dynamic characterized by higher claimant propensity for attorney representation and litigation, longer settlement times, and higher settlement values. Certain jurisdictions with expanded liability theories and higher damage awards pose increased challenges. We are closely monitoring these jurisdictions and the broader trends across our business.

These dynamics have impacted our view of current year loss costs. We embedded a 2.1-point increase in current year casualty loss costs in First Quarter 2026 compared to First Quarter 2025, driven by higher social inflation-related severity assumptions.

Commercial Automobile
Quarter ended March 31, · Change % or Points1
($ in thousands) · 2026 · 2025
NPW	$301,516		312,654	(4)	%
Direct new business	28,467		45,871	n/a
Retention	82	%	85	n/a
Renewal pure price increases	9.1		10.6	n/a
NPE	$296,380		283,585	5	%
Underwriting income (loss)	5,564		7,644	(27)
Combined ratio	98.1	%	97.3	0.8	pts
% of total Standard Commercial Lines NPW	30		31

NPW decreased 4% in First Quarter 2026 compared to the same prior-year period, driven by underwriting actions to improve profitability, such as achieving renewal pure price increases and tightening underwriting guidelines for fleet exposures. Lower renewal pure price increases this year compared to last were driven by a reduction in rates for physical damage that were partially offset by higher commercial automobile liability rates.

NPE grew 5% in First Quarter 2026 compared to the First Quarter 2025, driven by growth in NPW in 2025 and the corresponding earnings of those premiums written.

The combined ratio increased 0.8 points in First Quarter 2026 compared to the same prior-year period, and included the following:

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Loss and Loss Expense Incurred:
(Favorable) unfavorable prior year casualty reserve development	$—		—	—	%
Current year casualty loss costs	162,718		144,739	12
Net catastrophe losses	394		1,477	(73)
Non-catastrophe property loss and loss expenses	38,288		42,548	(10)
Total loss and loss expense incurred	201,400		188,764	7
Impact on Loss and Loss Expense Ratio:
(Favorable) unfavorable prior year casualty reserve development	—	%	—	—	pts
Current year casualty loss costs	55.0		51.1	3.9
Net catastrophe losses	0.1		0.5	(0.4)
Non-catastrophe property loss and loss expenses	12.9		15.0	(2.1)
Total impact on loss and loss expense ratio	68.0		66.6	1.4

We did not record any prior year casualty reserve development in First Quarter 2026 or First Quarter 2025. Current year casualty loss costs were higher in First Quarter 2026 compared to the same prior-year period, as the increased loss trend assumptions we recognized over the course of 2025 are included in our expectations for 2026.

Non-catastrophe property losses were 2.1 points lower in First Quarter 2026 compared First Quarter 2025 and provided a partial offset to the increase in current year loss costs. This reduction was driven by (i) the earned impact of higher renewal pure price increases and (ii) period-to-period variability of non-catastrophe property losses.

Quarter ended March 31, · Change % or Points2
($ in thousands) · 2026 · 2025
NPW	$198,835		196,254	1	%
Direct new business	42,026		41,416	n/a
Retention	81	%	84	n/a
Renewal pure price increases	5.1		8.5	n/a
NPE	$201,634		186,530	8	%
Underwriting income (loss)	6,966		30,012	(77)
Combined ratio	96.5	%	83.9	12.6	pts
% of total Standard Commercial Lines NPW	20		20

1 Includes Inland Marine.

2 n/a: not applicable.

NPW grew a modest 1% in First Quarter 2026 compared to the same prior-year period, benefiting from direct new business, renewal pure price increases, and exposure growth on renewal policies.

The combined ratio increased 12.6 points in First Quarter 2026 compared to First Quarter 2025 and included the following:

First Quarter 2026 · First Quarter 2025
($ in thousands) · Loss and Loss Expense Incurred · Impact on Combined Ratio · Loss and Loss Expense Incurred · Impact on Combined Ratio · Change in Ratio
Net catastrophe losses	$49,877	24.7	pts	16,362	8.8	15.9	pts
Non-catastrophe property loss and loss expenses	76,979	38.2		76,572	41.1	(2.9)
Total	$126,856	62.9		92,934	49.9	13.0

Net catastrophe and non-catastrophe property losses increased the loss and loss expense ratio by an aggregate 13.0 points in First Quarter 2026 compared to First Quarter 2025. The increase in net catastrophe losses was driven byhigher frequency and severity of winter storms and thunderstorm events that impacted our footprint this year compared to last.

Workers Compensation
Quarter ended March 31, · Change % or Points1
($ in thousands) · 2026 · 2025
NPW	$82,694		86,146	(4)	%
Direct new business	8,829		13,734	n/a
Retention	83	%	84	n/a
Renewal pure price increases (decreases)	(2.8)		(3.2)	n/a
NPE	$79,821		79,036	1	%
Underwriting income (loss)	(1,091)		(4,678)	(77)
Combined ratio	101.4	%	105.9	(4.5)	pts
% of total Standard Commercial Lines NPW	8		9

NPW decreased 4% in First Quarter 2026 compared to First Quarter 2025, primarily due to decreases in renewal pure price and a reduction in direct new business.

The combined ratio decreased 4.5 points in First Quarter 2026 compared to the same prior-year period and included the following:

First Quarter 2026 · First Quarter 2025
($ in thousands) · Loss and Loss Expense Incurred · Impact on Combined Ratio · Loss and Loss Expense Incurred · Impact on Combined Ratio · Change in Ratio
(Favorable) unfavorable prior year casualty reserve development	$—	—	pts	—	—	—	pts
Current year casualty loss costs	60,050	75.2		61,543	77.8	(2.6)
Total	$60,050	75.2		$61,543	77.8	(2.6)

The combined ratio was favorably impacted by a decrease in current year casualty loss costs of 2.6 points in First Quarter 2026 compared to First Quarter 2025, primarily driven by decreasing claim frequencies leading to improved loss trends. In addition, the combined ratio benefited from a 1.6-point reduction in underwriting expenses in First Quarter 2026 compared to First Quarter 2025, which was primarily driven by lower commissions on this line of business.

Standard Personal Lines Segment

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Insurance Segments Results:
NPW	$82,469		87,513	(6)	%
NPE	100,028		103,655	(3)
Less:
Loss and loss expense incurred	69,299		76,669	(10)
Net underwriting expenses incurred	23,571		24,949	(6)
Underwriting income (loss)	$7,158		2,037	251
Combined Ratios:
Loss and loss expense ratio	69.2	%	73.9	(4.7)	pts
Underwriting expense ratio	23.6		24.1	(0.5)
Combined ratio	92.8		98.0	(5.2)

NPW decreased 6% in First Quarter 2026 compared to First Quarter 2025, primarily due to lower direct new business. New business decreased 15% in First Quarter 2026 compared to the same prior-year period, driven by (i) market conditions, including an increasingly competitive market for auto insurance, (ii) restrictions we have in place to manage overall growth in the State of New Jersey, and (iii) competition in other states due to our recent rate activity. We have received regulatory approvals for increased rate levels in most of our footprint states and are focused on growth where we believe our rates are adequate.

The following table depicts direct new business, retention,and renewal pure price increases for the First Quarter 2026:

	Quarter ended March 31,
($ in millions) · 2026 · 2025
Direct new business premiums1	$7.6		8.9
Retention	78	%	75
Renewal pure price increases	10.6		24.1

1 Excludes our Flood direct premiums written, which are 100% ceded to the NFIP and do not impact NPW.

The change in NPE in First Quarter 2026 compared to First Quarter 2025 resulted from the same impacts to NPW described above.

Underwriting results for this segment improved in First Quarter 2026 compared to the same prior-year period as we are obtaining positive results from the actions we took to refine our pricing factors and prioritize rate filings. We expect 2026 rate changes to remain above loss trends and in First Quarter 2026, we achieved renewal pure price increases of 10.6%. Additionally, we continue to focus our efforts on our target mass affluent market, with 98% of new business in First Quarter 2026 being in our target market.

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Loss and Loss Expense Incurred:
(Favorable) unfavorable prior year casualty reserve development	$—		5,000	(100)	%
Current year casualty loss costs	26,843		28,067	(4)
Net catastrophe losses	13,200		7,113	86
Non-catastrophe property loss and loss expenses	29,256		36,489	(20)
Total loss and loss expense incurred	69,299		76,669	(10)
Impact on Loss and Loss Expense Ratio:
(Favorable) unfavorable prior year casualty reserve development	—	%	4.8	(4.8)	pts
Current year casualty loss costs	26.8		27.0	(0.2)
Net catastrophe losses	13.2		6.9	6.3
Non-catastrophe property loss and loss expenses	29.2		35.2	(6.0)
Total impact on loss and loss expense ratio	69.2		73.9	(4.7)

The loss and loss expense ratio decreased 4.7 points in First Quarter 2026 compared to First Quarter 2025, driven primarily by the absence of prior year casualty reserve development this quarter. First Quarter 2025 results included unfavorable development of $5 million, or 4.8 points, for our personal automobile line of business. This development was primarily driven by increased severities related to our New Jersey portfolio in accident year 2024.

Net catastrophe and non-catastrophe property losses slightly increased the loss and loss expense ratio by an aggregate 0.3 points in First Quarter 2026 compared to the same prior-year period. Net catastrophe losses were higher by 6.3 points and reflected higher frequency and severity of weather-related catastrophe events in First Quarter 2026 compared to First Quarter 2025. Non-catastrophe property losses were lower by 6.0 points, driven by (i) the earned impact of renewal pure price increases, and (ii) variability from period to period of non-catastrophe losses.

E&S Lines Segment

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Insurance Segments Results:
NPW	$150,652		149,705	1	%
NPE	151,409		142,892	6
Less:
Loss and loss expense incurred	89,371		87,990	2
Net underwriting expenses incurred	46,149		44,220	4
Underwriting income (loss)	15,889		10,682	49
Combined Ratios:
Loss and loss expense ratio	59.0	%	61.6	(2.6)	pts
Underwriting expense ratio	30.5		30.9	(0.4)
Combined ratio	89.5		92.5	(3.0)

Increased competition in the marketplace moderated our NPW growth rate to 1% in First Quarter 2026 compared to First Quarter 2025, primarily due to more capacity entering the E&S marketplace and the admitted markets' appetite for business previously written by E&S companies. NPW includes the impact of the following:

	Quarter ended March 31,
($ in millions)	2026	2025
Direct new business premiums	$74.4	70.2
Renewal pure price increases	4.1	8.7

NPE grew 6% in First Quarter 2026 compared to the First Quarter 2025, driven by growth in NPW in 2025 and the corresponding earnings of those premiums written.

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Loss and Loss Expense Incurred:
Current year casualty loss costs	$63,376		58,141	9	%
Net catastrophe losses	4,966		16,433	(70)
Non-catastrophe property loss and loss expenses	21,029		13,416	57
Total loss and loss expense incurred	89,371		87,990	2
Impact on Loss and Loss Expense Ratio:
Current year casualty loss costs	41.8	%	40.7	1.1	pts
Net catastrophe losses	3.3		11.5	(8.2)
Non-catastrophe property loss and loss expenses	13.9		9.4	4.5
Total impact on loss and loss expense ratio	59.0		61.6	(2.6)

The loss and loss expense ratio decreased 2.6 points in First Quarter 2026 compared to the same prior-year period. This decrease was primarily driven by lower catastrophe losses in First Quarter 2026, as the January 2025 California Palisades Fire and several severe wind and thunderstorm events impacted First Quarter 2025. Partially offsetting the lower catastrophe losses were (i) higher non-catastrophe property loss and loss expenses in First Quarter 2026 compared to First Quarter 2025, due to normal period-to-period variability associated with property losses and (ii) higher current year casualty loss costs, primarily driven by higher embedded severity assumptions due to social inflation.

Investments

Our Investments segment's objectives are to maximize the economic value of our investment portfolio by achieving stable, risk-adjusted after-tax net investment income and generating long-term growth in book value per share. Our strategies consider prevailing market conditions, our enterprise risk tolerances, and other risk implications by:

Maximizing the portfolio's overall total return by investing (i) the premiums from our insurance operations, (ii) amounts generated through our capital management strategies, including debt and equity security issuances, and (iii) profits of our business, and

Maintaining (i) a well-diversified portfolio across issuers, sectors, and asset classes and (ii) a fixed income securities portfolio with high credit quality and acceptable duration and maturity profiles to provide ample liquidity.

The effective duration of our fixed income and short-term investments was 4.3 years as of March 31, 2026. We monitor and manage the effective duration to maximize yield while managing interest rate risk at an acceptable level. We buy and sell investments with the intent of maximizing investment returns in the current market environment, while balancing capital preservation and ensuring adequate liquidity to support our insurance business.

At both March 31, 2026 and December 31, 2025, our fixed income and short-term investments (i) represented 92% of invested assets, (ii) had a weighted average credit rating of "A+", and (iii) had investment grade holdings representing 97% of the total fixed income and short-term investment portfolio.

For further details on the composition, credit quality, and various risks to which our portfolio is subject, see Item 7A. "Quantitative and Qualitative Disclosures About Market Risk." of our 2025 Annual Report.

Total Invested Assets
($ in thousands) · March 31, 2026 · December 31, 2025 · Change
Total invested assets	$11,391,193	11,302,440	1	%
Invested assets per dollar of common stockholders' equity	3.36	3.32	1
Components of unrealized gains (losses) – before tax:
Fixed income securities	(179,042)	(88,415)	103	%
Equity securities	15,782	14,311	10
Net unrealized gains (losses) – before tax	(163,260)	(74,104)	120
Components of unrealized gains (losses) – after tax:
Fixed income securities	(141,444)	(69,848)	103
Equity securities	12,467	11,306	10
Net unrealized gains (losses) – after tax	(128,977)	(58,542)	120

Invested assets increased $88.8 million at March 31, 2026, compared to December 31, 2025, primarily reflecting our active investment of operating cash flows, which were 18% of NPW in First Quarter 2026, partially offset bya $90.6 million increase inpre-tax net unrealized losses in our fixed income portfolio primarily due to higher interest rates during First Quarter 2026.

Net Investment Income

Net investment income earned components were as follows:

Quarter ended March 31, · Change % or Points
($ in thousands) · 2026 · 2025
Fixed income securities	$126,627	105,082	21	%
Commercial mortgage loans ("CMLs")	4,229	3,615	17
Equity securities	4,202	3,567	18
Short-term investments	5,540	6,233	(11)
Alternative investments	6,875	7,079	(3)
Other investments	40	231	(83)
Investment expenses	(5,130)	(5,116)	—
Net investment income earned – before tax	142,383	120,691	18
Net investment income tax expense	(29,318)	(25,070)	17
Net investment income earned – after tax	$113,065	95,621	18
Effective tax rate	20.6%	20.8	(0.2)	pts
Annualized after-tax yield on fixed income investments	4.2	4.0	0.2
Annualized after-tax yield on investment portfolio	4.0	3.8	0.2

After-tax net investment income earned increased 18% in First Quarter 2026 compared to First Quarter 2025, primarily driven by active portfolio management and operating cash flow deployment.

Realized and Unrealized Gains and Losses

When evaluating securities for sale, our general philosophy is to reduce our exposure to securities and sectors based on economic evaluations of whether (i) the fundamentals for that security or sector have deteriorated or (ii) the timing is appropriate to trade opportunistically for other securities with better economic-return characteristics. Net realized and unrealized gains and losses for the indicated periods were as follows:

Quarter ended March 31, · Change%
($ in thousands) · 2026 · 2025
Net realized gains (losses) on disposals	$(1,233)	(656)	88	%
Net unrealized gains (losses) on equity securities	1,470	1,050	40
Net credit loss benefit (expense) on fixed income investments	(8,154)	594	(1,473)
Losses on securities for which we have the intent to sell	(384)	(759)	(49)
Total net realized and unrealized investment gains (losses)	$(8,301)	229	(3,725)

Net credit loss expense on fixed income investments was $8.2 million in First Quarter 2026 compared to a benefit of $0.6 million in First Quarter 2025. The First Quarter 2026 expense was driven by higher interest rates in the quarter, which increased unrealized losses on our AFS securities, thereby increasing the amount of recognized credit losses.

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