HARTFORD INSURANCE GROUP, INC.

Personal Insurance - Results of Operations

[1]For additional information on current accident year catastrophes and prior accident year development, see MD&A - Critical Accounting Estimates, Property & Casualty Insurance Product Reserves, Net of Reinsurance and Note 9 - Reserve for Unpaid Losses and Loss Adjustment Expenses of Notes to Condensed Consolidated Financial Statements.

[3]Includes servicing revenues of $25 and $22 for the three months ended September 30, 2025 and 2024, respectively, and $69 and $66 for the nine months ended September 30, 2025 and 2024, respectively. Includes servicing expenses of $20 and $18 for the three months ended September 30, 2025 and 2024, respectively, and $55 and $51 for the nine months ended September 30, 2025 and 2024, respectively.

[4]For discussion of income taxes, see Note 12 - Income Taxes of Notes to Condensed Consolidated Financial Statements.

Written and Earned Premiums

Premium Measures

Underwriting Ratios

Product Combined Ratios

Net income

Net income increased for both the three and nine month periods, largely driven by improved underwriting results.

Underwriting gain (loss)

Underwriting gainfor both the three and nine month periods changed from an underwriting loss primarily due to the effect of an increase in earned premium due to renewal price increases and more favorable prior accident year development. Current accident year catastrophe losses were lower for the three month period and higher for the nine month period.

Expense ratio for both the three and nine months ended September 30, 2025 increased primarily due a higher commission ratio due to business mix. An increase in technology costs, higher staffing costs including incentive compensation, and marketing expenses, was offset by the effect of an increase in earned premium due to renewal written price increases.

Written Premiums

Earned premiums increased in both the three and nine month periods due to higher written premium over the prior twelve months in both automobile and homeowners.

Written premiums increased in both the three and nine month periods driven by the effect of written pricing increases and by an increase in new business premium in homeowners in the nine month period.

Renewal written pricing moderated for both automobile and homeowners in both the three and nine months ended September 30, 2025, primarily in response to moderating loss cost trends.

Effective Policy count retention was relatively stable both for automobile and homeowners in both the three and nine months ended September 30, 2025, in response to moderating renewal written pricing increases.

Policies in-force as of September 30, 2025 compared to September 30, 2024 declined for automobile and increased for homeowners, reflecting the level of new business in relation to non-renewed policies.

Underlying Loss and Loss Adjustment Expense Ratio

Underlying loss and LAE ratio decreased in both automobile and homeowners in both the three and nine month periods. The decrease in automobile was primarily due to the impact of earned pricing increases, partially offset by higher loss costs. The higher loss costs in automobile were driven by higher physical damage and liability claim severities, partially offset by lower physical damage claim frequency. The automobile claim severity trend has moderated from the prior year. The automobile liability severity trend continues to recognize the inflationary effects and higher attorney representation rates on bodily injury claims. For homeowners, the decrease in the underlying loss and LAE ratio was primarily due to the impact of earned pricing increases, partially offset by higher claim severities. Contributing to the higher homeowners severity was the effect of higher rebuilding costs.

Current Accident Year Catastrophes and Unfavorable (Favorable) Prior Accident Year Development

Current accident year catastrophe losses decreased in the three month period and increased in the nine month period. CAY catastrophe losses for the three months ended September 30, 2025 included losses from tornado, wind and hail events across several regions, but concentrated in the Mountain West, Midwest and South regions. CAY catastrophe losses for the nine months ended September 30, 2025 included losses from tornado, wind and hail events across several regions, but concentrated in the South and Midwest regions, as well as a loss of $109 from the January 2025 California Wildfire Event.

CAY catastrophe losses for the three months ended September 30, 2024 included losses from hurricanes and tropical storms, primarily in the Southeast region, including a loss of $49 for Hurricane Helene, and to a lesser extent, tornado, wind and hail events, mainly in the Midwest, Mountain West, and Northeast regions. CAY catastrophe losses for the nine months ended September 30, 2024 included losses from tornado, wind and hail events in several regions of the United States, and to a lesser extent, from hurricanes and tropical storms primarily in the Southeast region.

Prior accident year development was favorable for both the three and nine month periods, primarily driven by lower estimated severity on automobile liability, homeowners, automobile physical damage, and, for the nine month period, catastrophes. Prior accident year development was favorable for the three and nine months ended September 30, 2024, primarily driven by lower estimated severity on automobile physical damage and homeowners, and for the nine month period, automobile liability and catastrophes.