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FOURTH QUARTER 2025 RESULTS January 21, 2026
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CREATE SHAREHOLDER VALUE Objective: Mid–Teens Core ROE Over Time LONG-TERM FINANCIAL STRATEGY 2 Meaningful and sustainable competitive advantages Generation of top-tier earnings and capital substantially in excess of growth needs Balanced approach to rightsizing capital and growing book value per share over time
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Travelers Reports Excellent Fourth Quarter and Full Year Results Fourth Quarter 2025 Net Income per Diluted Share of $11.06, up 23%, and Core Income per Diluted Share of $11.13, up 22% Full Year Net Income of $6.288 Billion and Core Income of $6.325 Billion Fourth Quarter 2025 Return on Equity of 31.0% and Core Return on Equity of 29.6% Full Year Return on Equity of 21.0% and Core Return on Equity of 19.4% Board of Directors Authorizes an Additional $5.0 Billion of Share Repurchases FOURTH QUARTER 2025 OVERVIEW 3 • Fourth quarter net income of $2.496 billion, up 20%, and core income of $2.511 billion, up 18%. • Consolidated combined ratio improved 3.0 points to 80.2%. • Underlying combined ratio improved 1.8 points to 82.2%. • Net investment income increased 10% after-tax to $867 million. • Record full year operating cash flows of $10.606 billion. • Total capital returned to shareholders of $1.897 billion, including $1.653 billion of share repurchases. • Strong growth in book value per share, up 23%, and adjusted book value per share, up 14%, compared to year-end 2024.
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CONSOLIDATED PERFORMANCE ($ in millions, except per share amounts, after-tax, except for premiums) 1 A favorable impact to the combined ratio is indicated as a positive item, and an unfavorable impact is indicated as a negative item.4 FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Core income $ 2,511 $ 2,126 18 % $ 6,325 $ 5,025 26 % per diluted share $ 11.13 $ 9.15 22 % $ 27.59 $ 21.58 28 % Included the following items: Net favorable prior year reserve development $ 253 $ 207 $ 815 $ 559 Catastrophes, net of reinsurance (75) (138) (2,915) (2,632) Total items $ 178 $ 69 $ (2,100) $ (2,073) Loss and loss adjustment expense ratio 51.8 % 55.0 % 61.4 % 64.0 % Underwriting expense ratio 28.4 28.2 28.5 28.5 Combined ratio1 80.2 % 83.2 % 3.0 pts 89.9 % 92.5 % 2.6 pts Net favorable prior year reserve development 2.9 2.4 2.4 1.7 Catastrophes, net of reinsurance (0.9) (1.6) (8.4) (8.0) Underlying combined ratio 82.2 % 84.0 % 1.8 pts 83.9 % 86.2 % 2.3 pts Net written premiums $ 10,856 $ 10,742 1 % $ 44,387 $ 43,356 2 %
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Capital • Continued strong capitalization to support the Company’s business operations. • Repurchased 5.8 million shares in fourth quarter 2025 for a total cost of $1.653 billion; 11.6 million shares for full year 2025 for a total cost of $3.196 billion. • Dividends in the fourth quarter were $244 million; $987 million for full year 2025. Leverage • Debt-to-capital ratio1 of 21.2% comfortably within target range of 15% - 25%. • Debt maturities3 over the next decade and beyond very manageable. Very high-quality investment portfolio • Fixed maturities average weighted quality Aa2, AA. • Fixed maturities at or above investment grade 98.8%. VERY STRONG FINANCIAL POSITION ($ and shares in millions, except per share amounts) 1 Excludes net unrealized investment gains (losses), net of tax, included in shareholders’ equity. 2 Excludes the after-tax value of goodwill and other intangible assets. 3 Excludes commercial paper. For a complete view of the Company’s capitalization, see page 31 of the January 21, 2026 Financial Supplement. 5 December 31, 2025 December 31, 2024 Debt $ 9,267 $ 8,033 Common equity 1 34,372 31,504 Total capital 1 $ 43,639 $ 39,537 Debt-to-capital 1 21.2 % 20.3 % Common shares outstanding 217.5 226.6 Book value per common share $ 151.21 $ 122.97 Adjusted book value per common share 1 $ 158.01 $ 139.04 Tangible book value per common share 1,2 $ 137.24 $ 119.14 Statutory capital and surplus $ 31,064 $ 27,715 Holding company liquidity $ 2,405 $ 1,802 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 Maturities $200 $125 $— $— $— $— $— $500 $— $500 $400
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$738$814 $698$727$742$785$763$774$850$867 2024 2025 1Q'242Q'243Q'244Q'241Q'252Q'253Q'254Q'25 $82 $66 $79 $94 $72 $83 $61 $55 $80 $67 2024 2025 1Q'242Q'243Q'244Q'241Q'252Q'253Q'254Q'25 $665$758 $630$643$680$708$714$730$780$810 202420251Q'242Q'243Q'244Q'241Q'252Q'253Q'254Q'25 5.3% 4.4% 5.1% 6.0% 4.6% 5.4% 4.0% 3.7% 5.4% 4.4% Total 2.9% 3.1% 2.8% 2.9% 3.0% 3.0% 3.0% 3.0% 3.1% 3.2% Short-term 4.8% 3.9% 4.8% 5.0% 5.1% 4.3% 4.1% 4.2% 4.1% 3.6% Long-term 2.8% 3.0% 2.7% 2.8% 2.9% 2.9% 3.0% 3.0% 3.1% 3.1% 3.0% 3.1% 2.9% 3.0% 3.0% 3.1% 3.0% 3.0% 3.2% 3.2% NET INVESTMENT INCOME After-tax yield After-tax yield After-tax yield ($ in millions, after-tax) 1 2024 and 2025 data represent quarterly average. 2 Excludes investment expenses. 6 11 1 1 1 1 Long-term Short-term Fourth Quarter 2025 vs. Prior Year Quarter Commentary • Net investment income (NII) from the long-term fixed income portfolio increased due to growth in average invested assets and a higher average yield • NII from the short-term fixed income portfolio increased due to growth in average invested assets, partially offset by a lower average yield • NII from the non-fixed income portfolio decreased from the prior year quarter, primarily due to lower private equity partnership returns (non-fixed income returns are generally reported on a one-quarter lagged basis) TOTAL FIXED INCOME2 NON-FIXED INCOME2
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8.5% 8.8% 7.1% 8.0% 9.0% 9.0% 4.2% 4.9% 4.2% 3.5% 8.2% 10.4% 7.3% 5.5% 5.7% 6.6% 7.2% 7.6% 0.7% 0.7% 0.6%1.0% 3.3% 1.2% 0.7% 1.1% 0.8% 2005 through 2020 2021 2022 2023 2024 2025 19.4%13.7% 11.3% 11.5%12.7% Full Year LEADING CORE RETURN ON EQUITY AT INDUSTRY-LOW VOLATILITY 7 0.2% 0.2% 17.2% Underwriting gain and other Long-term fixed net investment portfolio investment income less holding company interest expense Non-fixed net investment portfolio investment income Short-term fixed net investment portfolio investment income
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BUSINESS INSURANCE PERFORMANCE 8 ($ in millions) 1 A favorable impact to the combined ratio is indicated as a positive item, and an unfavorable impact is indicated as a negative item. FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Segment income $ 1,292 $ 1,188 9 % $ 3,695 $ 3,306 12 % Loss and loss adjustment expense ratio 55.1 % 56.4 % 62.2 % 63.1 % Underwriting expense ratio 29.3 28.8 29.5 29.4 Combined ratio1 84.4 % 85.2 % 0.8 pts 91.7 % 92.5 % 0.8 pts Net favorable prior year reserve development 3.6 2.7 1.1 0.4 Catastrophes, net of reinsurance (1.0) (1.7) (4.8) (4.8) Underlying combined ratio 87.0 % 86.2 % (0.8) pts 88.0 % 88.1 % 0.1 pts Net written premiums Domestic Select Accounts $ 930 $ 893 4 % $ 3,830 $ 3,727 3 % Middle Market 3,109 3,011 3 12,541 12,023 4 National Accounts 348 356 (2) 1,262 1,259 — National Property and Other 666 684 (3) 3,112 3,134 (1) Total Domestic 5,053 4,944 2 20,745 20,143 3 International 461 482 (4) 1,934 1,935 — Total Business Insurance $ 5,514 $ 5,426 2 % $ 22,679 $ 22,078 3 %
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7.0% 6.5% 7.3% 6.8% 6.2% 5.2% 4.4% 3.8% —% 2% 4% 6% 8% 10% 12% DOMESTIC BUSINESS INSURANCE (EX. NATIONAL ACCOUNTS) ILLUSTRATIVE BUSINESS STATISTICS 1 Represents the estimated change in average premium on policies that renew, including rate and exposure changes. 2 Represents the estimated change in average premium on policies that renew, excluding exposure changes. Note: Statistics are in part dependent on the use of estimates and are therefore subject to change. Renewal Rate Change2 % Renewal Premium Change1 % Exposure/Other % 9 ($ in millions) 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Retention 86% 85% 86% 84% 86% 85% 85% 85% Renewal premium change1 10.0% 9.6% 10.6% 9.3% 8.9% 7.5% 7.1% 6.1% New business $702 $740 $682 $635 $737 $748 $671 $675
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3.8% 5.3% 5.5% 5.6% 5.6% 5.3% 5.3% 5.3% —% 2% 4% 6% 8% 10% 12% DOMESTIC BUSINESS INSURANCE: SELECT ACCOUNTS 10 1 Represents the estimated change in average premium on policies that renew, including rate and exposure changes. 2 Represents the estimated change in average premium on policies that renew, excluding exposure changes. Note: Statistics are in part dependent on the use of estimates and are therefore subject to change. ($ in millions) 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Retention 84% 83% 82% 79% 80% 80% 81% 81% Renewal premium change1 10.2% 11.6% 11.7% 11.8% 11.3% 11.0% 11.0% 10.7% New business $157 $145 $129 $131 $159 $149 $134 $139 ILLUSTRATIVE BUSINESS STATISTICS Renewal Rate Change2 % Renewal Premium Change1 % Exposure/Other %
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7.1% 7.1% 8.0% 7.6% 7.3% 6.9% 6.3% 5.1% —% 2% 4% 6% 8% 10% 12% DOMESTIC BUSINESS INSURANCE: MIDDLE MARKET 11 1 Represents the estimated change in average premium on policies that renew, including rate and exposure changes. 2 Represents the estimated change in average premium on policies that renew, excluding exposure changes. Note: Statistics are in part dependent on the use of estimates and are therefore subject to change. ($ in millions) 1Q'24 2Q'24 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Retention 87% 88% 89% 88% 89% 89% 88% 87% Renewal premium change1 9.2% 8.9% 10.8% 9.5% 9.3% 8.2% 8.2% 6.6% New business $382 $391 $371 $357 $438 $433 $390 $395 ILLUSTRATIVE BUSINESS STATISTICS Renewal Rate Change2 % Renewal Premium Change1 % Exposure/Other %
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BOND & SPECIALTY INSURANCE PERFORMANCE ($ in millions) 1 A favorable impact to the combined ratio is indicated as a positive item, and an unfavorable impact is indicated as a negative item. 12 FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Segment income $ 236 $ 228 4 % $ 950 $ 815 17 % Loss and loss adjustment expense ratio 43.5 % 42.1 % 42.6 % 44.4 % Underwriting expense ratio 39.5 40.6 39.3 39.9 Combined ratio1 83.0 % 82.7 % (0.3) pts 81.9 % 84.3 % 2.4 pts Net favorable prior year reserve development 2.8 4.3 5.4 3.3 Catastrophes, net of reinsurance (0.1) (0.2) (0.7) (1.3) Underlying combined ratio 85.7 % 86.8 % 1.1 pts 86.6 % 86.3 % (0.3) pts Net written premiums Domestic Management Liability $ 571 $ 563 1 % $ 2,326 $ 2,309 1 % Surety 337 329 2 1,354 1,294 5 Total Domestic 908 892 2 3,680 3,603 2 International 190 162 17 582 506 15 Total Bond & Specialty Insurance $ 1,098 $ 1,054 4 % $ 4,262 $ 4,109 4 %
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DOMESTIC BOND & SPECIALTY INSURANCE ($ in millions) 1 Domestic only, excludes surety and other products that are generally sold on a non-recurring, project specific basis. 2 Represents the estimated change in average premium on policies that renew, including rate and exposure changes. Note: Statistics are in part dependent on the use of estimates and are therefore subject to change. 13 2024 2025 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Management Liability 1 Retention 90% 90% 89% 89% 89% 87% 87% 87% Renewal premium change 2 3.2% 2.8% 1.3% 2.5% 2.4% 3.1% 3.7% 2.8% New business $91 $112 $109 $84 $71 $70 $71 $61 ILLUSTRATIVE BUSINESS STATISTICS
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PERSONAL INSURANCE PERFORMANCE ($ in millions) 1 A favorable impact to the combined ratio is indicated as a positive item, and an unfavorable impact is indicated as a negative item.14 FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Segment income $ 1,086 $ 798 36 % $ 2,053 $ 1,249 64 % Loss and loss adjustment expense ratio 49.4 % 56.2 % 65.0 % 69.7 % Underwriting expense ratio 24.6 24.5 24.5 24.7 Combined ratio1 74.0 % 80.7 % 6.7 pts 89.5 % 94.4 % 4.9 pts Net favorable prior year reserve development 1.9 1.6 3.4 3.0 Catastrophes, net of reinsurance (0.8) (1.8) (14.9) (13.5) Underlying combined ratio 75.1 % 80.5 % 5.4 pts 78.0 % 83.9 % 5.9 pts Net written premiums Domestic Automobile $ 1,856 $ 1,927 (4) % $ 7,745 $ 7,925 (2) % Homeowners and Other 2,229 2,158 3 9,051 8,550 6 Total Domestic 4,085 4,085 — 16,796 16,475 2 International 159 177 (10) 650 694 (6) Total Personal Insurance $ 4,244 $ 4,262 — % $ 17,446 $ 17,169 2 %
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PERSONAL INSURANCE PERFORMANCE 1 A favorable impact to the combined ratio is indicated as a positive item, and an unfavorable impact is indicated as a negative item.15 FOURTH QUARTER FULL YEAR 2025 2024 Change 2025 2024 Change Automobile Loss and loss adjustment expense ratio 67.1 % 71.9 % 63.4 % 72.6 % Underwriting expense ratio 22.3 22.3 22.3 22.4 Combined ratio1 89.4 % 94.2 % 4.8 pts 85.7 % 95.0 % 9.3 pts Net favorable prior year reserve development 3.0 1.5 4.6 2.0 Catastrophes, net of reinsurance (0.2) 0.6 (1.1) (2.6) Underlying combined ratio 92.2 % 96.3 % 4.1 pts 89.2 % 94.4 % 5.2 pts Homeowners and Other Loss and loss adjustment expense ratio 33.6 % 41.2 % 66.4 % 66.9 % Underwriting expense ratio 26.7 26.6 26.6 27.0 Combined ratio1 60.3 % 67.8 % 7.5 pts 93.0 % 93.9 % 0.9 pts Net favorable prior year reserve development 1.1 1.8 2.2 3.9 Catastrophes, net of reinsurance (1.5) (4.2) (27.6) (24.2) Underlying combined ratio 59.9 % 65.4 % 5.5 pts 67.6 % 73.6 % 6.0 pts
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DOMESTIC PERSONAL INSURANCE ($ in millions) 1 The ratio of expected number of renewal policies that will be retained throughout the annual policy period to the number of available renewal base policies. 2 Represents the estimated change in average premium on policies that renew, including rate and exposure changes. Note: Statistics are in part dependent on the use of estimates and are therefore subject to change. 16 2024 2025 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Automobile Retention 1 81% 81% 81% 81% 81% 81% 81% 82% Renewal premium change 2 17.6% 16.3% 13.1% 10.7% 7.6% 5.2% 3.9% 2.2% Policies in force (in thousands) 2,985 2,958 2,939 2,930 2,902 2,880 2,858 2,842 • Sequential quarter growth —% (1%) (1%) —% (1%) (1%) (1%) (1%) • Year over year growth (1%) (1%) (2%) (2%) (3%) (3%) (3%) (3%) New business $278 $275 $312 $304 $289 $307 $319 $310 Homeowners and Other Retention 1 85% 85% 85% 85% 84% 84% 84% 84% Renewal premium change 2 12.8% 14.4% 14.1% 13.5% 19.1% 18.8% 17.7% 16.7% Policies in force (in thousands) 6,012 5,948 5,893 5,855 5,784 5,699 5,595 5,514 • Sequential quarter growth (1%) (1%) (1%) (1%) (1%) (1%) (2%) (1%) • Year over year growth (2%) (3%) (4%) (3%) (4%) (4%) (5%) (6%) New business $205 $235 $266 $244 $199 $216 $224 $218 ILLUSTRATIVE BUSINESS STATISTICS
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APPENDIX 1717
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2016201720182019202020212022202320242025 2016201720182019202020212022202320242025 2016201720182019202020212022202320242025 2016 201720182019 20202021 202220232024 2025 2016 201720182019 20202021 202220232024 2025 2016201720182019202020212022202320242025 $25.0B 6.6% CAGR AVG = 90.3%91.6% +136% $4.5B +323% $1.3B +53% $69.4B Significant NWP Growth Improved Underlying Profitability1 Improved Expense Ratio Higher Underlying Underwriting Income2 Higher Cash Flow From Operations Higher Invested Assets3 18 1 Underlying underwriting combined ratio which excludes the impact of net prior year reserve development and catastrophe losses. 2 Underlying underwriting income (after-tax) which excludes the impact of net prior year reserve development and catastrophe losses. 3 Invested assets excludes net unrealized investment gains (losses). Invested assets includes $3.3 billion of invested assets classified as held for sale as of December 31, 2025. Improved 3.0 pts A DECADE OF SUCCESS 31.5% $44.4B 83.9% 28.5% $5.5B $10.6B $106.4B
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DECADE OF LEADING RETURNS & STRONG GROWTH IN EPS 19 1 10Y Treasury yield is calculated as average of each year Decade of Core ROE that averaged >1,000 bps over the 10-year Treasury yield at industry low volatility. ROE: Strong Margin Over the Risk-Free Rate TRV Core Return on EquityRisk-Free Rate (10Y Treasury Yield) 2016 2017 2018 2019 2020 2021 2022 2023 2024 20250% 2% 4% 6% 8% 10% 12% 14% 16% 18% 20% 1 Double Digit EPS Growth $10.12 $27.59 Core Income per Diluted Share 2016 2025 Decade of strong growth in earnings per share. CAGR 11.8%
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20062007200820092010201120122013201420152016201720182019202020212022202320242025 Adjusted Book Value 1 Per Share Dividends Per Share Cumulative Share Buybacks ($ in billions) 20 1 Excludes net unrealized investment gains (losses), net of tax, included in shareholders’ equity BALANCED APPROACH TO CAPITAL MANAGEMENT CAGR 8.0% 20062007200820092010201120122013201420152016201720182019202020212022202320242025 CAGR 8.1% $36.21 $158.01 $45.4 20062007200820092010201120122013201420152016201720182019202020212022202320242025 0 10 20 30 40 50 $1.01 $4.35
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• Meaningfully increased our overall technology spend over the last nine years • Significantly reduced our expense ratio at the same time through our strategic focus on optimizing productivity and efficiency • Improved the mix of our technology spend ◦ Increased our spending on strategic technology initiatives by over 100%, while carefully managing growth in routine but necessary expenditures 21 TECHNOLOGY INVESTMENTS $ Strategic InvestmentsRoutine but Necessary Expenditures 2017 2018 2019 2020 2021 2022 2023 2024 2025
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2025 2026 2026 CATASTROPHE REINSURANCE EFFECTIVE 1/1/26 22 In addition to the Corporate Catastrophe Excess-of-Loss Reinsurance Treaty, the following additional catastrophe reinsurance agreements remain in effect as of January 1, 2026: – Reinsurance agreement related to the Catastrophe Bonds (Long Point Re IV) – Personal Insurance Catastrophe Excess-of-Loss Reinsurance Treaty – Northeast Property Catastrophe Excess-of-Loss Reinsurance Treaty – Business Insurance Earthquake Catastrophe Excess-of- Loss Reinsurance Treaty – Other International Reinsurance Treaties For further information regarding these additional agreements, see the “Catastrophe Reinsurance” section of “Part 1 – Item 1 – Business” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024 and in the “Catastrophe Reinsurance Coverage” section of Management’s Discussion and Analysis of Financial Condition and Results of Operations in the Company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2025, in each case, as updated by our subsequent periodic filings with the SEC. 80% part of $1B in excess of $4B 95% part of $2.5B in excess of $5B Retention Corporate Catastrophe Excess-of-Loss Reinsurance Treaty (Renewal) Covers the accumulation of certain property losses arising from one or multiple occurrences. This treaty provides for recovery up to $4.675 billion part of $5.0 billion of qualifying losses that are covered by the treaty in excess of a $3.0 billion retention. Qualifying losses for each occurrence are after a $100 million deductible. Retention $4.0B $5.0B $7.5B $8.0B 80% part of $1B in excess of $4B 95% part of $2.5B in excess of $5B 100% part of $500M in excess of $7.5B $4.0B $5.0B $7.5B $8.0B Co- Par Co-Par Co- Par Co-Par 100% part of $500M in excess of $7.5B $3.0B 100% part of $1B in excess of $3B
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Over the past 10 years, the second quarter is on average the highest catastrophe loss quarter for Travelers TRV CATASTROPHE LOSSES - QUARTERLY HISTORY & 2026 PLAN 1 23 Percentage of calendar year CAT activity attributed to each quarter (10-year average) 1 Pre-tax, net of reinsurance. 2 Includes a benefit of 1.4 pts and 0.4 pts from the Underlying Property Aggregate Catastrophe XOL Reinsurance Treaty in 4Q’19 and full year 2019, respectively. 3 Includes a benefit of 3.2 pts and 0.8 pts from the Underlying Property Aggregate Catastrophe XOL Reinsurance Treaty in 3Q’20 and full year 2020, respectively. 4 Includes a benefit of 1.1 pts, 2.8 pts, and 1.0 pts from the Underlying Property Aggregate Catastrophe XOL Reinsurance Treaty in 3Q’21, 4Q’21, and full year 2021, respectively. 5 For terms of the 2022, 2021, 2020 and 2019 Underlying Property Aggregate Catastrophe XOL Reinsurance Treaties, see the “Catastrophe Reinsurance” section of “Part 1 – Item 1 – Business” in the Company’s Annual Reports on Form 10-K for the years ended December 31, 2021, 2020, 2019 and 2018, respectively. 6 The planned impact on the combined ratio was 6.1 pts, 12.2 pts, 6.8 pts, 2.8 pts and 6.9 pts for 1Q'25, 2Q'25, 3Q'25, 4Q'25 and full year 2025, respectively. The planned percentage of annual catastrophes was 21.1%, 43.4%, 25.2% and 10.3% for 1Q'25, 2Q'25, 3Q'25 and 4Q'25, respectively. 2016 2017 2018 20192,5 20203,5 20214,5 20225 2023 2024 20256 10-Year Average 5-Year Average 3-Year Average 2026 Plan First Quarter Pts of Combined Ratio 5.3 5.6 5.4 2.8 4.6 11.3 2.0 6.0 7.1 21.2 7.1 9.5 11.4 7.0 % of Annual CATs 36.3% 17.8% 20.7% 21.7% 20.6% 45.2% 8.5% 17.9% 21.4% 61.4% 27.1% 30.9% 33.5% 21.5% Second Quarter Pts of Combined Ratio 5.5 6.4 7.3 5.3 12.3 6.3 9.0 16.1 14.7 8.5 9.1 10.9 13.1 12.6 % of Annual CATs 38.0% 20.7% 28.4% 41.5% 53.0% 25.7% 39.7% 49.5% 45.2% 25.1% 36.7% 37.0% 40.0% 39.7% Third Quarter Pts of Combined Ratio 1.4 10.7 3.8 3.3 5.3 6.4 5.9 8.8 8.8 3.6 5.8 6.7 7.1 8.0 % of Annual CATs 10.1% 35.9% 15.4% 27.3% 24.6% 27.1% 27.3% 28.4% 28.2% 10.9% 23.5% 24.4% 22.5% 26.0% Fourth Quarter Pts of Combined Ratio 2.2 7.5 8.8 1.1 0.4 0.5 5.2 1.2 1.6 0.9 2.9 1.9 1.2 3.9 % of Annual CATs 15.6% 25.6% 35.5% 9.5% 1.8% 2.0% 24.5% 4.2% 5.2% 2.6% 12.7% 7.7% 4.0% 12.8% Full Year Pts of Combined Ratio 3.6 7.6 6.3 3.1 5.5 6.0 5.5 7.9 8.0 8.4 6.2 7.2 8.1 7.8 27.1% 36.7% 23.5% 12.7% 1Q 2Q 3Q 4Q
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Investment Income reliable contributor to results Well-Defined and Consistent Investment Philosophy Non-Fixed Income Portfolio % Private Equity Funds $ 2,749 3 % Real Estate & Real Estate Partnerships 1,732 2 % Equity Securities 618 — % Hedge Funds & Other 534 — % Non-Fixed Income Classified as Held for Sale 104 — % Total Non-Fixed Income $ 5,737 5 % Fixed Income Portfolio Rating % Corporates2 A2 $ 41,054 39 % Municipal Aaa/Aa1 31,378 30 % Mortgage-Backed Securities Aa1 13,232 13 % Short-Term Securities A1/P1 5,716 6 % U.S. Government & Agencies Aa1 3,857 4 % Foreign Governments Aa1 312 — % Fixed Income Classified as Held for Sale Aa2 3,243 3 % Total Fixed Income Aa2 $ 98,792 95 % % Fixed Maturities by Rating3 Aaa 28.3 % Aa 36.5 % A 21.8 % Baa 12.3 % Total Investment Grade 98.9 % Below Investment Grade 1.1 %$104.5 Billion Fixed Income 95% 1 Includes $3.347 billion of Invested Assets classified as held for sale as of December 31, 2025. 2 Includes $1.316 billion of Commercial Mortgage-Backed Securities with an Aaa/Aa1 rating and $495 million of Asset-Backed Securities with an Aa2 rating 3 Rated using external rating agencies or by Travelers when a public rating does not exist. Ratings shown are the higher of the rating of the underlying issues or the insurer in the case of securities enhanced by third-party insurance for the payment of principal and interest in the event of issuer default. Below investment grade assets refer to securities rated "Ba" or below Non-Fixed Income 5% Total Investments 24 After-Tax Yield FY’25 FY’24 Long-Term Securities 3.0 % 2.8 % Short-Term Securities 3.9 % 4.8 % Total Fixed Income 3.1 % 2.9 % Non-Fixed Income 4.4 % 5.3 % Total Investments 3.1 % 3.0 % ($ in millions, as of December 31, 2025, unless otherwise noted) 1
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EXPLANATORY NOTE This presentation contains, and management may make, certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, may be forward-looking statements. Words such as “may,” “will,” “should,” “likely,” “probably,” “anticipates,” “expects,” “intends,” “plans,” “projects,” “believes,” “views,” “ensures,” “estimates” and similar expressions are used to identify these forward-looking statements. These statements include, among other things, the Company’s statements about: • the Company’s outlook, the impact of trends on its business and its future results of operations and financial condition; • the impact of legislative or regulatory actions or court decisions; • share repurchase plans; • future pension plan contributions; • the sufficiency of the Company’s reserves, including asbestos; • the impact of emerging claims issues as well as other insurance and non-insurance litigation; • the cost and availability of reinsurance coverage; • catastrophe losses (including the 2026 plan) and modeling; • the impact of investment, economic and underwriting market conditions, including interest rates, tariffs and inflation; • the Company’s approach to managing its investment portfolio; • the impact of changing climate conditions; • strategic and operational initiatives to improve growth, profitability and competitiveness; • the Company’s competitive advantages and innovation agenda, including executing on that agenda with respect to artificial intelligence; • the Company’s cybersecurity policies and practices; • new product offerings; • the impact of developments in the tort environment; and • the impact of developments in the geopolitical environment. The Company cautions investors that such statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond the Company’s control, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward- looking information and statements. Some of the factors that could cause actual results to differ include, but are not limited to, the following: Insurance-Related Risks • high levels of catastrophe losses; • actual claims may exceed the Company’s claims and claim adjustment expense reserves, the estimated level of claims and claim adjustment expense reserves may increase, or increases in loss costs may not be offset with sufficient price increases, including as a result of, among other things, changes in the legal/tort, regulatory and economic environments, including increased inflation and the impact of tariffs; • the Company’s continued exposure to asbestos claims and related litigation; • the Company is exposed to, and may face adverse developments involving, mass tort claims; and • the effects of emerging claim and coverage issues on the Company’s business are uncertain, and court decisions or legislative changes that take place after the Company issues its policies can result in an unexpected increase in the number of claims. Financial, Economic and Credit Risks • a period of financial market disruption or an economic downturn; • the Company’s investment portfolio is subject to credit and interest rate risk, and may suffer reduced or low returns or material realized or unrealized losses; • the Company is exposed to credit risk related to reinsurance and structured settlements, and reinsurance coverage may not be available to the Company; • the Company is exposed to credit risk in certain of its insurance operations and with respect to certain guarantee or indemnification arrangements that it has with third parties; • a downgrade in the Company’s claims-paying and financial strength ratings; and • the Company’s insurance subsidiaries may be unable to pay dividends to the Company’s holding company in sufficient amounts. Business and Operational Risks • the intense competition that the Company faces, including with respect to attracting and retaining employees, and the impact of innovation, technological change, including with respect to artificial intelligence, and changing customer preferences on the insurance industry and the markets in which it operates; • disruptions to the Company’s relationships with its independent agents and brokers or the Company’s inability to manage effectively a changing distribution landscape; • the Company’s efforts to develop new products or services, expand in targeted markets, improve business processes and workflows or make acquisitions may not be successful and may create enhanced risks; • the Company's pricing and capital models may provide materially different indications than actual results; • loss of or significant restrictions on the use of particular types of underwriting criteria, such as credit scoring, or other data or methodologies, in the pricing and underwriting of the Company’s products; • the Company is subject to additional risks associated with its business outside the United States; and • future pandemics. Technology and Intellectual Property Risks • as a result of cyber attacks (the risk of which could be exacerbated by geopolitical tensions) or otherwise, the Company may experience difficulties with technology, data and network security or outsourcing relationships; • the Company’s dependence on effective information technology systems and on continuing to develop and implement improvements in technology, including with respect to artificial intelligence; and • the Company may be unable to protect and enforce its own intellectual property or may be subject to claims for infringing the intellectual property of others. Regulatory and Compliance Risks • changes in regulation, including changes in tax laws; and • the Company's compliance controls may not be effective. In addition, the Company’s share repurchase plans depend on a variety of factors, including the Company’s financial position, earnings, share price, catastrophe losses, maintaining capital levels appropriate for the Company’s business operations, changes in levels of written premiums, funding of the Company’s qualified pension plan, capital requirements of the Company’s operating subsidiaries, legal requirements, regulatory constraints, other investment opportunities (including mergers and acquisitions and related financings), market conditions, changes in tax laws and other factors. Our forward-looking statements speak only as of the date of this presentation or as of the date they are made, and we undertake no obligation to update forward-looking statements. For a more detailed discussion of these factors, see the information under the captions “Risk Factors,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Forward Looking Statements” in our most recent annual report on Form 10-K filed with the Securities and Exchange Commission (SEC) on February 13, 2025, as updated by our periodic filings with the SEC.25
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DISCLOSURE In this presentation, we may refer to some non-GAAP financial measures. For a reconciliation of these measures to the most comparable GAAP measures and a glossary of financial measures, we refer you to the press release and financial supplement that we have made available in connection with this presentation and our most recent annual report on Form 10-K filed with the Securities and Exchange Commission (SEC) as updated by our subsequent periodic filings with the SEC. See the “Investors” section at travelers.com. For further information, please see Travelers reports filed with the SEC pursuant to the Securities Exchange Act of 1934 which are available at the SEC’s website (sec.gov). Copies of this presentation and the accompanying webcast are publicly available on the Travelers website (travelers.com). This presentation should be read with the accompanying webcast and related press release and financial supplement. Travelers may use its website and/or social media outlets, such as Facebook and X, as distribution channels of material information. Financial and other important information regarding the company is routinely accessible through and posted on our website at investor.travelers.com, our Facebook page at facebook.com/travelers and our X account (@Travelers) at x.com/travelers. In addition, you may automatically receive email alerts and other information about Travelers when you enroll your email address by visiting the Email Notification section at investor.travelers.com. 26
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