Property/Casualty Insurance Industry Underwriting Expenses, 2022 (1)


Expense Percent of premiums
Losses and related expenses (2)  
Loss and loss adjustment expense (LAE) ratio 92.4%
    Incurred losses 80.5
    Defense and cost containment expenses incurred 4.6
    Adjusting and other expenses incurred 7.3
Underwriting expenses (3)  
Expense ratio 31.6%
    Net commissions and brokerage expenses incurred 14.1
    Taxes, licenses and fees 2.8
    Other acquisition and field supervision expenses incurred 7.4
    General expenses incurred 7.3
Dividends to policyholders (2) 0.5%
Combined ratio after dividends (4) 124.4%
(1) After reinsurance transactions. (2) As a percent of net premiums earned ($697 billion in 2022). (3) As a percent of net premiums written ($724.6 billion in 2022) (4) Sum of loss and LAE, expense and dividends ratios. Note: Totals may not add due to rounding. Source: NAIC data, sourced from S&P Global Market Intelligence, Insurance Information Institute.