Everest Group, Ltd.

What they do

Everest underwrites reinsurance and insurance through subsidiaries in the U.S., Bermuda and internationally, with a network spanning more than 100 countries. It writes reinsurance both directly with ceding companies and through brokers, and writes insurance principally through brokers, including surplus lines, and general agent relationships. In 2025 gross written premiums were $17.7 billion, about 72.4% from Reinsurance and 27.1% from Insurance. A.M. Best rates the active operating subsidiaries A+ (Superior).

Revenue drivers

• Reinsurance Treaty — Largest core segment; gross written premium fell 9.1% year over year in Q2 2026, with a 90.0% combined ratio and 85.4% attritional combined ratio.
• Global Wholesale & Specialty — Second core segment, expanding in specialty lines and targeted international markets; Q2 2026 gross written premium fell 1.0% on a comparable basis, with a 95.2% combined ratio.
• Investment portfolio — Net investment income was $523 million in Q2 2026 versus $532 million a year earlier, with the decline driven by lower alternative investment returns.
• Legacy — Run-off segment holding divested and held-for-sale commercial retail business, prior sports and leisure policies, and A&E exposures; it posted a $36 million pre-tax underwriting loss in Q2 2026.

Recent performance

Second quarter 2026 net income was $559 million, or $14.22 per diluted share, compared with $680 million and $16.10 in Q2 2025. Net operating income was $585 million, or $14.85 per diluted share, versus $734 million and $17.36 a year earlier. Annualized net income ROE was 14.2% and net operating income ROE was 14.9%, with total shareholder return of 16.8% annualized. Group pre-tax underwriting income was $281 million, and the core businesses produced $317 million of underwriting income at a 90.0% combined ratio. Year-to-date net income was $1,213 million versus $890 million in the first half of 2025.

Strategy

Everest sold renewal rights for certain U.S., U.K., Asia Pacific and EU commercial retail insurance business to AIG for $252 million, $49 million plus $30 million, totaling an estimated $2 billion of gross premiums written, and AIG pays $10 million per month for nine months of transition services starting January 1, 2026. Effective January 1, 2026 it recast reporting into Reinsurance Treaty, Global Wholesale & Specialty and Legacy to reflect a sharper focus on core reinsurance and wholesale/specialty insurance. It partnered with Stone Point Insurance Solutions in June 2026 to sponsor Annapurna Re Ltd., a Bermuda collateralized insurer. It repurchased $395 million of common shares in Q2 2026 and management calls share repurchases a top capital priority.

Risks

• Catastrophe losses — Pre-tax net catastrophe losses were $726 million in 2025, and Everest warns frequency and severity may be affected by climate change and secondary perils such as severe convective storms.
• Reserve adequacy — The company cites insufficient reserves for losses and loss adjustment expenses due to social inflation or other factors as a risk to results.
• Pricing decline — Decreases in pricing for property and casualty reinsurance and insurance could pressure underwriting margins.
• BMA group supervision — The Bermuda Monetary Authority has determined it will become Group Supervisor with Bermuda Re as designated insurer, a transition ending January 2027 that brings group solvency, capital, reporting and recovery-planning requirements and could raise compliance costs.

Outlook

Management says its focus is on profitably developing the core businesses while effectively deploying capital, with share repurchases remaining a top priority. CEO Jim Williamson cited meaningful outperformance on rate and terms versus the market at the mid-year renewals for Reinsurance Treaty. The company expects to expand the Global Wholesale & Specialty portfolio in specialty lines and targeted international markets. It is also working through BMA group supervision requirements during a transition period ending January 2027.