VALUATION HIGHLIGHTS

1. Property And Casualty (Commercial P&C, Consumer Property And Casualty, Property & Casualty Investment Income) constitutes 81% of the Trefis price estimate for Hartford Financial's stock.
2. Group Life Insurance (Group Life Insurance Premiums, Group Life Investment Income) constitutes 15% of the Trefis price estimate for Hartford Financial's stock.

WHAT HAS CHANGED?

Latest Earnings: Q2 FY'26

Hartford Financial reported Q2 FY'26 revenue of $7.26 billion, up 8% year-over-year. Net income available to common stockholders rose 31% to $1.30 billion ($4.68 per diluted share), while core earnings reached $945 million ($3.42 per diluted share). Results were driven by 5% written premium growth in business insurance, improved personal insurance underwriting, and a 22% increase in net investment income.

Note: Hartford Financial's FY'25 ended on December 31, 2025. Q2 FY'26 ended on June 30, 2026.

New $4.2 Billion Share Repurchase Program Authorized

The Hartford announced a new $4.2 billion share repurchase authorization effective from August 1, 2026, through year-end 2028. This program reflects a 27% increase over the prior authorization and highlights strong ongoing capital generation across property and casualty underwriting segments.

POTENTIAL UPSIDE & DOWNSIDE TO TREFIS PRICE

Below are key drivers of Hartford Financial's value that present opportunities for upside or downside to the current Trefis price estimate:

Commercial Lines

• Business Insurance Combined Ratio: Underwriting discipline supported a strong 91.4 combined ratio in Business Insurance. Continued margin expansion through rate increases offers upside, while persistent casualty and commercial auto loss trends pose downside risks to loss reserves.


• Net Investment Income Expansion: Net investment income reached $800 million for the quarter as portfolio yields averaged 4.9%. Sustained high reinvestment rates present upside to core earnings, whereas future market rate declines could pressure investment returns.

For additional details, select a division from the interactive Trefis split for Hartford Financial at the top of the page.

BUSINESS SUMMARY

The Hartford Financial Services Group, Inc. is a prominent U.S. insurance and financial services provider specializing in commercial lines, personal lines, group benefits, and asset management.

SOURCES OF VALUE

Commercial Lines serves as the primary engine of earnings and long-term valuation for the company.

Dominance in Small Commercial Insurance

The Hartford holds a leading position in Small Commercial insurance, leveraging advanced proprietary underwriting tools and extensive distribution channels to drive high customer retention and reliable underwriting profits.

Strong Group Benefits Franchise

The Group Benefits division maintains a strong market presence in group life and disability coverage. Deep distribution relationships with corporate employers and disciplined medical claims management generate high returns on equity.

KEY TRENDS

Elevated Yields Boosting Net Investment Income

Favorable market interest rates allow The Hartford to reinvest maturing cash flows at higher yields, providing ongoing tailwinds for net investment income across property and casualty balance sheets.

Disciplined Capital Return to Shareholders

The company continues to execute a capital-efficient return strategy, combining steady quarterly dividend payments with substantial share buybacks supported by resilient business operations.