United Fire Group, Inc. reports third quarter 2026 results

Nine-month earnings increased even as third-quarter profitability weakened and unrealized investment losses deepened.

Rhea-AI Summary

United Fire Group (UFCS) reported third-quarter 2026 net income of $35.1 million, down 10% from the prior-year quarter. Diluted earnings fell to $1.34 from $1.49, while adjusted operating income declined 11% to $35.1 million. Net written premium rose 13% to $371.4 million, and net investment income increased 13% to $29.3 million.

The combined ratio, measuring losses and underwriting expenses against earned premiums, worsened 2.7 points to 94.6%. The underlying combined ratio, excluding catastrophes and prior-year reserve development, increased to 92.2% from 90.6%. For the first nine months, net income increased to $98.502 million from $79.837 million, and the combined ratio improved to 95.2% from 95.9%. Return on equity rose to 14.0% from 12.7%. Book value per share fell $0.37 from year-end to $36.51; adjusted book value per share, a non-GAAP measure, increased $3.07 to $40.94.

19 points · 0 major

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0 major · 14 points

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Positive

• Moderate pointNine-month net income increased to $98.502 million from $79.837 million; diluted earnings rose to $3.78 from $3.03.
• Moderate pointThird-quarter net written premium increased 13% to $371.4 million year over year.
• Moderate pointThird-quarter net earned premium increased 10.4% year over year to $362.482 million.
• Moderate pointThird-quarter net investment income increased 13% to $29.3 million year over year.
• Moderate pointNine-month combined ratio improved to 95.2% from 95.9% a year earlier.
• Moderate pointNine-month return on equity improved to 14.0% from 12.7% a year earlier.
• Moderate pointCore commercial average renewal premium increased 3.0%, including 2.0% rate increases and 1.0% exposure changes.
• Moderate pointAdjusted book value per share increased $3.07 to $40.94 from December 31, 2025.

11 minor points

• Minor pointNine-month underwriting expense ratio declined to 35.1% from 35.8%; catastrophe loss ratio fell to 2.9% from 3.9%.
• Minor pointNine-month underlying combined ratio improved to 92.3% from 92.5% a year earlier.
• Minor pointNine-month net written premium increased to $1,154.724 million from $1,036.472 million a year earlier.
• Minor pointNine-month net earned premium increased to $1,059.584 million from $951.644 million a year earlier.
• Minor pointNine-month net investment income increased to $85.263 million from $71.123 million a year earlier.
• Minor pointNine-month adjusted operating income increased to $99.022 million from $81.544 million; adjusted diluted earnings reached $3.80 versus $3.10.
• Minor pointRenewal premium excluding workers’ compensation increased 3.3%, including 2.4% rate increases and 0.9% exposure changes.
• Minor pointThird-quarter fixed-maturity interest income increased to $27.428 million from $21.874 million a year earlier.
• Minor pointThird-quarter fixed-income pretax yield increased to 4.65% from 4.37% a year earlier.
• Minor pointThird-quarter investment expenses declined to $2.379 million from $2.918 million a year earlier.
• Minor pointInvested assets increased to $2,528.549 million from $2,464.687 million at December 31, 2025.

Negative

• Moderate pointThird-quarter net income fell 10% to $35.1 million; diluted earnings declined to $1.34 from $1.49.
• Moderate pointThird-quarter combined ratio worsened 2.7 points to 94.6% from 91.9% a year earlier.
• Moderate pointAfter-tax unrealized investment losses widened to $113.923 million from $25.268 million at December 31, 2025.
• Minor pointThird-quarter adjusted operating income declined 11% to $35.1 million; adjusted diluted earnings fell to $1.34 from $1.50.
• Minor pointThird-quarter underlying combined ratio increased 1.6 points to 92.2% from 90.6% a year earlier.

9 minor points

• Minor pointThird-quarter underlying loss ratio increased 1.3 points to 57.3% year over year.
• Minor pointThird-quarter catastrophe loss ratio increased 1.1 points to 2.4%, remaining below five-year and 10-year historical averages.
• Minor pointThird-quarter underwriting expense ratio increased 0.3 points to 34.9% year over year.
• Minor pointThird-quarter other long-term investment income declined to $1.343 million from $2.655 million a year earlier.
• Minor pointNine-month underlying loss ratio increased to 57.2% from 56.7% a year earlier.
• Minor pointNine-month reserve development was neutral, versus 0.5 percentage points of favorable development a year earlier.
• Minor pointBook value per share decreased $0.37 to $36.51 from December 31, 2025.
• Minor pointStockholders’ equity declined to $938.894 million from $941.170 million at December 31, 2025.
• Minor pointCash declined to $150.741 million from $156.332 million at December 31, 2025.

News Explained

UFG reports that it declared and paid a $0.20-per-share cash dividend during Q3 2026 to shareholders of record as of September 4, 2026; this is a completed distribution to those holders, not a pending authorization.

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Market Reaction – UFCS

$52.08 – $57.27 Day Range

$1.36B Mkt Cap at Last Price

On Nov 4, the first trading day after this news, the latest delayed price for UFCS is 6.71% below the previous close. Our momentum scanner has recorded 6 alerts for this stock so far that day. The latest delayed price is $52.85. Relative volume is very high at 3.5x what this stock usually trades by this time of day.

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Key Figures

Net income: $35.1 million, down 10% Adjusted operating income: $35.1 million, down 11% Net written premium: $371.4 million, up 13% +5 more

Net income

$35.1 million, down 10%

Third quarter 2026 vs. prior year

Adjusted operating income

$35.1 million, down 11%

Third quarter 2026 vs. prior year

Net written premium

$371.4 million, up 13%

Third quarter 2026 vs. prior year

Combined ratio

94.6%, increased 2.7 points

Third quarter 2026 vs. prior year

Net investment income

$29.3 million, up 13%

Third quarter 2026 vs. prior year

Combined ratio

95.2%, improved 0.7 points

Year to date through September 30, 2026; best in more than a decade

Return on equity

14.0%

Nine months ended September 30, 2026

Adjusted book value per share

$40.94, increased $3.07

As of September 30, 2026 vs. December 31, 2025

Previous Earnings Reports

1 past event · Latest: Aug 03

Same Type 1 event

1. Aug 03

   2Q26 earnings

   24h Move

   +3.0%

   Second-quarter net income rose 45%, premium grew 9%, and combined ratio improved to 95.3%.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

net written premium, combined ratio, underlying loss ratio, underlying combined ratio

4 terms

net written premium financial

"Net written premium(2) increased 13% to $371.4 million."

Net written premium is the total amount of new insurance coverage an insurer sells during a period after subtracting the portion it passes on to reinsurers. Think of it like a store’s sales minus the part it outsources to a wholesaler: it shows how much business the insurer actually keeps and is responsible for, so investors use it to gauge growth, risk exposure and the company’s potential revenue from underwriting.

combined ratio financial

"Combined ratio increased 2.7 points to 94.6%"

The combined ratio is a way insurance companies measure how well they are doing by adding up all their costs and claims and comparing them to the money they earn from premiums. If the ratio is below 100%, it means the company is making a profit; if it's above 100%, they are losing money. It helps see if an insurance company is financially healthy or not.

underlying loss ratio financial

"an underlying loss ratio of 57.3%"

Underlying loss ratio measures the core insurance losses for a period as a share of the premiums earned during that same period, while excluding one-off events like major disasters, large prior-year adjustments, or other unusual items. For investors it reveals the steady, day-to-day profitability of an insurer’s underwriting—like checking a car’s fuel efficiency after removing the effect of a single long trip—to see if the business is sustainably earning more in premiums than it pays out in claims.

underlying combined ratio financial

"Underlying combined ratio increased 1.6 points to 92.2%."

The underlying combined ratio is an insurer’s core underwriting profit measure: it compares claims paid plus operating costs to premiums earned, after removing one-off or unusual items (like major catastrophe losses, reserve adjustments or accounting timing effects). It matters to investors because it reveals the steady, repeatable strength of an insurer’s business—like a car’s average fuel efficiency when you ignore a single outlier trip—helping separate true performance from temporary noise.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Third quarter net income of $1.34 per diluted share
and adjusted operating income of $1.34 per diluted share

Third quarter 2026 highlights compared to third quarter 2025, unless otherwise noted:⁽¹⁾

• Net income decreased $4.1 million to $35.1 million.
• Net investment income increased 13% to $29.3 million.
• Combined ratio increased 2.7 points to 94.6%, composed of an underlying loss ratio of 57.3%, catastrophe loss ratio of 2.4%, no prior year reserve development, and underwriting expense ratio of 34.9%.
• Underlying combined ratio increased 1.6 points to 92.2%.
• Net written premium⁽²⁾ increased 13% to $371.4 million.
• Book value per share decreased $0.37 to $36.51 as of September 30, 2026, compared to December 31, 2025.
• Adjusted book value per share increased $3.07 to $40.94 as of September 30, 2026, compared to December 31, 2025.
• Return on equity was 14.0% for the nine months ended September 30, 2026.

CEDAR RAPIDS, Iowa, Nov. 03, 2026 (GLOBE NEWSWIRE) -- United Fire Group, Inc. (UFG) (Nasdaq: UFCS) today reported financial results for the quarter ended September 30, 2026, with net income decreasing 10% over the prior year to $35.1 million ($1.34 per diluted share) and adjusted operating income decreasing 11% over the prior year to $35.1 million ($1.34 per diluted share).

In the third quarter of 2026, net written premium increased 13% compared to the prior-year quarter, led by growth in the company's core commercial business. The combined ratio increased 2.7 points to 94.6% as compared to the third quarter of 2025, which was the company's best third quarter combined ratio in nearly 20 years. Prior year reserve development remained neutral overall. Net investment income increased 13% to $29.3 million in the third quarter.

On a year-to-date basis, the company achieved record net income and earnings per share. The year-to-date combined ratio of 95.2% is the best in more than a decade, improving 0.7 points over prior year due to decreases in the expense ratio and catastrophe loss ratio. Return on equity improved to 14%.

“UFG delivered its strongest quarter of 2026, contributing to an exceptional first nine months of the year,” said President and CEO Kevin Leidwinger. “The quarter's overall performance reflects the quality of the portfolio we have built by deepening our underwriting expertise, strengthening our distribution partnerships, expanding our capabilities and improving operational effectiveness.

“Through the first nine months of 2026, we generated record earnings, achieved a 14.0% return on equity and produced a 95.2% combined ratio.

“Looking ahead, we believe we are well positioned to navigate an evolving market. Our focus remains on pursuing profitable growth opportunities, maintaining underwriting discipline, delivering consistent profitability and creating long-term value for our shareholders.”

Earnings call access information

An earnings call will be held at 9:00 a.m. CT on Wednesday, November 4, 2026, to allow securities analysts, shareholders and other interested parties the opportunity to hear management discuss the company’s third quarter of 2026 results.

Teleconference: Dial-in information for the call is toll-free 1-844-492-3723 (international 1-412-542-4184). Participants should request to join the United Fire Group call. The event will be archived and available for digital replay through November 11, 2026. The replay access information is toll-free 1-855-669-9658 (international 1-412-317-0088); conference ID no. 7395592.

Webcast: An audio webcast of the teleconference can be accessed at the company’s investor relations page at https://ir.ufginsurance.com/events-and-presentations/ or https://event.choruscall.com/mediaframe/webcast.html?webcastid=diu4S67f. The archived audio webcast will be available for one year.

Transcript: A transcript of the teleconference will be available on the company’s website soon after the completion of the teleconference.

^{(1) Underlying loss ratio, underlying combined ratio, adjusted book value per share and adjusted operating income are non-GAAP financial measures. See Definitions of non-GAAP information and reconciliations to comparable GAAP measures for additional information.
(2) Net written premium is a performance measure reflecting the amount charged for insurance policy contracts issued and recognized on an annualized basis at the effective date of the policy. See Certain performance measures for additional information.}

Consolidated financial highlights:
Consolidated financial highlights(1)
(Unaudited)	Three months ended September 30,								Nine months ended September 30,
(In thousands, except ratios and per share data)		2026				2025				2026				2025
Net earned premium	$	362,482			$	328,431			$	1,059,584			$	951,644
Net written premium(2)		371,439				328,212				1,154,724				1,036,472
Combined ratio:
Net loss ratio		59.7	%			57.3	%			60.1	%			60.1	%
Underwriting expense ratio		34.9	%			34.6	%			35.1	%			35.8	%
Combined ratio		94.6	%			91.9	%			95.2	%			95.9	%
Additional ratios:
Net loss ratio		59.7	%			57.3	%			60.1	%			60.1	%
Catastrophes		2.4	%			1.3	%			2.9	%			3.9	%
Reserve development (favorable) unfavorable		—	%			—	%			—	%			(0.5	)%
Underlying loss ratio		57.3	%			56.0	%			57.2	%			56.7	%
Underwriting expense ratio		34.9	%			34.6	%			35.1	%			35.8	%
Underlying combined ratio		92.2	%			90.6	%			92.3	%			92.5	%
Net investment income	$	29,295			$	25,992			$	85,263			$	71,123
Net investment gains (losses)		24				(405	)			(658	)			(2,161	)
Net income (loss)		35,085				39,190				98,502				79,837
Adjusted operating income (loss)		35,066				39,510				99,022				81,544
Net income (loss) per diluted share	$	1.34			$	1.49			$	3.78			$	3.03
Adjusted operating income (loss) per diluted share		1.34				1.50				3.80				3.10
Return on equity(3)										14.0	%			12.7	%

_{(1) Underlying loss ratio, underlying combined ratio and adjusted operating income (loss) are non-GAAP financial measures. See Definitions of non-GAAP information and reconciliations to comparable GAAP measures for additional information.
(2) Net written premium is a performance measure reflecting the amount charged for insurance policy contracts issued and recognized on an annualized basis at the effective date of the policy. See Certain performance measures for additional information.
(3) Return on equity is calculated by dividing annualized net income by average stockholders’ equity, which is calculated using a simple average of the beginning and ending balances for the period.}

Third quarter 2026 results:
(All comparisons vs. third quarter 2025, unless noted otherwise)

Net written premium and net earned premium increased by 13.2% and 10.4%, respectively. Core commercial average renewal premium increased 3.0% with rates increasing 2.0% and exposure changes of 1.0%. Excluding the workers' compensation line of business, the overall average increase in renewal premium was 3.3%, with 2.4% from rate increases and 0.9% from exposure changes.

The third quarter combined ratio increased 2.7 points to 94.6% compared to 91.9%, primarily driven by the following:

• The underlying loss ratio increased 1.3 points to 57.3%, primarily driven by lower favorable impacts in 2026 compared to an exceptional third quarter of 2025.
• Catastrophe losses increased 1.1 points to 2.4%, below both the five-year and 10-year historical averages.
• The underwriting expense ratio increased 0.3 points to 34.9%, driven by normal variability experienced quarter to quarter.
  

Net investment income was $29.3 million for the third quarter of 2026, an increase of $3.3 million or 13%. Income from the fixed maturity portfolio increased by $5.6 million as a result of portfolio growth and reinvestment at higher yields. Income on other long-term investments was $1.3 million during the third quarter of 2026, which decreased from $2.7 million in the third quarter of 2025 due to higher total returns related to market movements in 2025.

Investment results
(Unaudited)	Three months ended September 30,								Nine months ended September 30,
(In thousands, except average yields)		2026				2025				2026				2025
Investment income:
Interest on fixed maturities	$	27,428			$	21,874			$	78,697			$	64,300
Income (loss) on other long-term investments		1,343				2,655				4,927				4,584
Other		2,903				4,381				8,317				11,415
Total investment income	$	31,674			$	28,910			$	91,941			$	80,299
Less investment expenses		2,379				2,918				6,678				9,176
Net investment income	$	29,295			$	25,992			$	85,263			$	71,123
Average yields on fixed income securities pre-tax(1)		4.65	%			4.37	%			4.55	%			4.29	%

^{(1) Fixed income securities yield excluding net unrealized investment gains/losses and expenses.}

Balance sheet
	September 30, 2026				December 31, 2025
(In thousands, except per share data)	(unaudited)
Invested assets	$	2,528,549			$	2,464,687
Cash		150,741				156,332
Total assets		4,083,291				3,840,789
Losses and loss settlement expenses		2,062,147				1,924,826
Total liabilities		3,144,397				2,899,619
Net unrealized investment gains (losses), after-tax		(113,923	)			(25,268	)
Total stockholders’ equity		938,894				941,170
Book value per share	$	36.51			$	36.88
Adjusted book value per share(1)		40.94				37.87

^{(1) Adjusted book value per share is a non-GAAP financial measure. See Definitions of non-GAAP information and reconciliations to comparable GAAP measures for additional information.}

The company’s book value per share was $36.51, a decrease of $0.37 per share, or 1.0%, from December 31, 2025. This decrease is primarily attributable to an increase in unrealized investment losses on fixed maturity securities and shareholder dividends, offset by an increase in net income during the nine-month period ended September 30, 2026.

Capital management

During the third quarter of 2026, the company declared and paid a $0.20 per share cash dividend to shareholders of record as of September 4, 2026.

About UFG

Founded in 1946 as United Fire & Casualty Company, UFG, through its insurance company subsidiaries, is engaged in the business of writing property and casualty insurance. The company is licensed as a property and casualty insurer in 50 states and the District of Columbia, and is represented by approximately 850 independent agencies. AM Best assigns a rating of “A-” (Excellent) for members of the United Fire & Casualty Group. For more information about UFG, visit www.ufginsurance.com.

Contact:

Investor relations
Email: ir@unitedfiregroup.com

Media inquiries
Email: news@unitedfiregroup.com

Disclosure of forward-looking statements

This release may contain forward-looking statements about our operations, anticipated performance and other similar matters. The Private Securities Litigation Reform Act of 1995 provides a safe harbor under the Securities Act of 1933 and the Securities Exchange Act of 1934 for forward-looking statements. The forward-looking statements are not historical facts and involve risks and uncertainties that could cause actual results to differ from those expected and/or projected. Such forward-looking statements are based on current expectations, estimates, forecasts and projections about the company, the industry in which we operate, and beliefs and assumptions made by management. Words such as “expect(s),” “anticipate(s),” “intend(s),” “plan(s),” “believe(s),” “continue(s),” “seek(s),” “estimate(s),” “goal(s),” “remain(s) optimistic,” “target(s),” “forecast(s),” “project(s),” “predict(s),” “should,” “could,” “may,” “will,” “might,” “hope,” “can” and other words and terms of similar meaning or expression in connection with a discussion of future operations, financial performance or financial condition, are intended to identify forward-looking statements. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed in such forward-looking statements. Information concerning factors that could cause actual outcomes and results to differ materially from those expressed in the forward-looking statements is contained in Part I, Item 1A “Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2025 (“2025 Annual Report”), filed with the Securities and Exchange Commission (“SEC”) on February 26, 2026. The risks identified in our 2025 Annual Report and in our other SEC filings are representative of the risks, uncertainties, and assumptions that could cause actual outcomes and results to differ materially from what is expressed in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release or as of the date they are made. Except as required under the federal securities laws and the rules and regulations of the SEC, we do not have any intention or obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. In addition, future dividend payments are within the discretion of our Board of Directors and will depend on numerous factors, including our financial condition, our capital requirements and other factors that our Board of Directors considers relevant.

Definitions of non-GAAP information and reconciliations to comparable GAAP measures

The company prepares its financial statements in conformity with generally accepted accounting principles (GAAP) in the United States of America. Management uses certain non-GAAP financial measures to evaluate its operations and profitability. Management also believes that disclosure of certain non-GAAP financial measures enhances investor understanding of our financial performance. Non-GAAP financial measures disclosed in this report include: adjusted operating income, underlying loss ratio, underlying combined ratio, and adjusted book value per share. The company has provided the following definitions and reconciliations of the non-GAAP financial measures:

Adjusted operating income: Adjusted operating income is calculated by excluding net investment gains and losses, after applicable federal and state income taxes from net income (loss). Management believes adjusted operating income is a meaningful measure for evaluating insurance company performance and a useful supplement to GAAP information because it better represents the normal, ongoing performance of our business. Investors and equity analysts who invest in and report on the insurance industry and the company generally focus on this metric in their analyses.

Net income reconciliation
(Unaudited)	Three months ended September 30,							Nine months ended September 30,
(In thousands, except per share data)		2026			2025				2026				2025
Income statement data
Net income (loss)	$	35,085		$	39,190			$	98,502			$	79,837
Less: after-tax net investment gains (losses)		19			(320	)			(520	)			(1,707	)
Adjusted operating income (loss)	$	35,066		$	39,510			$	99,022			$	81,544
Diluted earnings per share data
Net income (loss)	$	1.34		$	1.49			$	3.78			$	3.03
Less: after-tax net investment gains (losses)		—			(0.01	)			(0.02	)			(0.07	)
Adjusted operating income (loss)	$	1.34		$	1.50			$	3.80			$	3.10

Underlying loss ratio and underlying combined ratio: Underlying loss ratio represents the net loss ratio less the impacts of catastrophes and non-catastrophe prior year reserve development. The underlying combined ratio represents the combined ratio less the impacts of catastrophes and non-catastrophe prior year reserve development. The company believes that the underlying loss ratio and underlying combined ratio are meaningful measures to understand the underlying trends in the core business in the current accident year, removing the volatility of catastrophes and prior year impacts. Management believes separate discussions on catastrophe losses and prior year reserve development are important to understanding how the company is managing catastrophe risk and identifying reserve developments in longer-tailed business.

Catastrophe losses is an operational measure which utilizes the designations of the Insurance Services Office (“ISO”) and is reported with losses and loss adjustment expense amounts net of reinsurance recoverables, unless specified otherwise. In addition to ISO catastrophes, we also include as catastrophes those events, which may include U.S. or international losses, that we believe are, or will be, material to our operations, either in amount or in number of claims made. Catastrophes are not predictable and are unique in terms of timing and financial impact. While management estimates catastrophe losses as incurred, due to the inherently unique nature of catastrophe losses, the impact in a reporting period is inclusive of catastrophes that occurred in the reporting period, as well as development on catastrophes that have occurred in prior periods.

Prior year reserve development is the increase (unfavorable) or decrease (favorable) in incurred loss and loss adjustment expense at the valuation dates for losses which occurred in previous calendar years. This measure excludes reserve development on catastrophe losses.

Adjusted book value per share: Adjusted book value per share is calculated by dividing shareholders' equity, excluding net unrealized investment gains and losses, net of tax, by the number of common shares outstanding. Management believes adjusted book value per share is a meaningful measure for evaluating the company's net worth that is primarily attributable to our business operations, because it removes the effect of changing prices on invested assets that can fluctuate from period to period. Book value per share is the most directly comparable GAAP measure.

Book value per share reconciliation
(Unaudited)
(In thousands, except per share data)	September 30, 2026				December 31, 2025
Shareholders' equity	$	938,894			$	941,170
Less: Net unrealized investment gains (losses), net of tax		(113,923	)			(25,268	)
Shareholders' equity, excluding net unrealized investment gains (losses), net of tax	$	1,052,817			$	966,438
Common shares outstanding		25,719				25,522
Book value per share	$	36.51			$	36.88
Adjusted book value per share		40.94				37.87

Certain performance measures

The company uses the following measure to evaluate its financial performance. Management believes a discussion of this measure provides financial statement users with a better understanding of the company’s results of operations. The company has provided the following definition:

Net written premium: Net written premium is frequently used by industry analysts and other recognized reporting sources to facilitate comparisons of the performance of insurance companies. Net written premium is the amount charged for insurance policy contracts issued and recognized on an annualized basis at the effective date of the policy. Management believes net written premium is a meaningful measure for evaluating insurance company sales performance and geographical expansion efforts. Net written premium for an insurance company consists of direct premiums written and premiums assumed, less premiums ceded. Net earned premium is calculated on a pro-rata basis over the terms of the respective policies. Unearned premium reserves are established for the portion of written premium applicable to the unexpired terms of the insurance policies in force. The difference between net earned premium and net written premium is the change in unearned premium and the change in prepaid reinsurance premiums.

Supplemental tables

Income statement
(Unaudited)	Three months ended September 30,								Nine months ended September 30,
(In thousands)		2026				2025				2026				2025
Revenues
Net earned premium	$	362,482			$	328,431			$	1,059,584			$	951,644
Net investment income		29,295				25,992				85,263				71,123
Net investment gains (losses)		24				(405	)			(658	)			(2,161	)
Other income (loss)		(172	)			—				608				—
Total revenues	$	391,629			$	354,018			$	1,144,797			$	1,020,606
Benefits, losses and expenses
Losses and loss settlement expenses	$	216,364			$	188,180			$	636,763			$	571,608
Amortization of deferred policy acquisition costs		87,533				81,513				253,615				233,280
Other underwriting expenses		39,109				32,124				117,834				107,017
Interest expense		3,187				3,118				9,556				8,085
Other non-underwriting expenses		625				407				2,262				884
Total benefits, losses and expenses	$	346,818			$	305,342			$	1,020,030			$	920,874
Income (loss) before income taxes	$	44,811			$	48,676			$	124,767			$	99,732
Income tax expense (benefit)		9,726				9,486				26,265				19,895
Net income (loss)	$	35,085			$	39,190			$	98,502			$	79,837

Net written premium by line of business
(Unaudited)	Three months ended September 30,						Nine months ended September 30,
(In thousands)	2026			2025			2026				2025
Net written premium(1)
Commercial lines:
Other liability(2)	$	120,302		$	97,916		$	368,722			$	314,052
Fire and allied lines(3)		66,041			66,403			199,837				205,922
Automobile		83,227			73,831			268,250				239,468
Workers’ compensation		23,256			18,166			75,759				59,361
Surety(4)		13,982			15,877			51,811				47,803
Miscellaneous		275			632			1,185				4,543
Total commercial lines	$	307,083		$	272,825		$	965,564			$	871,149
Personal lines:
Fire and allied lines(5)	$	5,327		$	7,164		$	17,146			$	15,304
Automobile		—			46			(1	)			465
Total personal lines	$	5,327		$	7,210		$	17,145			$	15,769
Assumed reinsurance(6)		59,029			48,177			172,015				149,554
Total	$	371,439		$	328,212		$	1,154,724			$	1,036,472

^{(1) Net written premium is a performance measure reflecting the amount charged for insurance policy contracts issued and recognized on an annualized basis at the effective date of the policy. See Certain performance measures for additional information.
(2) Commercial lines “Other liability” is business insurance covering bodily injury and property damage arising from general business operations, accidents on the insured’s premises and products manufactured or sold.
(3) Commercial lines “Fire and allied lines” includes fire, allied lines, commercial multiple peril and inland marine.
(4) Commercial lines “Surety” previously referred to as “Fidelity and surety.”
(5) Personal lines “Fire and allied lines” includes fire, allied lines, homeowners and inland marine.
(6) Assumed reinsurance includes Funds at Lloyd's.}

Net earned premium, net losses and loss settlement expenses and net loss ratio by line of business
Three months ended September 30,		2026									2025
				Net losses									Net losses
				and loss									and loss
	Net			settlement			Net			Net			settlement				Net
(Unaudited)	earned			expenses			loss			earned			expenses				loss
(In thousands, except ratios)	premium			incurred			ratio			premium			incurred				ratio
Commercial lines
Other liability	$	117,417		$	79,134		67.4	%		$	101,540		$	73,890			72.8	%
Fire and allied lines		65,328			26,176		40.1				64,071			23,537			36.7
Automobile		82,667			49,293		59.6				74,696			42,033			56.3
Workers’ compensation		23,561			18,691		79.3				17,657			12,295			69.6
Surety		17,182			6,119		35.6				16,909			4,422			26.2
Miscellaneous		280			588		NM				2,299			1,030			44.8
Total commercial lines	$	306,435		$	180,001		58.7	%		$	277,172		$	157,207			56.7	%
Personal lines
Fire and allied lines	$	5,262		$	2,505		47.6	%		$	5,211		$	2,323			44.6	%
Automobile		—			115		NM				364			232			NM
Miscellaneous		—			57		NM				—			(6	)		NM
Total personal lines	$	5,262		$	2,677		50.9	%		$	5,575		$	2,549			45.7	%
Assumed reinsurance		50,785			33,686		66.3				45,684			28,424			62.2
Total	$	362,482		$	216,364		59.7	%		$	328,431		$	188,180			57.3	%
NM = Not meaningful

Net earned premium, net losses and loss settlement expenses and net loss ratio by line of business
Nine months ended September 30,		2026											2025
					Net losses										Net losses
					and loss										and loss
	Net				settlement				Net			Net			settlement				Net
(Unaudited)	earned				expenses				loss			earned			expenses				loss
(In thousands, except ratios)	premiums				incurred				ratio			premiums			incurred				ratio
Commercial lines
Other liability	$	340,074			$	220,347			64.8	%		$	283,797		$	207,438			73.1	%
Fire and allied lines		194,811				88,296			45.3				193,013			88,600			45.9
Automobile		238,026				146,240			61.4				208,198			124,858			60.0
Workers’ compensation		65,156				48,108			73.8				47,073			30,607			65.0
Surety		48,574				19,205			39.5				48,104			14,372			29.9
Miscellaneous		1,334				1,508			113.0				8,694			5,122			58.9
Total commercial lines	$	887,975			$	523,704			59.0	%		$	788,879		$	470,997			59.7	%
Personal lines
Fire and allied lines	$	16,882			$	7,654			45.3	%		$	9,876		$	4,226			42.8	%
Automobile		(1	)			(419	)		NM				1,522			972			63.9
Miscellaneous		—				64			NM				2			(47	)		NM
Total personal lines	$	16,881			$	7,299			43.2	%		$	11,400		$	5,151			45.2	%
Assumed reinsurance		154,728				105,760			68.4				151,365			95,460			63.1
Total	$	1,059,584			$	636,763			60.1	%		$	951,644		$	571,608			60.1	%
NM = Not meaningful

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were United Fire Group’s third-quarter 2026 earnings?

United Fire Group earned $35.1 million, or $1.34 per diluted share, in the third quarter of 2026. Net income declined 10% year over year. Adjusted operating income, a non-GAAP measure excluding after-tax net investment gains and losses, also totaled $35.1 million, down 11%.

How did UFCS’s third-quarter 2026 combined ratio change?

UFCS’s combined ratio increased 2.7 points to 94.6% from 91.9% a year earlier. The underlying loss ratio rose 1.3 points, the catastrophe loss ratio increased 1.1 points, and the underwriting expense ratio increased 0.3 points. Prior-year reserve development remained neutral overall.

Why did United Fire Group’s book value per share decline in 2026?

United Fire Group attributed the decline primarily to higher unrealized investment losses on fixed-maturity securities and shareholder dividends, partly offset by net income for the first nine months. Book value per share decreased $0.37, or 1.0%, from December 31, 2025, to $36.51 at September 30, 2026.