Progressive Investor Relations

We write personal and commercial auto insurance, residential property insurance, and other specialty property-casualty insurance and provide related services throughout the United States. Our Personal Lines segment writes insurance for personal autos and recreational vehicles. Our Commercial Lines segment writes primarily liability and physical damage insurance for automobiles and trucks owned and/or operated predominantly by small businesses. Our Property segment writes insurance for single family homes, condominium units, etc. for homeowners, other property owners, and renters. We distribute our products through both the Agency and Direct channels.

Operating Results

Nine Months Ended September 30,
2019 2018 Change
Personal Lines
Net premiums written (in billions) $23.16 $20.52 13%
Net premiums earned (in billions) $21.97 $19.17 15%
Loss and loss adjustment expense ratio 69.8 69.6 0.2 pts.
Underwriting expense ratio 20.1 19.9 0.2 pts.
Combined ratio 89.9 89.5 0.4 pts.
Policies in force (in thousands) 19,187.4 17,544.0 9%
Nine Months Ended September 30,
2019 2018 Change
Commercial Lines
Net premiums written (in billions) $3.55 $3.06 16%
Net premiums earned (in billions) $3.19 $2.63 21%
Loss and loss adjustment expense ratio 67.5 67.9 (0.4) pts.
Underwriting expense ratio 21.2 20.4 0.8 pts.
Combined ratio 88.7 88.3 0.4 pts.
Policies in force (in thousands) 748.7 691.9 8%
Nine Months Ended September 30,
2019 2018 Change
Property
Net premiums written (in billions) $1.27 $1.09 16%
Net premiums earned (in billions) $1.14 $0.93 22%
Loss and loss adjustment expense ratio 72.4 68.6 3.8 pts.
Underwriting expense ratio1 30.7 34.7 (4.0) pts.
Combined ratio1 103.1 103.3 (0.2) pts.
Policies in force (in thousands) 2,144.3 1,867.0 15%

1Underwriting expense and combined ratios for 2019 and 2018 include 4.5 points and 5.8 points, respectively, of amortization expense predominately associated with the acquisition of a controlling interest in ARX.