Everest Group Sees Profitable Quarter with Strategic Moves in Reinsurance

Everest Group, a prominent property and casualty reinsurer, reported a profitable fourth quarter, driven by strong investment performance and favorable year-over-year comparisons following previous reserve adjustments. The company's net investment income surged to $562 million from $473 million in the same period last year, attributed to an expanded asset base and positive returns from fixed-income and alternative investments.

In an effort to enhance profitability across the insurance industry, Everest Group strategically focused on its primary reinsurance operations. This move included an agreement with AIG to sell its retail commercial insurance renewal rights, effectively exiting the global retail insurance market. CEO Jim Williamson highlighted these deliberate actions, aimed at simplifying business operations, improving the return profile, and strengthening the balance sheet, thereby increasing financial flexibility and aligning with regulatory compliance requirements.

Everest's financial results for the quarter revealed a profit of $446 million, or $10.77 per share, signaling a significant recovery from a loss of $593 million, or $13.96 per share, recorded in the fourth quarter of the previous year. Despite robust financials, Everest experienced a 6.4% decline in share value in 2025, underperforming the S&P 500 index. Proactively managing their capital, the company repurchased $397 million worth of shares during the quarter, reflecting strategic risk management and underwriting adjustments to optimize carrier performance.