Progressive and Protective Insurance Ratings Boosted by AM Best
AM Best has confirmed the Financial Strength Rating of A+ (Superior) and the Long-Term Issuer Credit Ratings of "aa" for The Progressive Corporation and its subsidiaries, headquartered in Mayfield Village, Ohio. This affirmation extends to the parent holding company's Long-Term Issuer Credit Rating of "a" and all senior unsecured issue ratings. Furthermore, AM Best reaffirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of "a+" for Protective Insurance Company and its subsidiaries, collectively known as Protective Insurance Corporation Group, based in Carmel, Indiana. National Continental Insurance Company in Bohemia, New York, also maintained its A (Excellent) rating and a stable outlook for its financial strength and credit rating.
The assessments for Progressive reflect a robust balance sheet, strong operational performance, a favorable business profile, and well-structured enterprise risk management. Progressive's risk-adjusted capitalization is assessed as the strongest according to AM Best’s Capital Adequacy Ratio. Its financial flexibility is enhanced by modest leverage and solid interest coverage, countered by high underwriting leverage. Progressive's performance metrics over the last five years have been strong, aided by superior underwriting and claims technology. The company remains a leading national writer for personal and commercial auto insurance, consistently refining its enterprise risk management strategies.
In recent financial results, Progressive reported $11.3 billion in net income for 2025, an increase from $8.5 billion in 2024, and $3.9 billion in 2023. This improvement was driven primarily by lower auto accident frequency and reduced weather-related catastrophe losses, offset marginally by policyholders' credit expense tied to personal auto excess profits in Florida. The company's growth is largely fueled by new exposures in personal auto products, with noted improvements in renters' policies and property segments, marking its third consecutive year of underwriting profit.
Similarly, Protective's ratings are indicative of its strong balance sheet, marginalized operating performance, and stable enterprise risk management with strategic advantages linked to its affiliation with Progressive. National Continental's ratings highlight its strong balance sheet and satisfactory operating outcomes, benefiting from its connection with Progressive.
These ratings come with stable outlooks and are published on AM Best’s website, which offers comprehensive information about the company’s rating process. AM Best is a prominent credit rating agency and data analytics provider for the insurance sector, operating globally with several regional offices. For further details on their rating methodologies and processes, interested parties can visit www.ambest.com.