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Cincinnati Financial Reports Third-Quarter 2025 Results

prnewswire.com

CINCINNATI, Oct. 27, 2025 /PRNewswire/ -- Cincinnati Financial Corporation (Nasdaq: CINF) today reported:

Financial Highlights

(Dollars in millions, except per share data)

Three months ended September 30,

Nine months ended September 30,

2025

2024

% Change

2025

2024

% Change

Revenue Data

Earned premiums

$ 2,567

$ 2,297

12

$ 7,391

$ 6,524

13

Investment income, net of expenses

295

258

14

860

745

15

Total revenues

3,726

3,320

12

9,540

8,799

8

Income Statement Data

Net income

$ 1,122

$ 820

37

$ 1,717

$ 1,887

(9)

Investment gains and losses, after-tax

673

596

13

994

1,187

(16)

Non-GAAP operating income*

$ 449

$ 224

100

$ 723

$ 700

3

Per Share Data (diluted)

Net income

$ 7.11

$ 5.20

37

$ 10.88

$ 11.97

(9)

Investment gains and losses, after-tax

4.26

3.78

13

6.30

7.53

(16)

Non-GAAP operating income*

$ 2.85

$ 1.42

101

$ 4.58

$ 4.44

3

Book value

$ 98.76

$ 88.32

12

Cash dividend declared

$ 0.87

$ 0.81

7

$ 2.61

$ 2.43

7

Diluted weighted average shares outstanding

157.8

157.7

0

157.8

157.7

0

*

The Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures section defines and reconciles measures presented in this release that are not based on U.S. Generally Accepted Accounting Principles.

Forward-looking statements and related assumptions are subject to the risks outlined in the company's safe harbor statement.

Insurance Operations Highlights

Investment and Balance Sheet Highlights

Property Casualty Underwriting Results Shine

Stephen M. Spray, president and chief executive officer, commented: "Non-GAAP operating income more than doubled last year's third quarter to $449 million, bolstered by underwriting profits as well as pretax investment income that increased 14% over last year's third quarter.

"Property casualty insurance underwriting led our strong performance. Underwriting profits before taxes rose to $293 million in the third quarter, turning our nine-month results to a positive $123 million. Our combined ratio of 88.2% was our best third quarter result since 2015. On a nine-month basis, our combined ratio was 98.4%. With one quarter to go, we are within striking distance of our target long-term annual average range of 92% to 98%.

"Better weather helped us achieve healthy results for our insurance operations with a third-quarter impact from catastrophes at just 3.7 percentage points. More importantly, our results reflect the diligent execution of our deliberate strategies for profitable growth. We have set ambitious goals for ourselves, and our associates are rising to meet them. As I travel to see agents across the U.S., I'm happy to hear one question repeated, 'How can we do more together?'."

Maintaining Disciplined Growth

"Balancing profitability and growth takes determination and expertise. We continue to invest in the people and the tools we need to further enhance our ability to price each policy based on its individual characteristics. Our field marketing associates are armed with analytics that complement their experience, giving them confidence to compete for our agencies' best business and to walk away from accounts they deem underpriced.

"Net written premiums for the first nine months of 2025 grew 10% compared with the first nine months of 2024, including overall pricing increases in the mid-single-digit range for our standard commercial lines business and the high-single-digit range for our excess and surplus lines and personal lines business. We're supporting the advantages of our local independent agencies through additional risk management solutions and product expansion, such as adding to the capabilities available to our agents through our small business platform powered by Cinergy SM.

"While new business slowed on a quarter and year-to-date basis, we believe that's a sign of our pricing discipline and some stabilization of the market disruption we observed last year, which contributed to an unusually large amount of submissions for new policies from our agents in 2024. We continue to appoint agencies, creating a pipeline for future growth. So far in 2025, we've appointed 355 new agencies."

Value for Shareholders

"At September 30, our book value again reached a record high, increasing 11% since December 31, 2024, to $98.76. Consolidated cash and total investments climbed to nearly $33 billion. Our value creation ratio, which considers the dividends we pay as well as our growth in book value, was 13.8% for the first nine months – exceeding our 10% to 13% average annual target for this measure."

Insurance Operations Highlights

Consolidated Property Casualty Insurance Results

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

% Change

2025

2024

% Change

Earned premiums

$ 2,484

$ 2,217

12

$ 7,145

$ 6,284

14

Fee revenues

4

3

33

11

9

22

Total revenues

2,488

2,220

12

7,156

6,293

14

Loss and loss expenses

1,464

1,499

(2)

4,938

4,181

18

Underwriting expenses

731

659

11

2,095

1,884

11

Underwriting profit

$ 293

$ 62

373

$ 123

$ 228

(46)

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Loss and loss expenses

58.9 %

67.6 %

(8.7)

69.1 %

66.5 %

2.6

Underwriting expenses

29.3

29.8

(0.5)

29.3

30.0

(0.7)

Combined ratio

88.2 %

97.4 %

(9.2)

98.4 %

96.5 %

1.9

% Change

% Change

Agency renewal written premiums

$ 2,037

$ 1,795

13

$ 6,084

$ 5,321

14

Agency new business written premiums

356

406

(12)

1,143

1,159

(1)

Other written premiums

100

92

9

494

520

(5)

Net written premiums

$ 2,493

$ 2,293

9

$ 7,721

$ 7,000

10

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Current accident year before catastrophe losses

55.4 %

57.0 %

(1.6)

57.4 %

58.6 %

(1.2)

Current accident year catastrophe losses

4.4

13.8

(9.4)

14.2

11.2

3.0

Prior accident years before catastrophe losses

(0.2)

(2.4)

2.2

(1.6)

(2.2)

0.6

Prior accident years catastrophe losses

(0.7)

(0.8)

0.1

(0.9)

(1.1)

0.2

Loss and loss expense ratio

58.9 %

67.6 %

(8.7)

69.1 %

66.5 %

2.6

Current accident year combined ratio before

catastrophe losses

84.7 %

86.8 %

(2.1)

86.7 %

88.6 %

(1.9)

Commercial Lines Insurance Results

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

% Change

2025

2024

% Change

Earned premiums

$ 1,229

$ 1,137

8

$ 3,620

$ 3,326

9

Fee revenues

2

1

100

4

3

33

Total revenues

1,231

1,138

8

3,624

3,329

9

Loss and loss expenses

747

706

6

2,249

2,171

4

Underwriting expenses

373

351

6

1,080

1,028

5

Underwriting profit

$ 111

$ 81

37

$ 295

$ 130

127

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Loss and loss expenses

60.8 %

62.1 %

(1.3)

62.2 %

65.3 %

(3.1)

Underwriting expenses

30.3

30.9

(0.6)

29.8

30.9

(1.1)

Combined ratio

91.1 %

93.0 %

(1.9)

92.0 %

96.2 %

(4.2)

% Change

% Change

Agency renewal written premiums

$ 1,043

$ 987

6

$ 3,311

$ 3,086

7

Agency new business written premiums

185

187

(1)

588

562

5

Other written premiums

(30)

(36)

17

(86)

(101)

15

Net written premiums

$ 1,198

$ 1,138

5

$ 3,813

$ 3,547

7

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Current accident year before catastrophe losses

59.2 %

60.7 %

(1.5)

60.0 %

61.3 %

(1.3)

Current accident year catastrophe losses

3.0

5.8

(2.8)

5.0

7.5

(2.5)

Prior accident years before catastrophe losses

(1.0)

(4.0)

3.0

(2.2)

(2.9)

0.7

Prior accident years catastrophe losses

(0.4)

(0.4)

0.0

(0.6)

(0.6)

0.0

Loss and loss expense ratio

60.8 %

62.1 %

(1.3)

62.2 %

65.3 %

(3.1)

Current accident year combined ratio before

catastrophe losses

89.5 %

91.6 %

(2.1)

89.8 %

92.2 %

(2.4)

Personal Lines Insurance Results

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

% Change

2025

2024

% Change

Earned premiums

$ 838

$ 678

24

$ 2,340

$ 1,897

23

Fee revenues

1

2

(50)

4

4

0

Total revenues

839

680

23

2,344

1,901

23

Loss and loss expenses

507

553

(8)

1,951

1,421

37

Underwriting expenses

233

196

19

665

554

20

Underwriting profit (loss)

$ 99

$ (69)

nm

$ (272)

$ (74)

(268)

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Loss and loss expenses

60.4 %

81.5 %

(21.1)

83.4 %

74.9 %

8.5

Underwriting expenses

27.8

28.8

(1.0)

28.4

29.2

(0.8)

Combined ratio

88.2 %

110.3 %

(22.1)

111.8 %

104.1 %

7.7

% Change

% Change

Agency renewal written premiums

$ 864

$ 695

24

$ 2,364

$ 1,870

26

Agency new business written premiums

116

165

(30)

384

450

(15)

Other written premiums

(29)

(28)

(4)

(145)

(74)

(96)

Net written premiums

$ 951

$ 832

14

$ 2,603

$ 2,246

16

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Current accident year before catastrophe losses

50.7 %

54.0 %

(3.3)

54.7 %

55.4 %

(0.7)

Current accident year catastrophe losses

8.0

27.4

(19.4)

29.7

20.9

8.8

Prior accident years before catastrophe losses

2.6

0.9

1.7

0.4

0.3

0.1

Prior accident years catastrophe losses

(0.9)

(0.8)

(0.1)

(1.4)

(1.7)

0.3

Loss and loss expense ratio

60.4 %

81.5 %

(21.1)

83.4 %

74.9 %

8.5

Current accident year combined ratio before

catastrophe losses

78.5 %

82.8 %

(4.3)

83.1 %

84.6 %

(1.5)

Excess and Surplus Lines Insurance Results

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

% Change

2025

2024

% Change

Earned premiums

$ 174

$ 157

11

$ 510

$ 447

14

Fee revenues

1

nm

3

2

50

Total revenues

175

157

11

513

449

14

Loss and loss expenses

108

107

1

317

299

6

Underwriting expenses

48

42

14

141

122

16

Underwriting profit

$ 19

$ 8

138

$ 55

$ 28

96

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Loss and loss expenses

62.1 %

68.6 %

(6.5)

62.2 %

67.0 %

(4.8)

Underwriting expenses

27.7

26.7

1.0

27.6

27.3

0.3

Combined ratio

89.8 %

95.3 %

(5.5)

89.8 %

94.3 %

(4.5)

% Change

% Change

Agency renewal written premiums

$ 130

$ 113

15

$ 409

$ 365

12

Agency new business written premiums

55

54

2

171

147

16

Other written premiums

(10)

(10)

0

(35)

(29)

(21)

Net written premiums

$ 175

$ 157

11

$ 545

$ 483

13

Ratios as a percent of earned premiums:

Pt. Change

Pt. Change

Current accident year before catastrophe losses

64.1 %

64.2 %

(0.1)

64.8 %

64.6 %

0.2

Current accident year catastrophe losses

0.2

1.7

(1.5)

0.9

1.4

(0.5)

Prior accident years before catastrophe losses

(2.1)

2.9

(5.0)

(3.2)

1.0

(4.2)

Prior accident years catastrophe losses

(0.1)

(0.2)

0.1

(0.3)

0.0

(0.3)

Loss and loss expense ratio

62.1 %

68.6 %

(6.5)

62.2 %

67.0 %

(4.8)

Current accident year combined ratio before

catastrophe losses

91.8 %

90.9 %

0.9

92.4 %

91.9 %

0.5

Life Insurance Subsidiary Results

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

% Change

2025

2024

% Change

Term life insurance

$ 61

$ 58

5

$ 179

$ 174

3

Whole life insurance

14

13

8

40

39

3

Universal life and other

8

9

(11)

27

27

0

Earned premiums

83

80

4

246

240

3

Investment income, net of expenses

52

48

8

151

142

6

Investment gains and losses, net

(1)

nm

(6)

(9)

33

Fee revenues

1

1

0

4

4

0

Total revenues

135

129

5

395

377

5

Contract holders' benefits incurred

76

79

(4)

230

226

2

Underwriting expenses incurred

23

24

(4)

70

70

0

Total benefits and expenses

99

103

(4)

300

296

1

Net income before income tax

36

26

38

95

81

17

Income tax provision

8

6

33

20

18

11

Net income of the life insurance subsidiary

$ 28

$ 20

40

$ 75

$ 63

19

Investment and Balance Sheet Highlights

Investments Results

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

% Change

2025

2024

% Change

Investment income, net of expenses

$ 295

$ 258

14

$ 860

$ 745

15

Investment interest credited to contract holders

(32)

(32)

0

(95)

(94)

(1)

Investment gains and losses, net

853

758

13

1,259

1,507

(16)

Investments profit

$ 1,116

$ 984

13

$ 2,024

$ 2,158

(6)

Investment income:

Interest

$ 227

$ 187

21

$ 651

$ 529

23

Dividends

69

68

1

206

209

(1)

Other

4

7

(43)

16

18

(11)

Less investment expenses

5

4

25

13

11

18

Investment income, pretax

295

258

14

860

745

15

Less income taxes

51

44

16

148

125

18

Total investment income, after-tax

$ 244

$ 214

14

$ 712

$ 620

15

Investment returns:

Average invested assets plus cash and cash

equivalents

$ 31,899

$ 29,107

$ 31,345

$ 28,447

Average yield pretax

3.70 %

3.55 %

3.66 %

3.49 %

Average yield after-tax

3.06

2.94

3.03

2.91

Effective tax rate

17.3

16.9

17.2

16.8

Fixed-maturity returns:

Average amortized cost

$ 17,816

$ 15,592

$ 17,515

$ 15,218

Average yield pretax

5.10 %

4.80 %

4.96 %

4.63 %

Average yield after-tax

4.16

3.93

4.04

3.80

Effective tax rate

18.4

18.1

18.4

18.0

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

2025

2024

Investment gains and losses on equity securities sold, net

$ (9)

$ 24

$ (5)

$ 146

Unrealized gains and losses on equity securities still held, net

855

817

1,259

1,446

Investment gains and losses on fixed-maturity securities, net

1

(86)

(13)

(114)

Other

6

3

18

29

Subtotal - investment gains and losses reported in net income

853

758

1,259

1,507

Change in unrealized investment gains and losses - fixed

maturities

241

497

336

367

Total

$ 1,094

$ 1,255

$ 1,595

$ 1,874

Balance Sheet Highlights

(Dollars in millions, except share data)

At September 30,

At December 31,

2025

2024

Total investments

$ 31,099

$ 28,378

Total assets

40,567

36,501

Short-term debt

25

25

Long-term debt

790

790

Shareholders' equity

15,406

13,935

Book value per share

98.76

89.11

Debt-to-total-capital ratio

5.0 %

5.5 %

For additional information or to register for our conference call webcast, please visit cinfin.com/investors.

About Cincinnati Financial

Cincinnati Financial Corporation offers primarily business, home and auto insurance through The Cincinnati Insurance Company and its two standard market property casualty companies. The same local independent insurance agencies that market those policies may offer products of our other subsidiaries, including life insurance, fixed annuities and surplus lines property and casualty insurance. For additional information about the company, please visit cinfin.com.

Mailing Address:

Street Address:

P.O. Box 145496

6200 South Gilmore Road

Cincinnati, Ohio 45250-5496

Fairfield, Ohio 45014-5141

Safe Harbor Statement

Our business is subject to certain risks and uncertainties that may cause actual results to differ materially from those suggested by forward-looking statements. Any forward-looking statements contained herein, are based upon our current estimates, assumptions and plans that are subject to uncertainty. These statements are made subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words like "seek," "expect," "will," "should," "could," "might," "anticipate," "believe," "estimate," "intend," "likely," "future," or other similar expressions. Forward-looking statements speak only as of the date they were made; we assume no obligation to update such statements. Factors that could cause actual results to differ materially from those expressed in, or implied by, the forward-looking statements include, but are not limited to:

Insurance-Related Risks

Financial, Economic, and Investment Risks

General Business, Technology, and Operational Risks

Regulatory, Compliance, and Legal Risks

Risks and uncertainties are further discussed in other filings with the Securities and Exchange Commission, including our 2024 Annual Report on Form 10-K, Item 1A, Risk Factors, Page 30.

* * *

Cincinnati Financial Corporation

Condensed Consolidated Balance Sheets and Statements of Income (unaudited)

(Dollars in millions)

September 30,

December 31,

2025

2024

Assets

Investments

$ 31,099

$ 28,378

Cash and cash equivalents

1,460

983

Premiums receivable

3,307

2,969

Reinsurance recoverable

679

523

Deferred policy acquisition costs

1,360

1,242

Other assets

2,662

2,406

Total assets

$ 40,567

$ 36,501

Liabilities

Insurance reserves

$ 14,263

$ 12,963

Unearned premiums

5,423

4,813

Deferred income tax

1,792

1,476

Long-term debt and lease obligations

858

850

Other liabilities

2,825

2,464

Total liabilities

25,161

22,566

Shareholders' Equity

Common stock and paid-in capital

1,940

1,899

Retained earnings

16,179

14,869

Accumulated other comprehensive loss

(84)

(309)

Treasury stock

(2,629)

(2,524)

Total shareholders' equity

15,406

13,935

Total liabilities and shareholders' equity

$ 40,567

$ 36,501

(Dollars in millions, except per share data)

Three months ended September 30,

Nine months ended September 30,

2025

2024

2025

2024

Revenues

Earned premiums

$ 2,567

$ 2,297

$ 7,391

$ 6,524

Investment income, net of expenses

295

258

860

745

Investment gains and losses, net

853

758

1,259

1,507

Other revenues

11

7

30

23

Total revenues

3,726

3,320

9,540

8,799

Benefits and Expenses

Insurance losses and contract holders' benefits

1,540

1,578

5,168

4,407

Underwriting, acquisition and insurance expenses

754

683

2,165

1,954

Interest expense

13

13

40

40

Other operating expenses

6

6

27

19

Total benefits and expenses

2,313

2,280

7,400

6,420

Income Before Income Taxes

1,413

1,040

2,140

2,379

Provision for Income Taxes

291

220

423

492

Net Income

$ 1,122

$ 820

$ 1,717

$ 1,887

Per Common Share:

Net income—basic

$ 7.19

$ 5.25

$ 10.99

$ 12.06

Net income—diluted

7.11

5.20

10.88

11.97

Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures

(See attached tables for reconciliations; additional prior-period reconciliations available at cinfin.com/investors.)

Cincinnati Financial Corporation prepares its public financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). Statutory data is prepared in accordance with statutory accounting rules for insurance company regulation in the United States of America as defined by the National Association of Insurance Commissioners' (NAIC) Accounting Practices and Procedures Manual, and therefore is not reconciled to GAAP data.

Management uses certain non-GAAP financial measures to evaluate its primary business areas – property casualty insurance, life insurance and investments. Management uses these measures when analyzing both GAAP and non-GAAP results to improve its understanding of trends in the underlying business and to help avoid incorrect or misleading assumptions and conclusions about the success or failure of company strategies. Management adjustments to GAAP measures generally: apply to non-recurring events that are unrelated to business performance and distort short-term results; involve values that fluctuate based on events outside of management's control; supplement reporting segment disclosures with disclosures for a subsidiary company or for a combination of subsidiaries or reporting segments; or relate to accounting refinements that affect comparability between periods, creating a need to analyze data on the same basis.

Cincinnati Financial Corporation

Net Income Reconciliation

(Dollars in millions, except per share data)

Three months ended September 30,

Nine months ended September 30,

2025

2024

2025

2024

Net income

$ 1,122

$ 820

$ 1,717

$ 1,887

Less:

Investment gains and losses, net

853

758

1,259

1,507

Income tax on investment gains and losses

(180)

(162)

(265)

(320)

Investment gains and losses, after-tax

673

596

994

1,187

Non-GAAP operating income

$ 449

$ 224

$ 723

$ 700

Diluted per share data:

Net income

$ 7.11

$ 5.20

$ 10.88

$ 11.97

Less:

Investment gains and losses, net

5.40

4.80

7.98

9.55

Income tax on investment gains and losses

(1.14)

(1.02)

(1.68)

(2.02)

Investment gains and losses, after-tax

4.26

3.78

6.30

7.53

Non-GAAP operating income

$ 2.85

$ 1.42

$ 4.58

$ 4.44

Life Insurance Reconciliation

(Dollars in millions)

Three months ended September 30,

Nine months ended September 30,

2025

2024

2025

2024

Net income of the life insurance subsidiary

$ 28

$ 20

$ 75

$ 63

Investment gains and losses, net

(1)

(6)

(9)

Income tax on investment gains and losses

(1)

(2)

Non-GAAP operating income

29

20

80

70

Investment income, net of expenses

(52)

(48)

(151)

(142)

Investment income credited to contract holders

32

32

95

94

Income tax excluding tax on investment gains and losses,

net

8

6

21

20

Life insurance segment profit

$ 17

$ 10

$ 45

$ 42

Property Casualty Insurance Reconciliation

(Dollars in millions)

Three months ended September 30, 2025

Consolidated

Commercial

Personal

E&S

Other*

Premiums:

Net written premiums

$ 2,493

$ 1,198

$ 951

$ 175

$ 169

Unearned premiums change

(9)

31

(113)

(1)

74

Earned premiums

$ 2,484

$ 1,229

$ 838

$ 174

$ 243

Underwriting profit

$ 293

$ 111

$ 99

$ 19

$ 64

(Dollars in millions)

Nine months ended September 30, 2025

Consolidated

Commercial

Personal

E&S

Other*

Premiums:

Net written premiums

$ 7,721

$ 3,813

$ 2,603

$ 545

$ 760

Unearned premiums change

(576)

(193)

(263)

(35)

(85)

Earned premiums

$ 7,145

$ 3,620

$ 2,340

$ 510

$ 675

Underwriting profit (loss)

$ 123

$ 295

$ (272)

$ 55

$ 45

(Dollars in millions)

Three months ended September 30, 2024

Consolidated

Commercial

Personal

E&S

Other*

Premiums:

Net written premiums

$ 2,293

$ 1,138

$ 832

$ 157

$ 166

Unearned premiums change

(76)

(1)

(154)

79

Earned premiums

$ 2,217

$ 1,137

$ 678

$ 157

$ 245

Underwriting profit (loss)

$ 62

$ 81

$ (69)

$ 8

$ 42

(Dollars in millions)

Nine months ended September 30, 2024

Consolidated

Commercial

Personal

E&S

Other*

Premiums:

Net written premiums

$ 7,000

$ 3,547

$ 2,246

$ 483

$ 724

Unearned premiums change

(716)

(221)

(349)

(36)

(110)

Earned premiums

$ 6,284

$ 3,326

$ 1,897

$ 447

$ 614

Underwriting profit (loss)

$ 228

$ 130

$ (74)

$ 28

$ 144

Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding.

*Included in Other are the results of Cincinnati Re and Cincinnati Global.

Cincinnati Financial Corporation

Other Measures

Value Creation Ratio Calculations

(Dollars are per share)

Three months ended September 30,

Nine months ended September 30,

2025

2024

2025

2024

Value creation ratio:

End of period book value*

$ 98.76

$ 88.32

$ 98.76

$ 88.32

Less beginning of period book value

91.46

81.79

89.11

77.06

Change in book value

7.30

6.53

9.65

11.26

Dividend declared to shareholders

0.87

0.81

2.61

2.43

Total value creation

$ 8.17

$ 7.34

$ 12.26

$ 13.69

Value creation ratio from change in book value**

8.0 %

8.0 %

10.9 %

14.6 %

Value creation ratio from dividends declared to

shareholders***

0.9

1.0

2.9

3.2

Value creation ratio

8.9 %

9.0 %

13.8 %

17.8 %

* Book value per share is calculated by dividing end of period total shareholders' equity by end of period shares outstanding

** Change in book value divided by the beginning of period book value

*** Dividend declared to shareholders divided by beginning of period book value

SOURCE Cincinnati Financial Corporation