Employers Holdings stock follows return to profit in Q3
Published on 11/10/2026 at 01:27 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSProfit returns as underwriting improves
- Employers Holdings returned to third-quarter profit while gross premiums written fell 18 percent.
- The combined ratio improved sharply but remained above the underwriting break-even level.
- Employers declared a USD 0.34 quarterly dividend payable on December 3, 2026.
Employers Holdings returned to profit in the third quarter ended September 30, 2026, as improved underwriting and higher investment income offset a sharp decline in premium volume. The company reported the figures on October 28, according to StockTitan.
Profit returns in third quarter
Net income reached USD 11.6 million, or USD 0.64 per diluted share, compared with a net loss of USD 8.3 million, or USD 0.36 per share, in the prior-year quarter. Adjusted net income was USD 12.8 million, or USD 0.71 per diluted share, against an adjusted loss of USD 25.5 million a year earlier.
The improvement was supported by lower losses and claims costs, including the absence of roughly USD 38 million in reserve strengthening recorded in the third quarter of 2025. The loss and loss-adjustment expense ratio fell to 71.2 percent from 97.1 percent.
Premium discipline weighs on volume
Gross premiums written declined 18 percent to USD 151.1 million, while net premiums earned fell 17 percent to USD 160.2 million. Employers said pricing and underwriting actions were designed to prioritize profitability in a prolonged soft market, with selected classes of business being exited.
The GAAP combined ratio improved to 108.4 percent from 129.7 percent but remained above 100 percent, indicating that underwriting was still loss-making before investment income. Policies in force declined to 124,043 from 135,414.
Investment income and shareholder returns
Net investment income increased to USD 32.3 million from USD 26.1 million. Investment results, however, turned to a USD 3.2 million net realized and unrealized loss from a USD 21.2 million gain in the prior-year quarter.
Employers returned USD 24.4 million to stockholders through repurchases and regular dividends. The board declared a quarterly dividend of USD 0.34 per share, payable on December 3, 2026, to stockholders of record on November 12, 2026. The company also said its excess workers compensation product had generated USD 6.5 million in premium from 31 accounts since its June launch, while a large-deductible product is targeted for launch in 2027.
Employers Holdings at a glance
- Company: Employers Holdings, Inc.
- ISIN: US2922181043
- Ticker: EIG
- Primary exchange: New York Stock Exchange
- Business: Workers compensation insurance, excess workers compensation and related services
- Reporting period: Quarter ended September 30, 2026
US equities including insurers remain part of the broader S&P 500 market environment.
