安达保险 (CB) 2026年第三季度业绩电话会：创纪录的每股收益与84.1%的综合成本率

安达保险（Chubb Limited，纽约证券交易所代码：CB）公布了截至2026年9月30日的第三季度强劲承保与投资业绩。核心经营利润为29.8亿美元，创纪录的核心经营每股收益（EPS）达7.66美元。

核心要点

• 核心经营利润同比下降约2%至29.8亿美元，主要归因于上年同期巨灾损失极低。核心经营每股收益增长约1%，达到创纪录的7.66美元。
• 财产及意外险（P&C）承保利润接近21亿美元，综合成本率为84.1%。全球财产及意外险剔除巨灾后的综合成本率为81.8%。
• 调整后净投资收益达到创纪录的18.9亿美元。固定收益投资组合收益率为5.2%，截至9月30日的新投资平均收益率为6.2%。
• 财产及意外险总保费增长1.9%。海外普通保险业务增长6.7%，北美个人保险业务增长5.3%，农业保险业务增长超过5%。
• 由于安达保险减少了部分财产险和金融险风险敞口并增加了再保险购买，北美商业险保费下降2.7%。这些举措使保费增速减少了约4.5个百分点。
• 管理层预计，随着承保相关的逆风减弱以及中型市场和小微商业保险领域的机遇扩大，未来几个季度北美商业险业务的增长将出现实质性改善。

关键财务数据

2026年前九个月，核心经营利润同比增长21%至86亿美元，核心经营每股收益增长24.5%至21.94美元。承保利润达到创纪录的58亿美元，增长近34%。巨灾损失共计17亿美元，而2025年同期为26亿美元。

本季度不计累积其他综合收益（AOCI）的每股有形账面价值增长3.5%。经AOCI调整后，每股有形账面价值同比增长15.4%。

业务与经营表现

海外普通保险业务仍是财产及意外险的主要增长动力。个人消费相关保费增长7.2%，商业保费增长6.3%。拉丁美洲增长11.7%，亚洲增长7.5%，欧洲增长近7%。

北美商业险保费下降2.7%。在安达保险规模约100亿美元的中型市场与小微商业部门中，保费增长约1%。财产及意外险业务增长2.6%，在对较小的工伤补偿保费调整进行修正后，增速为4%。规模约160亿美元的大客户与特种险部门保费下降5%；若剔除财产险，保费增长约1%。

北美商业财产险价格下降4.2%，而责任险价格上涨5.7%，金融险价格上涨2.1%。管理层指出，商业财产及意外险领域的竞争正在加剧，尤其是在美国和伦敦市场，若干责任险领域的定价未能跟上损失成本的增长节奏。

北美高净值个人保险业务保费增长近5.5%，综合成本率为60.3%。管理层将这一业绩归因于风险筛选、承保政策、合理定价以及低于平均水平的巨灾损失。

国际寿险保费及存款增长超过15.5%。国际寿险业务产生税前利润2.77亿美元，同比增长7%；同时北美安达职场福利保费增长超过11.5%。

投资资产超过1750亿美元，而上年同期为1680亿美元。固定收益类资产占投资组合的88%，权益类资产占12%。利率上升在本季度导致45亿美元的净已实现及未实现损失，但管理层表示，随着资产到期并以更高利率进行再投资，该影响将逐步摊销。

本季度安达保险向股东回报16亿美元，其中包括以344.32美元的平均价格回购了12亿美元股票，以及发放了3.93亿美元股息。前九个月累计资本回报约45亿美元。

管理层业绩指引

安达保险继续预计全年初步核心经营有效税率为19.5%至20%。由于收入结构及特定税项影响，第三季度的实际税率为19.9%。

管理层未提供具体的调整后净投资收益指引，但表示考虑到更有吸引力的再投资环境，固定收益部分应会继续增长。

在剔除巨灾损失和外汇影响后，管理层对中长期经营利润和每股收益保持强劲增长，以及有形账面价值实现两位数增长表达了信心。上述表述仅代表管理层预期，而非正式的盈利预测。

风险与关注领域

• 商业财产及意外险的竞争加剧，尤其是在美国和伦敦市场。管理层表示，额外的替代资本、侧车基金、经纪人设施以及总承保代理人（MGA）正在导致产能过剩。
• 在多个领域，责任险损失成本通胀率持续高于整体通胀率，而定价未能稳定跟上步伐。
• 安达保险正在减少或再保险部分定价或条款不佳的财产险和金融险风险敞口，这限制了短期保费增长。
• 人工智能责任风险是一种新兴风险敞口，尚未在传统责任险承保中得到充分考量。管理层预计行业将制定保障范围澄清说明、除外责任、独立产品以及更明确的承保标准。
• 利率上升提高了再投资收益，但也可能给固定收益投资组合带来未实现损失。
• 数据中心项目面临与许可、能源、劳动力和供应链相关的潜在延误，从而影响保险机会何时能够正式出单。

分析师问答环节亮点

管理层表示，新增的再保险采购集中在财产险和部分金融险领域。此类安排使安达保险能在分散风险的同时维持客户关系。

安达保险经营费用率的下降反映了数字化转型及更广泛的提质增效项目。管理层表示，技术、数据、算法、大语言模型和智能体工具正全面应用于承保、营销、理赔、财务和销售环节。

在亚洲市场方面，管理层强调了供应链投资、数字化、中产阶级崛起以及中小型企业增长带来的机遇。尽管国内环境疲软，安达保险在中国大陆及香港地区的财产险和寿险业务仍实现了两位数增长。

安达保险积极参与数据中心建设保险、水险及履约保证保险业务。管理层形容未来项目储备相当可观，但也指出通常只有在项目开工后才会正式出单。

营运公司前期准备金有利变动共计5.62亿美元，其中包括5.75亿美元的短尾险种有利变动以及1300万美元的长尾险种不利变动。管理层指出，长尾险种变动幅度较小，且主要集中在较早的事故年份（约2019年至2022年）。总损失准备金超过710亿美元。

关于资本配置，管理层强调保留资金以应对风险与机遇，同时在股东回报与保险及投资部署之间取得平衡。公司表示，针对当前市场传言，近期并没有任何并购计划。

业绩电话会议完整文字记录

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完整财报电话会议逐字稿

管理层陈述

Operator

Thank you for standing by. My name is Jale, and I will be your conference operator today. At this time, I would like to welcome everyone to the Chubb Limited Third Quarter 2026 Earnings Call. [Operator Instructions] I'd now like to turn the conference over to Susan Spivak, Senior Vice President, Investor Relations. You may begin.

Susan Spivak Bernstein

Thank you, and welcome to our September 30, 2026, third quarter earnings conference call. Our report today will contain forward-looking statements, including statements relating to the company's performance, pricing and business mix, growth opportunities and economic and market conditions, which are all subject to risks and uncertainties, and actual results may differ materially. See our recent SEC filings, earnings release and financial supplement, which are all available on our website at investors.chubb.com for more information on factors that could affect these matters.

We will also refer today to non-GAAP financial measures, reconciliations of which to the most direct comparable GAAP measures and related details are provided in our earnings press release and financial supplement.

Now I'd like to introduce our speakers. First, we have Evan Greenberg, Chairman and Chief Executive Officer; followed by Peter Enns, our Chief Financial Officer. Then we will take your questions. Also with us to assist with your questions are several members of our management team.

And now it is my pleasure to turn the call over to Evan.

Evan G. Greenberg

Good morning. As you could see, we had a really strong quarter. Our sources and quality of earnings, starting with world-class underwriting margins speak to Chubb's excellent competitive profile, including our geographic and business diversification, our growing invested assets and an enduring culture of underwriting discipline, a hallmark of who we are. These distinguishing attributes have all contributed to a long record of sustainable and growing value creation. P&C underwriting, investment and life income results led to core operating earnings of $2.98 billion or a record $7.66 per share. That was down about 2% and up about 1%, respectively, due to exceptionally light cat losses last year.

From a more meaningful perspective, looking to the first 9 months of the year, core operating income was $8.6 billion, up 21% from the prior year, and core operating EPS was $21.94, up 24.5% from last year. Annualized core operating return on tangible equity was 21.6% for the quarter, and core operating ROE was 14.9%. For the quarter, P&C underwriting income of nearly $2.1 billion led to a combined ratio of 84.1%. We had strong contributions from all of our businesses. Year-to-date, we have produced record underwriting income of $5.8 billion, up nearly 34%. Our global P&C ex cat combined ratio was a world-class 81.8%, essentially flat with the prior year, and included a reduction in our loss ratio and our admin ratio, offset by an increase in acquisition ratio. This speaks to our increasing efficiencies and mix of business.

On the investment side of our business, adjusted net investment income was a record $1.89 billion, supported by a materially improved fixed income investment environment and record cash flows. Fixed income related exposure is 88% of our invested asset and equity related is 12%. Our current and future operating income benefits from a rising interest rate environment, which we have expected for some time given growing fiscal deficits, inflation and the public and private sector competition for money.

We positioned ourselves with that in mind by maintaining a moderate duration and a conservative approach to credit quality. We are a buy-and-hold investor of a high-quality investment-grade portfolio. Rising rates produced a third quarter mark of $4.5 billion in net realized and unrealized losses. Given our duration and higher reinvestment rates, the mark will amortize away reasonably quickly. It is a femoral. The third quarter fixed income portfolio yield was 5.2%, and our current new money rate averaged 6.2% as of September 30.

On the alternative asset side, as was publicly announced in the quarter, strategic holdings in our holding company partnership with KKR agreed to sell our investment in USI Insurance Services to Aon. This is expected to result in a realized gain of $460 million on an investment of $740 million. Our invested assets stands at over $175 billion, up from $168 billion a year ago.

Life income of $369 million this quarter was up about 11.5% from last year. Year-to-date, life income is just over $1 billion, up over 9% from a year earlier. Peter is going to have more to say about financial items.

Now turning to underwriting, pricing and growth. The substantial majority of our businesses are growing with the balance flat or purposely shrinking due to inadequate pricing or terms. There's nothing new there. In the quarter, we again shed more property and financial lines exposure, which affected growth. The most visible example again is in the U.S. North America middle and small commercial grew in the quarter, as did North America personal lines in agriculture. Overseas general had good growth across all major regions both consumer and commercial, particularly middle and small commercial, while North America E&S and major accounts shrink. This pattern of growth, again, speaks to the breadth of our business and our diversified sources of growth and opportunity globally.

While total P&C premiums were up 1.9%, overseas general grew 6.7%. North America Personal Lines was up 5.3% and agriculture was up over 5%. Agriculture was a meaningful contributor to growth this quarter. North America Commercial was down 2.7%, impacted again by large account and E&S property and financial lines, where we non-renewed certain business and purchased additional reinsurance. The adverse impact on growth was about 4.5 points. And with that said, I fully expect North America commercial growth to improve materially in future quarters.

In terms of pricing, the market continues to grow more competitive in commercial P&C across the globe, in particular, the U.S. and London. Beyond property, competitive market conditions are spreading to more casualty lines, where pricing in numerous areas is failing to keep pace with loss costs, which, while steady, continued to well outpace general inflation. There is a lot of hungry and extremely naive capacity available. Our broad diversification, including a deep local presence in so many countries and lines of business leave us relatively well positioned with many areas of opportunity.

With that as a baseline, I'm going to give you more color on the quarter by division and region. In international P&C, a $17 billion business, our consumer-related businesses, both A&H and Personal Lines were up 7.2%, and commercial was up 6.3$, Latin America grew 11.7%, Asia grew 7.5% and Europe grew almost 7%. In our London wholesale business, which is about 10% of international P&C, premiums were up 13.5% for the quarter, benefiting in particular from our Gulf War marine-related activities.

Turning back to North America. Premiums in our $10 billion middle market and small commercial division grew about 1% with P&C lines up 2.6% or 4% on adjusting for a smaller annual workers' comp-related premium adjustment than we had last year. And middle market financial lines was down 5.9%, or up about 1.8% adjusted for exposure change from additional use of reinsurance and nonrenewal of inadequately priced business. In our $16 billion major accounts in specialty division, premiums declined 5%, and adjusting for property were up about 1%. Gross premium pricing in North America for commercial property was down 4.2%, casualty was up 5.7% and financial lines was up 2.1%. Going a step further for the business we wrote, property pricing was down 11% in shared and later major in specialty and up a little over 0.5% in mid and small.

On the consumer side of North America, our nearly $8.5 billion high net worth personal lines business, a clear market leader in that category, had another really good quarter, with premium growth of almost 5.5%. Our combined ratio was 60.3%, which speaks to the strength of our risk selection, underwriting and sophistication and pricing and, of course, a lighter than average quarter for cats.

In our international life insurance business, premiums and deposits rose over 15.5%. The vast majority of our life exposure, as you know, is in Asia, and the majority of growth is coming in North Asia, meaning China, Hong Kong, Korea and Taiwan, though I'd like to call out Thailand as well this quarter. Premiums in our North America Chubb Worksite Benefits business were up over 11.5%. Our International Life division produced $277 million of pretax income in the quarter, up 7% from last year, with income up almost 11% year-to-date.

In sum, our global diversification, our presence and capabilities globally, our large and growing invested asset, along with rising interest rates and our operating discipline provide us with strong margins, continued growth opportunities and sustainability of value creation. We are a consistent compounder of wealth and an all-weather firm with many sources of opportunity on both the liability and asset side of the balance sheet, and we are patient.

Cats and FX aside, as I look out over the medium term, I am confident in our ability to continue to outperform and to generate strong growth in operating earnings and EPS, and most important, double-digit growth in tangible book value.

Now I'm going to turn the call back over to Peter and then we're going to come back and we're going to take your questions.

Peter Enns

Thank you, Evan, and good morning. Our third quarter results were driven by strong underlying business performance and continued strength in our investment results. We continue to effectively manage our balance sheet and remain in a financially strong position with book value of $73 billion and excellent liquidity as evidenced by a record $12.8 billion in adjusted operating cash flow over the last 9 months.

During the quarter, we issued approximately CHF 400 million of debt at a weighted average cost of 1.1% at an average term of 5 years. The use of proceeds is for general corporate purposes, which includes the repayment and refinancing of debt.

For the quarter, we returned $1.6 billion of capital to shareholders, including $1.2 billion in share repurchases at an average price of $344.32 and $393 million in dividends. For the first 9 months, we have returned about $4.5 billion of capital to shareholders.

Book and tangible book value per share, excluding AOCI, grew 2.6% and 3.5%, respectively, for the quarter. And tangible book value per share adjusting for AOCI was up 15.4% from the prior year.

Pretax catastrophe losses were $705 million for the quarter, principally from a variety of weather-related events globally and an earthquake in Latin America. Cat losses were $1.7 billion through 9 months versus $2.6 billion over the same period last year.

Pretax prior period development in the quarter in our active companies was favorable $562 million, comprising $575 million of favorable development in short-tail lines and $13 million of unfavorable development in long-tail lines. As you know, and Evan has said repeatedly, we are slow to recognize favorable development and quick to recognize unfavorable development. Our corporate runoff portfolio had adverse development of $51 million, predominantly in environmental related. Overall, our loss reserves, which are now over $71 billion are conservatively constructed and remain extremely strong.

Our paid-to-incurred ratio for the quarter and year-to-date was 80% and 86%, respectively.

Our core operating effective tax rate was 19.9% for the quarter, which is near the top end of our previously guided range due to a shift in mix of income and the impact of discrete tax items. We continue to expect our core operating effective tax rate for the full year to be in the range of 19.5% to 20%. Effective this quarter, we have excluded the amortization of certain M&A-related intangible assets from our core operating income. This change, which has a de minimis impact on growth and ROE, better represents the true economics of past acquisitions and improves our comparability with peers globally.

All prior periods have been recast accordingly. I'll now turn the call back over to Susan.

Susan Spivak Bernstein

Thank you, Peter. At this point, we're happy to take your questions. Operator, first question, please.

Operator

[Operator Instructions] Your first question comes from the line of Meyer Shields of KBW.

分析师问答

Meyer Shields

Evan, I was hoping you can get a little bit more color on the increasing risk that you're transferring to reinsurers?

Evan G. Greenberg

In what regard?

Meyer Shields

So you mentioned that one of the headwinds to North America commercial growth was more reinsurance purchasing. And I was wondering which lines that's focused on?

Evan G. Greenberg

Yes. It's -- well, as you know, and I think we discussed it, it's in financial lines, on certain areas of financial lines and it's in property. In both of those, we took advantage of opportunities to place additional reinsurance, which also gives us the opportunity to maintain presence and provide service and coverage to customers and at the same time, spread risk. And it was in those 2 areas.

Meyer Shields

Okay. Great. That's helpful. And second question, we saw admin expenses actually down year-over-year again in North America Commercial, and I was hoping to get a sense as to whether there's anything unusual there or this is just technology-based efficiencies?

Evan G. Greenberg

Yes. And let's put the lens beyond North America. Look at it globally. And I think that zoom out of North America and just look at the company as a whole, North America included, our operating expense ratio has been trending lower and continues to improve. Our digital transformation programs and other efficiencies are visibly appearing. And that's all around employing foundational tech and data and smart layer of technology, algorithmic, large language and agentic-related. And we're on track in terms of the medium and longer-term efficiencies and improvement to our competitive profile, which goes beyond efficiencies that we have described in the past.

And by the way it's impacting underwriting, it's impacting marketing, claims, finance, sales, all areas of the company. And it's impacting broadly across the globe.

Operator

Your next question comes from the line of Matthew Heimermann of Citi.

Matthew Heimermann

I guess, Evan, I appreciate your perspective on the current debate related to coverage for AI liability, which, from my perspective, seems quite nuanced, although the brokers seem to suggested status quo is quite reasonable. So maybe more specifically, how to think about the utility of new stand-alone rates and forms versus simply incremental changes to language or sublimits in existing forms versus changes at all?

Evan G. Greenberg

Yes. Thank you for that question. Look, AI liability, it's all over the the papers generally. It's emerging as a topic beyond the insurance industry. And AI liability is a growing in emerging exposure. That is not contemplated in casualty underwriting really to date. And it needs to be understood, it needs to be managed and it needs to be addressed. That's what we call underwriting, and that's what the insurance company does.

In managing the risk, I imagine we're going to have a combination of coverage clarifications, ultimately, exclusions and separate AI-related liability coverages. This will all emerge along with underwriting and pricing to discern between risks. AI-related liability exposures will vary between insureds and type of insurance. And frankly, when you think beyond that, to assist business generally, and add to greater certainty overall in the liability environment as it emerges, I can imagine a regimen around model certification standards emerging. I can imagine best practices in management and governance of AI and agentics emerging quickly and evolving from there. And these will be tools that will also assist in insurance underwriting.

So while that's a mouthful, I think that gives you all the elements of how the industry will approach and address AI liability. As an industry, we have to put our arms around this. And frankly, this is -- we've had to do this with emerging liabilities over the last 50 years, and there's a pretty good template to follow.

Matthew Heimermann

There's a number of follow-ups I would love to explore on that, but I think in the interest of time and other topics. I wonder if you or Peter can clarify, just in the Asia Life production this quarter, was there anything either in the quarter or the prior year quarter that was impacting the comps there? And just relative to whatever you think the underlying expectation for us should be with historically, it's been pretty strong production?

Peter Enns

Yes. In the third quarter -- sorry, this is Peter. In the third quarter of '25, there was an acquisition of effectively a closed block of business in New Zealand. We disclosed that the impact -- the impact is approximately 8%. So the production really is more like 10.5% on a comparable basis for net written premium, which we think is more at a normal level.

Evan G. Greenberg

It was well over $100 million last year. It's very large.

Peter Enns

And disclosed that.

Operator

SP1 Your next question comes from the line of Brian Meredith of UBS.

Brian Meredith

First question, I'm wondering if you could unpack your comments about the improving growth in North America commercial a little bit. Is it because the headwinds in property are going away? Or are there really emerging opportunities in the North America commercial business?

Evan G. Greenberg

I think it's a combination of both. The negative impact from the actions that we have taken will diminish and areas of opportunity, the impact of those will increase middle and small commercial, in particular. But our advantages from product breadth, local geography, massive capabilities up and down the chain from largest companies to small business and our data and technology and the power of it, that continues to emerge in spite of and, of course, in context of soft market. So I see it between diminishing headwinds and our own opportunities.

Brian Meredith

Great. And then my follow-up question, I'm just curious, Evan, can we get your perspective on some of this alternative capital that continues to kind of come into the industry, particularly as it relates to casualty side cars and some of these broker facilities? Is this something you see having an impact on market conditions here going forward?

Evan G. Greenberg

Well, of course. There's -- what drives cycles, drive cycles and insurances supply/demand. And so side cars, broker facilities, line-follow facilities, more MGAs with capital behind them other than professional insurance and frankly, a lot with professional insurance behind it. This is all throwing out of balance the supply relative to demand. And it's a lot of very naive capacity. And even even where it's other than traditional insurance, it's investor capital. There's 2 brands of it to me. There is one brand where they're cleverly going to make a trade even in casualty sidecars. And they're going to try to pass or they have it arrange to pass the tail back to the carrier that's fronting it, who's going to end up holding the trash and they may make a turn. On the other hand, I think a lot of that clever capital doesn't understand the pricing versus the loss cost environment. And I don't think they're going to end up making the return that they think they might make.

But we've been living in a world where the cost of money is cheap. And there's a lot of money looking for absolute return, not risk adjusted. As you know, generally, the world is beginning to change that way. But in the meantime, a lot of it has found its way or a fraction of it has found its way into insurance as sort of an alternative investment asset class. It has different forms now than we've seen to some degree in the past, but the themes are the same.

Operator

Your next question comes from the line of Bob Huang of Morgan Stanley.

Jian Huang

I'd like to kind of unpack a little bit about your commentaries around overseas general insurance noticed that several countries when you called out were in Asia for the quarter, specifically Thailand as such. Just given the prolonged conflict in Iran and just oil price volatility has been fairly long lasting so far, can you maybe help us think about your view on Asia opportunities? And has that changed over the year so far in 2026? Just curious how you think about the go forward there first.

Evan G. Greenberg

Yes. Bob, thank you. First of all, the countries that I cited, that was in the Life business. I didn't cite countries in overseas general P&C.

Jian Huang

Sorry, yes.

Evan G. Greenberg

But if I did, I would cite those plus even a larger number of countries. I just returned with my colleagues from 2 weeks in Asia. We were through Southeast Asia, China and Korea. So let me help you with your model. There are 2 regions of the world that are really growing right now more exceptionally that is North America, particularly the United States, and Asia. And when you look at the growth in Asia, Southeast Asia, Korea, Taiwan, a lot of it is tied to the U.S. capital investment sort of super cycle that we're in as we build out AI and AI-related infrastructure and invest to remake our economy that way. Asian countries are a beneficiary of that. They're all tied into the supply chain.

Asia is growing, and I see sustainability. It varies by country, but the dynamism that I see and the opportunity that presents for Chubb's business, rising middle class, digitization, growth of small and midsized businesses, I was in Vietnam, it's a beehive of development. Thailand overall, though it has its idiosyncrasies related to domestic credit and maybe underperforms the region, Thailand is still very solid. Singapore, Malaysia is growing well. Taiwan, our business in Hong Kong and China, in spite of a soft domestic environment, p&C and Life is growing double digit. The Korean economy the Korean economy is growing between 3% and 4% right now, again, tied to the supply chain of the United States, in particular.

So I'm bullish on China. I'm bullish on Asia right now on both medium and longer term and shorter term. Of course, it has a certain volatility signature to it, emerging markets do, but overall, our presence, our capabilities, the breadth of our business, the depth of it through countries, I'm very optimistic for Chubb in Asia.

Jian Huang

I really appreciate that. Maybe just pivot a little bit. I know you kind of talked about cyber liabilities. But if we were to think about data center investments, data center constructions, right, AI build-out, can you maybe help us talk about your exposure there, just maybe the thoughts on the risk maybe the insurance industry is taking on? Just curious your thoughts there if possible?

Evan G. Greenberg

Let's unpack it a couple of it. Right now in the cycle of data center development, particularly hyperscalers and medium sized, we're more in the construction phase with the operation phase more in front of us than behind us. That's to come. A lot of projects announced only -- as you know, only -- so only a percentage of those are actually shovel in the ground right now and delays due to a combination of things, permitting, energy, labor, supply chain, et cetera. But we are quite active. We're quite active in the physical property-related construction. We're active in marine surety. It's a huge opportunity for us in surety. We've written quite a bit, but more important, it's the pipeline of what's outstanding to bind because you don't really bind until the shovel goes in the ground. And that's in front of us, as I said, with many projects that are delayed.

When you think about values, and I think you're alluding to that in concentration of exposure, we manage it technically no differently than we manage any other concentration of exposure. We manage how much we could imagine that we'd have as a loss from a single event, and we imagine that across [indiscernible]. So it's technical, it's engineering and I'm comfortable with the way that Chubb is approaching this.

Operator

Your next question comes from...

Evan G. Greenberg

And by the way, we're a leader across the board globally in data center development. We have the broadest capabilities.

Operator

Your next question comes from the line of Ryan Tunis of Cantor.

Ryan Tunis

So North America commercial, have untested about 1 point of underlying loss ratio deterioration year-to-date. Is it fair to attribute that magnitude, the impact of pricing versus loss trend or is there anything else going on there?

Evan G. Greenberg

No, I wouldn't say that it's a reduction in property.

Ryan Tunis

So there's a mix shift element?

Evan G. Greenberg

That's what it is. You've seen the reduction in property. And so property as a percentage is down. That's the whole loss ratio.

Ryan Tunis

And I guess relatedly, just as a follow-up. Overseas General, we're not seeing a deterioration dynamic so far year-to-date. So just curious some color around the stability there just given the pricing environment.

Evan G. Greenberg

Well, it's -- there is no one pricing environment in overseas general. Overseas general is insures the world it's throughout Europe throughout the U.K., Europe is more stable than the U.K. is. Our growth in middle and small commercial business throughout the globe. And Latin America, goes to a different beat than Europe or the U.K. does. And it varies by country. And again, it's more middle and small commercial for us there. And then the same with Asia Pacific. And so that's one part of the story. But the other part of the story, which I think is more important is the balance between consumer and commercial within overseas general.

Consumer is growing more quickly. The size of the consumer business relative to the commercial business. So large account is only a piece. And when you get to the consumer -- when you get the balance, which most of overseas general and commercial is mid and small, and then you get to the consumer side, which is half the business, it's accident and health, which grew. By the way, globally, our A&H business grew at about 6% this quarter. It's personal lines overseas, which is everything from automobile insurance in Mexico, we were the #3 writer insuring over 2 million autos to insuring cell phones and computers in Asia and automobile in Thailand and Malaysia and homeowners and high net worth insurance in Australia and the U.K. It's a variety of opportunities in a huge world out there where we have fabulous capability.

So our direct marketing business in Asia and Latin America, we are the largest direct marketers of insurance digitally and by phone of consumer businesses up and down the chain as I explained it from lower middle income people to middle-middle income.

Operator

Your next question comes from the line of Andrew Kligerman of TD Cowen.

Andrew Kligerman

High net worth personal lines, again, a spectacular quarter, premiums up over 5%, combined reported at [ 60. ] Any changes, Evan, in the competitive landscape with these types of returns with AI coming into the picture? I mean, do you see these kinds of results as sustainable over the intermediate to long term?

Evan G. Greenberg

I do. High net worth is the business we do. It's not about price you charge as much as it is about the richness of the coverage and the services you provide. It's about the complexity of those coverages. It's really like selling the small commercial or middle-sized commercial account and the management of it. This is not something you buy over the Internet or some agentic shops for you for insurance. This is far more bespoke and it is a trust business. It is an agent-driven business and relationship business between the customer and us. This is not a trade, these are our customers, our long-term clients. So I'll start with that.

Yes, there are always cyclical competitive pressures that emerged because cat reinsurance becomes cheaper, per risk insurance becomes cheaper. And so competitors may employ more of that to on [indiscernible] business at a cheaper price on the margin. But overall, I see steady as she goes with some variability now and again. And that's it.

Andrew Kligerman

Got it. And then just moving over to reserve adequacy and prior year development was also spectacular. But in the long-term lines, I think Peter called out [ $13 million ] adverse. Could you share with us any color on the, say, '21 to '25 accident years? And just your general confidence going forward in longer-tail lines and how adequate those reserves are?

Evan G. Greenberg

Yes. And thank you for that question. Look, as Peter said, I've repeated it [indiscernible], we're slow over the years. We're slow to recognize favorable development and -- but very quick to recognize adverse, casualty underwriting is not for optimists. And as you know, the stinger is in the tail in development. The more recent accident years, while they may be developing more favorably, we -- they're green. We wouldn't touch them. While the development that we did see was in more older accident years and think more '19 to '22. And by the way, the amount was reasonably modest. When I look at our overall reserves as a percentage, it was very small.

I think that maybe gives you the kind of color you're looking for.

Operator

Your next question comes from the line of Tracy Benguigui of Wolfe Research.

Tracy Benguigui

The market yield rose to 6.2% from 5.5% in June, and you extended your duration 5 years from 4.8 years. So that's remarkable. I'm wondering what your expectations are on adjusted net investment income going forward? I thought I would ask, since this is the second quarter, we stopped getting guide for that.

Peter Enns

Tracy, it's Peter. And as you just said, we're not providing specific guidance. The way I'd frame it is, the reinvestment environment as Evan said in his speech, is much more attractive. When you look at this quarter's results, how I'd frame it as we had extremely strong performance of fixed income related net investment income and alternatives, in particular, PEE, was actually less than what might be normal. And as you know, it's very, very volatile that specific asset class. And so over time, we're confident that will continue to return well. So with that as a backdrop, I think you can have a perspective around certainly the fixed income piece of this continuing to grow.

Tracy Benguigui

Maybe just a quick follow-up. I know Brian had touched on this in the beginning of the questions about the North American commercial growth improving materially in future quarters. But maybe you could just unpack the glide path there. I'm wondering how much of the finishing line you've reached in terms of the underwriting actions you're taking in financial lines and large account property?

Evan G. Greenberg

Nice drive, Tracy. I gave as much as I go that.

Operator

Your next question comes from the line of Gregory Peters of Raymond James.

Charles Peters

Money. So stepping back to the technology piece. It seems like with some rising frequency, we keep hearing about security protocols being violated breaching of data security, et cetera. You're managing a global enterprise your data assets are unique and special to your company. Maybe you could just give us some perspective on how you're managing the data securities, large language models and these other tools. are out there? And how are you protecting your data assets?

Evan G. Greenberg

Yes. Look, we're employing all of the best practices around governance and management of not simply our data, but the tools that we employ at the smart layer, which is algorithmic, but more to the point, large language model and agentics and how we control and limit what they can do, where they can do it, how they can do it, how we instruct for it and then protecting our own perimeter and multiple layers of detection and defense against third-party or external use of agentics and AI that could [indiscernible] Chubb's owned data or systems.

We invest significantly in this. We pay very close attention to it. It's fundamental to how we think. And by the way, and to give you a sense, it's evolved over a long period of time. Think about actuarial models. Before AI, we've always had to employ model management for regulatory point of view and for our own use to create governance and management over the efficacy of those models, traditional [indiscernible]. As those evolve past algorithmic and to AI related, we have used the same template and the same governance processes. We've improved the tools. We've improved the techniques that we use and the automation and humans in the loop to manage all of that, and it continues the harnesses and our ability to provide instruction precisely, all continues to evolve.

Charles Peters

Okay. I guess it's kind of building on the comments you've made. But as I think about everything that's going on and the new money rates jumping up over 100 basis points from where you were, what it currently is in your book yield. And I'm just -- you mentioned naive capital, there's these facilities, there's these casualty sidecars. Do you think it's possible that we could be pivoting to an environment where we're sort of cash flow underwriting on casualty and longer term longer-tail liability business considering that these inflationary pressures and higher interest rates?

Evan G. Greenberg

I think only on the margin. When I look at loss cost inflation versus new money rates, and I look at pricing, it doesn't -- it's not hard for me to work out the math. You're not cash flow underwriting at a 10% or 12% interest rate.

Operator

Your next question comes from the line of David Motemaden of Evercore ISI.

David Motemaden

Just a question on North America commercial. So Evan, you've talked a bit this call and in the Qs just on how the property growth or the mix change from property is driving the margin or the loss ratio deterioration there. I guess with that drag, I guess, abating a little bit, how should we think about the margin trajectory from here?

Evan G. Greenberg

I don't give guidance on margins. But I feel very good about our margins. And I feel, as you saw in the commentary, our sustainability of value creation, including market, which includes margin, I feel very good about it. But I'm not going to give you more than that, David.

And by the way, you would be well served as others would, not to simply over-obsess about North America commercial and considerable of that in the round as one company and then imagine all the handles to pull.

David Motemaden

Yes. No, I hear you on that. Maybe just following up here. The growth has moderated a bit just for the company overall, still solid, but it has slowed a bit. Capital return, if I look at it, it's unchanged year-on-year roughly, at least on the buyback. How are you thinking about capital allocation here and just given the current market environment?

Evan G. Greenberg

Peter is going to answer a part of that, and then I'm going to come back on actually answer probably another part.

Peter Enns

David, we've been pretty consistent around preserving capital for risk and opportunity. If you look back over the last while and it hasn't really changed this year, you saw our buyback ticked up this quarter. We've been returning in the range of 50%, and that's not a rule we have, it's an outcome. But look, we look at the investment environment and think it's really, really strong. And so we think about our capital in terms of return to shareholders, but we also think about how we can deploy it in our insurance business and in particular, right now in our investment business, which includes both the current, of course, fixed income environment as well as our old strategy, which is very differentiated.

Evan G. Greenberg

I think that says it all. We're getting -- and I want to add that we're getting paid to hold the capital and money doesn't burn a hole in our pocket. And there is no event on the horizon related to acquisition or any of that we know is speculated. We actually enjoy the invested asset and the growth of it and the accretion to shareholder value that it produces. It is a major part of our business is our investment business.

Operator

Your next question comes from the line of Alex Scott of Barclays.

Taylor Scott

I had one on casualty. As we're seeing casualty pricing come under a little bit more pressure. And I think maybe for a few quarters been under loss cost trend. Any specific actions that may need to be taken there? I'm just trying to understand if we need to consider that in the context of some of the growth discussion from earlier.

Evan G. Greenberg

We're underwriters. We write up and down the chain large companies to small companies, all kinds of industries, all kinds of casualty from primary to access, to professional, to construction, to more types of casualty for more types of industries and more geographies than you probably can imagine. And as underwriters were conscious of the risk environment of the loss cost environment, which we then match the terms and pricing, and we're nimble. And I think that probably answers your question. I'm not sure what you're asking me beyond that.

Taylor Scott

Yes. No, that's helpful. Second question also [indiscernible] related. I heard you the comments on small commercial and that continuing to be a good growth focus for you. Could you give us a taste of some of the things you're doing, whether it's expansion of distribution, just any taste of what will propel that growth?

Evan G. Greenberg

Yes. It's small commercial. It's lower middle market, it's middle market. A combination of a very local geographic reach within countries because that's how it's done, whether it is in North America, or frankly, it's in Malaysia, it's the breadth of product, it's our industry practices, which is a real secret sauce for job, where coverages and the amalgamation of coverages are tailored for different industries to their specific needs, to industry experts that we have that represent those industries. So that plus technology the amount of data that we have that give us insight into risk selection and pricing. And then the technology to enable the local reach in relationship and a compelling proposition to both quote it quickly, issue it with a few questions, service it quickly, match to the human-to-human of agent to company relationship on a local basis, that is who Chubb is. And the opportunity in that and the scale advantages that we have around because that give us for data and for know-how that we can spread around from whether it's the West Coast of the United States to the Southwest of the United States or spreading from Asia to Europe or United States to Europe. Our ability to do that and the scale advantage to invest in technology and use data to inform broadly that is a whole market advantage for Chubb. That is in enduring.

Operator

Thank you. That's all the time that we have today for questions. I will now pass it back over to Susan for closing remarks.

Susan Spivak Bernstein

Thank you, everyone, for joining us today. If you have any follow-up questions, we will be around to take your calls. Enjoy the day. And once again, thank you. Bye-bye.

Operator

This concludes today's conference call. You may now disconnect.