The Hartford Financial Services Group, Inc. - HIG STOCK NEWS

The Hartford reported a net income of $476 million or $1.36 per diluted share for Q3 2021, marking a 5% increase from Q3 2020. However, core earnings dropped 16% to $442 million due to excess mortality losses of $212 million and unfavorable prior accident year reserve development. The Commercial Lines combined ratio improved to 101.2 with 15% growth in written premiums. The Hartford returned $634 million to shareholders, including a 10% increase in quarterly dividends. Book value per diluted share rose 4% to $50.53.

The Hartford has been recognized as the top provider for digital capabilities in the Small Commercial Insurance sector for the third consecutive year, according to Keynova Group’s Scorecard. The company significantly outperformed competitors in areas like digital self-service, claims processing, and online quoting for small business insurance. With over 200 years in the industry, The Hartford has established a strong market position, serving over one million small business customers.

The Hartford has appointed Michael Garrison as head of Wholesale for Navigators effective November 1. Garrison will focus on strategic growth, underwriting, and managing wholesale distribution relationships. He brings over 28 years of insurance experience, having worked globally in locations such as New York, Singapore, and London. Previously, he served as president at Allied World, overseeing Global Construction and international lines, and held senior positions at Starr Companies. This leadership move aims to strengthen The Hartford's commitment to providing solutions for complex risks.

The Hartford's Junior Fire Marshal Day on October 5 saw over 65,000 children across 200+ cities participate in a virtual fire safety education event. This initiative, which began in 1947, has educated over 111 million children on fire safety. The event featured lessons on fire prevention and culminated in students becoming Junior Fire Marshals. The Hartford continues to support local fire departments and aims to educate an additional 1.5 million children, donating over $1.5 million to at-risk communities.

The Hartford has announced the creation of The Hartford Scholars Program, committing $1 million to fund 50 students from the City of Hartford to attend UConn Hartford tuition-free for four years. This initiative aims to cover gaps in existing financial aid, providing essential support to first-generation and underrepresented students. The program will be implemented in two phases, supporting 25 students in 2021 and another 25 in 2022. This effort is part of The Hartford's broader commitment to enhance educational access and economic opportunities in the community.

AM Best has assigned a Long-Term Issue Credit Rating of “a-” (Excellent) to The Hartford Financial Services Group (NYSE: HIG). This rating applies to the recently announced $600 million senior unsecured notes, maturing in September 2051. The funds will be used to redeem existing $600 million junior subordinated debentures due 2042. AM Best foresees a modest increase in financial leverage but maintains that it will stay within acceptable limits for the current ratings, which were affirmed in July 2021.

The Hartford (NYSE: HIG) has reached a new agreement-in-principle in the Boy Scouts of America (BSA) bankruptcy, replacing an earlier $650 million settlement. The new deal involves a payment of $787 million to resolve claims, mainly from policies issued in the 1970s. The BSA and local councils will release The Hartford from any obligations under these policies. A charge of approximately $137 million is expected to impact Q3 2021 earnings. Court approval of the settlement is anticipated in late 2021, subject to certain conditions.