Segments of Operations

3 Months Ended

Mar. 31, 2024

Segment Reporting [Abstract]

Segments of Operations

Segments of Operations

AFG manages its business as two segments: Property and casualty insurance and Other, which includes holding company costs and operations attributable to the noncontrolling interests of the managed investment entities.

AFG reports its property and casualty insurance business in the following Specialty sub-segments: (i) Property and transportation, which includes physical damage and liability coverage for buses and trucks and other specialty transportation niches, inland and ocean marine, agricultural-related products and other commercial property coverages, (ii) Specialty casualty, which includes primarily excess and surplus, executive and professional liability, general liability, umbrella and excess liability, specialty coverages in targeted markets, customized programs for small to mid-sized businesses and workers’ compensation insurance, and (iii) Specialty financial, which includes risk management insurance programs for lending and leasing institutions (including equipment leasing and collateral and lender-placed mortgage property insurance), fidelity and surety products and trade credit insurance. Premiums and underwriting profit included under Other specialty represent business assumed by AFG’s internal reinsurance program from the operations that make up AFG’s other Specialty sub-segments and amortization of a deferred gain on a retroactive reinsurance transaction related to the sale of a business. AFG’s reportable segments and their components were determined based primarily upon similar economic characteristics, products and services.

The following tables (in millions) show AFG’s revenues and earnings before income taxes by segment and sub-segment.

	Three months ended March 31,
	2024		2023
Revenues
Property and casualty insurance:
Premiums earned:
Specialty
Property and transportation	$	513	$	475
Specialty casualty	730		704
Specialty financial	243		196
Other specialty	60		62
Total premiums earned	1,546		1,437
Net investment income	205		207
Other income	2		5
Total property and casualty insurance	1,753		1,649
Other	139		137
Total revenues before realized gains (losses)	1,892		1,786
Realized gains (losses) on securities	14		(46)
Total revenues	$	1,906	$	1,740
Earnings Before Income Taxes
Property and casualty insurance:
Underwriting:
Specialty
Property and transportation	$	56	$	43
Specialty casualty	74		88
Specialty financial	33		26
Other specialty	(9)		(2)
Other lines	(1)		(1)
Total underwriting	153		154
Investment and other income, net	187		196
Total property and casualty insurance	340		350
Other (*)	(50)		(40)
Total earnings before realized gains (losses) and income taxes	290		310
Realized gains (losses) on securities	14		(46)
Total earnings before income taxes	$	304	$	264

(*)Includes holding company interest and expenses, which includes a gain of $2 million on retirement of debt in the first three months of 2023.