8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934

Date of Report: October 26, 2020

(Date of earliest event reported)

CINCINNATI FINANCIAL CORPORATION

(Exact name of registrant as specified in its charter)

Ohio	0-4604		31-0746871
(State or other jurisdiction of incorporation)	(Commission File Number)		(I.R.S. Employer Identification No.)
6200 S. Gilmore Road	Fairfield,	Ohio	45014‑5141
(Address of principal executive offices)			(Zip Code)

Registrant’s telephone number, including area code: (513) 870-2000

N/A

(Former name or former address, if changed since last report.)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock	CINF	Nasdaq Global Select Market

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐    Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐    Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐    Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐    Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13a-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§203.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

☐    Emerging growth company

☐    If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Item 2.02 Results of Operations and Financial Condition.

On October 26, 2020, Cincinnati Financial Corporation issued the attached news release titled “Cincinnati Financial Reports Third-Quarter 2020 Results,” furnished as Exhibit 99.1 hereto and incorporated herein by reference. On October 26, 2020, the company also distributed the attached information titled “Supplemental Financial Data,” furnished as Exhibit 99.2 hereto and incorporated herein by reference.

This report should not be deemed an admission as to the materiality of any information contained in the news releases or supplemental financial data.

In accordance with general instruction B.2 of Form 8-K, the information furnished in this report shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

Item 9.01 Financial Statements and Exhibits.

(c)     Exhibits

Exhibit 99.1 — News release dated October 26, 2020, titled "Cincinnati Financial Reports Third-Quarter 2020 Results"

Exhibit 99.2 — Supplemental Financial Data for the period ending September 30, 2020, distributed October 26, 2020.

Exhibit 104 – The cover page from this Current Report on Form 8-K, formatted as Inline XBRL

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	CINCINNATI FINANCIAL CORPORATION
Date: October 26, 2020	/S/ Michael J. Sewell
	Michael J. Sewell, CPA
	Chief Financial Officer, Senior Vice President and Treasurer
	(Principal Accounting Officer)

EX-99.1

The Cincinnati Insurance Company nThe Cincinnati Indemnity Company The Cincinnati Casualty CompanynThe Cincinnati Specialty Underwriters Insurance Company The Cincinnati Life Insurance CompanynCFC Investment CompanynCSU Producer Resources Inc. Cincinnati Global Underwriting Ltd. n Cincinnati Global Underwriting Agency Ltd.

Investor Contact: Dennis E. McDaniel, 513-870-2768

CINF-IR@cinfin.com

Media Contact: Betsy E. Ertel, 513-603-5323

Media_Inquiries@cinfin.com

Cincinnati Financial Reports Third-Quarter 2020 Results

Cincinnati, October 26, 2020 – Cincinnati Financial Corporation (Nasdaq: CINF) today reported:

•Third-quarter 2020 net income of $484 million, or $2.99 per share, compared with $248 million, or $1.49 per share, in the third quarter of 2019, after recognizing a $375 million third-quarter 2020 increase in the fair value of equity securities still held.

•$116 million or 65% decrease in non-GAAP operating income* to $63 million, or 39 cents per share, compared with $179 million, or $1.08 per share, in the third quarter of last year.

•$236 million increase in third-quarter 2020 net income, primarily due to the after-tax net effect of a $352 million increase in net investment gains partially offset by a $106 million decrease in after-tax property casualty underwriting income, including $152 million from catastrophe losses.

•$60.57 book value per share at September 30, 2020, up $0.02 since year-end.

•3.0% value creation ratio for the first nine months of 2020, compared with 22.8% for the same period of 2019.

Financial Highlights

(Dollars in millions, except per share data)	Three months ended September 30,						Nine months ended September 30,
		2020		2019		% Change		2020		2019		% Change
Revenue Data
Earned premiums		$	1,522	$	1,446	5		$	4,460	$	4,163	7
Investment income, net of expenses		167		161		4		498		478		4
Total revenues		2,227		1,700		31		4,842		5,772		(16)
Income Statement Data
Net income		$	484	$	248	95		$	167	$	1,371	(88)
Investment gains and losses, after-tax		421		69		510		(104)		880		nm
Non-GAAP operating income*		$	63	$	179	(65)		$	271	$	491	(45)
Per Share Data (diluted)
Net income		$	2.99	$	1.49	101		$	1.03	$	8.30	(88)
Investment gains and losses, after-tax		2.60		0.41		534		(0.64)		5.32		nm
Non-GAAP operating income*		$	0.39	$	1.08	(64)		$	1.67	$	2.98	(44)
Book value								$	60.57	$	57.37	6
Cash dividend declared		$	0.60	$	0.56	7		$	1.80	$	1.68	7
Diluted weighted average shares outstanding		162.0		165.6		(2)		162.5		165.1		(2)

*    The Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures 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.

                                             CINF 3Q20 Release 1

Insurance Operations Highlights

•103.6% third-quarter 2020 property casualty combined ratio, up from 94.2% for the third quarter of 2019.

•3% growth in third-quarter net written premiums, reflecting price increases and premium growth initiatives.

•$189 million third-quarter 2020 property casualty new business written premiums, down 2%. Agencies appointed since the beginning of 2019 contributed $17 million or 9% of total new business written premiums.

•$18 million third-quarter 2020 life insurance subsidiary net income, up $6 million from the third quarter of 2019, and 4% growth in third-quarter 2020 term life insurance earned premiums.

Investment and Balance Sheet Highlights

•4% or $6 million increase in third-quarter 2020 pretax investment income, including a 10% increase for stock portfolio dividends and a 3% increase for bond interest income.

•Three-month increase of 4% in fair value of total investments at September 30, 2020, including an 8% increase for the stock portfolio and a 2% increase for the bond portfolio.

•$3.478 billion parent company cash and marketable securities at September 30, 2020, up 5% from year-end 2019.

Investments Lead Profit

Steven J. Johnston, chairman, president and CEO, commented: “As previously announced, a Midwestern derecho in August, along with multiple hurricanes and wildfires, brought considerable losses to our policyholders. Confident in our balance sheet and risk management decisions, we were able to focus on what was important: outstanding claims service. I applaud the efforts of our associates who worked quickly – under extraordinary circumstances – to comfort those who had experienced loss and get them moving toward recovery.

“Investment income continued to contribute to a positive operating profit, supported by a 10% growth in dividends from our stock portfolio and an increase of 3% in the interest from our bond portfolio. Steady cash flow from 8 years in a row of underwriting profit helps fuel our investment approach, allowing us to continually grow our entire portfolio.

“Catastrophe events in the third quarter nearly tripled our 10-year average of 6.2 points, contributing 18.3 points to our 103.6% combined ratio. Elevated catastrophe losses alone explain the decrease in non-GAAP operating income, as performance improved in several other areas. During the third quarter, there was no change to our estimate of $71 million for pandemic-related losses or expenses incurred for the first six months of 2020, other than increasing estimated losses for Cincinnati Global Underwriting Ltd.^TM by less than $1 million. With three-quarters of the year behind us, we believe our 101.8% combined ratio is within reach of our long-term target of 95% to 100%.

“The focus we’ve applied to pricing segmentation and risk modeling is having the desired effect. Through those initiatives, we’ve continued to enhance our core underwriting book as measured by our nine-month combined ratio before catastrophe losses and before development of reserves for prior accident years. At a satisfactory 88.8%, that ratio improved 3.2 points over the same period a year ago.”

Confident in Growth Plans

Property casualty net written premiums grew 3% in the third-quarter and 6% in the first nine months of 2020 compared with the same periods of 2019, reflecting strong renewal pricing.

“While our agents continue to send us ample opportunities to quote on new business, our growth rate has slowed as we’ve exercised underwriting discipline. Our underwriting models combine with the judgement of our seasoned underwriters to align pricing decisions with risk quality and assure rate adequacy, regardless of any changes in the competitive insurance marketplace. At the same time, we are able to confidently decline new business opportunities we consider to be underpriced.

“I think it’s also important to note that our life insurance subsidiary saw a 7% increase in earned premiums in the first nine-months of 2020 compared to 2019, including a 6% increase for term life insurance, our largest life insurance product line.”

Book Value Rebounds

“Our book value rose $0.02 to $60.57 at September 30 compared with year-end, although equity markets remain volatile and catastrophe losses remained far above normal. We believe we are in a position to further add to that value over the coming quarters, as we drive further progress on operational initiatives that have us headed in the right direction.”

                                             CINF 3Q20 Release 2

Insurance Operations Highlights

Consolidated Property Casualty Insurance Results

(Dollars in millions)	Three months ended September 30,								Nine months ended September 30,
		2020			2019			% Change		2020			2019			% Change
Earned premiums		$	1,450		$	1,376		5		$	4,242		$	3,960		7
Fee revenues		2			3			(33)		7			8			(13)
Total revenues		1,452			1,379			5		4,249			3,968			7
Loss and loss expenses		1,071			864			24		3,008			2,517			20
Underwriting expenses		432			432			0		1,309			1,229			7
Underwriting profit (loss)		$	(51)		$	83		nm		$	(68)		$	222		nm
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Loss and loss expenses		73.8		%	62.8		%	11.0		70.9		%	63.6		%	7.3
Underwriting expenses		29.8			31.4			(1.6)		30.9			31.0			(0.1)
Combined ratio		103.6		%	94.2		%	9.4		101.8		%	94.6		%	7.2
								% Change								% Change
Agency renewal written premiums		$	1,153		$	1,119		3		$	3,595		$	3,435		5
Agency new business written premiums		189			192			(2)		614			585			5
Other written premiums		51			40			28		261			188			39
Net written premiums		$	1,393		$	1,351		3		$	4,470		$	4,208		6
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Current accident year before catastrophe losses		55.7		%	60.3		%	(4.6)		57.9		%	61.0		%	(3.1)
Current accident year catastrophe losses		18.9			6.2			12.7		15.1			7.7			7.4
Prior accident years before catastrophe losses		(0.2)			(2.8)			2.6		(1.7)			(4.5)			2.8
Prior accident years catastrophe losses		(0.6)			(0.9)			0.3		(0.4)			(0.6)			0.2
Loss and loss expense ratio		73.8		%	62.8		%	11.0		70.9		%	63.6		%	7.3
Current accident year combined ratio before catastrophe losses		85.5		%	91.7		%	(6.2)		88.8		%	92.0		%	(3.2)

•$42 million or 3% growth of third-quarter 2020 property casualty net written premiums, and nine-month growth of 6%, reflecting premium growth initiatives and price increases partially offset by pandemic-related economic effects. Third-quarter growth included a contribution of 1% from Cincinnati Re^®.

•$3 million or 2% decrease in third-quarter 2020 new business premiums written by agencies and a nine-month increase of 5%. The third-quarter decrease was partially offset by a $10 million increase in standard market property casualty production from agencies appointed since the beginning of 2019.

•146 new agency appointments in the first nine months of 2020, including 41 that market only our personal lines products.

•9.4 percentage-point increase in the third-quarter 2020 combined ratio and a 7.2 percentage-point increase for the nine-month period. The higher combined ratios included increases of 13.0 points and 7.6 points, respectively, for losses from catastrophes. The nine-month ratio included 1.7 points of pandemic-related losses or expenses.

•0.8 percentage-point third-quarter 2020 benefit from favorable prior accident year reserve development of $11 million, compared with 3.7 points or $52 million for third-quarter 2019.

•2.1 percentage-point nine-month 2020 benefit from favorable prior accident year reserve development, compared with 5.1 points for the first nine months of 2019.

•3.1 percentage-point improvement, to 57.9%, for the nine-month 2020 ratio of current accident year losses and loss expenses before catastrophes, including a decrease of 0.1 point in the ratio for current accident year losses of $1 million or more per claim.

•1.6 percentage-point decrease in the third-quarter 2020 underwriting expense ratio, compared with the same period of 2019, primarily due to lower levels of profit-sharing commissions for agencies and business travel spending for associates.

                                             CINF 3Q20 Release 3

Commercial Lines Insurance Results

(Dollars in millions)	Three months ended September 30,								Nine months ended September 30,
		2020			2019			% Change		2020			2019			% Change
Earned premiums		$	865		$	834		4		$	2,598		$	2,467		5
Fee revenues		1			1			0		3			3			0
Total revenues		866			835			4		2,601			2,470			5
Loss and loss expenses		620			510			22		1,824			1,541			18
Underwriting expenses		266			269			(1)		809			785			3
Underwriting profit (loss)		$	(20)		$	56		nm		$	(32)		$	144		nm
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Loss and loss expenses		71.6		%	61.2		%	10.4		70.2		%	62.5		%	7.7
Underwriting expenses		30.8			32.2			(1.4)		31.1			31.8			(0.7)
Combined ratio		102.4		%	93.4		%	9.0		101.3		%	94.3		%	7.0
								% Change								% Change
Agency renewal written premiums		$	727		$	713		2		$	2,363		$	2,279		4
Agency new business written premiums		114			124			(8)		402			381			6
Other written premiums		(27)			(21)			(29)		(71)			(69)			(3)
Net written premiums		$	814		$	816		0		$	2,694		$	2,591		4
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Current accident year before catastrophe losses		57.8		%	60.5		%	(2.7)		59.2		%	61.5		%	(2.3)
Current accident year catastrophe losses		14.7			4.6			10.1		13.2			7.1			6.1
Prior accident years before catastrophe losses		(1.0)			(3.4)			2.4		(1.9)			(5.4)			3.5
Prior accident years catastrophe losses		0.1			(0.5)			0.6		(0.3)			(0.7)			0.4
Loss and loss expense ratio		71.6		%	61.2		%	10.4		70.2		%	62.5		%	7.7
Current accident year combined ratio before catastrophe losses		88.6		%	92.7		%	(4.1)		90.3		%	93.3		%	(3.0)

•$2 million decrease in third-quarter 2020 commercial lines net written premiums, reflecting slower economic activity. Four percent increase in nine-month net written premiums, largely due to higher renewal written premiums.

•$14 million or 2% increase in third-quarter renewal written premiums, with commercial lines average renewal pricing increases near the low end of the mid-single-digit percent range.

•$10 million or 8% decrease in third-quarter 2020 new business written by agencies, reflecting the fact that our underwriters declined to quote on an increasing number of new business submissions from agencies.

•9.0 percentage-point increase in the third-quarter 2020 combined ratio and a 7.0 percentage-point increase for the nine-month period, including increases of 10.7 points and 6.5 points, respectively, for losses from catastrophes.

•0.9 percentage-point third-quarter 2020 benefit from favorable prior accident year reserve development of $8 million, compared with 3.9 points or $33 million for third-quarter 2019.

•2.2 percentage-point nine-month 2020 benefit from favorable prior accident year reserve development, compared with 6.1 points for the first nine months of 2019.

                                             CINF 3Q20 Release 4

Personal Lines Insurance Results

(Dollars in millions)	Three months ended September 30,								Nine months ended September 30,
		2020			2019			% Change		2020			2019			% Change
Earned premiums		$	367		$	354		4		$	1,090		$	1,046		4
Fee revenues		1			1			0		3			3			0
Total revenues		368			355			4		1,093			1,049			4
Loss and loss expenses		265			244			9		782			734			7
Underwriting expenses		105			108			(3)		335			311			8
Underwriting profit (loss)		$	(2)		$	3		nm		$	(24)		$	4		nm
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Loss and loss expenses		71.9		%	69.2		%	2.7		71.7		%	70.2		%	1.5
Underwriting expenses		28.8			30.4			(1.6)		30.8			29.7			1.1
Combined ratio		100.7		%	99.6		%	1.1		102.5		%	99.9		%	2.6
								% Change								% Change
Agency renewal written premiums		$	366		$	356		3		$	1,047		$	1,003		4
Agency new business written premiums		51			40			28		129			122			6
Other written premiums		(10)			(8)			(25)		(27)			(26)			(4)
Net written premiums		$	407		$	388		5		$	1,149		$	1,099		5
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Current accident year before catastrophe losses		48.5		%	63.8		%	(15.3)		54.0		%	62.2		%	(8.2)
Current accident year catastrophe losses		23.3			7.2			16.1		20.2			9.7			10.5
Prior accident years before catastrophe losses		0.9			(1.3)			2.2		(1.8)			(2.0)			0.2
Prior accident years catastrophe losses		(0.8)			(0.5)			(0.3)		(0.7)			0.3			(1.0)
Loss and loss expense ratio		71.9		%	69.2		%	2.7		71.7		%	70.2		%	1.5
Current accident year combined ratio before catastrophe losses		77.3		%	94.2		%	(16.9)		84.8		%	91.9		%	(7.1)

•$19 million or 5% growth in third-quarter 2020 personal lines net written premiums, including higher renewal written premiums that benefited from rate increases averaging in the mid-single-digit percent range. Third-quarter 2020 net written premiums from our agencies’ high net worth clients grew 28%, to $141 million. Five percent increase in nine-month net written premiums.

•$11 million or 28% increase in third-quarter 2020 new business written by agencies, largely reflecting expanded use of enhanced pricing precision tools.

•1.1 percentage-point increase in the third-quarter 2020 combined ratio and a 2.6 percentage-point increase for the nine-month period, including increases of 15.8 points and 9.5 points, respectively, for losses from catastrophes.

•Less than $1 million third-quarter 2020 unfavorable prior accident year reserve development, compared with favorable development $7 million for the third quarter of 2019.

•2.5 percentage-point nine-month 2020 benefit from favorable prior accident year reserve development, compared with 1.7 points for the first nine months of 2019.

                                             CINF 3Q20 Release 5

Excess and Surplus Lines Insurance Results

(Dollars in millions)	Three months ended September 30,								Nine months ended September 30,
		2020			2019			% Change		2020			2019			% Change
Earned premiums		$	82		$	72		14		$	238		$	202		18
Fee revenues		—			1			(100)		1			2			(50)
Total revenues		82			73			12		239			204			17
Loss and loss expenses		48			39			23		150			101			49
Underwriting expenses		23			22			5		70			63			11
Underwriting profit		$	11		$	12		(8)		$	19		$	40		(53)
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Loss and loss expenses		58.2		%	52.7		%	5.5		63.0		%	49.8		%	13.2
Underwriting expenses		28.5			30.5			(2.0)		29.5			31.1			(1.6)
Combined ratio		86.7		%	83.2		%	3.5		92.5		%	80.9		%	11.6
								% Change								% Change
Agency renewal written premiums		$	60		$	50		20		$	185		$	153		21
Agency new business written premiums		24			28			(14)		83			82			1
Other written premiums		(4)			(4)			0		(12)			(12)			0
Net written premiums		$	80		$	74		8		$	256		$	223		15
Ratios as a percent of earned premiums:								Pt. Change								Pt. Change
Current accident year before catastrophe losses		58.5		%	57.6		%	0.9		57.8		%	54.7		%	3.1
Current accident year catastrophe losses		1.0			0.6			0.4		1.7			0.5			1.2
Prior accident years before catastrophe losses		(1.5)			(6.0)			4.5		3.4			(5.5)			8.9
Prior accident years catastrophe losses		0.2			0.5			(0.3)		0.1			0.1			0.0
Loss and loss expense ratio		58.2		%	52.7		%	5.5		63.0		%	49.8		%	13.2
Current accident year combined ratio before catastrophe losses		87.0		%	88.1		%	(1.1)		87.3		%	85.8		%	1.5

•$6 million or 8% increase in third-quarter 2020 excess and surplus lines net written premiums, including higher renewal written premiums that benefited from rate increases averaging in the mid-single-digit percent range. Fifteen percent increase in nine-month net written premiums.

•$4 million or 14% decrease in third-quarter new business written by agencies, as we continue to carefully underwrite each policy in a highly competitive market.

•3.5 percentage-point increase in the third-quarter 2020 combined ratio and an 11.6 percentage-point increase for the nine-month period, largely due to less favorable prior accident year reserve development.

•1.3 percentage-point third-quarter 2020 benefit from favorable prior accident year reserve development of $1 million, compared with 5.5 points or $3 million for third-quarter 2019.

•$8 million of nine-month 2020 unfavorable prior accident year reserve development, compared with favorable development of $10 million for the first nine months of 2019. The $8 million of unfavorable development included $9 million for accident years prior to 2017, as claims on average are remaining open longer than previously expected.

                                             CINF 3Q20 Release 6

Life Insurance Subsidiary Results

(Dollars in millions)	Three months ended September 30,						Nine months ended September 30,
		2020		2019		% Change		2020		2019		% Change
Term life insurance		$	49	$	47	4		$	147	$	139	6
Universal life insurance		10		11		(9)		34		31		10
Other life insurance, annuity, and disability income products		13		12		8		37		33		12
Earned premiums		72		70		3		218		203		7
Investment income, net of expenses		40		38		5		118		114		4
Investment gains and losses, net		2		(2)		nm		(29)		(4)		nm
Fee revenues		—		1		(100)		1		3		(67)
Total revenues		114		107		7		308		316		(3)
Contract holders’ benefits incurred		72		68		6		224		211		6
Underwriting expenses incurred		20		23		(13)		63		67		(6)
Total benefits and expenses		92		91		1		287		278		3
Net income before income tax		22		16		38		21		38		(45)
Income tax provision		4		4		0		4		8		(50)
Net income of the life insurance subsidiary		$	18	$	12	50		$	17	$	30	(43)

•$2 million or 3% increase in third-quarter 2020 earned premiums, including a 4% increase for term life insurance, our largest life insurance product line.

•$13 million decrease in nine-month 2020 life insurance subsidiary net income, primarily due to increased investment losses resulting from impairments of fixed-maturity securities.

•$114 million or 9% nine-month 2020 increase, to $1.352 billion, in GAAP shareholders’ equity for the life insurance subsidiary, primarily from an increase in unrealized investment gains.

                                             CINF 3Q20 Release 7

Investment and Balance Sheet Highlights

Investments Results

(Dollars in millions)	Three months ended September 30,							Nine months ended September 30,
	2020			2019			% Change		2020			2019			% Change
Investment income, net of expenses	$	167		$	161		4		$	498		$	478		4
Investment interest credited to contract holders	(26)			(25)			(4)		(77)			(74)			(4)
Investment gains and losses, net	533			86			520		(132)			1,113			nm
Investments profit	$	674		$	222		204		$	289		$	1,517		(81)
Investment income:
Interest	$	113		$	110		3		$	339		$	332		2
Dividends	55			50			10		161			146			10
Other	2			5			(60)		7			10			(30)
Less investment expenses	3			4			(25)		9			10			(10)
Investment income, pretax	167			161			4		498			478			4
Less income taxes	26			26			0		77			75			3
Total investment income, after-tax	$	141		$	135		4		$	421		$	403		4
Investment returns:
Average invested assets plus cash and cash equivalents	$	19,875		$	19,088				$	20,126		$	18,364
Average yield pretax	3.36		%	3.37		%			3.30		%	3.47		%
Average yield after-tax	2.84			2.83					2.79			2.93
Effective tax rate	15.5			15.7					15.5			15.6
Fixed-maturity returns:
Average amortized cost	$	11,206		$	10,922				$	11,191		$	10,828
Average yield pretax	4.03		%	4.03		%			4.04		%	4.09		%
Average yield after-tax	3.36			3.36					3.37			3.41
Effective tax rate	16.6			16.5					16.6			16.6

•$6 million or 4% rise in third-quarter 2020 pretax investment income, including a 10% increase in equity portfolio dividends and a 3% increase in interest income.

•$645 million third-quarter 2020 pretax total investment gains, summarized in the table below. Changes in unrealized gains or losses reported in other comprehensive income, in addition to investment gains and losses reported in net income, are useful for evaluating total investment performance over time and are major components of changes in book value and the value creation ratio.

(Dollars in millions)	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Investment gains and losses on equity securities sold, net	$	55	$	—	$	75	$	27
Unrealized gains and losses on equity securities still held, net	475		89		(130)		1,084
Investment gains and losses on fixed-maturity securities, net	3		(1)		(72)		—
Other	—		(2)		(5)		2
Subtotal - investment gains and losses reported in net income	533		86		(132)		1,113
Change in unrealized investment gains and losses - fixed maturities	112		100		294		542
Total	$	645	$	186	$	162	$	1,655

                                             CINF 3Q20 Release 8

Balance Sheet Highlights

(Dollars in millions, except share data)	At September 30,				At December 31,
		2020				2019
Total investments		$	20,299			$	19,746
Total assets		26,370				25,408
Short-term debt		123				39
Long-term debt		788				788
Shareholders’ equity		9,745				9,864
Book value per share		60.57				60.55
Debt-to-total-capital ratio		8.5		%		7.7		%

•$21.213 billion in consolidated cash and total investments at September 30, 2020, an increase of 3% from $20.513 billion at year-end 2019.

•$12.157 billion bond portfolio at September 30, 2020, with an average rating of A3/A. Fair value increased $246 million during the third quarter of 2020, including $129 million in net purchases of fixed-maturity securities.

•$7.867 billion equity portfolio was 38.8% of total investments, including $3.969 billion in appreciated value before taxes at September 30, 2020. Third-quarter 2020 increase in fair value of $550 million or 8%.

•$5.372 billion of statutory surplus for the property casualty insurance group at September 30, 2020, down $248 million from $5.620 billion at year-end 2019, after declaring $325 million in dividends to the parent company. For the 12 months ended September 30, 2020, the ratio of net written premiums to surplus was 1.0-to-1, matching year-end 2019.

•$3.01 third-quarter 2020 increase in book value per share, including additions of $0.39 from net income before investment gains, $3.17 from investment portfolio net investment gains or changes in unrealized gains for fixed-maturity securities and $0.05 for other items, partially offset by a deduction of $0.60 from dividends declared to shareholders.

•Value creation ratio of 3.0% for the first nine months of 2020, including 2.8% from net income before investment gains, which includes underwriting and investment income, and 1.3% from investment portfolio net investment losses and changes in unrealized gains for fixed-maturity securities and negative 1.1% from other items.

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, our main business, 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

                                             CINF 3Q20 Release 9

Safe Harbor Statement

This is our “Safe Harbor” statement under the Private Securities Litigation Reform Act of 1995. Our business is subject to certain risks and uncertainties that may cause actual results to differ materially from those suggested by the forward-looking statements in this report. Some of those risks and uncertainties are discussed in our 2019 Annual Report on Form 10-K, Item 1A, Risk Factors, Page 35 and Item 1A, Risk Factors in our subsequent Quarterly Reports on Form 10-Q.

Factors that could cause or contribute to such differences include, but are not limited to:

•Effects of the COVID-19 pandemic that could affect results for reasons such as: 

◦Securities market disruption or volatility and related effects such as decreased economic activity that affect the company’s investment portfolio and book value

◦An unusually high level of claims in our insurance or reinsurance operations that increase litigation-related expenses

◦An unusually high level of insurance losses, including risk of legislation or court decisions extending business interruption insurance in commercial property coverage forms to cover claims for pure economic loss related to the COVID-19 pandemic

◦Decreased premium revenue from disruption to our distribution channel of independent agents, consumer self-isolation, travel limitations, business restrictions and decreased economic activity

◦Inability of our workforce, agencies or vendors to perform necessary business functions

•Unusually high levels of catastrophe losses due to risk concentrations, changes in weather patterns, environmental events, terrorism incidents or other causes

•Increased frequency and/or severity of claims or development of claims that are unforeseen at the time of policy issuance

•Inadequate estimates, assumptions or reliance on third-party data used for critical accounting estimates

•Declines in overall stock market values negatively affecting the company’s equity portfolio and book value

•Prolonged low interest rate environment or other factors that limit the company’s ability to generate growth in investment income or interest rate fluctuations that result in declining values of fixed-maturity investments, including declines in accounts in which we hold bank-owned life insurance contract assets

•Domestic and global events resulting in capital market or credit market uncertainty, followed by prolonged periods of economic instability or recession, that lead to:

◦Significant or prolonged decline in the fair value of a particular security or group of securities and impairment of the asset(s)

◦Significant decline in investment income due to reduced or eliminated dividend payouts from a particular security or group of securities

◦Significant rise in losses from surety and director and officer policies written for financial institutions or other insured entities

•Our inability to integrate Cincinnati Global and its subsidiaries into our on-going operations, or disruptions to our on-going operations due to such integration

•Recession or other economic conditions resulting in lower demand for insurance products or increased payment delinquencies

•Difficulties with technology or data security breaches, including cyberattacks, that could negatively affect our ability to conduct business; disrupt our relationships with agents, policyholders and others; cause reputational damage, mitigation expenses and data loss and expose us to liability under federal and state laws

•Disruption of the insurance market caused by technology innovations such as driverless cars that could decrease consumer demand for insurance products

•Delays, inadequate data developed internally or from third parties, or performance inadequacies from ongoing development and implementation of underwriting and pricing methods, including telematics and other usage-based insurance methods, or technology projects and enhancements expected to increase our pricing accuracy, underwriting profit and competitiveness

•Increased competition that could result in a significant reduction in the company’s premium volume

•Changing consumer insurance-buying habits and consolidation of independent insurance agencies that could alter our competitive advantages

•Inability to obtain adequate ceded reinsurance on acceptable terms, amount of reinsurance coverage purchased, financial strength of reinsurers and the potential for nonpayment or delay in payment by reinsurers

•Inability to defer policy acquisition costs for any business segment if pricing and loss trends would lead management to conclude that segment could not achieve sustainable profitability

                                             CINF 3Q20 Release 10

•Inability of our subsidiaries to pay dividends consistent with current or past levels

•Events or conditions that could weaken or harm the company’s relationships with its independent agencies and hamper opportunities to add new agencies, resulting in limitations on the company’s opportunities for growth, such as:

◦Downgrades of the company’s financial strength ratings

◦Concerns that doing business with the company is too difficult

◦Perceptions that the company’s level of service, particularly claims service, is no longer a distinguishing characteristic in the marketplace

◦Inability or unwillingness to nimbly develop and introduce coverage product updates and innovations that our competitors offer and consumers expect to find in the marketplace

•Actions of insurance departments, state attorneys general or other regulatory agencies, including a change to a federal system of regulation from a state-based system, that:

◦Impose new obligations on us that increase our expenses or change the assumptions underlying our critical accounting estimates

◦Place the insurance industry under greater regulatory scrutiny or result in new statutes, rules and regulations

◦Restrict our ability to exit or reduce writings of unprofitable coverages or lines of business

◦Add assessments for guaranty funds, other insurance-related assessments or mandatory reinsurance arrangements; or that impair our ability to recover such assessments through future surcharges or other rate changes

◦Increase our provision for federal income taxes due to changes in tax law

◦Increase our other expenses

◦Limit our ability to set fair, adequate and reasonable rates

◦Place us at a disadvantage in the marketplace

◦Restrict our ability to execute our business model, including the way we compensate agents

•Adverse outcomes from litigation or administrative proceedings

•Events or actions, including unauthorized intentional circumvention of controls, that reduce the company’s future ability to maintain effective internal control over financial reporting under the Sarbanes-Oxley Act of 2002

•Unforeseen departure of certain executive officers or other key employees due to retirement, health or other causes that could interrupt progress toward important strategic goals or diminish the effectiveness of certain longstanding relationships with insurance agents and others

•Events, such as an epidemic, natural catastrophe or terrorism, that could hamper our ability to assemble our workforce at our headquarters location

Further, the company’s insurance businesses are subject to the effects of changing social, global, economic and regulatory environments. Public and regulatory initiatives have included efforts to adversely influence and restrict premium rates, restrict the ability to cancel policies, impose underwriting standards and expand overall regulation. The company also is subject to public and regulatory initiatives that can affect the market value for its common stock, such as measures affecting corporate financial reporting and governance. The ultimate changes and eventual effects, if any, of these initiatives are uncertain.

* * *

                                             CINF 3Q20 Release 11

Cincinnati Financial Corporation

Condensed Consolidated Balance Sheets and Statements of Income (unaudited)

(Dollars in millions)					September 30,		December 31,
					2020		2019
Assets
Investments					$	20,299	$	19,746
Cash and cash equivalents					914		767
Premiums receivable					1,925		1,777
Reinsurance recoverable					533		610
Deferred policy acquisition costs					817		774
Other assets					1,882		1,734
Total assets					$	26,370	$	25,408
Liabilities
Insurance reserves					$	9,647	$	8,982
Unearned premiums					3,024		2,788
Deferred income tax					1,077		1,079
Long-term debt and lease obligations					844		846
Other liabilities					2,033		1,849
Total liabilities					16,625		15,544
Shareholders’ Equity
Common stock and paid-in capital					1,715		1,703
Retained earnings					9,132		9,257
Accumulated other comprehensive income					686		448
Treasury stock					(1,788)		(1,544)
Total shareholders' equity					9,745		9,864
Total liabilities and shareholders' equity					$	26,370	$	25,408
(Dollars in millions, except per share data)	Three months ended September 30,				Nine months ended September 30,
	2020		2019		2020		2019
Revenues
Earned premiums	$	1,522	$	1,446	$	4,460	$	4,163
Investment income, net of expenses	167		161		498		478
Investment gains and losses, net	533		86		(132)		1,113
Other revenues	5		7		16		18
Total revenues	2,227		1,700		4,842		5,772
Benefits and Expenses
Insurance losses and contract holders' benefits	1,143		932		3,232		2,728
Underwriting, acquisition and insurance expenses	452		455		1,372		1,296
Interest expense	13		14		40		40
Other operating expenses	5		5		15		17
Total benefits and expenses	1,613		1,406		4,659		4,081
Income Before Income Taxes	614		294		183		1,691
Provision for Income Taxes	130		46		16		320
Net Income	$	484	$	248	$	167	$	1,371
Per Common Share:
Net income—basic	$	3.01	$	1.51	$	1.03	$	8.40
Net income—diluted	2.99		1.49		1.03		8.30

                                             CINF 3Q20 Release 12

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.

•Non-GAAP operating income: Non-GAAP operating income is calculated by excluding investment gains and losses (defined as investment gains and losses after applicable federal and state income taxes) and other significant non-recurring items from net income. Management evaluates non-GAAP operating income to measure the success of pricing, rate and underwriting strategies. While investment gains (or losses) are integral to the company’s insurance operations over the long term, the determination to realize investment gains or losses on fixed-maturity securities sold in any period may be subject to management’s discretion and is independent of the insurance underwriting process. Also, under applicable GAAP accounting requirements, gains and losses are recognized from certain changes in market values of securities without actual realization. Management believes that the level of investment gains or losses for any particular period, while it may be material, may not fully indicate the performance of ongoing underlying business operations in that period.

For these reasons, many investors and shareholders consider non-GAAP operating income to be one of the more meaningful measures for evaluating insurance company performance. Equity analysts who report on the insurance industry and the company generally focus on this metric in their analyses. The company presents non-GAAP operating income so that all investors have what management believes to be a useful supplement to GAAP information.

•    Consolidated property casualty insurance results: To supplement reporting segment disclosures related to our property casualty insurance operations, we also evaluate results for those operations on a basis that includes results for our property casualty insurance and brokerage services subsidiaries. That is the total of our commercial lines, personal lines and our excess and surplus lines segments plus our reinsurance assumed operations known as Cincinnati Re and our London-based global specialty underwriter known as Cincinnati Global.

•Life insurance subsidiary results: To supplement life insurance reporting segment disclosures related to our life insurance operation, we also evaluate results for that operation on a basis that includes life insurance subsidiary investment income, or investment income plus investment gains and losses, that are also included in our investments reporting segment. We recognize that assets under management, capital appreciation and investment income are integral to evaluating the success of the life insurance segment because of the long duration of life products.

                                             CINF 3Q20 Release 13

Cincinnati Financial Corporation

Net Income Reconciliation
(Dollars in millions, except per share data)	Three months ended September 30,					Nine months ended September 30,
		2020		2019			2020		2019
Net income		$	484	$	248		$	167	$	1,371
Less:
Investment gains and losses, net		533		86			(132)		1,113
Income tax on investment gains and losses		(112)		(17)			28		(233)
Investment gains and losses, after-tax		421		69			(104)		880
Non-GAAP operating income		$	63	$	179		$	271	$	491
Diluted per share data:
Net income		$	2.99	$	1.49		$	1.03	$	8.30
Less:
Investment gains and losses, net		3.29		0.52			(0.81)		6.74
Income tax on investment gains and losses		(0.69)		(0.11)			0.17		(1.42)
Investment gains and losses, after-tax		2.60		0.41			(0.64)		5.32
Non-GAAP operating income		$	0.39	$	1.08		$	1.67	$	2.98

Life Insurance Reconciliation
(Dollars in millions)	Three months ended September 30,					Nine months ended September 30,
		2020		2019			2020		2019
Net income of the life insurance subsidiary		$	18	$	12		$	17	$	30
Investment gains and losses, net		2		(2)			(29)		(4)
Income tax on investment gains and losses		1		(1)			(6)		(1)
Non-GAAP operating income		17		13			40		33
Investment income, net of expenses		(40)		(38)			(118)		(114)
Investment income credited to contract holders		26		25			77		74
Income tax excluding tax on investment gains and losses, net		3		5			10		9
Life insurance segment profit		$	6	$	5		$	9	$	2

                                             CINF 3Q20 Release 14

Property Casualty Insurance Reconciliation
(Dollars in millions)	Three months ended September 30, 2020
	Consolidated			Commercial			Personal			E&S				Other*
Premiums:
Written premiums		$	1,393		$	814		$	407		$	80		92
Unearned premiums change		57			51			(40)			2			44
Earned premiums		$	1,450		$	865		$	367		$	82		$	136
Underwriting profit (loss)		$	(51)		$	(20)		$	(2)		$	11		$	(40)
(Dollars in millions)	Nine months ended September 30, 2020
	Consolidated			Commercial			Personal			E&S				Other*
Premiums:
Written premiums		$	4,470		$	2,694		$	1,149		$	256		$	371
Unearned premiums change		(228)			(96)			(59)			(18)			(55)
Earned premiums		$	4,242		$	2,598		$	1,090		$	238		$	316
Underwriting profit (loss)		$	(68)		$	(32)		$	(24)		$	19		$	(31)
(Dollars in millions)	Three months ended September 30, 2019
	Consolidated			Commercial			Personal			E&S			Other*
Premiums:
Written premiums		$	1,351		$	816		$	388		$	74		$	73
Unearned premiums change		25			18			(34)			(2)			43
Earned premiums		$	1,376		834			$	354		72			$	116
Underwriting profit		$	83		$	56		$	3		$	12		$	12
(Dollars in millions)	Nine months ended September 30, 2019
	Consolidated			Commercial			Personal			E&S			Other*
Premiums:
Written premiums		$	4,208		$	2,591		$	1,099		$	223		$	295
Unearned premiums change		(248)			(124)			(53)			(21)			(50)
Earned premiums		$	3,960		$	2,467		$	1,046		$	202		$	245
Underwriting profit		$	222		$	144		$	4		$	40		$	34
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on dollar amounts in thousands. *Included in Other are the results of Cincinnati Re and Cincinnati Global, acquired on February 28, 2019.

                                             CINF 3Q20 Release 15

Cincinnati Financial Corporation

Other Measures

•Value creation ratio: This is a measure of shareholder value creation that management believes captures the contribution of the company’s insurance operations, the success of its investment strategy and the importance placed on paying cash dividends to shareholders. The value creation ratio measure is made up of two primary components: (1) rate of growth in book value per share plus (2) the ratio of dividends declared per share to beginning book value per share. Management believes this measure is useful, providing a meaningful measure of long-term progress in creating shareholder value. It is intended to be all-inclusive regarding changes in book value per share, and uses originally reported book value per share in cases where book value per share has been adjusted, such as adoption of Accounting Standards Updates with a cumulative effect of a change in accounting.

•    Written premium: Under statutory accounting rules in the U.S., property casualty written premium is the amount recorded for policies issued and recognized on an annualized basis at the effective date of the policy. Management analyzes trends in written premium to assess business efforts. The difference between written and earned premium is unearned premium.

Value Creation Ratio Calculations

(Dollars are per share)	Three months ended September 30,							Nine months ended September 30,
		2020			2019				2020			2019
Value creation ratio:
End of period book value*		$	60.57		$	57.37			$	60.57		$	57.37
Less beginning of period book value		57.56			55.92				60.55			48.10
Change in book value		3.01			1.45				0.02			9.27
Dividend declared to shareholders		0.60			0.56				1.80			1.68
Total value creation		$	3.61		$	2.01			$	1.82		$	10.95
Value creation ratio from change in book value**		5.2		%	2.6		%		0.0		%	19.3		%
Value creation ratio from dividends declared to shareholders***		1.1			1.0				3.0			3.5
Value creation ratio		6.3		%	3.6		%		3.0		%	22.8		%
* 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

                                             CINF 3Q20 Release 16

EX-99.2

Cincinnati Financial Corporation

Supplemental Financial Data

for the period ending September 30, 2020

6200 South Gilmore Road

Fairfield, Ohio 45014-5141

cinfin.com

Investor Contact:	Media Contact:	Shareholder Contact:
Dennis E. McDaniel	Betsy E. Ertel	Brandon McIntosh
513-870-2768	513-603-5323	513-870-2696

	A.M. Best Company	Fitch Ratings	Moody's Investor Service	S&P Global Ratings
Cincinnati Financial Corporation
Corporate Debt	a	A-	A3	BBB+
The Cincinnati Insurance Companies
Insurer Financial Strength
Property Casualty Group
Standard Market Subsidiaries:	A+	—	A1	A+
The Cincinnati Insurance Company	A+	A+	A1	A+
The Cincinnati Indemnity Company	A+	A+	A1	A+
The Cincinnati Casualty Company	A+	A+	A1	A+
Surplus Lines Subsidiary:
The Cincinnati Specialty Underwriters Insurance Company	A+	—	—	—
The Cincinnati Life Insurance Company	A+	A+	—	A+

Ratings are as of October 23, 2020, under continuous review and subject to change and/or affirmation. For the current ratings, select Financial Strength on cinfin.com.

The consolidated financial statements and financial exhibits that follow are unaudited. These consolidated financial statements and exhibits should be read in conjunction with the consolidated financial statements and notes included with our periodic filings with the U.S. Securities and Exchange Commission. The results of operations for interim periods may not be indicative of results to be expected for the full year.

CINF Third-Quarter 2020 Supplemental Financial Data

1

	Cincinnati Financial Corporation
	Supplemental Financial Data
	for the period ending September 30, 2020
		Page
	Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures	3
Consolidated
	CFC and Subsidiaries Consolidation – Nine Months Ended September 30, 2020	4
	CFC and Subsidiaries Consolidation – Three Months Ended September 30, 2020	5
Consolidated Property Casualty Insurance Operations
	Losses Incurred Detail	6
	Loss Ratio Detail	7
	Loss Claim Count Detail	8
	Quarterly Property Casualty Data – Commercial Lines	9
	Quarterly Property Casualty Data – Personal Lines and Excess & Surplus Lines	10
	Loss and Loss Expense Analysis – Nine Months Ended September 30, 2020	11
	Loss and Loss Expense Analysis – Three Months Ended September 30, 2020	12
Reconciliation Data
	Quarterly Property Casualty Data – Consolidated	13
	Quarterly Property Casualty Data – Commercial Lines	14
	Quarterly Property Casualty Data – Personal Lines	15
	Quarterly Property Casualty Data – Excess & Surplus Lines	16
Statutory Statements of Income
	Consolidated Cincinnati Insurance Companies Statutory Statements of Income	17
	The Cincinnati Life Insurance Company Statutory Statements of Income	18
Other
	Quarterly Data – Other	19

CINF Third-Quarter 2020 Supplemental Financial Data

2

Definitions of Non-GAAP Information and

Reconciliation to Comparable GAAP Measures

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.

•Non-GAAP operating income: Non-GAAP operating income is calculated by excluding investment gains and losses (defined as investment gains and losses after applicable federal and state income taxes) and other significant non-recurring items from net income. Management evaluates non-GAAP operating income to measure the success of pricing, rate and underwriting strategies. While investment gains (or losses) are integral to the company’s insurance operations over the long term, the determination to realize investment gains or losses on fixed-maturity securities sold in any period may be subject to management’s discretion and is independent of the insurance underwriting process. Also, under applicable GAAP accounting requirements, gains and losses are recognized from certain changes in market values of securities without actual realization. Management believes that the level of investment gains or losses for any particular period, while it may be material, may not fully indicate the performance of ongoing underlying business operations in that period.

For these reasons, many investors and shareholders consider non-GAAP operating income to be one of the more meaningful measures for evaluating insurance company performance. Equity analysts who report on the insurance industry and the company generally focus on this metric in their analyses. The company presents non-GAAP operating income so that all investors have what management believes to be a useful supplement to GAAP information.

•    Consolidated property casualty insurance results: To supplement reporting segment disclosures related to our property casualty insurance operations, we also evaluate results for those operations on a basis that includes results for our property casualty insurance and brokerage services subsidiaries. That is the total of our commercial lines, personal lines and our excess and surplus lines segments plus our reinsurance assumed operations known as Cincinnati Re and our London-based global specialty underwriter known as Cincinnati Global.

•Life insurance subsidiary results: To supplement life insurance reporting segment disclosures related to our life insurance operation, we also evaluate results for that operation on a basis that includes life insurance subsidiary investment income, or investment income plus investment gains and losses, that are also included in our investments reporting segment. We recognize that assets under management, capital appreciation and investment income are integral to evaluating the success of the life insurance segment because of the long duration of life products.

Other Measures

•    Value creation ratio: This is a measure of shareholder value creation that management believes captures the contribution of the company’s insurance operations, the success of its investment strategy and the importance placed on paying cash dividends to shareholders. The value creation ratio measure is made up of two primary components: (1) rate of growth in book value per share plus (2) the ratio of dividends declared per share to beginning book value per share. Management believes this measure is useful, providing a meaningful measure of long-term progress in creating shareholder value. It is intended to be all-inclusive regarding changes in book value per share, and uses originally reported book value per share in cases where book value per share has been adjusted, such as adoption of Accounting Standards Updates with a cumulative effect of a change in accounting.

•    Statutory accounting rules: For public reporting, insurance companies prepare financial statements in accordance with GAAP. However, insurers also must calculate certain data according to statutory accounting rules for insurance company regulation in the United States of America as defined in the NAIC’s Accounting Practices and Procedures Manual, which may be, and has been, modified by various state insurance departments and differ from GAAP. Statutory data is publicly available, and various organizations use it to calculate aggregate industry data, study industry trends and compare insurance companies.

•    Written premium: Under statutory accounting rules in the U.S., property casualty written premium is the amount recorded for policies issued and recognized on an annualized basis at the effective date of the policy. Management analyzes trends in written premium to assess business efforts. The difference between written and earned premium is unearned premium.

CINF Third-Quarter 2020 Supplemental Financial Data

3

Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Nine Months Ended September 30, 2020
(Dollars in millions)	CFC		CONSOL P&C		CLIC		CFC-I		ELIM		Total
Revenues
Premiums earned:
Property casualty	$	—	$	4,405	$	—	$	—	$	—	$	4,405
Life	—		—		273		—		—		273
Premiums ceded	—		(163)		(55)		—		—		(218)
Total earned premium	—		4,242		218		—		—		4,460
Investment income, net of expenses	58		322		118		—		—		498
Investment gains and losses, net	134		(237)		(29)		—		—		(132)
Fee revenues	—		7		1		—		—		8
Other revenues	11		4		—		4		(11)		8
Total revenues	$	203	$	4,338	$	308	$	4	$	(11)	$	4,842
Benefits & expenses
Losses & contract holders' benefits	$	—	$	3,048	$	270	$	—	$	—	$	3,318
Reinsurance recoveries	—		(40)		(46)		—		—		(86)
Underwriting, acquisition and insurance expenses	—		1,309		63		—		—		1,372
Interest expense	40		—		—		—		—		40
Other operating expenses	24		—		—		2		(11)		15
Total expenses	$	64	$	4,317	$	287	$	2	$	(11)	$	4,659
Income before income taxes	$	139	$	21	$	21	$	2	$	—	$	183
Provision (benefit) for income taxes
Current operating income (loss)	$	(10)	$	105	$	14	$	—	$	—	$	109
Capital gains/losses	28		(50)		(6)		—		—		(28)
Deferred	6		(67)		(4)		—		—		(65)
Total provision (benefit) for income taxes	$	24	$	(12)	$	4	$	—	$	—	$	16
Net income - current year	$	115	$	33	$	17	$	2	$	—	$	167
Net income - prior year	$	385	$	955	$	30	$	1	$	—	$	1,371
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding.
Consolidated property casualty data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF Third-Quarter 2020 Supplemental Financial Data

4

Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Three Months Ended September 30, 2020
(Dollars in millions)	CFC		CONSOL P&C		CLIC		CFC-I		ELIM		Total
Revenues
Premiums earned:
Property casualty	$	—	$	1,517	$	—	$	—	$	—	$	1,517
Life	—		—		90		—		—		90
Premiums ceded	—		(67)		(18)		—		—		(85)
Total earned premium	—		1,450		72		—		—		1,522
Investment income, net of expenses	20		107		40		—		—		167
Investment gains and losses, net	281		250		2		—		—		533
Fee revenues	—		2		—		—		—		2
Other revenues	4		2		—		1		(4)		3
Total revenues	$	305	$	1,811	$	114	$	1	$	(4)	$	2,227
Benefits & expenses
Losses & contract holders' benefits	$	—	$	1,093	$	85	$	—	$	—	$	1,178
Reinsurance recoveries	—		(22)		(13)		—		—		(35)
Underwriting, acquisition and insurance expenses	—		432		20		—		—		452
Interest expense	13		—		—		—		—		13
Other operating expenses	8		—		—		1		(4)		5
Total expenses	$	21	$	1,503	$	92	$	1	$	(4)	$	1,613
Income before income taxes	$	284	$	308	$	22	$	—	$	—	$	614
Provision for income taxes
Current operating income (loss)	$	(41)	$	(20)	$	5	$	—	$	—	$	(56)
Capital gains/losses	58		52		1		—		—		111
Deferred	41		36		(2)		—		—		75
Total provision for income taxes	$	58	$	68	$	4	$	—	$	—	$	130
Net income - current year	$	226	$	240	$	18	$	—	$	—	$	484
Net income - prior year	$	40	$	196	$	12	$	—	$	—	$	248
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding.
Consolidated property casualty data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF Third-Quarter 2020 Supplemental Financial Data

5

Consolidated Property Casualty
Losses Incurred Detail
(Dollars in millions)	Three months ended															Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20		6/30/20		3/31/20		12/31/19		9/30/19		6/30/19		3/31/19		6/30/20		6/30/19		9/30/20		9/30/19		12/31/20	12/31/19
Consolidated
Current accident year losses greater than $5 million		$	21	$	19	$	—	$	14	$	(1)	$	14	$	—	$	19	$	14	$	40	$	13		$	27
Current accident year losses $1 million - $5 million		46		53		50		77		76		53		37		103		90		149		166			243
Large loss prior accident year reserve development		(3)		7		26		(4)		33		5		16		33		21		30		54			50
Total large losses incurred		$	64	$	79	$	76	$	87	$	108	$	72	$	53	$	155	$	125	$	219	$	233		$	320
Losses incurred but not reported		38		134		79		41		(24)		(14)		47		213		33		251		9			50
Other losses excluding catastrophe losses		550		409		496		512		566		547		493		905		1,039		1,455		1,606			2,118
Catastrophe losses		261		226		123		42		70		128		69		349		198		611		268			309
Total losses incurred		$	913	$	848	$	774	$	682	$	720	$	733	$	662	$	1,622	$	1,395	$	2,536	$	2,116		$	2,797
Commercial Lines
Current accident year losses greater than $5 million		$	21	$	19	$	—	$	14	$	(1)	$	14	$	—	$	19	$	14	$	40	$	13		$	27
Current accident year losses $1 million - $5 million		20		45		36		62		56		41		26		81		68		100		124			185
Large loss prior accident year reserve development		(1)		5		22		1		32		3		13		27		16		27		48			49
Total large losses incurred		$	40	$	69	$	58	$	77	$	87	$	58	$	39	$	127	$	98	$	167	$	185		$	261
Losses incurred but not reported		60		72		58		12		(22)		(7)		43		130		36		190		14			26
Other losses excluding catastrophe losses		287		233		298		302		314		320		286		531		605		817		919			1,222
Catastrophe losses		125		119		82		(9)		32		94		25		201		119		327		151			142
Total losses incurred		$	512	$	493	$	496	$	382	$	411	$	465	$	393	$	989	$	858	$	1,501	$	1,269		$	1,651
Personal Lines
Current accident year losses greater than $5 million		$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—		$	—
Current accident year losses $1 million - $5 million		21		8		12		11		20		10		10		20		19		42		39			51
Large loss prior accident year reserve development		(2)		2		5		(3)		(1)		1		2		7		3		4		2			(1)
Total large losses incurred		$	19	$	10	$	17	$	8	$	19	$	11	$	12	$	27	$	22	$	46	$	41		$	50
Losses incurred but not reported		(24)		41		24		17		—		(4)		4		65		—		41		(1)			17
Other losses excluding catastrophe losses		156		105		127		160		172		167		163		232		330		388		504			662
Catastrophe losses		81		89		38		33		23		34		45		127		79		208		101			135
Total losses incurred		$	232	$	245	$	206	$	218	$	214	$	208	$	224	$	451	$	431	$	683	$	645		$	864
Excess & Surplus Lines
Current accident year losses greater than $5 million		$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—		$	—
Current accident year losses $1 million - $5 million		5		—		2		4		—		2		1		2		3		7		3			7
Large loss prior accident year reserve development		—		—		(1)		(2)		2		1		1		(1)		2		(1)		4			2
Total large losses incurred		$	5	$	—	$	1	$	2	$	2	$	3	$	2	$	1	$	5	$	6	$	7		$	9
Losses incurred but not reported		2		21		(3)		12		(2)		(3)		—		18		(3)		20		(4)			7
Other losses excluding catastrophe losses		24		20		29		14		25		18		19		50		36		74		61			76
Catastrophe losses		1		3		1		1		1		—		—		3		1		4		1			2
Total losses incurred		$	32	$	44	$	28	$	29	$	26	$	18	$	21	$	72	$	39	$	104	$	65		$	94
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. The sum of quarterly amounts may not equal the full year as each is computed independently.
Consolidated property casualty data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF Third-Quarter 2020 Supplemental Financial Data

6

Consolidated Property Casualty
Loss Ratio Detail
	Three months ended															Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20		6/30/20		3/31/20		12/31/19		9/30/19		6/30/19		3/31/19		6/30/20		6/30/19		9/30/20		9/30/19		12/31/20	12/31/19
Consolidated
Current accident year losses greater than $5 million		1.5	%	1.4	%	—	%	1.1	%	(0.1)	%	1.1	%	—	%	0.7	%	0.5	%	0.9	%	0.3	%		0.5	%
Current accident year losses $1 million - $5 million		3.2		3.7		3.6		5.6		5.5		4.0		2.9		3.7		3.5		3.5		4.2			4.6
Large loss prior accident year reserve development		(0.3)		0.5		1.9		(0.4)		2.4		0.4		1.2		1.2		0.8		0.8		1.4			0.9
Total large loss ratio		4.4	%	5.6	%	5.5	%	6.3	%	7.8	%	5.5	%	4.1	%	5.6	%	4.8	%	5.2	%	5.9	%		6.0	%
Losses incurred but not reported		2.6		9.6		5.7		3.0		(1.8)		(1.1)		3.7		7.6		1.3		5.9		0.2			0.9
Other losses excluding catastrophe losses		38.0		29.2		35.6		37.3		41.2		41.6		38.9		32.4		40.2		34.3		40.5			39.7
Catastrophe losses		18.0		16.1		8.9		3.0		5.1		9.7		5.5		12.5		7.7		14.4		6.8			5.8
Total loss ratio		63.0	%	60.5	%	55.7	%	49.6	%	52.3	%	55.7	%	52.2	%	58.1	%	54.0	%	59.8	%	53.4	%		52.4	%
Commercial Lines
Current accident year losses greater than $5 million		2.5	%	2.2	%	—	%	1.7	%	(0.1)	%	1.7	%	—	%	1.1	%	0.9	%	1.5	%	0.5	%		0.8	%
Current accident year losses $1 million - $5 million		2.3		5.1		4.1		7.0		6.8		5.0		3.3		4.6		4.1		3.9		5.1			5.6
Large loss prior accident year reserve development		(0.2)		0.6		2.6		0.2		3.8		0.4		1.6		1.6		1.0		1.0		1.9			1.5
Total large loss ratio		4.6	%	7.9	%	6.7	%	8.9	%	10.5	%	7.1	%	4.9	%	7.3	%	6.0	%	6.4	%	7.5	%		7.9	%
Losses incurred but not reported		6.9		8.3		6.8		1.5		(2.6)		(0.9)		5.4		7.5		2.2		7.3		0.6			0.8
Other losses excluding catastrophe losses		33.1		26.8		34.5		35.4		37.6		38.9		35.1		30.7		37.0		31.5		37.2			36.7
Catastrophe losses		14.5		13.6		9.5		(1.0)		3.8		11.4		3.1		11.6		7.3		12.6		6.1			4.3
Total loss ratio		59.1	%	56.6	%	57.5	%	44.8	%	49.3	%	56.5	%	48.5	%	57.1	%	52.5	%	57.8	%	51.4	%		49.7	%
Personal Lines
Current accident year losses greater than $5 million		—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%		—	%
Current accident year losses $1 million - $5 million		5.8		2.3		3.5		3.5		5.4		2.8		2.8		2.9		2.8		3.8		3.7			3.6
Large loss prior accident year reserve development		(0.7)		0.5		1.3		(1.0)		(0.2)		0.3		0.6		0.9		0.4		0.4		0.2			(0.1)
Total large loss ratio		5.1	%	2.8	%	4.8	%	2.5	%	5.2	%	3.1	%	3.4	%	3.8	%	3.2	%	4.2	%	3.9	%		3.5	%
Losses incurred but not reported		(6.6)		11.3		6.6		5.1		(0.1)		(1.1)		1.0		8.9		(0.1)		3.7		(0.1)			1.2
Other losses excluding catastrophe losses		42.5		28.8		35.3		44.2		48.9		48.0		47.4		32.2		47.8		35.6		48.1			47.2
Catastrophe losses		22.1		24.6		10.5		9.4		6.4		9.7		13.1		17.5		11.4		19.1		9.7			9.6
Total loss ratio		63.1	%	67.5	%	57.2	%	61.2	%	60.4	%	59.7	%	64.9	%	62.4	%	62.3	%	62.6	%	61.6	%		61.5	%
Excess & Surplus Lines
Current accident year losses greater than $5 million		—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%	—	%		—	%
Current accident year losses $1 million - $5 million		6.4		—		2.6		5.4		—		3.0		1.6		1.3		2.4		3.0		1.5			2.5
Large loss prior accident year reserve development		0.1		0.1		(1.5)		(2.7)		2.7		1.5		1.2		(0.7)		1.3		(0.4)		1.8			0.6
Total large loss ratio		6.5	%	0.1	%	1.1	%	2.7	%	2.7	%	4.5	%	2.8	%	0.6	%	3.7	%	2.6	%	3.3	%		3.1	%
Losses incurred but not reported		2.6		27.2		(4.4)		14.4		(2.6)		(4.5)		0.8		11.3		(1.9)		8.4		(2.2)			2.4
Other losses excluding catastrophe losses		29.5		25.8		37.8		20.5		34.5		26.7		29.1		31.9		27.9		31.0		30.3			27.7
Catastrophe losses		1.2		3.3		0.9		0.4		1.0		0.5		0.2		2.1		0.3		1.8		0.6			0.5
Total loss ratio		39.8	%	56.4	%	35.4	%	38.0	%	35.6	%	27.2	%	32.9	%	45.9	%	30.0	%	43.8	%	32.0	%		33.7	%
*Certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
Consolidated property casualty data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF Third-Quarter 2020 Supplemental Financial Data

7

Consolidated Property Casualty
Loss Claim Count Detail
	Three months ended								Six months ended		Nine months ended		Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20	12/31/19	9/30/19	6/30/19	3/31/19	6/30/20	6/30/19	9/30/20	9/30/19	12/31/20	12/31/19
Consolidated
Current accident year reported losses greater than $5 million		2	2	—	2	1	2	—	2	2	5	2		4
Current accident year reported losses $1 million - $5 million		34	28	27	39	35	31	19	55	50	85	88		137
Prior accident year reported losses on large losses		13	9	20	9	18	13	10	27	24	41	44		55
Non-Catastrophe reported losses on large losses total		49	39	47	50	54	46	29	84	76	131	134		196
Commercial Lines
Current accident year reported losses greater than $5 million		2	2	—	2	1	2	—	2	2	5	2		4
Current accident year reported losses $1 million - $5 million		19	24	17	27	27	23	12	41	35	57	64		100
Prior accident year reported losses on large losses		12	8	17	8	18	10	7	23	19	36	38		49
Non-Catastrophe reported losses on large losses total		33	34	34	37	46	35	19	66	56	98	104		153
Personal Lines
Current accident year reported losses greater than $5 million		—	—	—	—	—	—	—	—	—	—	—		—
Current accident year reported losses $1 million - $5 million		9	4	8	8	8	6	6	12	12	21	21		30
Prior accident year reported losses on large losses		—	—	3	1	—	1	2	3	3	3	3		4
Non-Catastrophe reported losses on large losses total		9	4	11	9	8	7	8	15	15	24	24		34
Excess & Surplus Lines
Current accident year reported losses greater than $5 million		—	—	—	—	—	—	—	—	—	—	—		—
Current accident year reported losses $1 million - $5 million		6	—	2	4	—	2	1	2	3	7	3		7
Prior accident year reported losses on large losses		1	1	—	—	—	2	1	1	2	2	3		2
Non-Catastrophe reported losses on large losses total		7	1	2	4	—	4	2	3	5	9	6		9
*The sum of quarterly amounts may not equal the full year as each is computed independently.

CINF Third-Quarter 2020 Supplemental Financial Data

8

Quarterly Property Casualty Data - Commercial Lines
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Commercial casualty:
Written premiums		$	269		$	308		$	341		$	269		$	263		$	296		$	303		$	649		$	599		$	918		$	862			$	1,131
Year over year change %- written premium		2		%	4		%	13		%	7		%	5		%	2		%	6		%	8		%	4		%	6		%	4		%		5		%
Earned premiums		$	290		$	289		$	289		$	280		$	277		$	277		$	268		$	577		$	545		$	868		$	822			$	1,102
Current accident year before catastrophe losses		63.1		%	62.6		%	65.8		%	67.5		%	66.1		%	67.4		%	66.7		%	64.1		%	67.0		%	63.8		%	66.7		%		66.9		%
Current accident year catastrophe losses		—			—			—			—			—			—			—			—			—			—			—				—
Prior accident years before catastrophe losses		(3.2)			(7.5)			(1.6)			(4.8)			(2.9)			(9.3)			(11.5)			(4.5)			(10.3)			(4.1)			(7.8)				(7.1)
Prior accident years catastrophe losses		—			—			—			—			—			—			—			—			—			—			—				—
Total loss and loss expense ratio		59.9		%	55.1		%	64.2		%	62.7		%	63.2		%	58.1		%	55.2		%	59.6		%	56.7		%	59.7		%	58.9		%		59.8		%
Commercial property:
Written premiums		$	252		$	260		$	261		$	246		$	245		$	247		$	247		$	521		$	494		$	773		$	739			$	985
Year over year change %- written premium		3		%	5		%	6		%	10		%	6		%	3		%	4		%	5		%	3		%	5		%	4		%		6		%
Earned premiums		$	252		$	254		$	249		$	249		$	241		$	234		$	234		$	504		$	468		$	755		$	709			$	958
Current accident year before catastrophe losses		53.0		%	50.9		%	47.8		%	50.3		%	49.4		%	49.0		%	51.5		%	49.4		%	50.3		%	50.6		%	50.0		%		50.1		%
Current accident year catastrophe losses		50.5			48.5			34.2			0.2			15.0			43.5			13.8			41.4			28.6			44.4			24.0				17.8
Prior accident years before catastrophe losses		(1.3)			1.9			0.7			(1.3)			(1.1)			0.8			1.9			1.3			1.3			0.5			0.5				0.1
Prior accident years catastrophe losses		0.3			(2.0)			(1.1)			(2.6)			(1.9)			(3.6)			(2.6)			(1.6)			(3.0)			(1.0)			(2.7)				(2.7)
Total loss and loss expense ratio		102.5		%	99.3		%	81.6		%	46.6		%	61.4		%	89.7		%	64.6		%	90.5		%	77.2		%	94.5		%	71.8		%		65.3		%
Commercial auto:
Written premiums		$	171		$	205		$	208		$	175		$	176		$	196		$	188		$	413		$	384		$	584		$	560			$	735
Year over year change %- written premium		(3)		%	5		%	11		%	7		%	10		%	8		%	6		%	8		%	7		%	4		%	8		%		8		%
Earned premiums		$	189		$	189		$	185		$	183		$	179		$	175		$	170		$	374		$	345		$	563		$	524			$	707
Current accident year before catastrophe losses		56.2		%	64.2		%	70.9		%	68.1		%	67.8		%	70.5		%	74.5		%	67.5		%	72.5		%	63.7		%	70.9		%		70.2		%
Current accident year catastrophe losses		0.4			2.2			1.2			(0.3)			1.5			1.4			0.3			1.7			0.9			1.3			1.1				0.7
Prior accident years before catastrophe losses		5.5			(1.1)			3.3			0.7			1.7			1.0			(6.7)			1.1			(2.9)			2.5			(1.3)				(0.8)
Prior accident years catastrophe losses		(0.1)			—			(0.2)			—			(0.1)			—			—			(0.1)			—			(0.1)			(0.1)				—
Total loss and loss expense ratio		62.0		%	65.3		%	75.2		%	68.5		%	70.9		%	72.9		%	68.1		%	70.2		%	70.5		%	67.4		%	70.6		%		70.1		%
Workers' compensation:
Written premiums		$	51		$	65		$	92		$	63		$	62		$	75		$	94		$	157		$	169		$	208		$	231			$	294
Year over year change %- written premium		(18)		%	(13)		%	(2)		%	(6)		%	(6)		%	(10)		%	(1)		%	(7)		%	(5)		%	(10)		%	(5)		%		(5)		%
Earned premiums		$	64		$	68		$	75		$	76		$	73		$	74		$	77		$	143		$	151		$	207		$	224			$	300
Current accident year before catastrophe losses		81.7		%	81.8		%	81.1		%	85.4		%	81.1		%	78.0		%	78.8		%	81.4		%	78.4		%	81.5		%	79.3		%		80.8		%
Current accident year catastrophe losses		—			—			—			—			—			—			—			—			—			—			—				—
Prior accident years before catastrophe losses		(9.6)			(27.8)			(9.8)			(20.1)			(27.0)			(35.9)			(20.1)			(18.3)			(27.9)			(15.7)			(27.7)				(25.7)
Prior accident years catastrophe losses		—			—			—			—			—			—			—			—			—			—			—				—
Total loss and loss expense ratio		72.1		%	54.0		%	71.3		%	65.3		%	54.1		%	42.1		%	58.7		%	63.1		%	50.5		%	65.8		%	51.6		%		55.1		%
Other commercial:
Written premiums		$	71		$	70		$	70		$	66		$	70		$	65		$	64		$	140		$	129		$	211		$	199			$	265
Year over year change %- written premium		1		%	8		%	9		%	16		%	8		%	10		%	10		%	9		%	10		%	6		%	9		%		10		%
Earned premiums		$	70		$	70		$	65		$	64		$	64		$	63		$	61		$	135		$	124		$	205		$	188			$	252
Current accident year before catastrophe losses		36.0		%	35.5		%	39.1		%	38.2		%	34.3		%	33.7		%	38.0		%	37.3		%	35.8		%	36.9		%	35.4		%		36.0		%
Current accident year catastrophe losses		0.3			0.1			0.1			0.1			(0.2)			0.3			0.4			0.1			0.3			0.2			0.1				0.1
Prior accident years before catastrophe losses		(0.7)			(1.7)			1.7			(3.3)			(2.1)			(1.9)			(4.1)			(0.1)			(3.0)			(0.3)			(2.7)				(2.8)
Prior accident years catastrophe losses		(0.1)			—			0.2			(0.3)			0.8			—			0.2			0.1			0.1			—			0.3				0.2
Total loss and loss expense ratio		35.5		%	33.9		%	41.1		%	34.7		%	32.8		%	32.1		%	34.5		%	37.4		%	33.2		%	36.8		%	33.1		%		33.5		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently.

CINF Third-Quarter 2020 Supplemental Financial Data

9

Quarterly Property Casualty Data - Personal Lines
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Personal auto:
Written premiums		$	166		$	169		$	137		$	141		$	166		$	173		$	140		$	306		$	313		$	472		$	479			$	620
Year over year change %- written premium		—		%	(2)		%	(2)		%	—		%	(2)		%	—		%	—		%	(2)		%	—		%	(1)		%	—		%		—		%
Earned premiums		$	154		$	154		$	154		$	155		$	156		$	155		$	155		$	308		$	310		$	462		$	466			$	621
Current accident year before catastrophe losses		48.5		%	64.7		%	69.4		%	70.8		%	70.2		%	73.8		%	76.2		%	67.0		%	75.0		%	60.9		%	73.4		%		72.7		%
Current accident year catastrophe losses		2.6			1.5			2.1			0.4			1.2			1.8			0.5			1.8			1.1			2.0			1.1				1.0
Prior accident years before catastrophe losses		0.5			(4.2)			(8.1)			(1.7)			(2.0)			(9.4)			(3.3)			(6.1)			(6.3)			(3.9)			(4.9)				(4.1)
Prior accident years catastrophe losses		—			(0.2)			(0.4)			—			(0.1)			(0.2)			—			(0.3)			(0.1)			(0.2)			(0.1)				(0.1)
Total loss and loss expense ratio		51.6		%	61.8		%	63.0		%	69.5		%	69.3		%	66.0		%	73.4		%	62.4		%	69.7		%	58.8		%	69.5		%		69.5		%
Homeowner:
Written premiums		$	189		$	197		$	140		$	152		$	173		$	176		$	130		$	337		$	306		$	526		$	479			$	631
Year over year change %- written premium		9		%	12		%	8		%	8		%	7		%	8		%	7		%	10		%	8		%	10		%	7		%		7		%
Earned premiums		$	165		$	163		$	159		$	157		$	154		$	149		$	147		$	322		$	296		$	487		$	450			$	607
Current accident year before catastrophe losses		48.2		%	45.0		%	53.5		%	55.7		%	60.9		%	53.1		%	51.9		%	49.2		%	52.5		%	48.9		%	55.3		%		55.5		%
Current accident year catastrophe losses		46.1			51.7			23.8			21.7			14.0			22.6			23.2			37.9			22.9			40.7			19.9				20.3
Prior accident years before catastrophe losses		1.7			4.5			(8.7)			(2.2)			1.0			4.5			2.0			(2.0)			3.3			(0.8)			2.5				1.3
Prior accident years catastrophe losses		(1.6)			(0.1)			(2.3)			(0.5)			(0.8)			(2.2)			5.7			(1.2)			1.7			(1.3)			0.9				0.5
Total loss and loss expense ratio		94.4		%	101.1		%	66.3		%	74.7		%	75.1		%	78.0		%	82.8		%	83.9		%	80.4		%	87.5		%	78.6		%		77.6		%
Other personal:
Written premiums		$	52		$	57		$	42		$	43		$	49		$	53		$	39		$	99		$	92		$	151		$	141			$	184
Year over year change %- written premium		6		%	8		%	8		%	5		%	7		%	15		%	10		%	8		%	13		%	7		%	11		%		10		%
Earned premiums		$	48		$	47		$	46		$	46		$	44		$	44		$	42		$	93		$	86		$	141		$	130			$	176
Current accident year before catastrophe losses		49.6		%	48.5		%	50.5		%	60.9		%	51.4		%	51.5		%	33.6		%	49.5		%	42.7		%	49.5		%	45.7		%		49.6		%
Current accident year catastrophe losses		10.6			11.8			4.6			2.9			4.3			4.7			5.6			8.2			5.1			9.0			4.8				4.3
Prior accident years before catastrophe losses		(0.7)			(1.4)			6.3			(5.9)			(6.4)			(7.7)			(6.1)			2.4			(6.9)			1.4			(6.7)				(6.5)
Prior accident years catastrophe losses		(0.2)			(0.7)			(0.6)			(0.5)			(0.7)			0.4			0.1			(0.6)			0.2			(0.5)			(0.1)				(0.2)
Total loss and loss expense ratio		59.3		%	58.2		%	60.8		%	57.4		%	48.6		%	48.9		%	33.2		%	59.5		%	41.1		%	59.4		%	43.7		%		47.2		%
Quarterly Property Casualty Data - Excess & Surplus Lines
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Excess & Surplus:
Written premiums		$	80		$	91		$	85		$	80		$	74		$	78		$	71		$	176		$	149		$	256		$	223			$	303
Year over year change %- written premium		8		%	17		%	20		%	23		%	25		%	22		%	16		%	18		%	19		%	15		%	21		%		22		%
Earned premiums		$	82		$	78		$	78		$	76		$	72		$	67		$	63		$	156		$	130		$	238		$	202			$	278
Current accident year before catastrophe losses		58.5		%	59.0		%	55.7		%	54.3		%	57.6		%	50.8		%	55.5		%	57.4		%	53.1		%	57.8		%	54.7		%		54.6		%
Current accident year catastrophe losses		1.0			3.6			0.5			—			0.6			0.7			0.3			2.0			0.5			1.7			0.5				0.4
Prior accident years before catastrophe losses		(1.5)			11.2			0.7			(0.4)			(6.0)			(6.2)			(4.2)			5.9			(5.2)			3.4			(5.5)				(4.1)
Prior accident years catastrophe losses		0.2			(0.2)			0.5			0.5			0.5			(0.2)			(0.1)			0.2			(0.1)			0.1			0.1				0.2
Total loss and loss expense ratio		58.2		%	73.6		%	57.4		%	54.4		%	52.7		%	45.1		%	51.5		%	65.5		%	48.3		%	63.0		%	49.8		%		51.1		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently.

CINF Third-Quarter 2020 Supplemental Financial Data

10

Consolidated Property Casualty Loss and Loss Expense Analysis
(Dollars in millions)							Change in		Change in		Change in		Total						Loss
	Paid		Paid loss		Total		case		IBNR		loss expense		change in		Case		IBNR		expense		Total
	losses		expense		paid		reserves		reserves		reserves		reserves		incurred		incurred		incurred		incurred
Gross loss and loss expense incurred for the nine months ended September 30, 2020
Commercial casualty	$	264	$	138	$	402	$	27	$	75	$	14	$	116	$	291	$	75	$	152	$	518
Commercial property	547		54		601		66		71		—		137		613		71		54		738
Commercial auto	278		63		341		(13)		53		(1)		39		265		53		62		380
Workers' compensation	109		26		135		(1)		13		(7)		5		108		13		19		140
Other commercial	49		11		60		(12)		4		25		17		37		4		36		77
Total commercial lines	1,247		292		1,539		67		216		31		314		1,314		216		323		1,853
Personal auto	220		59		279		(25)		30		(9)		(4)		195		30		50		275
Homeowners	314		42		356		49		21		1		71		363		21		43		427
Other personal	48		5		53		10		20		—		30		58		20		5		83
Total personal lines	582		106		688		34		71		(8)		97		616		71		98		785
Excess & surplus lines	53		29		82		38		19		17		74		91		19		46		156
Other	130		5		135		6		113		—		119		136		113		5		254
Total property casualty	$	2,012	$	432	$	2,444	$	145	$	419	$	40	$	604	$	2,157	$	419	$	472	$	3,048
Ceded loss and loss expense incurred for the nine months ended September 30, 2020
Commercial casualty	$	1	$	—	$	1	$	(2)	$	—	$	—	$	(2)	$	(1)	$	—	$	—	$	(1)
Commercial property	62		1		63		(45)		6		—		(39)		17		6		1		24
Commercial auto	—		—		—		—		—		—		—		—		—		—		—
Workers' compensation	8		—		8		(3)		(2)		—		(5)		5		(2)		—		3
Other commercial	3		—		3		—		—		—		—		3		—		—		3
Total commercial lines	74		1		75		(50)		4		—		(46)		24		4		1		29
Personal auto	2		—		2		2		(1)		—		1		4		(1)		—		3
Homeowners	3		—		3		(3)		—		—		(3)		—		—		—		—
Other personal	—		—		—		—		—		—		—		—		—		—		—
Total personal lines	5		—		5		(1)		(1)		—		(2)		4		(1)		—		3
Excess & surplus lines	2		—		2		3		1		—		4		5		1		—		6
Other	14		1		15		(11)		(2)		—		(13)		3		(2)		1		2
Total property casualty	$	95	$	2	$	97	$	(59)	$	2	$	—	$	(57)	$	36	$	2	$	2	$	40
Net loss and loss expense incurred for the nine months ended September 30, 2020
Commercial casualty	$	263	$	138	$	401	$	29	$	75	$	14	$	118	$	292	$	75	$	152	$	519
Commercial property	485		53		538		111		65		—		176		596		65		53		714
Commercial auto	278		63		341		(13)		53		(1)		39		265		53		62		380
Workers' compensation	101		26		127		2		15		(7)		10		103		15		19		137
Other commercial	46		11		57		(12)		4		25		17		34		4		36		74
Total commercial lines	1,173		291		1,464		117		212		31		360		1,290		212		322		1,824
Personal auto	218		59		277		(27)		31		(9)		(5)		191		31		50		272
Homeowners	311		42		353		52		21		1		74		363		21		43		427
Other personal	48		5		53		10		20		—		30		58		20		5		83
Total personal lines	577		106		683		35		72		(8)		99		612		72		98		782
Excess & surplus lines	51		29		80		35		18		17		70		86		18		46		150
Other	116		4		120		17		115		—		132		133		115		4		252
Total property casualty	$	1,917	$	430	$	2,347	$	204	$	417	$	40	$	661	$	2,121	$	417	$	470	$	3,008
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding.
Other data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF Third-Quarter 2020 Supplemental Financial Data

11

Consolidated Property Casualty Loss and Loss Expense Analysis
(Dollars in millions)							Change in		Change in		Change in		Total						Loss
	Paid		Paid loss		Total		case		IBNR		loss expense		change in		Case		IBNR		expense		Total
	losses		expense		paid		reserves		reserves		reserves		reserves		incurred		incurred		incurred		incurred
Gross loss and loss expense incurred for the three months ended September 30, 2020
Commercial casualty	$	87	$	51	$	138	$	—	$	27	$	8	$	35	$	87	$	27	$	59	$	173
Commercial property	185		20		205		36		40		(14)		62		221		40		6		267
Commercial auto	85		19		104		8		2		3		13		93		2		22		117
Workers' compensation	31		9		40		5		3		—		8		36		3		9		48
Other commercial	12		4		16		2		—		9		11		14		—		13		27
Total commercial lines	400		103		503		51		72		6		129		451		72		109		632
Personal auto	72		19		91		1		(10)		(2)		(11)		73		(10)		17		80
Homeowners	115		17		132		32		(2)		(3)		27		147		(2)		14		159
Other personal	15		2		17		6		6		—		12		21		6		2		29
Total personal lines	202		38		240		39		(6)		(5)		28		241		(6)		33		268
Excess & surplus lines	15		10		25		18		2		5		25		33		2		15		50
Other	41		1		42		14		87		—		101		55		87		1		143
Total property casualty	$	658	$	152	$	810	$	122	$	155	$	6	$	283	$	780	$	155	$	158	$	1,093
Ceded loss and loss expense incurred for the three months ended September 30, 2020
Commercial casualty	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Commercial property	18		—		18		(17)		9		—		(8)		1		9		—		10
Commercial auto	—		—		—		—		—		—		—		—		—		—		—
Workers' compensation	3		—		3		(2)		—		—		(2)		1		—		—		1
Other commercial	1		—		1		—		—		—		—		1		—		—		1
Total commercial lines	22		—		22		(19)		9		—		(10)		3		9		—		12
Personal auto	—		—		—		—		—		—		—		—		—		—		—
Homeowners	2		—		2		(1)		2		—		1		1		2		—		3
Other personal	—		—		—		—		—		—		—		—		—		—		—
Total personal lines	2		—		2		(1)		2		—		1		1		2		—		3
Excess & surplus lines	1		—		1		1		—		—		1		2		—		—		2
Other	5		1		6		(4)		3		—		(1)		1		3		1		5
Total property casualty	$	30	$	1	$	31	$	(23)	$	14	$	—	$	(9)	$	7	$	14	$	1	$	22
Net loss and loss expense incurred for the three months ended September 30, 2020
Commercial casualty	$	87	$	51	$	138	$	—	$	27	$	8	$	35	$	87	$	27	$	59	$	173
Commercial property	167		20		187		53		31		(14)		70		220		31		6		257
Commercial auto	85		19		104		8		2		3		13		93		2		22		117
Workers' compensation	28		9		37		7		3		—		10		35		3		9		47
Other commercial	11		4		15		2		—		9		11		13		—		13		26
Total commercial lines	378		103		481		70		63		6		139		448		63		109		620
Personal auto	72		19		91		1		(10)		(2)		(11)		73		(10)		17		80
Homeowners	113		17		130		33		(4)		(3)		26		146		(4)		14		156
Other personal	15		2		17		6		6		—		12		21		6		2		29
Total personal lines	200		38		238		40		(8)		(5)		27		240		(8)		33		265
Excess & surplus lines	14		10		24		17		2		5		24		31		2		15		48
Other	36		—		36		18		84		—		102		54		84		—		138
Total property casualty	$	628	$	151	$	779	$	145	$	141	$	6	$	292	$	773	$	141	$	157	$	1,071
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding.
Other data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF Third-Quarter 2020 Supplemental Financial Data

12

Quarterly Property Casualty Data - Consolidated
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums		$	1,153		$	1,244		$	1,198		$	1,084		$	1,119		$	1,186		$	1,130		$	2,442		$	2,316		$	3,595		$	3,435			$	4,519
Agency new business written premiums		189			210			215			193			192			212			181			425			393			614			585				778
Other written premiums		51			105			105			31			40			78			70			210			148			261			188				219
Net written premiums		$	1,393		$	1,559		$	1,518		$	1,308		$	1,351		$	1,476		$	1,381		$	3,077		$	2,857		$	4,470		$	4,208			$	5,516
Unearned premium change		57			(156)			(129)			66			25			(159)			(114)			(285)			(273)			(228)			(248)				(182)
Earned premiums		$	1,450		$	1,403		$	1,389		$	1,374		$	1,376		$	1,317		$	1,267		$	2,792		$	2,584		$	4,242		$	3,960			$	5,334
Year over year change %
Agency renewal written premiums		3		%	5		%	6		%	5		%	3		%	3		%	4		%	5		%	4		%	5		%	3		%		4		%
Agency new business written premiums		(2)			(1)			19			22			25			17			14			8			16			5			18				19
Other written premiums		28			35			50			nm			nm			333			338			42			335			39			395				nm
Net written premiums		3			6			10			11			8			9			10			8			10			6			9				10
Paid losses and loss expenses
Losses paid		$	628		$	624		$	663		$	677		$	703		$	677		$	692		$	1,289		$	1,369		$	1,917		$	2,072			$	2,748
Loss expenses paid		151			127			154			131			127			121			132			279			253			430			380				512
Loss and loss expenses paid		$	779		$	751		$	817		$	808		$	830		$	798		$	824		$	1,568		$	1,622		$	2,347		$	2,452			$	3,260
Incurred losses and loss expenses
Loss and loss expense incurred		$	1,071		$	1,007		$	930		$	835		$	864		$	863		$	790		$	1,937		$	1,653		$	3,008		$	2,517			$	3,352
Loss and loss expenses paid as a % of incurred		72.7		%	74.6		%	87.7		%	96.8		%	96.1		%	92.5		%	104.3		%	80.9		%	98.1		%	78.0		%	97.4		%		97.3		%
Statutory combined ratio
Loss ratio		59.8		%	60.4		%	56.1		%	49.6		%	52.1		%	55.7		%	52.5		%	58.2		%	54.1		%	58.8		%	53.4		%		52.5		%
Loss adjustment expense ratio		11.3			11.6			11.3			11.3			11.0			9.9			10.1			11.5			10.1			11.4			10.4				10.6
Net underwriting expense ratio		30.2			28.8			29.2			32.1			31.2			29.3			28.9			29.0			29.1			29.3			29.8				30.3
US Statutory combined ratio		101.3		%	100.8		%	96.6		%	93.0		%	94.3		%	94.9		%	91.5		%	98.7		%	93.3		%	99.5		%	93.6		%		93.4		%
Contribution from catastrophe losses		16.0			15.8			9.3			2.9			4.9			10.5			5.8			12.6			8.2			13.7			7.1				6.0
Statutory combined ratio excl. catastrophe losses		85.3		%	85.0		%	87.3		%	90.1		%	89.4		%	84.4		%	85.7		%	86.1		%	85.1		%	85.8		%	86.5		%		87.4		%
GAAP combined ratio
GAAP combined ratio		103.6		%	103.1		%	98.5		%	91.6		%	94.2		%	96.5		%	93.0		%	100.8		%	94.8		%	101.8		%	94.6		%		93.8		%
Contribution from catastrophe losses		18.3			16.5			9.1			3.3			5.3			10.0			5.8			12.8			7.9			14.7			7.1				6.0
GAAP combined ratio excl. catastrophe losses		85.3		%	86.6		%	89.4		%	88.3		%	88.9		%	86.5		%	87.2		%	88.0		%	86.9		%	87.1		%	87.5		%		87.8		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. *nm - Not meaningful *Statutory ratios exclude the results of Cincinnati Global, which was acquired on February 28, 2019. Consolidated property casualty data includes the results of Cincinnati Re and Cincinnati Global.

CINF Third-Quarter 2020 Supplemental Financial Data

13

Quarterly Property Casualty Data - Commercial Lines
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums		$	727		$	794		$	842		$	719		$	713		$	767		$	799		$	1,636		$	1,566		$	2,363		$	2,279			$	2,998
Agency new business written premiums		114			134			154			129			124			137			120			288			257			402			381				510
Other written premiums		(27)			(20)			(24)			(29)			(21)			(25)			(23)			(44)			(48)			(71)			(69)				(98)
Net written premiums		$	814		$	908		$	972		$	819		$	816		$	879		$	896		$	1,880		$	1,775		$	2,694		$	2,591			$	3,410
Unearned premium change		51			(38)			(109)			33			18			(56)			(86)			(147)			(142)			(96)			(124)				(91)
Earned premiums		$	865		$	870		$	863		$	852		$	834		$	823		$	810		$	1,733		$	1,633		$	2,598		$	2,467			$	3,319
Year over year change %
Agency renewal written premiums		2		%	4		%	5		%	4		%	2		%	1		%	4		%	4		%	2		%	4		%	2		%		2		%
Agency new business written premiums		(8)			(2)			28			28			32			16			15			12			16			6			21				22
Other written premiums		(29)			20			(4)			15			5			(25)			(10)			8			(17)			(3)			(10)				(1)
Net written premiums		—			3			8			8			5			3			5			6			4			4			4				5
Paid losses and loss expenses
Losses paid		$	378		$	367		$	426		$	418		$	417		$	394		$	436		$	795		$	830		$	1,173		$	1,247			$	1,665
Loss expenses paid		103			86			103			91			89			85			92			189			178			291			266				358
Loss and loss expenses paid		$	481		$	453		$	529		$	509		$	506		$	479		$	528		$	984		$	1,008		$	1,464		$	1,513			$	2,023
Incurred losses and loss expenses
Loss and loss expense incurred		$	620		$	596		$	608		$	489		$	510		$	550		$	481		$	1,204		$	1,031		$	1,824		$	1,541			$	2,030
Loss and loss expenses paid as a % of incurred		77.6		%	76.0		%	87.0		%	104.1		%	99.2		%	87.1		%	109.8		%	81.7		%	97.8		%	80.3		%	98.2		%		99.7		%
Statutory combined ratio
Loss ratio		59.1		%	56.7		%	57.5		%	44.8		%	49.3		%	56.5		%	48.5		%	57.0		%	52.5		%	57.8		%	51.5		%		49.7		%
Loss adjustment expense ratio		12.5			11.8			12.9			12.6			11.9			10.3			10.9			12.4			10.6			12.4			11.0				11.5
Net underwriting expense ratio		32.0			28.6			28.9			32.8			32.7			30.2			28.9			28.8			29.6			29.7			30.6				31.1
Statutory combined ratio		103.6		%	97.1		%	99.3		%	90.2		%	93.9		%	97.0		%	88.3		%	98.2		%	92.7		%	99.9		%	93.1		%		92.3		%
Contribution from catastrophe losses		14.8			14.0			9.8			(0.7)			4.1			11.7			3.3			11.9			7.5			12.9			6.4				4.5
Statutory combined ratio excl. catastrophe losses		88.8		%	83.1		%	89.5		%	90.9		%	89.8		%	85.3		%	85.0		%	86.3		%	85.2		%	87.0		%	86.7		%		87.8		%
GAAP combined ratio
GAAP combined ratio		102.4		%	99.1		%	102.5		%	88.8		%	93.4		%	98.6		%	90.8		%	100.8		%	94.7		%	101.3		%	94.3		%		92.9		%
Contribution from catastrophe losses		14.8			14.0			9.8			(0.7)			4.1			11.7			3.3			11.9			7.5			12.9			6.4				4.5
GAAP combined ratio excl. catastrophe losses		87.6		%	85.1		%	92.7		%	89.5		%	89.3		%	86.9		%	87.5		%	88.9		%	87.2		%	88.4		%	87.9		%		88.4		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. *nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

CINF Third-Quarter 2020 Supplemental Financial Data

14

Quarterly Property Casualty Data - Personal Lines
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums		$	366		$	387		$	294		$	309		$	356		$	365		$	282		$	681		$	647		$	1,047		$	1,003			$	1,312
Agency new business written premiums		51			44			34			36			40			47			35			78			82			129			122				158
Other written premiums		(10)			(8)			(9)			(9)			(8)			(10)			(8)			(17)			(18)			(27)			(26)				(35)
Net written premiums		$	407		$	423		$	319		$	336		$	388		$	402		$	309		$	742		$	711		$	1,149		$	1,099			$	1,435
Unearned premium change		(40)			(59)			40			22			(34)			(54)			35			(19)			(19)			(59)			(53)				(31)
Earned premiums		$	367		$	364		$	359		$	358		$	354		$	348		$	344		$	723		$	692		$	1,090		$	1,046			$	1,404
Year over year change %
Agency renewal written premiums		3		%	6		%	4		%	5		%	4		%	7		%	7		%	5		%	7		%	4		%	6		%		6		%
Agency new business written premiums		28			(6)			(3)			(5)			(5)			2			(10)			(5)			(4)			6			(4)				(4)
Other written premiums		(25)			20			(13)			(13)			(14)			(43)			(33)			6			(38)			(4)			(30)				(25)
Net written premiums		5			5			3			4			3			6			4			4			5			5			4				4
Paid losses and loss expenses
Losses paid		$	200		$	203		$	173		$	205		$	221		$	217		$	209		$	376		$	426		$	577		$	647			$	850
Loss expenses paid		38			30			40			29			29			27			31			69			58			106			87				116
Loss and loss expenses paid		$	238		$	233		$	213		$	234		$	250		$	244		$	240		$	445		$	484		$	683		$	734			$	966
Incurred losses and loss expenses
Loss and loss expense incurred		$	265		$	286		$	231		$	251		$	244		$	240		$	250		$	517		$	490		$	782		$	734			$	985
Loss and loss expenses paid as a % of incurred		89.8		%	81.5		%	92.2		%	93.2		%	102.0		%	101.7		%	96.0		%	86.1		%	98.8		%	87.3		%	100.0		%		98.1		%
Statutory combined ratio
Loss ratio		63.1		%	67.5		%	57.2		%	61.2		%	60.4		%	59.7		%	64.9		%	62.4		%	62.3		%	62.6		%	61.6		%		61.5		%
Loss adjustment expense ratio		8.9			11.4			6.9			9.0			8.8			9.2			7.6			9.1			8.4			9.1			8.5				8.7
Net underwriting expense ratio		26.9			29.4			32.1			30.7			28.2			27.3			30.7			30.6			28.8			29.3			28.6				29.1
Statutory combined ratio		98.9		%	108.3		%	96.2		%	100.9		%	97.4		%	96.2		%	103.2		%	102.1		%	99.5		%	101.0		%	98.7		%		99.3		%
Contribution from catastrophe losses		22.5			25.1			10.7			9.7			6.7			10.0			13.3			17.9			11.6			19.5			10.0				9.9
Statutory combined ratio excl. catastrophe losses		76.4		%	83.2		%	85.5		%	91.2		%	90.7		%	86.2		%	89.9		%	84.2		%	87.9		%	81.5		%	88.7		%		89.4		%
GAAP combined ratio
GAAP combined ratio		100.7		%	112.3		%	94.3		%	99.3		%	99.6		%	98.9		%	101.3		%	103.4		%	100.1		%	102.5		%	99.9		%		99.8		%
Contribution from catastrophe losses		22.5			25.1			10.7			9.7			6.7			10.0			13.3			17.9			11.6			19.5			10.0				9.9
GAAP combined ratio excl. catastrophe losses		78.2		%	87.2		%	83.6		%	89.6		%	92.9		%	88.9		%	88.0		%	85.5		%	88.5		%	83.0		%	89.9		%		89.9		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. *nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

CINF Third-Quarter 2020 Supplemental Financial Data

15

Quarterly Property Casualty Data - Excess & Surplus Lines
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums		$	60		$	63		$	62		$	56		$	50		$	54		$	49		$	125		$	103		$	185		$	153			$	209
Agency new business written premiums		24			32			27			28			28			28			26			59			54			83			82				110
Other written premiums		(4)			(4)			(4)			(4)			(4)			(4)			(4)			(8)			(8)			(12)			(12)				(16)
Net written premiums		$	80		$	91		$	85		$	80		$	74		$	78		$	71		$	176		$	149		$	256		$	223			$	303
Unearned premium change		2			(13)			(7)			(4)			(2)			(11)			(8)			(20)			(19)			(18)			(21)				(25)
Earned premiums		$	82		$	78		$	78		$	76		$	72		$	67		$	63		$	156		$	130		$	238		$	202			$	278
Year over year change %
Agency renewal written premiums		20		%	17		%	27		%	12		%	14		%	8		%	2		%	21		%	5		%	21		%	8		%		9		%
Agency new business written premiums		(14)			14			4			47			56			65			63			9			64			1			61				57
Other written premiums		—			—			—			—			(33)			(33)			(33)			—			(33)			—			(33)				(23)
Net written premiums		8			17			20			23			25			22			16			18			19			15			21				22
Paid losses and loss expenses
Losses paid		$	14		$	14		$	23		$	14		$	16		$	10		$	18		$	37		$	28		$	51		$	43			$	57
Loss expenses paid		10			9			9			9			8			7			8			19			15			29			23				33
Loss and loss expenses paid		$	24		$	23		$	32		$	23		$	24		$	17		$	26		$	56		$	43		$	80		$	66			$	90
Incurred losses and loss expenses
Loss and loss expense incurred		$	48		$	57		$	45		$	41		$	39		$	29		$	33		$	102		$	62		$	150		$	101			$	142
Loss and loss expenses paid as a % of incurred		50.0		%	40.4		%	71.1		%	56.1		%	63.2		%	53.5		%	78.8		%	54.9		%	68.8		%	53.3		%	65.3		%		63.4		%
Statutory combined ratio
Loss ratio		39.8		%	56.4		%	35.4		%	38.0		%	35.6		%	27.2		%	32.9		%	45.9		%	30.0		%	43.8		%	32.0		%		33.7		%
Loss adjustment expense ratio		18.5			17.2			22.0			16.4			17.1			17.9			18.6			19.5			18.3			19.2			17.9				17.4
Net underwriting expense ratio		29.6			26.6			28.8			29.1			29.6			28.5			28.5			27.7			28.4			28.3			28.8				28.9
Statutory combined ratio		87.9		%	100.2		%	86.2		%	83.5		%	82.3		%	73.6		%	80.0		%	93.1		%	76.7		%	91.3		%	78.7		%		80.0		%
Contribution from catastrophe losses		1.2			3.4			1.0			0.5			1.1			0.5			0.2			2.2			0.4			1.8			0.6				0.6
Statutory combined ratio excl. catastrophe losses		86.7		%	96.8		%	85.2		%	83.0		%	81.2		%	73.1		%	79.8		%	90.9		%	76.3		%	89.5		%	78.1		%		79.4		%
GAAP combined ratio
GAAP combined ratio		86.7		%	102.0		%	89.1		%	82.9		%	83.2		%	76.1		%	83.5		%	95.5		%	79.7		%	92.5		%	80.9		%		81.5		%
Contribution from catastrophe losses		1.2			3.4			1.0			0.5			1.1			0.5			0.2			2.2			0.4			1.8			0.6				0.6
GAAP combined ratio excl. catastrophe losses		85.5		%	98.6		%	88.1		%	82.4		%	82.1		%	75.6		%	83.3		%	93.3		%	79.3		%	90.7		%	80.3		%		80.9		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. *nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

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Consolidated Cincinnati Insurance Companies
Statutory Statements of Income
	For the Three Months Ended September 30,							For the Nine Months Ended September 30,
(Dollars in millions)	2020		2019		Change		% Change	2020		2019		Change		% Change
Underwriting income (loss)
Net premiums written	$	1,354	$	1,312	$	42	3	$	4,341	$	4,104	$	237	6
Unearned premium change	(31)		4		(35)		nm	225		255		(30)		(12)
Earned premiums	$	1,385	$	1,308	$	77	6	$	4,116	$	3,849	$	267	7
Losses incurred	$	829	$	682	$	147	22	$	2,419	$	2,058	$	361	18
Defense and cost containment expenses incurred	79		72		7		10	243		204		39		19
Adjusting and other expenses incurred	77		72		5		7	227		197		30		15
Other underwriting expenses incurred	406		406		—		—	1,266		1,212		54		4
Workers compensation dividend incurred	2		3		(1)		(33)	7		9		(2)		(22)
Total underwriting deductions	$	1,393	$	1,235	$	158	13	$	4,162	$	3,680	$	482	13
Net underwriting profit (loss)	$	(8)	$	73	$	(81)	nm	$	(46)	$	169	$	(215)	nm
Investment income
Gross investment income earned	$	105	$	107	$	(2)	(2)	$	316	$	311	$	5	2
Net investment income earned	103		104		(1)		(1)	311		305		6		2
Net realized capital gains and losses, net	28		(1)		29		nm	(10)		4		(14)		nm
Net investment gains (net of tax)	$	131	$	103	$	28	27	$	301	$	309	$	(8)	(3)
Other income	$	1	$	2	$	(1)	(50)	$	3	$	6	$	(3)	(50)
Net income before federal income taxes	$	124	$	178	$	(54)	(30)	$	258	$	484	$	(226)	(47)
Federal and foreign income taxes incurred	20		25		(5)		(20)	37		73		(36)		(49)
Net income (statutory)	$	104	$	153	$	(49)	(32)	$	221	$	411	$	(190)	(46)
Policyholders' surplus - statutory	$	5,372	$	5,419	$	(47)	(1)	$	5,372	$	5,419	$	(47)	(1)
Fixed maturities at amortized cost - statutory	$	7,513	$	7,390	$	123	2	$	7,513	$	7,390	$	123	2
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. *nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

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The Cincinnati Life Insurance Company
Statutory Statements of Income
	For the Three Months Ended September 30,							For the Nine Months Ended September 30,
(Dollars in millions)	2020		2019		Change		% Change	2020		2019		Change		% Change
Net premiums written	$	79	$	78	$	1	1	$	241	$	233	$	8	3
Net investment income	41		40		1		3	124		119		5		4
Amortization of interest maintenance reserve	—		—		—		—	—		1		(1)		nm
Commissions and expense allowances on reinsurance ceded	1		1		—		—	3		3		—		—
Income from fees associated with separate accounts	1		1		—		—	2		3		(1)		(33)
Total revenues	$	122	$	120	$	2	2	$	370	$	359	$	11	3
Death benefits and matured endowments	$	38	$	31	$	7	23	$	106	$	102	$	4	4
Annuity benefits	14		19		(5)		(26)	49		68		(19)		(28)
Disability benefits and benefits under accident and health contracts	—		—		—		—	1		1		—		—
Surrender benefits and group conversions	8		5		3		60	19		15		4		27
Interest and adjustments on deposit-type contract funds	2		3		(1)		(33)	6		7		(1)		(14)
Increase in aggregate reserves for life and accident and health contracts	5		25		(20)		(80)	63		77		(14)		(18)
Total benefit expenses	$	67	$	83	$	(16)	(19)	$	244	$	270	$	(26)	(10)
Commissions	$	11	$	13	$	(2)	(15)	$	36	$	39	$	(3)	(8)
General insurance expenses and taxes	12		13		(1)		(8)	37		40		(3)		(8)
Increase in loading on deferred and uncollected premiums	(1)		—		(1)		nm	4		(2)		6		nm
Net transfers from separate accounts	(5)		(3)		(2)		(67)	(9)		(6)		(3)		(50)
Total underwriting expenses	$	17	$	23	$	(6)	(26)	$	68	$	71	$	(3)	(4)
Federal and foreign income taxes incurred	5		2		3		150	11		5		6		120
Net gain from operations before capital gains and losses	$	33	$	12	$	21	175	$	47	$	13	$	34	262
Gains and losses net of capital gains tax, net	—		(3)		3		100	(31)		(2)		(29)		nm
Net income (statutory)	$	33	$	9	$	24	267	$	16	$	11	$	5	45
Policyholders' surplus - statutory	$	238	$	196	42		21	$	238	$	196	$	42	21
Fixed maturities at amortized cost - statutory	$	3,471	$	3,401	$	70	2	$	3,471	$	3,401	$	70	2
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. *nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

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Quarterly Data - Other
(Dollars in millions)	Three months ended																						Six months ended						Nine months ended						Twelve months ended
	12/31/20	9/30/20			6/30/20			3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20			6/30/19			9/30/20			9/30/19			12/31/20	12/31/19
Cincinnati Re:
Written premiums		$	54		$	84		$	105		$	36		$	35		$	73		$	84		$	189		$	157		$	242		$	192			$	228
Year over year change %- written premium		52		%	15		%	25		%	29		%	(3)		%	52		%	83		%	20		%	67		%	26		%	48		%		44		%
Earned premiums		$	71		$	57		$	62		$	50		$	48		$	46		$	40		$	119		$	86		$	190		$	134			$	184
Current accident year before catastrophe losses		56.1		%	79.6		%	47.6		%	43.9		%	55.6		%	51.3		%	54.3		%	63.0		%	52.7		%	60.4		%	53.7		%		51.1		%
Current accident year catastrophe losses		22.3			—			—			20.5			17.3			—			—			—			—			8.4			6.3				10.1
Prior accident years before catastrophe losses		5.5			(0.6)			3.1			2.2			1.2			(3.7)			6.2			1.3			0.9			2.8			1.0				1.3
Prior accident years catastrophe losses		(8.6)			(0.1)			6.3			0.2			(7.9)			8.7			(0.3)			3.2			4.5			(1.2)			—				0.1
Total loss and loss expense ratio		75.3		%	78.9		%	57.0		%	66.8		%	66.2		%	56.3		%	60.2		%	67.5		%	58.1		%	70.4		%	61.0		%		62.6		%
Cincinnati Global:
Written premiums		$	38		$	53		$	37		$	37		$	38		$	44		$	21		$	90		$	65		$	129		$	103			$	140
Year over year change %- written premium		—		%	20		%	76		%													38		%				25		%
Earned premiums		$	65		$	34		$	27		$	38		$	68		$	33		$	10		$	61		$	43		$	126		$	111			$	149
Current accident year before catastrophe losses		62.9		%	49.6		%	63.7		%	39.6		%	44.6		%	75.5		%	103.9		%	55.6		%	82.6		%	59.4		%	59.3		%		54.3		%
Current accident year catastrophe losses		68.7			42.4			—			4.8			19.4			9.8			—			24.1			7.3			46.9			14.7				12.2
Prior accident years before catastrophe losses		(0.1)			(27.9)			(19.5)			(0.2)			(2.9)			(8.5)			(84.0)			(24.2)			(27.3)			(11.8)			(12.3)				(9.2)
Prior accident years catastrophe losses		(0.1)			1.0			(3.2)			9.1			(4.2)			(22.5)			4.3			(0.8)			(15.8)			(0.4)			(8.7)				(4.2)
Total loss and loss expense ratio		131.4		%	65.1		%	41.0		%	53.3		%	56.9		%	54.3		%	24.2		%	54.7		%	46.8		%	94.1		%	53.0		%		53.1		%
Noninsurance operations:
Interest and fees on loans and leases		$	1		$	2		$	1		$	1		$	1		$	1		$	2		$	3		$	3		$	4		$	4			$	5
Other revenue		2			1			1			1			2			1			—			2			1			4			3				4
Interest expense		13			14			13			13			14			13			13			27			26			40			40				53
Operating expenses		5			5			5			6			5			4			8			10			12			15			17				23
Total noninsurance operations loss		$	(15)		$	(16)		$	(16)		$	(17)		$	(16)		$	(15)		$	(19)		$	(32)		$	(34)		$	(47)		$	(50)			$	(67)
*Dollar amounts shown are in conformity with GAAP and rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently.
*Cincinnati Global was acquired on February 28, 2019. Noninsurance operations include the noninvestment operations of the parent company and a noninsurance subsidiary, CFC Investment Company.

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XML

Cover Page Cover Page	Oct. 26, 2020
Cover [Abstract]
Document Type	8-K
Document Period End Date	Oct. 26, 2020
Entity Registrant Name	CINCINNATI FINANCIAL CORPORATION
Entity Incorporation, State or Country Code	OH
Entity File Number	0-4604
Entity Tax Identification Number	31-0746871
Entity Address, Address Line One	6200 S. Gilmore Road
Entity Address, City or Town	Fairfield,
Entity Address, State or Province	OH
Entity Address, Postal Zip Code	45014‑5141
City Area Code	513
Local Phone Number	870-2000
Title of 12(b) Security	Common stock
Trading Symbol	CINF
Security Exchange Name	NASDAQ
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity Emerging Growth Company	false
Entity Central Index Key	0000020286
Amendment Flag	false