Erie Insurance reports Q3 2024 results

Erie Insurance held its earnings call on Nov 1, 2024. Key highlights:

• In Q3, the Exchange’s direct and affiliated assumed written premiums grew by over 18%, and year-to-date growth reached just over 19% compared to the same period in 2023. This premium growth is mainly due to rate increases, with a 12.8% rise in the average premium per policy. Year-over-year, policies in force increased by 6%, with policyholder retention holding at 90.8%.
• Noncommission expenses rose by $23 million, or 13.8%, in Q3’24 compared to 2023, driven by higher personnel costs, increased underwriting and policy processing expenses, and additional technology investments.
• Erie recently introduced Business Auto 2.0, a refreshed product currently piloting in Indiana, featuring new options and improvements based on agent feedback, such as multi-state vehicle coverage, enhanced quoting and processing, and competitive pricing for favorable risks.
• Additionally, Erie launched a new feature in 10 states that automatically enrolls customers in its online account platform at the point of sale, enhancing customer access to information, bill payments, and claim tracking, while freeing up staff to focus on complex interactions.

“Turning to our financials now. Helene and other weather-related activity over the past quarter have had a negative impact on the combined ratio for Erie Insurance Exchange, but Erie Indemnity Company continues its strong performance, thanks to continued growth in new business and solid retention. This growth was represented recently with Erie’s addition to the S&P 500 Index for the first time in September.” – CEO & President, Tim NeCastro.