What's Inside

Short answer: yes, many insurance companies are publicly traded. In fact, some of the biggest names in finance—like Berkshire Hathaway, UnitedHealth Group, and Progressive—are publicly traded insurers. I've been following this sector for years, and I can tell you: it's not as straightforward as buying a tech stock. Let me walk you through what you need to know.

The Biggest Publicly Traded Insurers

Here's a list of the major publicly traded insurance companies you'll encounter. I've grouped them by line of business, because that matters when you're investing.

Life & Health Insurers

  • UnitedHealth Group (UNH) – The largest health insurer in the US. Market cap over $450B. They also run Optum, a huge healthcare services arm.
  • MetLife (MET) – A global life insurer with a strong presence in group benefits.
  • Prudential Financial (PRU) – Another giant in life insurance and annuities.

Property & Casualty Insurers

  • Berkshire Hathaway (BRK.B) – Warren Buffett's company. GEICO is their crown jewel in auto insurance, but they own many other insurers.
  • Progressive (PGR) – Known for auto insurance and their famous Flo commercials. They've been crushing it with underwriting profits.
  • Allstate (ALL) – A top P&C insurer, also big in auto and home.

Multi-line & Reinsurers

  • American International Group (AIG) – Once a disaster in 2008, now restructured and profitable.
  • Chubb (CB) – The world's largest publicly traded P&C insurer by premiums.
  • Munich Re (MUV2.DE) – A German reinsurance giant, traded on the Frankfurt exchange.

There are also dozens of smaller, regional insurers listed on exchanges like the NYSE, Nasdaq, and even foreign bourses. I once attended an investor day for a small Florida home insurer—it was fascinating how localized their risk models were.

How to Evaluate Insurance Stocks

You can't just look at P/E ratios like you do with tech stocks. Insurance companies have their own metrics. Here's what I focus on:

  • Combined ratio – Claims and expenses divided by premiums. Under 100% means underwriting profit. Progressive consistently runs below 90%—that's impressive.
  • Book value growth – Insurers are essentially financial holding companies. Growth in book value (assets minus liabilities) is a key sign of value creation.
  • Investment income – Insurers invest premiums in bonds and stocks. Rising interest rates have been a tailwind for many.
  • Regulatory capital – Too much? They might be inefficient. Too little? Risky.

One nuance many miss: float. Insurers collect premiums upfront but pay claims later. That float can be invested. Berkshire Hathaway is famous for using float to generate massive returns.

Performance Snapshot: Top 5 Insurers

I compiled recent total returns (including dividends) for a handful of big insurers. Remember, past performance doesn't guarantee future results, but it gives you a feel for the sector's volatility.

CompanyTicker5-Year ReturnDividend YieldCombined Ratio
UnitedHealth GroupUNH~120%1.5%~82%
ProgressivePGR~150%1.0%~89%
Berkshire HathawayBRK.B~85%0.0%N/A (conglomerate)
ChubbCB~60%1.8%~90%
AllstateALL~40%2.5%~95%

Notice how Progressive and UnitedHealth have outperformed. Their underwriting discipline and scale matter.

Risks You Can't Ignore

I've made mistakes investing in insurers. Here are the pitfalls I've learned the hard way:

  • Catastrophe exposure – A single hurricane or wildfire can wipe out a year's profits for a regional P&C insurer. Check the company's catastrophe reinsurance program.
  • Low interest rates – Insurers rely on bond yields. When rates are near zero, investment income dries up. (We're in a higher-rate environment now, which helps.)
  • Regulatory changes – Health insurers are particularly vulnerable to policy shifts (e.g., the Affordable Care Act).
  • Claims inflation – Repair costs, medical costs—they keep rising. Insurers need to price premiums accordingly.

One thing I rarely see mentioned: model risk. Insurers use complex models to predict losses. During COVID, many models broke down because they underestimated pandemic claims. If you're investing, check how conservative their assumptions are.

Frequently Asked Questions

What's the easiest way to buy shares of a publicly traded insurer?
Open a brokerage account (like Fidelity, Schwab, or Robinhood), search the ticker, and place a trade. I'd recommend starting with a diversified ETF like IAK (iShares US Insurance ETF) if you don't want to pick individual stocks.
Are foreign insurance companies also publicly traded?
Yes, many large non-US insurers trade as ADRs (American Depositary Receipts) on US exchanges. Examples: AXA (France), Allianz (Germany), and AIA Group (Hong Kong). But watch out for currency risk and different accounting standards.
Do insurance stocks pay dividends?
Many do. MetLife, Prudential, and Allstate have solid dividend histories. But some—like Berkshire Hathaway—never pay dividends because they reinvest profits. It's a personal preference: yield vs growth.
How does Buffett's Berkshire Hathaway fit into insurance investing?
Berkshire is a conglomerate, but insurance (GEICO, Gen Re, etc.) is its core. Buffett uses insurance float to invest in other businesses. Buying BRK.B gives you exposure to a world-class insurance operation plus a huge stock portfolio. It's not a pure insurance play, but it's the best ever.
What's the biggest mistake new investors make with insurance stocks?
Ignoring the combined ratio. I once bought a stock with a flashy dividend yield, only to discover its combined ratio was 110%—they were losing money on underwriting. Always check underwriting profitability first, then the yield.