Progressive Corporation 8-K

Summary

Quarterly dividend declaration and catastrophe reinsurance program update. Progressive declared a $0.10-per-share dividend, payable 10/09/2026 to shareholders of record 10/01/2026. It also completed its 2026–2027 property catastrophe per-occurrence reinsurance placement; the program is intended to limit severe-weather loss volatility and protect capital.

Key Figures

• Dividend: $0.10 per share.
• Property per-occurrence coverage, effective 6/1/2026–5/31/2027: first-event limits, net of retention and including shared-limit coverage, of $2.19B in Florida and $1.85B outside Florida; retentions are $75M and $300M, respectively.
• Property aggregate coverage for 2026: $237.5M excess of a $550M aggregate retention, plus $62.5M excess of a $750M aggregate retention. A separate $175M named-storm limit is shared between occurrence and aggregate coverage.
• Modeled gross property and business owners property catastrophe losses, before reinsurance, as of 3/31/2026: $929M at a 2% annual exceedance probability (1-in-50-year return period); $1.33B at 1% (1-in-100-year); $1.80B at 0.4% (1-in-250-year); and $2.79B at 0.1% (1-in-1,000-year). The company cautions that modeled losses are uncertain and actual losses could materially differ.

Investor Takeaways

• Actual catastrophe losses and recoveries under the renewed program will show how the coverage limits and retentions affect results; the company notes its catastrophe models have limited predictive reliability.