News
Progressive agrees to $3.25M data breach settlement
Progressive has agreed to a $3.25 million class action settlement in response to a suit concerning a long-running data breach at one of the insurer’s third-party call center vendors.
The lawsuit alleged the insurer failed to protect consumer information, including Social Security numbers and financial data, during a period from May 2021 to May 2023. Plaintiffs claimed Progressive could have prevented the data leak by implementing reasonable cybersecurity practices.
Progressive agreed to the $3.25 million settlement but did not admit any wrongdoing.
Class members are eligible for reimbursement of up to $5,000 for documented losses related to the data breach, including things like identity theft losses and credit expenses. Members who do not have a documented loss may be eligible for a cash payment from the settlement, with the alternate payment amount depending on the number of claims filed with the settlement and the funds available.
All class members are reportedly eligible for three years of credit monitoring and insurance services.
Financial Results
Progressive's quarterly profit rises on strong insurance demand | Reuters
Property and casualty insurance company Progressive Corp (PGR.N), opens new tab reported a 19% rise in its fourth-quarter profit on Wednesday, driven by strong demand for personal auto insurance policies.
WHY IT'S IMPORTANT
Insurance spending has remained resilient, as businesses and individuals prioritize coverage to protect against risks. This helped insurers attract and retain customers, despite rising costs for policies.
However, increased frequency of severe weather events such as hurricanes, wildfires and other natural calamities are eating into insurers' profit margins, leading to a hike in premium prices to offset escalating risks.
BY THE NUMBERS
Net income of the insurer rose to $2.36 billion, or $4.01 per share, in the three months ended Dec. 31, compared with $1.99 billion, or $3.37 per share, a year ago. Its net premiums written jumped 20% to $18.11 billion.
Combined ratio was at 87.9%, versus 88.7% last year. A ratio below 100% means the insurer earned more in premiums than it paid out in claims. The insurer's personal insurance policies in force rose 18% to 33.8 million in December, compared with the same month last year. Commercial lines policies in December were also 4% higher than the same month last year.
Insider US in Full: ‘Cautious optimism’ double-digit rate growth in US casualty is sustainable
US excess casualty sources project another year of double-digit rate increases in 2025 extending the pricing micro-cycle that kicked off in Q4 2023, with a fresh wave of limit-cutting from insurers to $10mn or less helping rate momentum.
The limit reductions are not driven by a shortage of capital or capacity, sources said, but an unwillingness to deploy bigger lines at a time when confidence around loss-trend assumptions is running low.
The further advance of the limit compression drive which was a major feature of the 2019 market turn has resulted in more deals being marketed as brokers scramble to fill towers. Sompo, for example, saw umbrella and excess submission flow increase 20%-30% on new business last year.
While this has vastly increased the workload for brokers who are handling a lot more placements, deals are mostly getting done, according to sources.
The void is being filled by younger markets that entered the segment during the post-2020 hardening phase. But even among that group, there is discipline in the sense that they are coming in with $5mn limits, below the $10mn-$15mn previously offered by legacy carriers.
After dropping into the single digits in early 2023, market behaviour started to change in Q4 of that year, with this publication flagging pockets of re-acceleration that constituted the beginning of a micro-cycle that would give the casualty market a second pricing peak without an intervening period of softness.
The trend picked up pace through early 2024, with sequential quarterly acceleration in pricing and multiple sources pointing to high teens or low 20s pricing on general liability books by Q4.

Reinsurance capital for 2024 revised down slightly: A.M. Best - Business Insurance
A.M. Best & Co. Wednesday revised its 2024 estimate of traditional reinsurance capital down to $500 billion from $515 billion, which was issued in August 2024.
The downward revision was due primarily to special dividends paid among large reinsurers in the U.S. and Bermuda market and reserve strengthening at year-end to address concerns about reserves by other companies, the ratings agency said in a report Wednesday.
Sitting on top of this is an estimated $107 billion of additional alternative capital, including that from insurance-linked securities, Best said, using estimated figures from Guy Carpenter LLC.
“Since the hardening of the property reinsurance market in 2022, the insurance-linked securities market has continued to evolve into a more significant part of the reinsurance market,” Best said in its report.
At Jan. 1 reinsurance renewals, property reinsurance began to soften, although margins remain strong, Best said, while “casualty has become more scrutinized but is still being renewed without capacity constraints.”
Best went on to say that 2025 would be a “pivotal” year for the reinsurance industry due to the California wildfires and U.S. Southeast winter storms.
2025 PREDICTIONS

Top Technology Trends Transforming P&C Insurance in 2025 – Drabik Digest
A push for profitable growth will dominate P&C insurance in 2025, propelled by a race for technological innovation.
Amid rising climate volatility, evolving policyholder demands, and disruptive competitors, carriers will look for novel ways to differentiate themselves with compelling new coverage models while mitigating evolving risks. While the past few years have seen notable progress in telematics and digital claims management, 2025 promises more profound transformation—from “agentic AI” that executes entire workflows to super apps that consolidate insurance transactions.
Forrester expects P&C tech spending to jump by 8% in 2025, while Celent foresees core systems further blending with next-gen frameworks. Below are the major trends to watch—and what they mean for carriers seeking a competitive edge in the year ahead.
News, views & shares from P&C insurance industry visionary and Guidewire Chief Evangelist Laura Drabik.
The Road Ahead: Top Insurance Trends Shaping 2025
As technology rapidly advances, customer expectations skyrocket and economic uncertainty looms, the insurance industry stands at a pivotal crossroads.
Compounding these issues, talent shortages persist as the pressure to attract and retain the next generation has never been higher. These factors will create both challenges and opportunities this year, and insurers that keep a close eye on these ongoing shifts will be poised to increase efficiencies, improve customer and agent experiences and scale their operations.
Ryan Baillargeon, Glia
Research
Insurance Telematics Trends in North America and Europe: Berg Insight report
Executive Summary: Europe and North America to reach 43.9 million insurance telematics policies by 2028
IoT analyst firm Berg Insight has released a market report, Insurance Telematics in Europe and North America – 8th Edition, which analyzes the latest developments on the insurance telematics market.
This strategic research report from Berg Insight provides 250 pages of unique business intelligence including 5-year industry forecasts and expert commentary on which to base business decisions.
What are the latest trends on the Insurance telematics market?
Berg Insight estimates that the total number of insurance telematics policies in force on the European market reached 13.0 million at the end of 2023.
Growing at a compound annual growth rate of 6.2 percent, the number of active insurance telematics policies in Europe is estimated to reach 17.6 million by 2028.
In North America, the total number of insurance telematics policies in force is forecasted to increase from an estimated 17.9 million policies at the end of 2023 to reach 26.3 million policies by 2028.
Get up to date with the latest industry trends in this new 250-page strategy report from Berg Insight
Insurance Telematics in Europe and North America– 5th Edition
InsurTech/M&A/Finance💰/Collaboration

UVeye Secures $191M in Funding to Meet Soaring Demand for AI-Powered Vehicle Inspection Systems
Woven Capital Joins as Strategic Partner to Accelerate Global Expansion and Install Hundreds of Systems
UVeye, the global leader in AI-driven vehicle inspection technology, announced today $191 million of funding, bringing total capital raised to date to $380.5 million. This latest infusion, combining equity and debt, will fuel UVeye's efforts to meet surging global demand for its innovative systems and solidify its position as the market leader in the industry as the company nears a million vehicles scanned every month.
The round was led by Woven Capital with participation from UMC Capital and MyBerg along with existing investors W.R. Berkley, Menora Mivtachim, and More Investment House for $41M in equity financing; Trinity Capital structured the $150 million debt facility.
"UVeye is redefining the standard for vehicle inspections, and this investment from Woven Capital, Toyota's growth fund, underscores the global shift towards automated and AI-driven solutions," said Amir Hever, CEO and Co-Founder of UVeye. "With hundreds of new installations planned for 2025, including for dealerships, major fleets and car manufacturers, as well as strategic applications in rental services, manufacturing lines, and seaport inspections, we're scaling at a pace that reflects the market's enormous hunger for our technology."

Agent and broker M&A deals down 6% in 2024: Report - Business Insurance
Mergers and acquisitions among insurance agents and brokers fell by 6% in 2024, according to a report released Wednesday by M&A consultancy Sica Fletcher LLC.
The 22 most active buyers tracked by the Amityville, New York-based company completed 533 M&A deals last year.
The decline was even more significant in the fourth quarter, when the group acquired 146 agents and brokers, marking an 11% decrease from the prior-year period.
Announcements

2025 Board of Trustees Officers Announced | CIECA
The Collision Industry Electronic Commerce (CIECA) announced today that the following 2025 officers were named during the Board of Trustees meeting in Palm Springs, CA, on January 23.
- Chair: Brady Bonner, Vice President of Client Sales and Support, Safelite Solutions (pictured)
- Vice Chair: Kim DeVallance Caron, Business Development Director for Enterprise Mobility
- Treasurer: Ken Eagleson, Vice President of Business Development, OEC
- Secretary: Ed Mondragon, Property and Casualty Claims Director, State Farm
- Past Chair: Ashley Denison, Chief Information Officer, Caliber Collision
The officers will serve on CIECA’s executive committee, which oversees business matters throughout the year and plans the agenda for CIECA board meetings.
“It has been an honor to serve on CIECA’s Executive Board over the past couple of years and now to serve as the 2025 chair,” said Bonner. “CIECA’s commitment to help advance the collision industry and provide data standards to support our members is our main focus. Success comes through action and our members are focused on sharing best practices for the common good of our industry.”
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