Selective Insurance Group’s Battle With Social Inflation – Can Pricing Adjustments Win the War? 

Selective Insurance Group’s recent performance reflects a mix of strategic efforts and industry challenges. The company’s financial results for the second quarter of 2025 highlight several positive and negative factors impacting its overall strategy and operations. On the positive side, Selective Insurance Group reported a solid operating return on equity of 10.3% this quarter, buoyed by a robust investment income which grew by 18% compared to the previous year. The Excess & Surplus and Personal Lines segments showed strong performance, maintaining their combined ratios below the company’s 95% long-term target. The overall insurance segments reported a growth of 5%, indicating a disciplined underwriting and pricing strategy amid a competitive market environment.