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Segment Information (Tables)

6 Months Ended

Jun. 30, 2025

Segment Reporting [Abstract]

Analysis of underwriting income or loss by segment and reconciliation to net income available to common shareholders

The following tables summarize the Company’s underwriting income or loss by segment, together with a reconciliation of underwriting income or loss to net income available to Arch common shareholders:

			Three Months Ended
			June 30, 2025
			Insurance						Reinsurance						Mortgage																		Total
Gross premiums written (1)			$	2,681					$	3,196					$	323																	$	6,196
Premiums ceded (1)			(645)						(1,137)						(70)																		(1,848)
Net premiums written			2,036						2,059						253																		4,348
Change in unearned premiums			(67)						28						28																		(11)
Net premiums earned			1,969						2,087						281																		4,337
Other underwriting income (2)			13						46						3																		62
Losses and loss adjustment expenses			(1,178)						(1,128)						3																		(2,303)
Acquisition expenses			(387)						(436)						(1)																		(824)
Other operating expenses (3)			(288)						(118)						(48)																		(454)
Underwriting income (loss)			$	129					$	451					$	238																	818
Net investment income																																	405
Net realized gains (losses)																																	229
Equity in net income of investments accounted for using the equity method																																	162
Other income (loss)																																	18
Corporate expenses (4)																																	(29)
Transaction costs and other (4)																																	(18)
Amortization of intangible assets																																	(48)
Interest expense																																	(38)
Net foreign exchange gains (losses)																																	(88)
Income (loss) before income taxes and income (loss) from operating affiliates																																	1,411
Income tax (expense) benefit																																	(214)
Income (loss) from operating affiliates																																	40
Net income (loss) available to Arch																																	1,237
Preferred dividends																																	(10)
Net income (loss) available to Arch common shareholders																																	$	1,227
Underwriting Ratios
Loss ratio			59.8		%				54.1		%				(1.2)		%																53.1		%
Acquisition expense ratio			19.6		%				20.9		%				0.4		%																19.0		%
Other operating expense ratio (5)			14.0		%				3.5		%				16.0		%																9.1		%
Combined ratio			93.4		%				78.5		%				15.2		%																81.2		%
Goodwill and intangible assets			$	875					$	105					$	339																	$	1,319

(1)    Certain assumed and ceded amounts related to intersegment transactions are included in individual segment results. Accordingly, the sum of such transactions for each segment does not agree to the total due to eliminations.

(2)    ‘Other underwriting income’ includes revenue earned from underwriting-related activities covered under existing service contracts.

(3)    ‘Other operating expenses’ primarily include expenses that are related to compensation and employee benefits, information technology and professional fees.

(4)    Certain expenses have been excluded from ‘Corporate expenses’ and reflected in ‘Transaction costs and other.’

(5)    The ‘Other operating expense ratio’ for the 2025 period includes ‘Other underwriting income.’

			Three Months Ended
			June 30, 2024
			Insurance						Reinsurance						Mortgage																		Total
Gross premiums written (1)			$	2,102					$	2,941					$	340																	$	5,382
Premiums ceded (1)			(544)						(994)						(64)																		(1,601)
Net premiums written			1,558						1,947						276																		3,781
Change in unearned premiums			(80)						(167)						31																		(216)
Net premiums earned			1,478						1,780						307																		3,565
Other underwriting income			—						1						2																		3
Losses and loss adjustment expenses			(848)						(1,006)						27																		(1,827)
Acquisition expenses			(288)						(345)						—																		(633)
Other operating expenses (2)			(233)						(64)						(49)																		(346)
Underwriting income (loss)			$	109					$	366					$	287																	762
Net investment income																																	364
Net realized gains (losses)																																	122
Equity in net income of investments accounted for using the equity method																																	167
Other income (loss)																																	8
Corporate expenses (3)																																	(23)
Transaction costs and other (3)																																	(18)
Amortization of intangible assets																																	(27)
Interest expense																																	(35)
Net foreign exchange gains (losses)																																	1
Income (loss) before income taxes and income (loss) from operating affiliates																																	1,321
Income tax (expense) benefit																																	(97)
Income (loss) from operating affiliates																																	45
Net income (loss) available to Arch																																	1,269
Preferred dividends																																	(10)
Net income (loss) available to Arch common shareholders																																	$	1,259
Underwriting Ratios
Loss ratio			57.3		%				56.5		%				(8.6)		%																51.2		%
Acquisition expense ratio			19.5		%				19.4		%				0.1		%																17.8		%
Other operating expense ratio			15.8		%				3.6		%				15.9		%																9.7		%
Combined ratio			92.6		%				79.5		%				7.4		%																78.7		%
Goodwill and intangible assets			$	255					$	114					$	356																	$	725

(1)    Certain assumed and ceded amounts related to intersegment transactions are included in individual segment results. Accordingly, the sum of such transactions for each segment does not agree to the total due to eliminations.

(2)    ‘Other operating expenses’ primarily include expenses that are related to compensation and employee benefits, information technology and professional fees.

(3)    Certain expenses have been excluded from ‘Corporate expenses’ and reflected in ‘Transaction costs and other.’

			Six Months Ended
			June 30, 2025
			Insurance						Reinsurance						Mortgage																		Total
Gross premiums written (1)			$	5,326					$	6,690					$	649																	$	12,659
Premiums ceded (1)			(1,357)						(2,315)						(130)																		(3,796)
Net premiums written			3,969						4,375						519																		8,863
Change in unearned premiums			(140)						(260)						62																		(338)
Net premiums earned			3,829						4,115						581																		8,525
Other underwriting income (2)			16						85						14																		115
Losses and loss adjustment expenses			(2,406)						(2,484)						—																		(4,890)
Acquisition expenses			(730)						(853)						(5)																		(1,588)
Other operating expenses (3)			(582)						(245)						(100)																		(927)
Underwriting income (loss)			$	127					$	618					$	490																	1,235
Net investment income																																	783
Net realized gains (losses)																																	232
Equity in net income of investments accounted for using the equity method																																	215
Other income (loss)																																	16
Corporate expenses (4)																																	(79)
Transaction costs and other (4)																																	(28)
Amortization of intangible assets																																	(97)
Interest expense																																	(73)
Net foreign exchange gains (losses)																																	(115)
Income (loss) before income taxes and income (loss) from operating affiliates																																	2,089
Income tax (expense) benefit																																	(335)
Income (loss) from operating affiliates																																	57
Net income (loss) available to Arch																																	1,811
Preferred dividends																																	(20)
Net income (loss) available to Arch common shareholders																																	$	1,791
Underwriting Ratios
Loss ratio			62.8		%				60.4		%				—		%																57.4		%
Acquisition expense ratio			19.1		%				20.7		%				0.9		%																18.6		%
Other operating expense ratio (5)			14.8		%				3.9		%				14.9		%																9.5		%
Combined ratio			96.7		%				85.0		%				15.8		%																85.5		%

(1)    Certain assumed and ceded amounts related to intersegment transactions are included in individual segment results. Accordingly, the sum of such transactions for each segment does not agree to the total due to eliminations.

(2)    ‘Other underwriting income’ includes revenue earned from underwriting-related activities covered under existing service contracts.

(3)    ‘Other operating expenses’ primarily include expenses that are related to compensation and employee benefits, information technology and professional fees.

(4)    Certain expenses have been excluded from ‘Corporate expenses’ and reflected in ‘Transaction costs and other.’

(5)    The ‘Other operating expense ratio’ for the 2025 period includes ‘Other underwriting income.’

			Six Months Ended
			June 30, 2024
			Insurance						Reinsurance						Mortgage																		Total
Gross premiums written (1)			$	4,228					$	6,408					$	681																	$	11,315
Premiums ceded (1)			(1,128)						(2,195)						(128)																		(3,449)
Net premiums written			3,100						4,213						553																		7,866
Change in unearned premiums			(171)						(767)						59																		(879)
Net premiums earned			2,929						3,446						612																		6,987
Other underwriting income			—						3						12																		15
Losses and loss adjustment expenses			(1,702)						(1,889)						36																		(3,555)
Acquisition expenses			(564)						(676)						—																		(1,240)
Other operating expenses (2)			(468)						(139)						(102)																		(709)
Underwriting income (loss)			$	195					$	745					$	558																	1,498
Net investment income																																	691
Net realized gains (losses)																																	189
Equity in net income of investments accounted for using the equity method																																	266
Other income (loss)																																	22
Corporate expenses (3)																																	(69)
Transaction costs and other (3)																																	(25)
Amortization of intangible assets																																	(48)
Interest expense																																	(69)
Net foreign exchange gains (losses)																																	32
Income (loss) before income taxes and income (loss) from operating affiliates																																	2,487
Income tax (expense) benefit																																	(198)
Income (loss) from operating affiliates																																	100
Net income (loss) available to Arch																																	2,389
Preferred dividends																																	(20)
Net income (loss) available to Arch common shareholders																																	$	2,369
Underwriting Ratios
Loss ratio			58.1		%				54.8		%				(5.8)		%																50.9		%
Acquisition expense ratio			19.2		%				19.6		%				0.1		%																17.7		%
Other operating expense ratio			16.0		%				4.0		%				16.7		%																10.1		%
Combined ratio			93.3		%				78.4		%				11.0		%																78.7		%

(1)    Certain assumed and ceded amounts related to intersegment transactions are included in individual segment results. Accordingly, the sum of such transactions for each segment does not agree to the total due to eliminations.

(2)    ‘Other operating expenses’ primarily include expenses that are related to compensation and employee benefits, information technology and professional fees.

(3)    Certain expenses have been excluded from ‘Corporate expenses’ and reflected in ‘Transaction costs and other.’

X

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 25
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-25

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 22
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-22

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-30

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X

- References

No definition available.

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