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Dec 31, 2025
Hagerty Q4 2025 Earnings Report
Hagerty reported higher revenue and sharply higher profitability in Q4 2025, supported by written premium growth and improved loss experience.
Key Takeaways
In Q4 2025, Hagerty grew total revenue 19% year over year to $357.326 million and increased net income 238% to $28.559 million, with a significantly improved loss ratio of 31.4%.
Total revenue increased 19% year over year to 357326000.
Net income increased 238% year over year to 28559000.
Loss ratio improved to 31.4% from 42.8% in the prior year period.
Adjusted EBITDA increased 97% year over year to 56644000.
Revenue by Segment
Forward Guidance
For full year 2026, Hagerty expects written premium growth of 15% to 16%, total revenue to decline (12)% to (11)% due to elimination of Markel-related commission revenue under the new fronting arrangement, net loss of (51000000) to (41000000) including approximately 190000000 of pre-tax transition costs, and adjusted EBITDA of 236000000 to 247000000.
Positive Outlook
- Written premium growth expected to be 15% to 16% in 2026.
- Adjusted EBITDA expected to be 236000000 to 247000000 in 2026.
- Move to a 100% quota share arrangement with Markel where Hagerty retains 100% of premium and risk.
- Focus on efficiency through scale benefits, cost discipline, and technology platform investments.
- Management expects underlying profitability improvement excluding transition costs.
Challenges Ahead
- Total revenue expected to change by (12)% to (11)% in 2026 due to elimination of Markel-related commission revenue.
- Net loss expected to be (51000000) to (41000000) in 2026.
Historical Earnings Impact
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Avg. Return Before/After Earnings
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