Underwriting profitability remains strained as evidenced by the combined ratio fluctuating significantly, peaking at 102.4% in 2025Q1, while top-line revenue continues to contract with a 2.0% decline in 2026Q1.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Revenue | 1.08B | 1.1B | 1.13B | 1.13B | 1.1B | 1.08B | 886.86M | 1.01B | 877.08M | 858.12M | 875.98M | 768.4M | 848.34M | 732.64M | 722.73M | 725.93M | 692.07M | 672.68M | 562.59M | 706.07M | 737.6M | 647.95M | 794.55M | 535.84M | 402.1M | 382.56M | 222.59M | 208.2M | 193.6M | 160.7M | 139.3M |
| Revenue Growth % | -3.16% | -2.67% | -0.2% | 2.6% | 2.45% | 21.26% | -12.18% | 15.14% | 2.21% | -2.04% | 14% | -9.42% | 15.79% | 1.37% | -0.44% | 4.89% | 2.88% | 19.57% | -20.32% | -4.27% | 13.84% | -18.45% | 48.28% | 33.26% | 5.11% | 71.87% | 6.91% | 7.54% | 20.47% | 15.36% | 26.29% |
| Medical Costs & Claims | 541.83M | 665.42M | 874.87M | 935.31M | 909.94M | 862.85M | 772.01M | 869.25M | 697.71M | 564.91M | 531.61M | 490.27M | 363.08M | 224.76M | 179.91M | 298.71M | 356.1M | 347.61M | 311.88M | 457.75M | 549.7M | 530.16M | 690.57M | 543.58M | 442.57M | 369M | 0 | 40.2M | 33.5M | 33.9M | 25.7M |
| Medical Cost Ratio % | 50.2% | 60.6% | 77.55% | 82.74% | 82.59% | 80.23% | 87.05% | 86.07% | 79.55% | 65.83% | 60.69% | 63.8% | 42.8% | 30.68% | 24.89% | 41.15% | 51.45% | 51.67% | 55.44% | 64.83% | 74.53% | 81.82% | 86.91% | 101.45% | 110.07% | 96.46% | 0% | 19.31% | 17.3% | 21.1% | 18.45% |
| Gross Profit | 274.81M | 432.61M | 253.34M | 195.11M | 191.86M | 212.58M | 114.85M | 140.65M | 179.37M | 293.21M | 344.37M | 278.13M | 485.26M | 507.88M | 542.81M | 427.22M | 335.97M | 325.08M | 250.71M | 248.32M | 187.9M | 117.79M | 103.98M | -7.74M | -40.47M | 13.56M | 222.59M | 168M | 160.1M | 126.8M | 113.6M |
| Gross Margin % | 25.46% | 39.4% | 22.45% | 17.26% | 17.41% | 19.77% | 12.95% | 13.93% | 20.45% | 34.17% | 39.31% | 36.2% | 57.2% | 69.32% | 75.11% | 58.85% | 48.55% | 48.33% | 44.56% | 35.17% | 25.47% | 18.18% | 13.09% | -1.45% | -10.07% | 3.54% | 100% | 80.69% | 82.7% | 78.9% | 81.55% |
| Gross Profit Growth % | - | 70.77% | 29.84% | 1.69% | -9.75% | 85.1% | -18.34% | -21.59% | -38.82% | -14.86% | 23.82% | -42.68% | -4.45% | -6.44% | 27.06% | 27.16% | 3.35% | 29.66% | 0.96% | 32.16% | 59.52% | 13.28% | 1442.93% | 80.87% | -398.47% | -93.91% | 32.49% | 4.93% | 26.26% | 11.62% | 22.94% |
| Operating Expenses | 268.94M | 360.54M | 190.26M | 234.26M | 198.08M | 65.97M | 331.9M | 169.45M | 150.35M | 164.58M | 168.17M | 149.28M | 223.25M | 110.72M | 146.85M | 12.63M | 3.29M | 6.32M | 2.32M | 11.98M | 11.07M | 8.93M | 6.51M | -104.22M | -91.25M | 2.59M | 222.59M | 0 | 0 | 0 | 0 |
| OpEx / Revenue % | 24.92% | 32.84% | 16.86% | 20.72% | 17.98% | 6.13% | 37.42% | 16.78% | 17.14% | 19.18% | 19.2% | 19.43% | 26.32% | 15.11% | 20.32% | 1.74% | 0.48% | 0.94% | 0.41% | 1.7% | 1.5% | 1.38% | 0.82% | -19.45% | -22.69% | 0.68% | 100% | 0% | 0% | 0% | 0% |
| Depreciation & Amortization | 9.87M | 13.69M | 17.75M | 26.02M | 38.06M | 37.25M | 21.38M | 18.66M | 21.25M | 28.8M | 32.79M | 36.22M | 39.59M | 35.83M | 37.57M | 35.69M | 26.67M | 19.66M | 16.57M | 16.09M | 18.83M | 24M | 27.03M | 23.51M | 15.04M | 11.85M | 6.33M | 6.4M | 3.2M | 3M | 200K |
| Combined Ratio % | 75.12% | 93.44% | 94.41% | 103.46% | 100.56% | 86.37% | 124.47% | 102.85% | 96.69% | 85.01% | 79.89% | 83.23% | 69.12% | 45.79% | 45.21% | 42.89% | 51.93% | 52.61% | 55.85% | 66.53% | 76.03% | 83.2% | 87.73% | 82% | 87.37% | 97.13% | 100% | 19.31% | 17.3% | 21.1% | 18.45% |
| Operating Income | 91.12M | 72.07M | 63.08M | -39.15M | -6.22M | 146.61M | -217.06M | -28.8M | 29.02M | 128.62M | 176.2M | 128.85M | 262M | 397.16M | 395.97M | 414.6M | 332.68M | 318.76M | 248.39M | 236.34M | 176.83M | 108.86M | 97.47M | 96.47M | 50.78M | 10.97M | 0 | 168M | 160.1M | 126.8M | 113.6M |
| Operating Margin % | 8.44% | 6.56% | 5.59% | -3.46% | -0.56% | 13.63% | -24.47% | -2.85% | 3.31% | 14.99% | 20.11% | 16.77% | 30.88% | 54.21% | 54.79% | 57.11% | 48.07% | 47.39% | 44.15% | 33.47% | 23.97% | 16.8% | 12.27% | 18% | 12.63% | 2.87% | 0% | 80.69% | 82.7% | 78.9% | 81.55% |
| Operating Income Growth % | - | 14.25% | 261.12% | -529.81% | -104.24% | 167.54% | -653.56% | -199.24% | -77.43% | -27% | 36.74% | -50.82% | -34.03% | 0.3% | -4.49% | 24.62% | 4.37% | 28.33% | 5.1% | 33.66% | 62.43% | 11.69% | 1.03% | 89.98% | 362.95% | - | -100% | 4.93% | 26.26% | 11.62% | 22.94% |
| EBITDA | 100.99M | 85.76M | 80.83M | -13.13M | 31.85M | 183.85M | -195.68M | -10.14M | 50.28M | 157.42M | 208.99M | 165.07M | 301.6M | 432.99M | 433.54M | 450.29M | 359.35M | 338.42M | 264.96M | 252.43M | 195.66M | 132.86M | 124.49M | 119.98M | 65.83M | 22.82M | 0 | 174.4M | 163.3M | 129.8M | 113.8M |
| EBITDA Margin % | 9.36% | 7.81% | 7.16% | -1.16% | 2.89% | 17.1% | -22.06% | -1% | 5.73% | 18.34% | 23.86% | 21.48% | 35.55% | 59.1% | 59.99% | 62.03% | 51.92% | 50.31% | 47.1% | 35.75% | 26.53% | 20.51% | 15.67% | 22.39% | 16.37% | 5.96% | 0% | 83.77% | 84.35% | 80.77% | 81.69% |
| Interest Expense | 20.77M | 20.84M | 22.34M | 23.15M | 20.37M | 19.72M | 15.5M | 16.64M | 16.12M | 16.84M | 15.03M | 14.6M | 14.08M | 2.75M | 2.18M | 3.48M | 3.29M | 3.48M | 6.89M | 11.98M | 11.07M | 8.93M | 6.51M | 3.41M | 2.88M | 2.59M | 0 | 0 | 0 | 0 | 0 |
| Non-Operating Income | -15.68M | -20.84M | -22.34M | -23.15M | -20.37M | -19.72M | -15.5M | -16.64M | -16.12M | -16.84M | -15.03M | -14.6M | -14.08M | -2.75M | -2.18M | -3.48M | -3.29M | -3.48M | -6.89M | -11.98M | -11.07M | -8.93M | -6.51M | 42.73M | 34.3M | -2.59M | 6.33M | 0 | 0 | 0 | 0 |
| Pretax Income | 87.59M | 72.07M | 63.08M | -39.15M | -6.22M | 146.61M | -217.06M | -28.8M | 29.02M | 128.62M | 176.2M | 128.85M | 262M | 397.16M | 395.97M | 414.6M | 332.68M | 318.76M | 248.39M | 236.34M | 176.83M | 108.86M | 97.47M | 50.33M | 13.61M | 10.97M | 28.3M | 63.2M | 66.2M | 49.2M | 40.7M |
| Pretax Margin % | 8.12% | 6.56% | 5.59% | -3.46% | -0.56% | 13.63% | -24.47% | -2.85% | 3.31% | 14.99% | 20.11% | 16.77% | 30.88% | 54.21% | 54.79% | 57.11% | 48.07% | 47.39% | 44.15% | 33.47% | 23.97% | 16.8% | 12.27% | 9.39% | 3.38% | 2.87% | 12.71% | 30.36% | 34.19% | 30.62% | 29.22% |
| Income Tax | 22.21M | 21.15M | 10.33M | -545K | -5.81M | 2.48M | -41.33M | -29.81M | -18.03M | 21.36M | 25.12M | 12.66M | 65.44M | 99.64M | 120.5M | 127.5M | 101.08M | 96.74M | 70.66M | 68.15M | 49.84M | 28.84M | 24.66M | 11.45M | 188K | -2.85M | 4M | 16.5M | 17.7M | 11.7M | 9.6M |
| Effective Tax Rate % | 25.36% | 29.35% | 16.38% | 1.39% | 93.53% | 1.69% | 19.04% | 103.49% | -62.13% | 16.61% | 14.26% | 9.82% | 24.98% | 25.09% | 30.43% | 30.75% | 30.38% | 30.35% | 28.45% | 28.84% | 28.19% | 26.49% | 25.3% | 22.75% | 1.38% | -25.95% | 14.13% | 26.11% | 26.74% | 23.78% | 23.59% |
| Net Income | 65.2M | 50.91M | 52.74M | -38.6M | -402K | 144.12M | -175.73M | 1M | 47.06M | 107.26M | 151.08M | 116.2M | 196.56M | 297.52M | 275.47M | 287.1M | 231.6M | 222.03M | 177.72M | 168.19M | 236.43M | 113.46M | 72.81M | 38.7M | 12.21M | 12.45M | 24.3M | 46.7M | 47.4M | 37.5M | 31.1M |
| Net Margin % | 6.04% | 4.64% | 4.68% | -3.42% | -0.04% | 13.4% | -19.81% | 0.1% | 5.37% | 12.5% | 17.25% | 15.12% | 23.17% | 40.61% | 38.12% | 39.55% | 33.46% | 33.01% | 31.59% | 23.82% | 32.05% | 17.51% | 9.16% | 7.22% | 3.04% | 3.25% | 10.92% | 22.43% | 24.48% | 23.34% | 22.33% |
| Net Income Growth % | 54.14% | -3.47% | 236.63% | -9502.99% | -100.28% | 182.02% | -17602.69% | -97.87% | -56.13% | -29% | 30.02% | -40.89% | -33.93% | 8.01% | -4.05% | 23.96% | 4.31% | 24.93% | 5.67% | -28.86% | 108.38% | 55.82% | 88.13% | 217.06% | -1.95% | -48.77% | -47.97% | -1.48% | 26.4% | 20.58% | 4.71% |
| EPS (Diluted) | 1.26 | 0.99 | 1.03 | -0.73 | -0.01 | 2.67 | -3.26 | 0.02 | 0.88 | 2.00 | 2.83 | 2.11 | 3.30 | 4.80 | 4.46 | 4.65 | 3.60 | 3.35 | 2.61 | 2.39 | 3.43 | 1.77 | 1.19 | 0.67 | 0.23 | 0.26 | 0.52 | 0.98 | 0.96 | 0.76 | 0.65 |
| EPS Growth % | 50.35% | -3.88% | 241.1% | - | -100.28% | 181.9% | -17626.88% | -97.89% | -56% | -29.33% | 34.12% | -36.06% | -31.25% | 7.62% | -4.09% | 29.17% | 7.46% | 28.35% | 9.21% | -30.32% | 93.79% | 48.74% | 77.61% | 191.3% | -11.54% | -50% | -46.94% | 2.08% | 26.32% | 16.92% | 4.84% |
| EPS (Basic) | - | 0.99 | 1.03 | -0.73 | -0.01 | 2.67 | -3.26 | 0.02 | 0.88 | 2.01 | 2.84 | 2.19 | 3.32 | 4.82 | 4.49 | 4.70 | 3.65 | 3.38 | 2.72 | 2.55 | 3.69 | 1.89 | 1.25 | 0.67 | 0.24 | 0.26 | 0.52 | 0.98 | 0.96 | 0.76 | 0.65 |
| Diluted Shares Outstanding | 51.81M | 51.67M | 51.27M | 52.79M | 54.14M | 54.06M | 53.91M | 53.84M | 53.75M | 53.61M | 53.45M | 55.02M | 59.52M | 62.02M | 61.83M | 61.68M | 64.35M | 66.3M | 68.72M | 71.65M | 69.85M | 65.82M | 63.97M | 60.78M | 52.51M | 48.53M | 46.66M | 47.98M | 49.38M | 49.67M | 48.22M |
Social inflation and reserve volatility
As reported in recent financial filings, ProAssurance has experienced a consistent decline in top-line revenue, with quarterly growth rates remaining negative for most of the last ten periods, including a 2.0% contraction in 2026Q1, suggesting a challenging environment for maintaining market share in medical professional liability.
The sustained revenue contraction appears to reflect a strategic pivot toward underwriting discipline rather than aggressive volume growth in a competitive pricing landscape. Investors should monitor whether this trend indicates a loss of core market share to larger, more diversified competitors or a deliberate exit from unprofitable segments.
Based on the provided income statement data, the combined ratio has fluctuated significantly, peaking at 102.4% in 2025Q1, which indicates that the company occasionally relies on investment income to offset underwriting losses rather than achieving consistent profitability through its core insurance operations alone.
The volatility in the loss ratio, which reached as high as 82.9% in early 2025, suggests that the company is struggling to price for the severity of medical malpractice claims. This inconsistency warrants further investigation into whether current pricing models are adequately accounting for the rising costs of legal settlements.
According to the historical quarterly data, the company's operating income has shown extreme sensitivity to loss-related charges, with net income swinging from a $5.8 million loss in 2025Q1 to a $33.4 million profit by 2025Q4, highlighting the inherent instability of long-tail medical professional liability reserves.
The dramatic variance in quarterly net income suggests that prior-year reserve adjustments may be significantly impacting current-period results. Analysts should remain cautious, as these swings may mask underlying underwriting performance issues that are not immediately apparent in the headline revenue figures.
As indicated by the persistent pressure on operating margins, the company faces significant headwinds from social inflation, where rising jury awards in medical malpractice cases may continue to outpace premium increases, potentially eroding the capital base over the long term if underwriting discipline is not maintained.
The company's reliance on the Segregated Portfolio Cell structure may provide some insulation, but the core specialty P&C business remains vulnerable to unpredictable legal outcomes. Investors should monitor whether the current pricing environment is sufficient to cover the increasing severity of claims or if further reserve strengthening will be required.
Quick answers to the most common questions about buying PRA stock.
For fiscal year 2025, ProAssurance Corporation (PRA) reported total revenue of $1.10B. This represents a 688.2% increase compared to $139.3M in 1996.
ProAssurance Corporation (PRA) is profitable, generating $50.9M in net income for the fiscal year ending 2025 with a net profit margin of 4.6%.
ProAssurance Corporation (PRA) reported an operating income of $72.1M, resulting in an operating profit margin of 6.6%. This margin reflects the operational efficiency of the business before interest and taxes.
ProAssurance Corporation (PRA) generated $432.6M in gross profit for the year, representing a gross profit margin of 39.4%. This demonstrates the company's core pricing power and production efficiency.