CINCINNATI FINANCIAL CORP - FORM 8-K - EX-99.2 - EXHIBIT 99.2

Attached files

file	filename
EX-99.1 - EXHIBIT 99.1 - CINCINNATI FINANCIAL CORP	exhibit9911q20.htm
8-K - 8-K - CINCINNATI FINANCIAL CORP	a1q20release8-k.htm

Cincinnati Financial Corporation

Supplemental Financial Data

for the period ending March 31, 2020

6200 South Gilmore Road

Fairfield, Ohio 45014-5141

cinfin.com



Investor Contact:	Media Contact:	Shareholder Contact:
Dennis E. McDaniel	Betsy E. Ertel	Brandon McIntosh
513-870-2768	513-603-5323	513-870-2696



	A.M. Best Company	Fitch Ratings	Moody's Investor Service	S&P Global Ratings
Cincinnati Financial Corporation
Corporate Debt	a	A-	A3	BBB+

The Cincinnati Insurance Companies
Insurer Financial Strength

Property Casualty Group
Standard Market Subsidiaries:	A+	—	A1	A+
The Cincinnati Insurance Company	A+	A+	A1	A+
The Cincinnati Indemnity Company	A+	A+	A1	A+
The Cincinnati Casualty Company	A+	A+	A1	A+
Surplus Lines Subsidiary:
The Cincinnati Specialty Underwriters Insurance Company	A+	—	—	—

The Cincinnati Life Insurance Company	A+	A+	—	A+

Ratings are as of April 24, 2020, under continuous review and subject to change and/or affirmation. For the current ratings, select Financial Strength on cinfin.com.

The consolidated financial statements and financial exhibits that follow are unaudited. These consolidated financial statements and exhibits should be read in conjunction with the consolidated financial statements and notes included with our periodic filings with the U.S. Securities and Exchange Commission. The results of operations for interim periods may not be indicative of results to be expected for the full year.

CINF First-Quarter 2020 Supplemental Financial Data



	Cincinnati Financial Corporation
	Supplemental Financial Data
	for the period ending March 31, 2020

		Page
	Definitions of Non-GAAP Information and Reconciliation to Comparable GAAP Measures	3

Consolidated
	CFC and Subsidiaries Consolidation – Three Months Ended March 31, 2020	4


Consolidated Property Casualty Insurance Operations
	Losses Incurred Detail	5
	Loss Ratio Detail	6
	Loss Claim Count Detail	7
	Quarterly Property Casualty Data – Commercial Lines	8
	Quarterly Property Casualty Data – Personal Lines and Excess & Surplus Lines	9
	Loss and Loss Expense Analysis – Three Months Ended March 31, 2020	10

Reconciliation Data
	Quarterly Property Casualty Data – Consolidated	11
	Quarterly Property Casualty Data – Commercial Lines	12
	Quarterly Property Casualty Data – Personal Lines	13
	Quarterly Property Casualty Data – Excess & Surplus Lines	14

Statutory Statements of Income
	Consolidated Cincinnati Insurance Companies Statutory Statements of Income	15
	The Cincinnati Life Insurance Company Statutory Statements of Income	16

Other
	Quarterly Data – Other	17

CINF First-Quarter 2020 Supplemental Financial Data

Definitions of Non-GAAP Information and

Reconciliation to Comparable GAAP Measures

Cincinnati Financial Corporation prepares its public financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). Statutory data is prepared in accordance with statutory accounting rules for insurance company regulation in the United States of America as defined by the National Association of Insurance Commissioners’ (NAIC) Accounting Practices and Procedures Manual, and therefore is not reconciled to GAAP data.

Management uses certain non-GAAP financial measures to evaluate its primary business areas – property casualty insurance, life insurance and investments. Management uses these measures when analyzing both GAAP and non-GAAP results to improve its understanding of trends in the underlying business and to help avoid incorrect or misleading assumptions and conclusions about the success or failure of company strategies. Management adjustments to GAAP measures generally: apply to non-recurring events that are unrelated to business performance and distort short-term results; involve values that fluctuate based on events outside of management’s control; supplement reporting segment disclosures with disclosures for a subsidiary company or for a combination of subsidiaries or reporting segments; or relate to accounting refinements that affect comparability between periods, creating a need to analyze data on the same basis.

•

Non-GAAP operating income: Non-GAAP operating income is calculated by excluding investment gains and losses (defined as investment gains and losses after applicable federal and state income taxes) and other significant non-recurring items from net income. Management evaluates non-GAAP operating income to measure the success of pricing, rate and underwriting strategies. While investment gains (or losses) are integral to the company’s insurance operations over the long term, the determination to realize investment gains or losses on fixed-maturity securities sold in any period may be subject to management’s discretion and is independent of the insurance underwriting process. Also, under applicable GAAP accounting requirements, gains and losses are recognized from certain changes in market values of securities without actual realization. Management believes that the level of investment gains or losses for any particular period, while it may be material, may not fully indicate the performance of ongoing underlying business operations in that period.

For these reasons, many investors and shareholders consider non-GAAP operating income to be one of the more meaningful measures for evaluating insurance company performance. Equity analysts who report on the insurance industry and the company generally focus on this metric in their analyses. The company presents non-GAAP operating income so that all investors have what management believes to be a useful supplement to GAAP information.

•

Consolidated property casualty insurance results: To supplement reporting segment disclosures related to our property casualty insurance operations, we also evaluate results for those operations on a basis that includes results for our property casualty insurance and brokerage services subsidiaries. That is the total of our commercial lines, personal lines and our excess and surplus lines segments plus our reinsurance assumed operations known as Cincinnati Re and our London-based global specialty underwriter known as Cincinnati Global.

•

Life insurance subsidiary results: To supplement life insurance reporting segment disclosures related to our life insurance operation, we also evaluate results for that operation on a basis that includes life insurance subsidiary investment income, or investment income plus investment gains and losses, that are also included in our investments reporting segment. We recognize that assets under management, capital appreciation and investment income are integral to evaluating the success of the life insurance segment because of the long duration of life products.

Other Measures

•

Value creation ratio: This is a measure of shareholder value creation that management believes captures the contribution of the company’s insurance operations, the success of its investment strategy and the importance placed on paying cash dividends to shareholders. The value creation ratio measure is made up of two primary components: (1) rate of growth in book value per share plus (2) the ratio of dividends declared per share to beginning book value per share. Management believes this measure is useful, providing a meaningful measure of long-term progress in creating shareholder value. It is intended to be all-inclusive regarding changes in book value per share, and uses originally reported book value per share in cases where book value per share has been adjusted, such as adoption of Accounting Standards Updates with a cumulative effect of a change in accounting.

•

Statutory accounting rules: For public reporting, insurance companies prepare financial statements in accordance with GAAP. However, insurers also must calculate certain data according to statutory accounting rules for insurance company regulation in the United States of America as defined in the NAIC’s Accounting Practices and Procedures Manual, which may be, and has been, modified by various state insurance departments and differ from GAAP. Statutory data is publicly available, and various organizations use it to calculate aggregate industry data, study industry trends and compare insurance companies.


•	Written premium: Under statutory accounting rules in the U.S., property casualty written premium is the amount recorded for policies issued and recognized on an annualized basis at the effective date of the policy. Management analyzes trends in written premium to assess business efforts. The difference between written and earned premium is unearned premium.

CINF First-Quarter 2020 Supplemental Financial Data



Cincinnati Financial Corporation and Subsidiaries
Consolidated Statements of Income for the Three Months Ended March 31, 2020

(Dollars in millions)	CFC			CONSOL P&C			CLIC			CFC-I		ELIM			Total
Revenues
Premiums earned:
Property casualty	$	—		$	1,437		$	—		$	—	$	—		$	1,437
Life	—			—			85			—		—			85
Premiums ceded	—			(48		)	(18		)	—		—			(66		)
Total earned premium	—			1,389			67			—		—			1,456
Investment income, net of expenses	19			107			39			—		—			165
Investment gains and losses, net	(621		)	(1,072		)	(32		)	—		—			(1,725		)
Fee revenues	—			3			—			—		—			3
Other revenues	4			1			—			1		(4		)	2
Total revenues	$	(598	)	$	428		$	74		$	1	$	(4	)	$	(99	)

Benefits & expenses
Losses & contract holders' benefits	$	—		$	934		$	85		$	—				$	1,019
Reinsurance recoveries	—			(4		)	(12		)	—		—			(16		)
Underwriting, acquisition and insurance expenses	—			438			18			—		—			456
Interest expense	13			—			—			—		—			13
Other operating expenses	8			—			—			1		(4		)	5
Total expenses	$	21		$	1,368		$	91		$	1	$	(4	)	$	1,477

Income (loss) before income taxes	$	(619	)	$	(940	)	$	(17	)	$	—	$	—		$	(1,576	)

Provision (benefit) for income taxes
Current operating income	$	129		$	228		$	8		$	—	$	—		$	365
Capital gains/losses	(130		)	(225		)	(7		)	—		—			(362		)
Deferred	(130		)	(218		)	(5		)	—		—			(353		)
Total benefit for income taxes	$	(131	)	$	(215	)	$	(4	)	$	—	$	—		$	(350	)

Net income (loss) - current year	$	(488	)	$	(725	)	$	(13	)	$	—	$	—		$	(1,226	)

Net income - prior year	$	211		$	473		$	10		$	1	$	—		$	695
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding.
Consolidated property casualty data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF First-Quarter 2020 Supplemental Financial Data



Consolidated Property Casualty
Losses Incurred Detail
(Dollars in millions)	Three months ended																	Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19		6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Consolidated
Current accident year losses greater than $5 million				$	—		$	14		$	(1	)	$	14		$	—		$	14			$	13			$	27
Current accident year losses $1 million - $5 million				50			77			76			53			37			90				166				243
Large loss prior accident year reserve development				26			(4		)	33			5			16			21				54				50
Total large losses incurred				$	76		$	87		$	108		$	72		$	53		$	125			$	233			$	320
Losses incurred but not reported				79			41			(24		)	(14		)	47			33				9				50
Other losses excluding catastrophe losses				496			512			566			547			493			1,039				1,606				2,118
Catastrophe losses				123			42			70			128			69			198				268				309
Total losses incurred				$	774		$	682		$	720		$	733		$	662		$	1,395			$	2,116			$	2,797
Commercial Lines
Current accident year losses greater than $5 million				$	—		$	14		$	(1	)	$	14		$	—		$	14			$	13			$	27
Current accident year losses $1 million - $5 million				36			62			56			41			26			68				124				185
Large loss prior accident year reserve development				22			1			32			3			13			16				48				49
Total large losses incurred				$	58		$	77		$	87		$	58		$	39		$	98			$	185			$	261
Losses incurred but not reported				58			12			(22		)	(7		)	43			36				14				26
Other losses excluding catastrophe losses				298			302			314			320			286			605				919				1,222
Catastrophe losses				82			(9		)	32			94			25			119				151				142
Total losses incurred				$	496		$	382		$	411		$	465		$	393		$	858			$	1,269			$	1,651
Personal Lines
Current accident year losses greater than $5 million				$	—		$	—		$	—		$	—		$	—		$	—			$	—			$	—
Current accident year losses $1 million - $5 million				12			11			20			10			10			19				39				51
Large loss prior accident year reserve development				5			(3		)	(1		)	1			2			3				2				(1		)
Total large losses incurred				$	17		$	8		$	19		$	11		$	12		$	22			$	41			$	50
Losses incurred but not reported				24			17			—			(4		)	4			—				(1		)		17
Other losses excluding catastrophe losses				127			160			172			167			163			330				504				662
Catastrophe losses				38			33			23			34			45			79				101				135
Total losses incurred				$	206		$	218		$	214		$	208		$	224		$	431			$	645			$	864
Excess & Surplus Lines
Current accident year losses greater than $5 million				$	—		$	—		$	—		$	—		$	—		$	—			$	—			$	—
Current accident year losses $1 million - $5 million				2			4			—			2			1			3				3				7
Large loss prior accident year reserve development				(1		)	(2		)	2			1			1			2				4				2
Total large losses incurred				$	1		$	2		$	2		$	3		$	2		$	5			$	7			$	9
Losses incurred but not reported				(3		)	12			(2		)	(3		)	—			(3		)		(4		)		7
Other losses excluding catastrophe losses				29			14			25			18			19			36				61				76
Catastrophe losses				1			1			1			—			—			1				1				2
Total losses incurred				$	28		$	29		$	26		$	18		$	21		$	39			$	65			$	94
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. The sum of quarterly amounts may not equal the full year as each is computed independently.
Consolidated property casualty data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF First-Quarter 2020 Supplemental Financial Data



Consolidated Property Casualty
Loss Ratio Detail
	Three months ended													Six months ended			Nine months ended			Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20		12/31/19		9/30/19		6/30/19		3/31/19		6/30/20	6/30/19		9/30/20	9/30/19		12/31/20	12/31/19
Consolidated
Current accident year losses greater than $5 million				—	%	1.1	%	(0.1	)%	1.1	%	—	%		0.5	%		0.3	%		0.5	%
Current accident year losses $1 million - $5 million				3.6		5.6		5.5		4.0		2.9			3.5			4.2			4.6
Large loss prior accident year reserve development				1.9		(0.4	)	2.4		0.4		1.2			0.8			1.4			0.9
Total large loss ratio				5.5	%	6.3	%	7.8	%	5.5	%	4.1	%		4.8	%		5.9	%		6.0	%
Losses incurred but not reported				5.7		3.0		(1.8	)	(1.1	)	3.7			1.3			0.2			0.9
Other losses excluding catastrophe losses				35.6		37.3		41.2		41.6		38.9			40.2			40.5			39.7
Catastrophe losses				8.9		3.0		5.1		9.7		5.5			7.7			6.8			5.8
Total loss ratio				55.7	%	49.6	%	52.3	%	55.7	%	52.2	%		54.0	%		53.4	%		52.4	%
Commercial Lines
Current accident year losses greater than $5 million				—	%	1.7	%	(0.1	)%	1.7	%	—	%		0.9	%		0.5	%		0.8	%
Current accident year losses $1 million - $5 million				4.1		7.0		6.8		5.0		3.3			4.1			5.1			5.6
Large loss prior accident year reserve development				2.6		0.2		3.8		0.4		1.6			1.0			1.9			1.5
Total large loss ratio				6.7	%	8.9	%	10.5	%	7.1	%	4.9	%		6.0	%		7.5	%		7.9	%
Losses incurred but not reported				6.8		1.5		(2.6	)	(0.9	)	5.4			2.2			0.6			0.8
Other losses excluding catastrophe losses				34.5		35.4		37.6		38.9		35.1			37.0			37.2			36.7
Catastrophe losses				9.5		(1.0	)	3.8		11.4		3.1			7.3			6.1			4.3
Total loss ratio				57.5	%	44.8	%	49.3	%	56.5	%	48.5	%		52.5	%		51.4	%		49.7	%
Personal Lines
Current accident year losses greater than $5 million				—	%	—	%	—	%	—	%	—	%		—	%		—	%		—	%
Current accident year losses $1 million - $5 million				3.5		3.5		5.4		2.8		2.8			2.8			3.7			3.6
Large loss prior accident year reserve development				1.3		(1.0	)	(0.2	)	0.3		0.6			0.4			0.2			(0.1	)
Total large loss ratio				4.8	%	2.5	%	5.2	%	3.1	%	3.4	%		3.2	%		3.9	%		3.5	%
Losses incurred but not reported				6.6		5.1		(0.1	)	(1.1	)	1.0			(0.1	)		(0.1	)		1.2
Other losses excluding catastrophe losses				35.3		44.2		48.9		48.0		47.4			47.8			48.1			47.2
Catastrophe losses				10.5		9.4		6.4		9.7		13.1			11.4			9.7			9.6
Total loss ratio				57.2	%	61.2	%	60.4	%	59.7	%	64.9	%		62.3	%		61.6	%		61.5	%
Excess & Surplus Lines
Current accident year losses greater than $5 million				—	%	—	%	—	%	—	%	—	%		—	%		—	%		—	%
Current accident year losses $1 million - $5 million				2.6		5.4		—		3.0		1.6			2.4			1.5			2.5
Large loss prior accident year reserve development				(1.5	)	(2.7	)	2.7		1.5		1.2			1.3			1.8			0.6
Total large loss ratio				1.1	%	2.7	%	2.7	%	4.5	%	2.8	%		3.7	%		3.3	%		3.1	%
Losses incurred but not reported				(4.4	)	14.4		(2.6	)	(4.5	)	0.8			(1.9	)		(2.2	)		2.4
Other losses excluding catastrophe losses				37.8		20.5		34.5		26.7		29.1			27.9			30.3			27.7
Catastrophe losses				0.9		0.4		1.0		0.5		0.2			0.3			0.6			0.5
Total loss ratio				35.4	%	38.0	%	35.6	%	27.2	%	32.9	%		30.0	%		32.0	%		33.7	%
*Certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts.
Consolidated property casualty data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF First-Quarter 2020 Supplemental Financial Data



Consolidated Property Casualty
Loss Claim Count Detail
	Three months ended								Six months ended		Nine months ended		Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20	12/31/19	9/30/19	6/30/19	3/31/19	6/30/20	6/30/19	9/30/20	9/30/19	12/31/20	12/31/19
Consolidated
Current accident year reported losses greater than $5 million				—	2	1	2	—		2		2		4
Current accident year reported losses $1 million - $5 million				27	39	35	31	19		50		88		137
Prior accident year reported losses on large losses				20	9	18	13	10		24		44		55
Non-Catastrophe reported losses on large losses total				47	50	54	46	29		76		134		196
Commercial Lines
Current accident year reported losses greater than $5 million				—	2	1	2	—		2		2		4
Current accident year reported losses $1 million - $5 million				17	27	27	23	12		35		64		100
Prior accident year reported losses on large losses				17	8	18	10	7		19		38		49
Non-Catastrophe reported losses on large losses total				34	37	46	35	19		56		104		153
Personal Lines
Current accident year reported losses greater than $5 million				—	—	—	—	—		—		—		—
Current accident year reported losses $1 million - $5 million				8	8	8	6	6		12		21		30
Prior accident year reported losses on large losses				3	1	—	1	2		3		3		4
Non-Catastrophe reported losses on large losses total				11	9	8	7	8		15		24		34
Excess & Surplus Lines
Current accident year reported losses greater than $5 million				—	—	—	—	—		—		—		—
Current accident year reported losses $1 million - $5 million				2	4	—	2	1		3		3		7
Prior accident year reported losses on large losses				—	—	—	2	1		2		3		2
Non-Catastrophe reported losses on large losses total				2	4	—	4	2		5		6		9
*The sum of quarterly amounts may not equal the full year as each is computed independently.

CINF First-Quarter 2020 Supplemental Financial Data



Quarterly Property Casualty Data - Commercial Lines

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Commercial casualty:
Written premiums				$	341		$	269		$	263		$	296		$	303			$	599			$	862			$	1,131
Year over year change %- written premium				13		%	7		%	5		%	2		%	6		%		4		%		4		%		5		%
Earned premiums				$	289		$	280		$	277		$	277		$	268			$	545			$	822			$	1,102
Current accident year before catastrophe losses				65.8		%	67.5		%	66.1		%	67.4		%	66.7		%		67.0		%		66.7		%		66.9		%
Current accident year catastrophe losses				—			—			—			—			—				—				—				—
Prior accident years before catastrophe losses				(1.6		)	(4.8		)	(2.9		)	(9.3		)	(11.5		)		(10.3		)		(7.8		)		(7.1		)
Prior accident years catastrophe losses				—			—			—			—			—				—				—				—
Total loss and loss expense ratio				64.2		%	62.7		%	63.2		%	58.1		%	55.2		%		56.7		%		58.9		%		59.8		%
Commercial property:
Written premiums				$	261		$	246		$	245		$	247		$	247			$	494			$	739			$	985
Year over year change %- written premium				6		%	10		%	6		%	3		%	4		%		3		%		4		%		6		%
Earned premiums				$	249		$	249		$	241		$	234		$	234			$	468			$	709			$	958
Current accident year before catastrophe losses				47.8		%	50.3		%	49.4		%	49.0		%	51.5		%		50.3		%		50.0		%		50.1		%
Current accident year catastrophe losses				34.2			0.2			15.0			43.5			13.8				28.6				24.0				17.8
Prior accident years before catastrophe losses				0.7			(1.3		)	(1.1		)	0.8			1.9				1.3				0.5				0.1
Prior accident years catastrophe losses				(1.1		)	(2.6		)	(1.9		)	(3.6		)	(2.6		)		(3.0		)		(2.7		)		(2.7		)
Total loss and loss expense ratio				81.6		%	46.6		%	61.4		%	89.7		%	64.6		%		77.2		%		71.8		%		65.3		%
Commercial auto:
Written premiums				$	208		$	175		$	176		$	196		$	188			$	384			$	560			$	735
Year over year change %- written premium				11		%	7		%	10		%	8		%	6		%		7		%		8		%		8		%
Earned premiums				$	185		$	183		$	179		$	175		$	170			$	345			$	524			$	707
Current accident year before catastrophe losses				70.9		%	68.1		%	67.8		%	70.5		%	74.5		%		72.5		%		70.9		%		70.2		%
Current accident year catastrophe losses				1.2			(0.3		)	1.5			1.4			0.3				0.9				1.1				0.7
Prior accident years before catastrophe losses				3.3			0.7			1.7			1.0			(6.7		)		(2.9		)		(1.3		)		(0.8		)
Prior accident years catastrophe losses				(0.2		)	—			(0.1		)	—			—				—				(0.1		)		—
Total loss and loss expense ratio				75.2		%	68.5		%	70.9		%	72.9		%	68.1		%		70.5		%		70.6		%		70.1		%
Workers' compensation:
Written premiums				$	92		$	63		$	62		$	75		$	94			$	169			$	231			$	294
Year over year change %- written premium				(2		)%	(6		)%	(6		)%	(10		)%	(1		)%		(5		)%		(5		)%		(5		)%
Earned premiums				$	75		$	76		$	73		$	74		$	77			$	151			$	224			$	300
Current accident year before catastrophe losses				81.1		%	85.4		%	81.1		%	78.0		%	78.8		%		78.4		%		79.3		%		80.8		%
Current accident year catastrophe losses				—			—			—			—			—				—				—				—
Prior accident years before catastrophe losses				(9.8		)	(20.1		)	(27.0		)	(35.9		)	(20.1		)		(27.9		)		(27.7		)		(25.7		)
Prior accident years catastrophe losses				—			—			—			—			—				—				—				—
Total loss and loss expense ratio				71.3		%	65.3		%	54.1		%	42.1		%	58.7		%		50.5		%		51.6		%		55.1		%
Other commercial:
Written premiums				$	70		$	66		$	70		$	65		$	64			$	129			$	199			$	265
Year over year change %- written premium				9		%	16		%	8		%	10		%	10		%		10		%		9		%		10		%
Earned premiums				$	65		$	64		$	64		$	63		$	61			$	124			$	188			$	252
Current accident year before catastrophe losses				39.1		%	38.2		%	34.3		%	33.7		%	38.0		%		35.8		%		35.4		%		36.0		%
Current accident year catastrophe losses				0.1			0.1			(0.2		)	0.3			0.4				0.3				0.1				0.1
Prior accident years before catastrophe losses				1.7			(3.3		)	(2.1		)	(1.9		)	(4.1		)		(3.0		)		(2.7		)		(2.8		)
Prior accident years catastrophe losses				0.2			(0.3		)	0.8			—			0.2				0.1				0.3				0.2
Total loss and loss expense ratio				41.1		%	34.7		%	32.8		%	32.1		%	34.5		%		33.2		%		33.1		%		33.5		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently.

CINF First-Quarter 2020 Supplemental Financial Data



Quarterly Property Casualty Data - Personal Lines

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Personal auto:
Written premiums				$	137		$	141		$	166		$	173		$	140			$	313			$	479			$	620
Year over year change %- written premium				(2		)%	—		%	(2		)%	—		%	—		%		—		%		—		%		—		%
Earned premiums				$	154		$	155		$	156		$	155		$	155			$	310			$	466			$	621
Current accident year before catastrophe losses				69.4		%	70.8		%	70.2		%	73.8		%	76.2		%		75.0		%		73.4		%		72.7		%
Current accident year catastrophe losses				2.1			0.4			1.2			1.8			0.5				1.1				1.1				1.0
Prior accident years before catastrophe losses				(8.1		)	(1.7		)	(2.0		)	(9.4		)	(3.3		)		(6.3		)		(4.9		)		(4.1		)
Prior accident years catastrophe losses				(0.4		)	—			(0.1		)	(0.2		)	—				(0.1		)		(0.1		)		(0.1		)
Total loss and loss expense ratio				63.0		%	69.5		%	69.3		%	66.0		%	73.4		%		69.7		%		69.5		%		69.5		%
Homeowner:
Written premiums				$	140		$	152		$	173		$	176		$	130			$	306			$	479			$	631
Year over year change %- written premium				8		%	8		%	7		%	8		%	7		%		8		%		7		%		7		%
Earned premiums				$	159		$	157		$	154		$	149		$	147			$	296			$	450			$	607
Current accident year before catastrophe losses				53.5		%	55.7		%	60.9		%	53.1		%	51.9		%		52.5		%		55.3		%		55.5		%
Current accident year catastrophe losses				23.8			21.7			14.0			22.6			23.2				22.9				19.9				20.3
Prior accident years before catastrophe losses				(8.7		)	(2.2		)	1.0			4.5			2.0				3.3				2.5				1.3
Prior accident years catastrophe losses				(2.3		)	(0.5		)	(0.8		)	(2.2		)	5.7				1.7				0.9				0.5
Total loss and loss expense ratio				66.3		%	74.7		%	75.1		%	78.0		%	82.8		%		80.4		%		78.6		%		77.6		%
Other personal:
Written premiums				$	42		$	43		$	49		$	53		$	39			$	92			$	141			$	184
Year over year change %- written premium				8		%	5		%	7		%	15		%	10		%		13		%		11		%		10		%
Earned premiums				$	46		$	46		$	44		$	44		$	42			$	86			$	130			$	176
Current accident year before catastrophe losses				50.5		%	60.9		%	51.4		%	51.5		%	33.6		%		42.7		%		45.7		%		49.6		%
Current accident year catastrophe losses				4.6			2.9			4.3			4.7			5.6				5.1				4.8				4.3
Prior accident years before catastrophe losses				6.3			(5.9		)	(6.4		)	(7.7		)	(6.1		)		(6.9		)		(6.7		)		(6.5		)
Prior accident years catastrophe losses				(0.6		)	(0.5		)	(0.7		)	0.4			0.1				0.2				(0.1		)		(0.2		)
Total loss and loss expense ratio				60.8		%	57.4		%	48.6		%	48.9		%	33.2		%		41.1		%		43.7		%		47.2		%

Quarterly Property Casualty Data - Excess & Surplus Lines

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Excess & Surplus:
Written premiums				$	85		$	80		$	74		$	78		$	71			$	149			$	223			$	303
Year over year change %- written premium				20		%	23		%	25		%	22		%	16		%		19		%		21		%		22		%
Earned premiums				$	78		$	76		$	72		$	67		$	63			$	130			$	202			$	278
Current accident year before catastrophe losses				55.7		%	54.3		%	57.6		%	50.8		%	55.5		%		53.1		%		54.7		%		54.6		%
Current accident year catastrophe losses				0.5			—			0.6			0.7			0.3				0.5				0.5				0.4
Prior accident years before catastrophe losses				0.7			(0.4		)	(6.0		)	(6.2		)	(4.2		)		(5.2		)		(5.5		)		(4.1		)
Prior accident years catastrophe losses				0.5			0.5			0.5			(0.2		)	(0.1		)		(0.1		)		0.1				0.2
Total loss and loss expense ratio				57.4		%	54.4		%	52.7		%	45.1		%	51.5		%		48.3		%		49.8		%		51.1		%
*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently.

CINF First-Quarter 2020 Supplemental Financial Data



Consolidated Property Casualty Loss and Loss Expense Analysis
(Dollars in millions)									Change in			Change in			Change in			Total									Loss
	Paid			Paid loss		Total			case			IBNR			loss expense			change in			Case			IBNR			expense			Total
	losses			expense		paid			reserves			reserves			reserves			reserves			incurred			incurred			incurred			incurred
Gross loss and loss expense incurred for the three months ended March 31, 2020
Commercial casualty	$	113		$	45	$	158		$	14		$	1		$	11		$	26		$	127		$	1		$	56		$	184
Commercial property	188			18		206			(36		)	40			(3		)	1			152			40			15			207
Commercial auto	109			26		135			(12		)	24			(8		)	4			97			24			18			139
Workers' compensation	41			10		51			(3		)	6			(1		)	2			38			6			9			53
Other commercial	23			4		27			(11		)	4			9			2			12			4			13			29
Total commercial lines	474			103		577			(48		)	75			8			35			426			75			111			612

Personal auto	87			26		113			(7		)	4			(11		)	(14		)	80			4			15			99
Homeowners	73			12		85			(3		)	26			(3		)	20			70			26			9			105
Other personal	15			2		17			4			7			—			11			19			7			2			28
Total personal lines	175			40		215			(6		)	37			(14		)	17			169			37			26			232

Excess & surplus lines	24			9		33			10			(3		)	8			15			34			(3		)	17			48
Other	42			2		44			(5		)	3			—			(2		)	37			3			2			42
Total property casualty	$	715		$	154	$	869		$	(49	)	$	112		$	2		$	65		$	666		$	112		$	156		$	934

Ceded loss and loss expense incurred for the three months ended March 31, 2020
Commercial casualty	$	(1	)	$	—	$	(1	)	$	1		$	—		$	—		$	1		$	—		$	—		$	—		$	—
Commercial property	44			—		44			(40		)	(1		)	—			(41		)	4			(1		)	—			3
Commercial auto	—			—		—			—			—			—			—			—			—			—			—
Workers' compensation	4			—		4			(2		)	(1		)	(1		)	(4		)	2			(1		)	(1		)	—
Other commercial	1			—		1			—			—			—			—			1			—			—			1
Total commercial lines	48			—		48			(41		)	(2		)	(1		)	(44		)	7			(2		)	(1		)	4

Personal auto	1			—		1			2			(1		)	—			1			3			(1		)	—			2
Homeowners	1			—		1			(2		)	—			—			(2		)	(1		)	—			—			(1		)
Other personal	—			—		—			—			—			—			—			—			—			—			—
Total personal lines	2			—		2			—			(1		)	—			(1		)	2			(1		)	—			1

Excess & surplus lines	1			—		1			1			1			—			2			2			1			—			3
Other	1			—		1			(1		)	(4		)	—			(5		)	—			(4		)	—			(4		)
Total property casualty	$	52		$	—	$	52		$	(41	)	$	(6	)	$	(1	)	$	(48	)	$	11		$	(6	)	$	(1	)	$	4

Net loss and loss expense incurred for the three months ended March 31, 2020
Commercial casualty	$	114		$	45	$	159		$	13		$	1		$	11		$	25		$	127		$	1		$	56		$	184
Commercial property	144			18		162			4			41			(3		)	42			148			41			15			204
Commercial auto	109			26		135			(12		)	24			(8		)	4			97			24			18			139
Workers' compensation	37			10		47			(1		)	7			—			6			36			7			10			53
Other commercial	22			4		26			(11		)	4			9			2			11			4			13			28
Total commercial lines	426			103		529			(7		)	77			9			79			419			77			112			608

Personal auto	86			26		112			(9		)	5			(11		)	(15		)	77			5			15			97
Homeowners	72			12		84			(1		)	26			(3		)	22			71			26			9			106
Other personal	15			2		17			4			7			—			11			19			7			2			28
Total personal lines	173			40		213			(6		)	38			(14		)	18			167			38			26			231

Excess & surplus lines	23			9		32			9			(4		)	8			13			32			(4		)	17			45
Other	41			2		43			(4		)	7			—			3			37			7			2			46
Total property casualty	$	663		$	154	$	817		$	(8	)	$	118		$	3		$	113		$	655		$	118		$	157		$	930

*Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding.
Other data includes results from our Cincinnati Re operations and Cincinnati Global, which was acquired on February 28, 2019.

CINF First-Quarter 2020 Supplemental Financial Data




Quarterly Property Casualty Data - Consolidated

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums				$	1,198		$	1,084		$	1,119		$	1,186		$	1,130			$	2,316			$	3,435			$	4,519
Agency new business written premiums				215			193			192			212			181				393				585				778
Other written premiums				105			31			40			78			70				148				188				219
Net written premiums				$	1,518		$	1,308		$	1,351		$	1,476		$	1,381			$	2,857			$	4,208			$	5,516
Unearned premium change				(129		)	66			25			(159		)	(114		)		(273		)		(248		)		(182		)
Earned premiums				$	1,389		$	1,374		$	1,376		$	1,317		$	1,267			$	2,584			$	3,960			$	5,334
Year over year change %
Agency renewal written premiums				6		%	5		%	3		%	3		%	4		%		4		%		3		%		4		%
Agency new business written premiums				19			22			25			17			14				16				18				19
Other written premiums				50			nm			nm			333			338				335				395				nm
Net written premiums				10			11			8			9			10				10				9				10
Paid losses and loss expenses
Losses paid				$	663		$	677		$	703		$	677		$	692			$	1,369			$	2,072			$	2,748
Loss expenses paid				154			131			127			121			132				253				380				512
Loss and loss expenses paid				$	817		$	808		$	830		$	798		$	824			$	1,622			$	2,452			$	3,260
Incurred losses and loss expenses
Loss and loss expense incurred				$	930		$	835		$	864		$	863		$	790			$	1,653			$	2,517			$	3,352
Loss and loss expenses paid as a % of incurred				87.7		%	96.8		%	96.1		%	92.5		%	104.3		%		98.1		%		97.4		%		97.3		%
Statutory combined ratio
Loss ratio				56.1		%	49.6		%	52.1		%	55.7		%	52.5		%		54.1		%		53.4		%		52.5		%
Loss adjustment expense ratio				11.3			11.3			11.0			9.9			10.1				10.1				10.4				10.6
Net underwriting expense ratio				29.2			32.1			31.2			29.3			28.9				29.1				29.8				30.3
US Statutory combined ratio				96.6		%	93.0		%	94.3		%	94.9		%	91.5		%		93.3		%		93.6		%		93.4		%
Contribution from catastrophe losses				9.1			3.3			5.3			10.0			5.8				7.9				7.1				6.0
Statutory combined ratio excl. catastrophe losses				87.5		%	89.7		%	89.0		%	84.9		%	85.7		%		85.4		%		86.5		%		87.4		%
GAAP combined ratio
GAAP combined ratio				98.5		%	91.6		%	94.2		%	96.5		%	93.0		%		94.8		%		94.6		%		93.8		%
Contribution from catastrophe losses				9.1			3.3			5.3			10.0			5.8				7.9				7.1				6.0
GAAP combined ratio excl. catastrophe losses				89.4		%	88.3		%	88.9		%	86.5		%	87.2		%		86.9		%		87.5		%		87.8		%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. nm - Not meaningful *Statutory ratios exclude the results of Cincinnati Global, which was acquired on February 28, 2019. Consolidated property casualty data includes the results of Cincinnati Re and Cincinnati Global.

CINF First-Quarter 2020 Supplemental Financial Data




Quarterly Property Casualty Data - Commercial Lines

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums				$	842		$	719		$	713		$	767		$	799			$	1,566			$	2,279			$	2,998
Agency new business written premiums				154			129			124			137			120				257				381				510
Other written premiums				(24		)	(29		)	(21		)	(25		)	(23		)		(48		)		(69		)		(98		)
Net written premiums				$	972		$	819		$	816		$	879		$	896			$	1,775			$	2,591			$	3,410
Unearned premium change				(109		)	33			18			(56		)	(86		)		(142		)		(124		)		(91		)
Earned premiums				$	863		$	852		$	834		$	823		$	810			$	1,633			$	2,467			$	3,319
Year over year change %
Agency renewal written premiums				5		%	4		%	2		%	1		%	4		%		2		%		2		%		2		%
Agency new business written premiums				28			28			32			16			15				16				21				22
Other written premiums				(4		)	15			5			(25		)	(10		)		(17		)		(10		)		(1		)
Net written premiums				8			8			5			3			5				4				4				5
Paid losses and loss expenses
Losses paid				$	426		$	418		$	417		$	394		$	436			$	830			$	1,247			$	1,665
Loss expenses paid				103			91			89			85			92				178				266				358
Loss and loss expenses paid				$	529		$	509		$	506		$	479		$	528			$	1,008			$	1,513			$	2,023
Incurred losses and loss expenses
Loss and loss expense incurred				$	608		$	489		$	510		$	550		$	481			$	1,031			$	1,541			$	2,030
Loss and loss expenses paid as a % of incurred				87.0		%	104.1		%	99.2		%	87.1		%	109.8		%		97.8		%		98.2		%		99.7		%
Statutory combined ratio
Loss ratio				57.5		%	44.8		%	49.3		%	56.5		%	48.5		%		52.5		%		51.5		%		49.7		%
Loss adjustment expense ratio				12.9			12.6			11.9			10.3			10.9				10.6				11.0				11.5
Net underwriting expense ratio				28.9			32.8			32.7			30.2			28.9				29.6				30.6				31.1
Statutory combined ratio				99.3		%	90.2		%	93.9		%	97.0		%	88.3		%		92.7		%		93.1		%		92.3		%
Contribution from catastrophe losses				9.8			(0.7		)	4.1			11.7			3.3				7.5				6.4				4.5
Statutory combined ratio excl. catastrophe losses				89.5		%	90.9		%	89.8		%	85.3		%	85.0		%		85.2		%		86.7		%		87.8		%
GAAP combined ratio
GAAP combined ratio				102.5		%	88.8		%	93.4		%	98.6		%	90.8		%		94.7		%		94.3		%		92.9		%
Contribution from catastrophe losses				9.8			(0.7		)	4.1			11.7			3.3				7.5				6.4				4.5
GAAP combined ratio excl. catastrophe losses				92.7		%	89.5		%	89.3		%	86.9		%	87.5		%		87.2		%		87.9		%		88.4		%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

CINF First-Quarter 2020 Supplemental Financial Data




Quarterly Property Casualty Data - Personal Lines

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums				$	294		$	309		$	356		$	365		$	282			$	647			$	1,003			$	1,312
Agency new business written premiums				34			36			40			47			35				82				122				158
Other written premiums				(9		)	(9		)	(8		)	(10		)	(8		)		(18		)		(26		)		(35		)
Net written premiums				$	319		$	336		$	388		$	402		$	309			$	711			$	1,099			$	1,435
Unearned premium change				40			22			(34		)	(54		)	35				(19		)		(53		)		(31		)
Earned premiums				$	359		$	358		$	354		$	348		$	344			$	692			$	1,046			$	1,404
Year over year change %
Agency renewal written premiums				4		%	5		%	4		%	7		%	7		%		7		%		6		%		6		%
Agency new business written premiums				(3		)	(5		)	(5		)	2			(10		)		(4		)		(4		)		(4		)
Other written premiums				(13		)	(13		)	(14		)	(43		)	(33		)		(38		)		(30		)		(25		)
Net written premiums				3			4			3			6			4				5				4				4
Paid losses and loss expenses
Losses paid				$	173		$	205		$	221		$	217		$	209			$	426			$	647			$	850
Loss expenses paid				40			29			29			27			31				58				87				116
Loss and loss expenses paid				$	213		$	234		$	250		$	244		$	240			$	484			$	734			$	966
Incurred losses and loss expenses
Loss and loss expense incurred				$	231		$	251		$	244		$	240		$	250			$	490			$	734			$	985
Loss and loss expenses paid as a % of incurred				92.2		%	93.2		%	102.0		%	101.7		%	96.0		%		98.8		%		100.0		%		98.1		%
Statutory combined ratio
Loss ratio				57.2		%	61.2		%	60.4		%	59.7		%	64.9		%		62.3		%		61.6		%		61.5		%
Loss adjustment expense ratio				6.9			9.0			8.8			9.2			7.6				8.4				8.5				8.7
Net underwriting expense ratio				32.1			30.7			28.2			27.3			30.7				28.8				28.6				29.1
Statutory combined ratio				96.2		%	100.9		%	97.4		%	96.2		%	103.2		%		99.5		%		98.7		%		99.3		%
Contribution from catastrophe losses				10.7			9.7			6.7			10.0			13.3				11.6				10.0				9.9
Statutory combined ratio excl. catastrophe losses				85.5		%	91.2		%	90.7		%	86.2		%	89.9		%		87.9		%		88.7		%		89.4		%
GAAP combined ratio
GAAP combined ratio				94.3		%	99.3		%	99.6		%	98.9		%	101.3		%		100.1		%		99.9		%		99.8		%
Contribution from catastrophe losses				10.7			9.7			6.7			10.0			13.3				11.6				10.0				9.9
GAAP combined ratio excl. catastrophe losses				83.6		%	89.6		%	92.9		%	88.9		%	88.0		%		88.5		%		89.9		%		89.9		%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

CINF First-Quarter 2020 Supplemental Financial Data




Quarterly Property Casualty Data - Excess & Surplus Lines

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Premiums
Agency renewal written premiums				$	62		$	56		$	50		$	54		$	49			$	103			$	153			$	209
Agency new business written premiums				27			28			28			28			26				54				82				110
Other written premiums				(4		)	(4		)	(4		)	(4		)	(4		)		(8		)		(12		)		(16		)
Net written premiums				$	85		$	80		$	74		$	78		$	71			$	149			$	223			$	303
Unearned premium change				(7		)	(4		)	(2		)	(11		)	(8		)		(19		)		(21		)		(25		)
Earned premiums				$	78		$	76		$	72		$	67		$	63			$	130			$	202			$	278
Year over year change %
Agency renewal written premiums				27		%	12		%	14		%	8		%	2		%		5		%		8		%		9		%
Agency new business written premiums				4			47			56			65			63				64				61				57
Other written premiums				—			—			(33		)	(33		)	(33		)		(33		)		(33		)		(23		)
Net written premiums				20			23			25			22			16				19				21				22
Paid losses and loss expenses
Losses paid				$	23		$	14		$	16		$	10		$	18			$	28			$	43			$	57
Loss expenses paid				9			9			8			7			8				15				23				33
Loss and loss expenses paid				$	32		$	23		$	24		$	17		$	26			$	43			$	66			$	90
Incurred losses and loss expenses
Loss and loss expense incurred				$	45		$	41		$	39		$	29		$	33			$	62			$	101			$	142
Loss and loss expenses paid as a % of incurred				71.1		%	56.1		%	63.2		%	53.5		%	78.8		%		68.8		%		65.3		%		63.4		%
Statutory combined ratio
Loss ratio				35.4		%	38.0		%	35.6		%	27.2		%	32.9		%		30.0		%		32.0		%		33.7		%
Loss adjustment expense ratio				22.0			16.4			17.1			17.9			18.6				18.3				17.9				17.4
Net underwriting expense ratio				28.8			29.1			29.6			28.5			28.5				28.4				28.8				28.9
Statutory combined ratio				86.2		%	83.5		%	82.3		%	73.6		%	80.0		%		76.7		%		78.7		%		80.0		%
Contribution from catastrophe losses				1.0			0.5			1.1			0.5			0.2				0.4				0.6				0.6
Statutory combined ratio excl. catastrophe losses				85.2		%	83.0		%	81.2		%	73.1		%	79.8		%		76.3		%		78.1		%		79.4		%
GAAP combined ratio
GAAP combined ratio				89.1		%	82.9		%	83.2		%	76.1		%	83.5		%		79.7		%		80.9		%		81.5		%
Contribution from catastrophe losses				1.0			0.5			1.1			0.5			0.2				0.4				0.6				0.6
GAAP combined ratio excl. catastrophe losses				88.1		%	82.4		%	82.1		%	75.6		%	83.3		%		79.3		%		80.3		%		80.9		%
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently. nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

CINF First-Quarter 2020 Supplemental Financial Data



Consolidated Cincinnati Insurance Companies
Statutory Statements of Income

	For the Three Months Ended March 31,
(Dollars in millions)	2020			2019		Change			% Change
Underwriting income
Net premiums written	$	1,481		$	1,361	$	120		9
Unearned premium change	119			104		15			14
Earned premiums	$	1,362		$	1,257	$	105		8

Losses incurred	$	764		$	660	$	104		16
Defense and cost containment expenses incurred	81			72		9			13
Adjusting and other expenses incurred	74			55		19			35
Other underwriting expenses incurred	430			390		40			10
Workers compensation dividend incurred	3			3		—			—
Total underwriting deductions	$	1,352		$	1,180	$	172		15

Net underwriting profit	$	10		$	77	$	(67	)	(87	)

Investment income
Gross investment income earned	$	105		$	102	$	3		3
Net investment income earned	103			100		3			3
Net realized capital gains and losses, net	(46		)	3		(49		)	nm
Net investment gains (net of tax)	$	57		$	103	$	(46	)	(45	)

Other income	$	2		$	2	$	—		—

Net income before federal income taxes	$	69		$	182	$	(113	)	(62	)
Federal and foreign income taxes incurred	5			24		(19		)	(79	)
Net income (statutory)	$	64		$	158	$	(94	)	(59	)

Policyholders' surplus - statutory	$	4,740		$	5,169	$	(429	)	(8	)

Fixed maturities at amortized cost - statutory	$	7,346		$	7,172	$	174		2
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

CINF First-Quarter 2020 Supplemental Financial Data



The Cincinnati Life Insurance Company
Statutory Statements of Income

	For the Three Months Ended March 31,
(Dollars in millions)	2020			2019			Change			% Change
Net premiums written	$	77		$	72		$	5		7
Net investment income	43			39			4			10
Amortization of interest maintenance reserve	—			1			(1		)	(100	)
Commissions and expense allowances on reinsurance ceded	1			1			—			—
Income from fees associated with separate accounts	—			1			(1		)	(100	)
Total revenues	$	121		$	114		$	7		6

Death benefits and matured endowments	$	31		$	33		$	(2	)	(6	)
Annuity benefits	22			24			(2		)	(8	)
Disability benefits and benefits under accident and health contracts	1			1			—			—
Surrender benefits and group conversions	6			5			1			20
Interest and adjustments on deposit-type contract funds	2			2			—			—
Increase in aggregate reserves for life and accident and health contracts	21			24			(3		)	(13	)
Total benefit expenses	$	83		$	89		$	(6	)	(7	)

Commissions	$	13		$	13		$	—		—
General insurance expenses and taxes	13			13			—			—
Increase in loading on deferred and uncollected premiums	8			—			8			nm
Net transfers from separate accounts	—			(1		)	1			(100	)
Total underwriting expenses	$	34		$	25		$	9		36

Federal and foreign income taxes incurred	1			1			—			—

Net gain (loss) from operations before capital gains and losses	$	3		$	(1	)	$	4		nm

Gains and losses net of capital gains tax, net	(33		)	—			(33		)	nm

Net loss (statutory)	$	(30	)	$	(1	)	$	(29	)	nm

Policyholders' surplus - statutory	$	201		$	187		$	14		7

Fixed maturities at amortized cost - statutory	3,468			3,361			107			3
Dollar amounts shown are rounded to millions; certain amounts may not add due to rounding. nm - Not meaningful *Statutory data prepared in accordance with statutory accounting rules as defined by the National Association of Insurance Commissioners and filed with the appropriate regulatory bodies.

CINF First-Quarter 2020 Supplemental Financial Data



Quarterly Data - Other

(Dollars in millions)	Three months ended																		Six months ended				Nine months ended				Twelve months ended
	12/31/20	9/30/20	6/30/20	3/31/20			12/31/19			9/30/19			6/30/19			3/31/19			6/30/20	6/30/19			9/30/20	9/30/19			12/31/20	12/31/19
Cincinnati Re:
Written premiums				$	105		$	36		$	35		$	73		$	84			$	157			$	192			$	228
Year over year change %- written premium				25		%	29		%	(3		)%	52		%	83		%		67		%		48		%		44		%
Earned premiums				$	62		$	50		$	48		$	46		$	40			$	86			$	134			$	184
Current accident year before catastrophe losses				47.6		%	43.9		%	55.6		%	51.3		%	54.3		%		52.7		%		53.7		%		51.1		%
Current accident year catastrophe losses				—			20.5			17.3			—			—				—				6.3				10.1
Prior accident years before catastrophe losses				3.1			2.2			1.2			(3.7		)	6.2				0.9				1.0				1.3
Prior accident years catastrophe losses				6.3			0.2			(7.9		)	8.7			(0.3		)		4.5				—				0.1
Total loss and loss expense ratio				57.0		%	66.8		%	66.2		%	56.3		%	60.2		%		58.1		%		61.0		%		62.6		%

Cincinnati Global:
Written premiums				$	37		$	37		$	38		$	44		$	21			$	65			$	103			$	140
Year over year change %- written premium				76		%
Earned premiums				$	27		$	38		$	68		$	33		$	10			$	43			$	111			$	149
Current accident year before catastrophe losses				63.7		%	39.6		%	44.6		%	75.5		%	103.9		%		82.6		%		59.3		%		54.3		%
Current accident year catastrophe losses				—			4.8			19.4			9.8			—				7.3				14.7				12.2
Prior accident years before catastrophe losses				(19.5		)	(0.2		)	(2.9		)	(8.5		)	(84.0		)		(27.3		)		(12.3		)		(9.2		)
Prior accident years catastrophe losses				(3.2		)	9.1			(4.2		)	(22.5		)	4.3				(15.8		)		(8.7		)		(4.2		)
Total loss and loss expense ratio				41.0		%	53.3		%	56.9		%	54.3		%	24.2		%		46.8		%		53.0		%		53.1		%

Noninsurance operations:
Interest and fees on loans and leases				$	1		$	1		$	1		$	1		$	2			$	3			$	4			$	5
Other revenue				1			1			2			1			—				1				3				4
Interest expense				13			13			14			13			13				26				40				53
Operating expenses				5			6			5			4			8				12				17				23
Total noninsurance operations loss				$	(16	)	$	(17	)	$	(16	)	$	(15	)	$	(19	)		$	(34	)		$	(50	)	—	$	(67	)

*Dollar amounts shown are in conformity with GAAP and rounded to millions; certain amounts may not add due to rounding. Ratios are calculated based on whole dollar amounts. The sum of quarterly amounts may not equal the full year as each is computed independently.
*Cincinnati Global was acquired on February 28, 2019. Noninsurance operations include the noninvestment operations of the parent company and a noninsurance subsidiary, CFC Investment Company.

CINF First-Quarter 2020 Supplemental Financial Data

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