RLI Corp. Reports Mixed Q1 2026 Results with Underwriting Strength — RLI Corp.

Event summary

RLI Corp. reported Q1 2026 net earnings of $54.9M ($0.60 per share), down from $63.2M ($0.68 per share) in Q1 2025.
Operating earnings were $76.8M ($0.83 per share), a decrease from $82.5M ($0.89 per share) in the same period last year.
Underwriting income was $57.8M on an 86 combined ratio, with favorable reserve development contributing $31.3M.
Net investment income increased by 15%, while gross premiums written grew by 3%.
AM Best upgraded RLI’s financial strength rating to A++ (Superior) for its insurance subsidiaries.

The big picture

RLI Corp. entered 2026 with positive underwriting results, reflecting its focus on disciplined underwriting and rate adequacy. The company's ability to strategically deploy capital and reward shareholders will be crucial as it navigates a dynamic market. The AM Best rating upgrade underscores the financial strength of RLI’s insurance subsidiaries, providing a solid foundation for future growth.

What we're watching

Underwriting Discipline: Whether RLI can sustain its underwriting discipline amid a dynamic market and maintain the 86 combined ratio.
Investment Portfolio Performance: How rising interest rates will impact the company's fixed income portfolio and overall investment returns.
Premium Growth Strategy: The pace at which RLI can grow its gross premiums written, particularly in the casualty segment.