Hippo Raises 2026 Adjusted Profit Outlook After Premium Growth

The Tip Desk · November 10, 2026 · 3 min read

Gross written premium reached $498.1 million in the third quarter as the insurer lifted full-year adjusted net income to $77 million–$80 million.

Hippo Holdings Inc. (HIPO), a technology-native insurance platform, reported gross written premium of $498.1 million for the quarter ended September 30, 2026, up 60.1% from $311.2 million a year earlier, and raised its 2026 adjusted net income outlook to $77 million–$80 million from $62 million–$70 million.

The company also lifted full-year gross written premium guidance to $1.7 billion–$1.75 billion from $1.65 billion–$1.7 billion, revenue to $585 million–$590 million from $580 million–$585 million, and the combined ratio to 97%–98% from 99%–101%. Catastrophe loss ratio guidance was cut to 8% from 10%. Net written premium guidance was unchanged at $565 million–$580 million.

Adjusted net income was $20.0 million, or $0.74 a share, up 9.3% from $18.3 million, or $0.70 a share, a year earlier. That sequential pace was slower than the 23.5% year-over-year increase in the second quarter. Annualized adjusted return on equity was 17.1%.

Net income attributable to Hippo was $8.8 million, or $0.33 a share, versus $98.1 million, or $3.77 a share, a year earlier. The company said a net gain on sale of the home builder distribution network last year more than offset improved operating performance.

Revenue was $156.0 million, up 29.4% from $120.6 million a year earlier. Net earned premium rose 29% to $128.3 million, with Commercial Multi-Peril net earned premium at $25.9 million and Casualty at $15.9 million. Commission income, net, was $15.6 million, service and fee income $4.1 million, and net investment income $8.0 million.

Growth remained concentrated in Casualty and Commercial Multi-Peril. Casualty gross written premium was $187.6 million, up 146% from $76.3 million a year earlier, and Commercial Multi-Peril was $107.8 million, up 63% from $66.0 million. Those two lines accounted for 38% and 22% of gross written premium, respectively, versus Homeowners at 23%. Homeowners gross written premium was $112.2 million, up 11%, and Renters $73.9 million, up 25%.

Net written premium was $149.1 million, up 26% from $117.9 million a year earlier. Net retention was 30%, versus 38% a year earlier. The company said growth in net written premium lagged gross written premium because Casualty and Commercial Multi-Peril have the lowest retention levels. Homeowners accounted for 50% of net written premium, versus 64% in the prior-year quarter; Homeowners net written premium was $74.0 million.

The combined ratio improved 1 percentage point to 98.4% from 99.6% a year earlier. The net loss ratio rose to 56.7% from 47.6%. Catastrophe losses were 6.5% of net earned premium, versus a 0.3% credit a year earlier. The company said the 7-point catastrophe headwind reflected more normalized CAT losses compared with none in the prior-year quarter, and that the prior year also benefited from 0.5% favorable prior-year development. The net accident-year loss ratio excluding catastrophe losses was 49.9%.

The expense ratio improved 10 percentage points to 41.7% from 52.0% a year earlier. The company attributed 9 of those points to net earned premium growth of 29% versus expense-base growth of 12%, and the rest to continued expense discipline. It said the expense-ratio improvement more than offset the more normalized catastrophe losses.

President and Chief Executive Rick McCathron said the company delivered a 98% combined ratio despite the catastrophe headwind, and that expansion continued across Homeowners, Renters, Commercial Multi-Peril and Casualty. He said Hippo would stay selective, writing more only where underwriting economics are attractive.

Book value per share was $17.62 at September 30, 2026, up 3.8% from $16.97 at year-end 2025. Total stockholders’ equity was $469.0 million, up 8% from $436.1 million at year-end 2025. Cash and cash equivalents were $311.8 million.