PRESS RELEASES

Q4 2020 NET INCOME OF $1.42 PER SHARE AND CORE INCOME OF $1.23 PER SHARE
FULL YEAR 2020 NET INCOME OF $2.53 PER SHARE AND CORE INCOME OF $2.70 PER SHARE

Read the press release.

Fourth Quarter

• Net income was $387 million versus $273 million in the prior year quarter; core income was a record $335 million versus $265 million in the prior year quarter.
• The P&C combined ratio was 93.5% compared with 95.6% in the prior year quarter, including 0.8 points of catastrophe loss impact compared with 2.9 points in the prior year quarter.  No change to COVID-19 catastrophe loss estimate.
• The underlying combined ratio was 92.7% compared with 94.9% in the prior year quarter.  The underlying loss ratio was 60.5% compared with 60.9% in the prior year quarter and the expense ratio was 32.0% compared with 33.7% in the prior year quarter.
• P&C segments, excluding third party captives, generated gross written premium growth of 15% and net written premium growth of 12% from strong rate of +12% and new business growth of 17%.
• Net investment income of $555 million pretax includes $114 million of income from LPs and common stock compared with $545 million of pretax net investment income which included $69 million of income from LPs and common stock in the prior year quarter.

Full Year

• Net income was $690 million versus $1 billion in the prior year; core income was $735 million versus $979 million in the prior year.
• The P&C combined ratio was 100.9% compared with 96.7% in the prior year, including 7.7 points of catastrophe loss impact compared with 2.6 points in the prior year.
• The underlying combined ratio was 93.1% compared with 94.8% in the prior year.  The underlying loss ratio was 60.2% compared with 61.0% in the prior year and the expense ratio was 32.6% compared with 33.5% in the prior year.
• P&C segments, excluding third party captives, generated gross written premium growth of 9% and net written premium growth of 6% from strong rate of +11% and new business growth of 6%.
• Net investment income of $1,935 million pretax includes $144 million of income from LPs and common stock compared with $2,118 million of pretax net investment income which included $226 million of income from LPs and common stock in the prior year.

Shareholders' Equity

• Book value per share of $46.82; book value per share excluding AOCI of $43.86, a 6% increase from year-end 2019 adjusting for $3.48 of dividends per share.
• Increased quarterly dividend 3% to $0.38 per share; special dividend of $0.75 per share.

CHICAGO, February 8, 2021 --- CNA Financial Corporation (NYSE: CNA) today announced fourth quarter 2020 net income of $387 million, or $1.42 per share, versus $273 million, or $1.00 per share, in the prior year quarter.  Core income for the quarter was $335 million, or $1.23 per share, versus $265 million, or $0.97 per share, in the prior year quarter.  Net income for the full year 2020 was $690 million, or $2.53 per share, versus $1.0 billion, or $3.67 per share, in the prior year.  Core income for the full year 2020 was $735 million, or $2.70 per share, versus $979 million, or $3.59 per share, in the prior year.

Our Property & Casualty segments produced core income of $369 million for the fourth quarter of 2020, an increase of $32 million compared to the prior year quarter.  The increase was primarily due to improved current accident year underwriting results.

Our Life & Group and Corporate & Other segments produced core income (loss) for the fourth quarter of 2020 of $26 million and $(60) million, respectively.  Corporate & Other results include a $39 million after-tax non-economic charge related to asbestos and environmental pollution.

CNA Financial declared a quarterly dividend of $0.38 per share and a special dividend of $0.75 per share, payable March 11, 2021 to stockholders of record on February 22, 2021.

Further, as previously announced, the Company entered into an agreement with Cavello Bay Reinsurance Limited (Cavello), a subsidiary of Enstar Group Limited, under which Cavello will reinsure a legacy portfolio of excess workers’ compensation policies. The transaction closed on February 5, 2021.

About the Company

CNA is one of the largest U.S. commercial property and casualty insurance companies. CNA provides a broad range of standard and specialized property and casualty insurance products and services for businesses and professionals in the U.S., Canada and Europe, backed by more than 120 years of experience and approximately $45 billion of invested assets. For more information, please visit CNA at www.cna.com.

Conference Call and Webcast/Presentation Information

A conference call for investors and the professional investment community will be held at 8:00 a.m. (CT) today.  On the conference call will be Dino E. Robusto, Chairman and Chief Executive Officer of CNA Financial Corporation, Al Miralles, Executive Vice President and Chief Financial Officer of CNA Financial Corporation and other members of senior management.  Participants can access the call by dialing (800) 289-0571, or for international callers, +1 (720) 543-0206.  The call will also be broadcast live on the internet and may be accessed from the Investor Relations page of the CNA website (www.cna.com).  A presentation will be posted and available on the CNA website and will provide additional insight into the results.

The call is available to the media, but questions will be restricted to investors and the professional investment community. An online replay will be available on CNA's website following the call.  Financial supplement information related to the results is available on the investor relations pages of the CNA website or by contacting investor.relations@cna.com.