CNA Financial
CNA Financial Corporation is an American insurance holding company headquartered in Chicago, Illinois, that specializes in commercial property and casualty insurance products and services for businesses and professionals across the United States, Canada, and Europe.[1] As one of the largest U.S. commercial property and casualty insurers, it offers standard and specialized coverages, including surety, warranty, and risk management solutions, through its subsidiaries.[1] The company operates primarily through three segments: Specialty, which provides professional, executive, and management liability insurance; Commercial, focusing on property, casualty, and workers' compensation for small to mid-size businesses; and International, delivering similar products in Canada and Europe.[2] A majority-owned subsidiary of Loews Corporation, which holds approximately 90% ownership, CNA Financial traces its origins to 1897 with the founding of the Continental Casualty Company in Detroit, Michigan, and has grown through mergers and acquisitions into a multinational insurer backed by over 125 years of experience.[3][4] As of September 30, 2025, CNA Financial reported total assets of $69.756 billion on its balance sheet, reflecting steady growth from $66.49 billion at the end of 2024.[5] For the trailing twelve months ending in the third quarter of 2025, the company achieved revenue of $14.85 billion, driven by strong performance in its property and casualty operations.[6] In the third quarter of 2025 alone, CNA posted net income of $403 million ($1.48 per share) and a record core income of $456 million from its property and casualty segments, up significantly from the prior year.[7] These financial results underscore CNA's focus on underwriting discipline and operational efficiency, with cash flow from operations reaching $1.92 billion for the first nine months of 2025.[8] Under the leadership of President and Chief Executive Officer Doug Worman, who assumed the role on January 1, 2025, CNA emphasizes sustainable practices, global citizenship, and an inclusive culture to support long-term client relationships.[9] The company maintains offices throughout the U.S., Canada, and Europe, serving customers in sectors such as healthcare, construction, and financial services with tailored risk management solutions.[1] CNA Financial is publicly traded on the New York Stock Exchange under the ticker symbol CNA and continues to prioritize innovation in insurance products amid evolving market demands.[2]History
Founding and Early Years
CNA Financial traces its origins to 1897, when the Continental Assurance Company of North America was established in Detroit, Michigan, initially focusing on accident and health insurance coverage.[10] With an initial capital of $100,000 and surplus of $60,000, the company quickly expanded its operations, establishing agencies across four states by 1898 and growing assets to $228,000.[11] In 1900, it merged with the Chicago-based Metropolitan Accident Company, prompting a relocation of headquarters to Chicago, Illinois, where it became the fifth-largest accident insurer in the United States.[10] The company underwent a name change in 1900 to Continental Casualty Company, reflecting its emphasis on casualty lines such as accident and health policies.[11] By 1911, to broaden its offerings, Continental Casualty created a key subsidiary, Continental Assurance Company, dedicated to life insurance and automobile coverage, marking an early diversification into personal lines.[10] This period also saw international expansion, with the introduction of industrial health and accident policies in London in 1906.[10] During the 1920s and 1930s, Continental Casualty further developed its property and casualty insurance portfolio, operating in all U.S. states, territories, and Canadian provinces by 1923 and innovating with products like payroll-deduction insurance plans in 1926.[11] A significant step came in 1938 with the formation of the Transportation Insurance Company subsidiary, which specialized in personal property and inland marine insurance, solidifying the company's entry into broader property coverage.[11] By the mid-20th century, these efforts positioned the organization as one of the largest casualty insurers nationwide.[10] In 1967, the parent holding company, CNA Financial Corporation, was incorporated in Illinois to oversee its growing subsidiaries, including the longstanding Continental Casualty Company established in 1897.[12] This structure provided a foundation for subsequent organic growth and strategic consolidations in later decades.[11]Growth Through Mergers and Acquisitions
CNA Financial's expansion in the mid-20th century was markedly driven by strategic mergers and acquisitions that broadened its insurance portfolio and market reach. In 1956, Continental Casualty Company, a core predecessor entity, acquired a 67% stake in National Fire Insurance Company of Hartford, forming the Continental-National Group and significantly enhancing its property insurance offerings. This move integrated National Fire's expertise in fire and property coverage, boosting combined net premiums to $414.9 million and establishing a stronger foundation in casualty lines.[11] Building on this momentum, the 1963 acquisition of American Casualty Company for $40 million further diversified CNA's capabilities by adding workers' compensation and automobile insurance lines, alongside Valley Forge Insurance and Valley Forge Life. The transaction created the Continental-National American Group, with premium volume expanding to $546.8 million and extending coverage into surety and additional casualty segments. These early deals, rooted in the company's origins as Continental Casualty in 1897, transformed it from a specialized provider into a multifaceted insurer.[11] During the 1980s, under Loews Corporation's ownership since 1974, CNA pursued strategic initiatives to deepen its presence in commercial insurance markets, including agent-focused programs like the High Performance Agency system that amplified property and casualty sales. By 1989, these efforts contributed to surplus growth, reaching $3.1 billion in casualty operations and $786.4 million in life insurance, solidifying operational scale without major publicized acquisitions during the decade.[11] A pivotal milestone came in 1995 with CNA's $1.1 billion merger with The Continental Corporation, approved by shareholders and creating the third-largest U.S. property-casualty insurer at the time. This deal integrated Continental's established commercial lines, enabling cost synergies and workforce optimization of approximately 5,000 positions, while assets swelled to $60.36 billion and reinforcing CNA's status as a leading commercial insurer.[13][11]Divestitures and Strategic Restructuring
In the late 1990s, CNA Financial undertook a strategic divestiture of its personal insurance operations to sharpen its focus on commercial property and casualty lines. In June 1999, the company agreed to sell its personal lines business, encompassing approximately $1.7 billion in auto and homeowners premiums, to Allstate Corporation for $1.2 billion, structured as $140 million in cash plus a commitment of up to $950 million to support future claims and operations.[14][15] This move allowed CNA to eliminate exposure to volatile personal insurance markets and redirect resources toward higher-margin commercial underwriting.[16] Building on this refocusing, CNA began exiting its life insurance and reinsurance businesses in the early 2000s to mitigate risk and streamline operations. In October 2000, CNA sold its U.S. life reinsurance unit, which generated about $200 million in annual premiums, to Munich American Reassurance Company, a subsidiary of Munich Re, for an undisclosed sum.[17][18] By November 2002, CNA completed the sale of its London-based reinsurance arm, CNA Reinsurance Company Limited—with net reserves of $1.316 billion—to Tawa UK, effectively withdrawing from international reinsurance activities.[19] These transactions reduced CNA's exposure to long-tail risks inherent in reinsurance and life products, aligning with broader efforts to bolster balance sheet stability.[20] CNA continued its restructuring through additional sales in 2004. In February, it divested its individual life insurance business, including a large block of in-force policies and administration operations in Nashville, Tennessee, to Swiss Re for $690 million in cash.[21][22] Later that year, in January following a December 2003 agreement, CNA sold its group benefits division—covering group life, accident, short- and long-term disability insurance with about $1 billion in expected 2004 premiums—to The Hartford Financial Services Group for approximately $500 million.[23][24] These deals further concentrated CNA's portfolio on core property and casualty segments, eliminating lower-growth employee benefits lines.[25] Collectively, these divestitures from 1999 to 2004 enabled CNA to reduce its overall debt levels, implement cost-saving measures such as workforce reductions of over 4,000 positions, and achieve annual operating expense cuts of $300 million to $350 million through consolidated processing and streamlined structures.[11] Amid financial strains from market downturns and reserve strengthening in the early 2000s, the restructurings enhanced operational efficiencies, improved underwriting discipline with rate increases of up to 15% in key lines, and positioned the company for sustained profitability in commercial insurance.[12]Recent Developments and Challenges
In 2012, CNA Financial expanded its international presence by acquiring Hardy Underwriting Bermuda Ltd., a Lloyd's of London managing agent, for approximately $230 million, which facilitated entry into the London insurance market and enhanced capabilities in specialty lines such as marine, energy, and aviation insurance.[26][27] The deal, completed in July of that year, rebranded the entity as CNA Hardy and integrated it as a wholly owned subsidiary, allowing CNA to underwrite through Lloyd's syndicates and broaden its global specialty offerings.[26] In 2018, CNA Financial relocated its global headquarters to CNA Center at 151 North Franklin Street in Chicago's Loop district, consolidating operations for over 1,700 employees into a modern 35-story facility designed to foster collaboration and efficiency.[28] The move, announced in 2015 and finalized on June 1, 2018, replaced the company's previous headquarters at 333 South Wabash Avenue, aligning with strategic efforts to centralize administrative and executive functions in a sustainable, tech-enabled environment.[28][29] CNA Financial faced a significant cybersecurity challenge in March 2021 when it suffered a ransomware attack attributed to the Phoenix CryptoLocker group, which encrypted systems and disrupted operations across its network.[30][31] The incident, one of the largest ransomware events targeting the insurance sector at the time, prompted CNA to pay a $40 million ransom to restore access, highlighting vulnerabilities in critical infrastructure amid rising cyber threats to financial services.[30][32] As of November 2025, CNA Financial underwent a key leadership transition, with Dino E. Robusto stepping down as Executive Chairman and director on December 31, 2025, in accordance with his employment agreement.[33] Concurrently, Douglas M. Worman, who assumed the role of President and CEO on January 1, 2025, was appointed Chairman of the Board effective January 1, 2026, streamlining executive oversight and ensuring continuity in strategic direction.[33][34] This change reduced the board size and positioned Worman to lead both operational and governance functions amid ongoing industry adaptations.[33]Business Operations
Core Insurance Products and Services
CNA Financial specializes in providing a broad array of property and casualty (P&C) insurance products tailored for commercial clients, focusing on protecting businesses from financial losses due to property damage, liability claims, and related risks.[35] As one of the largest U.S. commercial P&C insurers, CNA offers standard and specialized coverages that address the diverse needs of small, middle-market, and large national accounts.[36] Within its P&C portfolio, CNA provides commercial auto insurance to cover vehicle-related liabilities and physical damage for business fleets, general liability policies that protect against third-party bodily injury and property damage claims, and workers' compensation coverage to address employee injuries and occupational illnesses.[37] These products are designed to offer comprehensive protection, often bundled into holistic solutions that include umbrella and excess casualty options for higher limits against catastrophic events.[38] CNA's specialty lines extend beyond standard P&C to include professional liability insurance, which safeguards professionals such as lawyers and accountants from claims of errors, omissions, or negligence in their services.[39] The company also offers cyber insurance to mitigate risks from data breaches, ransomware, and network security failures, incorporating proactive tools like CNA CyberPrep for risk assessment and response planning.[40] Directors and officers (D&O) coverage protects corporate leaders from personal liability arising from wrongful acts in their decision-making roles.[41] In management liability, CNA delivers tailored products that cover employment practices liability (EPL) for workplace disputes, fiduciary liability for employee benefit plan mismanagement, and crime insurance against internal theft or fraud, all customized for business operations.[35] For environmental risks, the company provides pollution liability coverage through endorsements like Earth Movers, addressing third-party damages from pollutant releases during construction or operations.[42] Complementing its insurance products, CNA integrates risk management services such as claims handling to streamline resolution processes and loss control consulting to identify and mitigate potential exposures before they result in losses.[43] These services leverage advanced technology and industry expertise to support policyholders in maintaining safety and compliance.[44]Business Segments and Subsidiaries
CNA Financial Corporation structures its operations across three primary business segments: Specialty, Commercial, and International, each designed to deliver specialized property and casualty insurance solutions.[1] The Specialty segment concentrates on management and professional liability insurance, offering tailored products for industries and professionals in the United States, Canada, and Europe.[1] Key subsidiaries within this segment include CNA Hardy, a wholly owned indirect subsidiary acquired in 2012 that focuses on international specialty underwriting, particularly in property, casualty, and financial lines across Europe.[26] In August 2025, David Haas was appointed President of Global Specialty, where he oversees financial lines, healthcare, affinity, and warranty operations to strengthen underwriting expertise in these areas.[45] The Commercial segment provides comprehensive property and casualty coverage for small, medium, and large businesses, encompassing standard and specialized policies along with affinity and warranty group solutions.[1] This segment serves clients throughout the United States, Canada, and Europe, emphasizing risk management for diverse commercial needs.[1] The International segment coordinates CNA's global footprint, with a core emphasis on operations in Europe and Canada through dedicated entities such as CNA Europe.[1][46] CNA Europe facilitates insurance services across the continent, maintaining offices in countries including Belgium, Denmark, France, Germany, Italy, Luxembourg, the Netherlands, and the United Kingdom to support local brokers and clients.[46] CNA Hardy further bolsters these international efforts by providing specialty insurance in European markets.[1]Global Market Presence
CNA Financial's core operations are predominantly centered in the United States, with over 90% of its net written premiums derived from North American markets as of 2024.[47] This focus underscores the company's strength in domestic commercial property and casualty insurance, where it ranks among the largest providers. The International segment, while smaller in scale, contributes through specialized underwriting and supports global risk management for multinational clients.[2] The International segment contributes a smaller portion of overall premiums, focusing on specialized products in Canada and Europe.[47] The company's European footprint was significantly bolstered by its 2012 acquisition of Hardy Underwriting Bermuda Ltd. for approximately $227 million, rebranded as CNA Hardy.[26] This move granted CNA direct participation in the Lloyd's of London market, enabling enhanced specialty insurance offerings in marine, energy, and financial lines. CNA Hardy operates from key hubs including London, with additional offices across continental Europe in countries such as Belgium, France, Germany, and Italy, facilitating tailored coverage for international businesses.[27][48] Operations in Canada and Europe occur through dedicated subsidiaries that deliver specialty commercial insurance solutions, including property, casualty, and liability products adapted to local regulations. In Canada, operations emphasize commercial lines for businesses across various industries.[49] These efforts align with CNA's strategy to support U.S.-based clients expanding abroad, providing seamless multinational programs. Overall, CNA Financial's global workforce of approximately 6,500 employees as of 2025 is distributed across offices in the U.S., Canada, and Europe, enabling localized service delivery while leveraging centralized expertise from its Chicago headquarters.[50] This structure positions the company to navigate diverse regulatory environments and emerging risks in key international markets.[51]Corporate Governance
Ownership and Parent Company
CNA Financial Corporation operates as a subsidiary of Loews Corporation, which acquired an 83% controlling stake in the company in 1974 for approximately $206 million.[11] Over the years, Loews has increased its ownership, holding approximately 92% of CNA Financial's voting securities as of mid-2025, solidifying its position as the dominant shareholder.[52] This majority interest allows Loews to guide key aspects of CNA's operations while enabling the company to maintain its independent public status. CNA Financial has been listed on the New York Stock Exchange (NYSE: CNA) since February 3, 1969, with the remaining roughly 8% of shares owned by public investors.[53] The public float provides liquidity and broader market access, though Loews' controlling ownership ensures alignment with the parent company's long-term value creation objectives.[54] In terms of corporate governance, CNA Financial earned an ISS Governance QualityScore of 7 as of November 1, 2025, reflecting a balanced assessment across key pillars: audit (5), board (10), shareholder rights (5), and compensation (5).[2] This score indicates moderate governance risk, influenced by Loews' oversight. Loews Corporation's controlling stake enables substantial influence on CNA Financial's strategic direction, particularly in areas such as capital allocation, investment strategies, and dividend distributions, as evidenced by historical financial support including capital injections during periods of market stress.[55]Leadership and Executive Structure
Douglas M. Worman serves as President and Chief Executive Officer of CNA Financial Corporation, a role he assumed on January 1, 2025, overseeing the company's overall strategy, operations, and performance in commercial property and casualty insurance.[56] With more than 30 years in the insurance sector, Worman previously led CNA's underwriting operations as Executive Vice President and Global Head of Underwriting, focusing on portfolio optimization and risk management.[56] Worman is slated to become Chairman of the Board effective January 1, 2026, succeeding Dino E. Robusto, whose service as Executive Chairman concludes on December 31, 2025.[33] Robusto transitioned to Executive Chairman on January 1, 2025, after serving as CEO, providing continuity in strategic guidance during the leadership shift.[57] The executive team features seasoned professionals driving key functions, including Scott R. Lindquist as Executive Vice President and Chief Financial Officer, who manages financial strategy, reporting, and capital allocation.[58] In August 2025, CNA bolstered its leadership with appointments such as David Haas as President of Global Specialty, responsible for Financial Lines, Healthcare, Affinity, and Warranty segments; Michael A. Nardiello as President of Global Property & Casualty; and Song Kim as President of Global Commercial Industry Segments, aimed at enhancing underwriting discipline and market responsiveness.[59] CNA's Board of Directors includes a mix of Loews Corporation representatives—Andrew H. Tisch and Benjamin J. Tisch—and independent members with insurance expertise, such as Michael A. Bless, Jose O. Montemayor, Don M. Randel, André Rice, and Kenneth I. Siegel. On November 3, 2025, CNA announced plans to reduce the Board size to 10 members effective with the 2026 annual meeting.[60][33] This structure supports robust governance and risk oversight, with Loews' stake influencing director selection to align with long-term shareholder interests.[60]Corporate Affairs
Headquarters and Office Locations
CNA Financial Corporation's global headquarters is located at 151 North Franklin Street, Chicago, Illinois 60606, following a 2018 relocation to centralize operations in a modern facility designed to support executive functions and key corporate activities.[28][51] In the United States, CNA maintains regional offices to facilitate localized support, with key locations including the San Francisco Branch in Walnut Creek, California (2121 North California Blvd, Suite 760, Walnut Creek, CA 94596), the Minneapolis Branch in Bloomington, Minnesota (8500 Normandale Lake Boulevard, Suite 600, Bloomington, MN 55437), and the Richmond Branch in Glen Allen, Virginia (4870 Sadler Road, Suite 300, Glen Allen, VA 23060).[51] These offices primarily handle claims processing and underwriting services to serve clients efficiently across their respective regions. Internationally, CNA operates offices in major hubs, including London, United Kingdom (20 Fenchurch Street, London EC3M 3BY), as the primary European center for coordinating regional insurance activities; Toronto, Canada (66 Wellington Street West, Suite 3700, Toronto, ON M5K 1J5), serving as the headquarters for CNA Canada; and supports Asia-Pacific operations through local capabilities and partnerships.[46][61][49] The Chicago headquarters accommodates executive leadership, strategic planning, and core administrative functions, while regional and international offices focus on direct client servicing, policy management, and adaptation to local regulatory environments.[1]Financial Performance and Metrics
CNA Financial has demonstrated steady revenue growth over the past several years, with annual revenue increasing from $10.8 billion in 2020 to $14.3 billion in 2024, primarily driven by rises in net earned premiums amid favorable market conditions and premium rate adjustments in its property and casualty segments.[62][63] This expansion reflects the company's focus on underwriting discipline and organic growth in core insurance lines, contributing to improved profitability despite periodic challenges from catastrophe losses. In its full-year 2024 results, CNA Financial reported revenue of $14.3 billion, a 7.3% increase from 2023, alongside net income of $959 million and total assets of $66.5 billion.[63][64] These figures underscore the company's operational resilience, with net investment income rising significantly due to higher yields on fixed-income securities and limited partnership returns. For the third quarter of 2025, CNA Financial achieved net income of $1.48 per share and a record core income of $1.50 per share, reflecting strong underwriting performance and investment results.[7] Net earned premiums reached $2,678 million in the property and casualty segment, supporting a loss ratio of 63.4%, an improvement from 66.7% in the prior-year quarter.[7][65] Key performance metrics highlight CNA Financial's underwriting efficiency and shareholder returns. The combined ratio, a critical measure of underwriting profitability, stood at 94.9% for full-year 2024, indicating operations better than breakeven after incorporating catastrophe impacts. In Q3 2025, it improved to 92.8%, with an underlying ratio of 91.3%.[7] Return on equity reached approximately 9.0% on a trailing twelve-month basis as of Q3 2025, supported by earnings growth and equity expansion to $11.3 billion.[66][7] The company has maintained a consistent dividend policy, increasing its regular quarterly dividend to $0.46 per share in 2024 and sustaining it through Q2 and Q3 2025, alongside a special dividend of $2.00 per share declared in early 2025.[7]| Metric | 2024 Full Year | Q3 2025 |
|---|---|---|
| Combined Ratio | 94.9% | 92.8% |
| Return on Equity (TTM) | ~8.5% | 9.0% |
| Quarterly Dividend per Share | $0.46 (increased) | $0.46 |