Jian Huang's questions to PROGRESSIVE CORP/OH/ (PGR) leadership • Q2 2025
Question
Jian Huang of Morgan Stanley (referred to as Bob Janhua in the transcript) asked for clarification on the 5% decline in personal auto policy life expectancy (PLE), questioning the role of the mix shift towards higher-PLE 'Robinsons'. He also asked if the absence of tariff headwinds would allow for more aggressive growth or significant price reductions.
Answer
Tricia Griffith, CEO, President & Director, clarified that the recent mix shift has been towards lower-PLE 'SAMs' as underwriting appetite reopened, contrasting with the preferred business added previously. She also cited increased consumer shopping and policy reviews as factors. On tariffs, she stated that while the company was initially conservative due to uncertainty, they will act to grow profitably in states where margins permit as they gain more clarity.