HARTFORD FINANCIAL SERVICES GROUP (THE), INC.

Red flags

• Mortgage concentration: $6.886 billion of mortgage loans at year-end 2025, including 46.6% commercial industrial, 32.1% multifamily, and 29.1% in the South Atlantic region.
• The company has $4.371 billion of long-term debt, including a $500 million junior subordinated debenture whose rate is variable and which is structurally subordinated to policyholder and subsidiary obligations.
• The current buyback authorization allows up to $3.3 billion of repurchases, creating potential capital-return pressure if insurance losses, investment losses, or regulatory capital needs rise.
• Run-off asbestos and environmental claims remain difficult to estimate, and the filing acknowledges that unpredictable litigation could materially affect results or cash flows in individual periods.
• Climate and catastrophe risks could produce higher claims and reinsurance costs while modeling or regulatory rate approvals fail to keep pace with changing loss severity.