ERIE 8-K
Erie Indemnity Co (ERIE)
8-K
2026-02-23
For: 2026-02-19
View Original
Added on
April 10, 2026
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
| Date of Report (Date of Earliest Event Reported): | |||||
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| Registrant’s telephone number, including area code: | ||||||||||||||
| Not applicable | ||||||||
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| stated value $0.0292 per share | |||||||||||||||||
| (Title of each class) | (Trading Symbol) | (Name of each exchange on which registered) | |||||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934.
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On February 23, 2026, Erie Indemnity Company (the "Company") issued a press release announcing financial results for the quarter and year ended December 31, 2025. Copies of the press release and financial information are attached hereto and are incorporated herein by reference as Exhibit 99.1 and Exhibit 99.2, respectively.
On February 24, 2026 at 10:00 a.m. the Company will provide a pre-recorded Webcast that is complementary to the press release announcing financial results for the quarter and year ended December 31, 2025.
Item 8.01 Other Events.
At its meeting on February 19, 2026, the Company's Board of Directors approved the following quarterly dividend on shares of Erie Indemnity Company Class A common stock:
Dividend Number: 383
Class A Rate Per Share: $1.4625
Declaration Date: February 19, 2026
Ex-Dividend Date: April 7, 2026
Record Date: April 7, 2026
Payable Date: April 21, 2026
Item 9.01 Financial Statements and Exhibits.
Exhibit 99.1 Press Release
Exhibit 99.2 Financial Information
Exhibit 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)
Exhibit Index
| Exhibit No. | Description | |||||||
| 99.1 | ||||||||
| 99.2 | ||||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Erie Indemnity Company | ||||||||||||||
| February 23, 2026 | By: | /s/ Julie M. Pelkowski | ||||||||||||
| Name: Julie M. Pelkowski | ||||||||||||||
| Title: Executive Vice President & CFO | ||||||||||||||
Exhibit 99.1
Erie Indemnity Reports Full Year and Fourth Quarter 2025 Results
Net Income per Diluted Share was $1.21 for the Quarter and $10.69 for the Year
Erie, Pa. - February 23, 2026 - Erie Indemnity Company (NASDAQ: ERIE) today announced financial results for the full year and quarter ending December 31, 2025. Net income was $559.3 million, or $10.69 per diluted share, in 2025, compared to $600.3 million, or $11.48 per diluted share, in 2024. Net income was $63.4 million, or $1.21 per diluted share, in the fourth quarter of 2025, compared to $152.0 million, or $2.91 per diluted share, in the fourth quarter of 2024. Net income was reduced by $80.6 million, or $1.54 per diluted share, in the fourth quarter and year ended December 31, 2025, reflecting the after-tax impact of a $100 million charitable contribution made to the Erie Insurance Foundation, a tax-exempt private charitable foundation formed in 2025 to create long-term sustainability for charitable contributions and grantmaking.
4Q and Full Year 2025 | |||||||||||||||||
| (in thousands) | 4Q'25 | 4Q'24 | 2025 | 2024 | |||||||||||||
| Operating income | $ | 157,714 | $ | 167,310 | $ | 717,184 | $ | 676,455 | |||||||||
| Investment income | 24,171 | 20,805 | 84,861 | 69,260 | |||||||||||||
Other income | 464 | 3,693 | 8,558 | 11,564 | |||||||||||||
| Contribution to charitable foundation | (100,000) | — | (100,000) | — | |||||||||||||
Income before income taxes | 82,349 | 191,808 | 710,603 | 757,279 | |||||||||||||
| Income tax expense | 18,969 | 39,779 | 151,268 | 156,965 | |||||||||||||
Net income | $ | 63,380 | $ | 152,029 | $ | 559,335 | $ | 600,314 | |||||||||
2025 Full Year Highlights | ||
Operating income before taxes increased $40.7 million, or 6.0 percent, in 2025 compared to 2024.
◦Management fee revenue - policy issuance and renewal services increased $237.7 million, or 8.2 percent, in 2025 compared to 2024.
◦Management fee revenue - administrative services increased $5.7 million, or 8.3 percent in 2025 compared to 2024.
◦Cost of operations - policy issuance and renewal services
–Commissions – Commissions increased $175.6 million in 2025 compared to 2024, primarily driven by the growth in direct and affiliated assumed written premium and an increase in agent incentive compensation due to improved property and casualty underwriting profitability for the three-year period ended 2025 compared to the three-year period ended 2024.
–Non-commission expense increased $25.5 million in 2025 compared to 2024. Underwriting and policy processing expense increased $4.8 million primarily due to increased postage and personnel costs,
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partially offset by a decrease in underwriting report costs. Information technology costs increased $24.3 million primarily due to an increase in personnel costs and hardware and software costs. Customer service costs increased $3.5 million primarily due to increased credit card processing fees and personnel costs. Administrative and other costs decreased $7.1 million primarily due to decreased professional fees and personnel costs. Personnel costs in 2025 were impacted by increased healthcare costs compared to 2024. Personnel costs in 2025 were also impacted by decreased incentive compensation compared to 2024. Decreases in incentive plan costs were primarily driven by lower performance metrics compared to 2024 and a decrease in company stock price during 2025 compared to an increase during 2024.
◦The administrative services reimbursement revenue and corresponding cost of operations increased both total operating revenue and total operating expenses by $836.6 million in 2025 and $806.3 million in 2024, but had no net impact on operating income.
Income from investments before taxes totaled $84.9 million in 2025 compared to $69.3 million in 2024. Net investment income was $85.8 million in 2025 compared to $70.2 million in 2024. Net investment income included limited partnership earnings of $3.5 million in 2025 compared to $2.0 million in 2024. Net realized and unrealized gains on investments were $2.3 million in 2025 compared to $3.2 million in 2024. Net impairment losses recognized in earnings were $3.3 million in 2025 compared to $4.1 million in 2024.
| 4Q 2025 Highlights | ||||||||||||||||||||||||||
Operating income before taxes decreased $9.6 million, or 5.7 percent, in the fourth quarter of 2025 compared to the fourth quarter of 2024.
◦Management fee revenue - policy issuance and renewal services increased $29.3 million, or 4.2 percent, in the fourth quarter of 2025 compared to the fourth quarter of 2024.
◦Management fee revenue - administrative services increased $2.1 million, or 12.0 percent in the fourth quarter of 2025 compared to the fourth quarter of 2024.
◦Cost of operations - policy issuance and renewal services
–Commissions increased $30.1 million in the fourth quarter of 2025 compared to the fourth quarter of 2024, primarily driven by the growth in direct and affiliated assumed written premium and an increase in agent incentive compensation due to improved property and casualty underwriting profitability for the three-year period ended 2025 compared to the three-year period ended 2024.
–Non-commission expense increased $10.4 million in the fourth quarter of 2025 compared to the fourth quarter of 2024. Underwriting and policy processing expense decreased $1.2 million primarily due to a decrease in underwriting report costs, partially offset by an increase in personnel costs. Information technology costs increased $4.5 million primarily due to an increase in personnel costs and hardware and software costs. Sales and advertising expense increased $1.4 million primarily due to increased costs from community development initiatives. Administrative and other costs increased $5.8 million primarily due to increased personnel costs, partially offset by decreased professional fees. Personnel costs in the fourth quarter of 2025 were impacted by increased incentive compensation compared to the fourth quarter of 2024. Increases in incentive plan costs were primarily driven by improved performance metrics in the fourth quarter of 2025 compared to the fourth quarter of 2024.
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◦The administrative services reimbursement revenue and corresponding cost of operations increased both total operating revenue and total operating expenses by $198.0 million in the fourth quarter of 2025 and $202.0 million in the fourth quarter of 2024, but had no net impact on operating income.
Income from investments before taxes totaled $24.2 million in the fourth quarter of 2025 compared to $20.8 million in the fourth quarter of 2024. Net investment income was $24.8 million in the fourth quarter of 2025 compared to $20.9 million in the fourth quarter of 2024. Net investment income included limited partnership earnings of $2.3 million in the fourth quarter of 2025 compared to $1.8 million in the fourth quarter of 2024. Net impairment losses recognized in earnings were $0.7 million in the fourth quarter of 2025 compared to $0.4 million in the fourth quarter of 2024.
Webcast Information
Indemnity has scheduled a pre-recorded audio broadcast on the Web for 10:00 AM ET on February 24, 2026. Investors may access the pre-recorded audio broadcast by logging on to www.erieinsurance.com.
Erie Insurance Group
Erie Insurance Group, based in Erie, Pennsylvania, is the 11th largest homeowners insurer, 12th largest automobile insurer and 10th largest commercial lines insurer in the United States based on direct premiums written, according to AM Best Company. Founded in 1925, Erie Insurance is a Fortune 500 company and the 16th largest property/casualty insurer in the United States based on net premiums written. Rated A (Excellent) by AM Best, ERIE has more than 7 million policies in force and operates in 12 states and the District of Columbia.
News releases and more information are available on ERIE's website at www.erieinsurance.com.
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"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995:
Statements contained herein that are not historical fact are forward-looking statements and, as such, are subject to risks and uncertainties that could cause actual events and results to differ, perhaps materially, from those discussed herein. Forward-looking statements relate to future trends, events or results and include, without limitation, statements and assumptions on which such statements are based that are related to our plans, strategies, objectives, expectations, intentions, and adequacy of resources. Examples of forward-looking statements are discussions relating to premium and investment income, expenses, operating results, and compliance with contractual and regulatory requirements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. Among the risks and uncertainties, in addition to those set forth in our filings with the Securities and Exchange Commission, that could cause actual results and future events to differ from those set forth or contemplated in the forward-looking statements include the following:
•dependence upon our relationship with the Erie Insurance Exchange ("Exchange") and the management fee under the agreement with the subscribers at the Exchange;
•dependence upon our relationship with the Exchange and the growth of the Exchange, including:
◦general business and economic conditions;
◦factors impacting the timing of premium rates charged for policies;
◦factors affecting insurance industry competition, including technological innovations;
◦dependence upon the independent agency system; and
◦ability to maintain our brand, including our reputation for customer service;
•dependence upon our relationship with the Exchange and the financial condition of the Exchange, including:
◦the Exchange's ability to maintain acceptable financial strength ratings;
◦factors affecting the quality and liquidity of the Exchange's investment portfolio;
◦changes in government regulation of the insurance industry;
◦litigation and regulatory actions;
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◦emergence of significant unexpected events, including pandemics, economic or social inflation, and changes in tariff policies;
◦emerging claims and coverage issues in the industry; and
◦severe weather conditions or other catastrophic losses, including terrorism;
•costs of providing policy issuance and renewal services to the subscribers at the Exchange under the subscriber's agreement;
•ability to attract, develop, retain, and protect talented management and employees;
•ability to ensure system availability and effectively manage technology initiatives;
•difficulties with technology, data or network security breaches, including cyber attacks;
•ability to maintain uninterrupted business operations;
•compliance with complex and evolving laws and regulations and outcome of pending and potential litigation;
•factors affecting the quality and liquidity of our investment portfolio; and
•ability to meet liquidity needs and access capital.
A forward-looking statement speaks only as of the date on which it is made and reflects our analysis only as of that date. We undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, changes in assumptions, or otherwise.
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Exhibit 99.2
Erie Indemnity Company
Consolidated Statements of Operations
(dollars in thousands, except per share data)
| Three months ended December 31, | Twelve months ended December 31, | |||||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||
| Operating revenue | ||||||||||||||||||||||||||
| Management fee revenue - policy issuance and renewal services | $ | 727,629 | $ | 698,340 | $ | 3,131,806 | $ | 2,894,074 | ||||||||||||||||||
| Management fee revenue - administrative services | 19,286 | 17,216 | 74,058 | 68,355 | ||||||||||||||||||||||
| Administrative services reimbursement revenue | 198,028 | 201,987 | 836,639 | 806,336 | ||||||||||||||||||||||
| Service agreement revenue | 6,080 | 6,547 | 24,755 | 26,350 | ||||||||||||||||||||||
| Total operating revenue | 951,023 | 924,090 | 4,067,258 | 3,795,115 | ||||||||||||||||||||||
| Operating expenses | ||||||||||||||||||||||||||
| Cost of operations - policy issuance and renewal services | 595,281 | 554,793 | 2,513,435 | 2,312,324 | ||||||||||||||||||||||
| Cost of operations - administrative services | 198,028 | 201,987 | 836,639 | 806,336 | ||||||||||||||||||||||
| Total operating expenses | 793,309 | 756,780 | 3,350,074 | 3,118,660 | ||||||||||||||||||||||
Operating income | 157,714 | 167,310 | 717,184 | 676,455 | ||||||||||||||||||||||
| Investment income | ||||||||||||||||||||||||||
| Net investment income | 24,826 | 20,920 | 85,837 | 70,155 | ||||||||||||||||||||||
| Net realized and unrealized investment gains | 24 | 246 | 2,336 | 3,229 | ||||||||||||||||||||||
| Net impairment losses recognized in earnings | (679) | (361) | (3,312) | (4,124) | ||||||||||||||||||||||
Total investment income | 24,171 | 20,805 | 84,861 | 69,260 | ||||||||||||||||||||||
| Other income | 464 | 3,693 | 8,558 | 11,564 | ||||||||||||||||||||||
| Contribution to charitable foundation | (100,000) | — | (100,000) | — | ||||||||||||||||||||||
| Income before income taxes | 82,349 | 191,808 | 710,603 | 757,279 | ||||||||||||||||||||||
| Income tax expense | 18,969 | 39,779 | 151,268 | 156,965 | ||||||||||||||||||||||
Net income | $ | 63,380 | $ | 152,029 | $ | 559,335 | $ | 600,314 | ||||||||||||||||||
| Net income per share | ||||||||||||||||||||||||||
| Class A common stock – basic | $ | 1.36 | $ | 3.26 | $ | 12.01 | $ | 12.89 | ||||||||||||||||||
| Class A common stock – diluted | $ | 1.21 | $ | 2.91 | $ | 10.69 | $ | 11.48 | ||||||||||||||||||
Class B common stock – basic | $ | 204 | $ | 490 | $ | 1,802 | $ | 1,934 | ||||||||||||||||||
| Class B common stock – diluted | $ | 204 | $ | 490 | $ | 1,801 | $ | 1,933 | ||||||||||||||||||
| Weighted average shares outstanding – Basic | ||||||||||||||||||||||||||
| Class A common stock | 46,189,058 | 46,189,060 | 46,189,024 | 46,189,044 | ||||||||||||||||||||||
| Class B common stock | 2,542 | 2,542 | 2,542 | 2,542 | ||||||||||||||||||||||
| Weighted average shares outstanding – Diluted | ||||||||||||||||||||||||||
| Class A common stock | 52,307,301 | 52,310,894 | 52,305,424 | 52,306,266 | ||||||||||||||||||||||
| Class B common stock | 2,542 | 2,542 | 2,542 | 2,542 | ||||||||||||||||||||||
| Dividends declared per share | ||||||||||||||||||||||||||
| Class A common stock | $ | 1.4625 | $ | 1.365 | $ | 5.5575 | $ | 5.19 | ||||||||||||||||||
| Class B common stock | $ | 219.375 | $ | 204.75 | $ | 833.625 | $ | 778.50 | ||||||||||||||||||
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Erie Indemnity Company
Consolidated Statements of Financial Position
(in thousands)
| December 31, 2025 | December 31, 2024 | |||||||||||||
| Assets | ||||||||||||||
| Current assets: | ||||||||||||||
Cash and cash equivalents (includes restricted cash of $30,189 and $23,559, respectively) | $ | 345,874 | $ | 298,397 | ||||||||||
| Available-for-sale securities | 33,902 | 44,604 | ||||||||||||
| Available-for-sale securities lent | 3,436 | 0 | ||||||||||||
| Receivables from Erie Insurance Exchange and affiliates, net | 735,589 | 707,060 | ||||||||||||
| Prepaid expenses and other current assets, net | 66,061 | 83,902 | ||||||||||||
| Accrued investment income | 14,311 | 11,069 | ||||||||||||
| Total current assets | 1,199,173 | 1,145,032 | ||||||||||||
| Available-for-sale securities, net | 1,286,566 | 991,726 | ||||||||||||
| Equity securities | 70,624 | 85,891 | ||||||||||||
| Available-for-sale and equity securities lent | 61,063 | 7,285 | ||||||||||||
| Fixed assets, net | 571,476 | 513,494 | ||||||||||||
| Agent loans, net | 93,953 | 80,597 | ||||||||||||
| Defined benefit pension plan | 24,137 | 21,311 | ||||||||||||
| Other assets, net | 48,489 | 43,278 | ||||||||||||
| Total assets | $ | 3,355,481 | $ | 2,888,614 | ||||||||||
| Liabilities and shareholders' equity | ||||||||||||||
| Current liabilities: | ||||||||||||||
| Commissions payable | $ | 425,320 | $ | 408,309 | ||||||||||
| Agent incentive compensation | 132,560 | 75,458 | ||||||||||||
| Accounts payable and accrued liabilities | 200,701 | 190,028 | ||||||||||||
| Dividends payable | 68,109 | 63,569 | ||||||||||||
| Contract liability | 47,561 | 42,761 | ||||||||||||
| Deferred executive compensation | 9,400 | 14,874 | ||||||||||||
| Securities lending payable | 61,936 | 7,513 | ||||||||||||
| Total current liabilities | 945,587 | 802,512 | ||||||||||||
| Defined benefit pension plan | 33,410 | 28,070 | ||||||||||||
| Contract liability | 23,274 | 21,170 | ||||||||||||
| Deferred executive compensation | 22,050 | 19,721 | ||||||||||||
| Deferred income taxes, net | 24,788 | 6,418 | ||||||||||||
| Other long-term liabilities | 22,998 | 23,465 | ||||||||||||
| Total liabilities | 1,072,107 | 901,356 | ||||||||||||
| Shareholders' equity | 2,283,374 | 1,987,258 | ||||||||||||
| Total liabilities and shareholders' equity | $ | 3,355,481 | $ | 2,888,614 | ||||||||||
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