Homeowners across the country are feeling the pressure of rising insurance premiums — and executives behind those policies are cashing in on it.
A recent study from the Consumer Federation of America highlights the significant disparity between insurance companies’ CEOs and the homeowners their companies insure. “2024 was a bad year for policyholders, but another great year for insurance company shareholders and their CEOs,” said Michael DeLong, CFA’s Research and Advocacy Associate. “Insurance companies told regulators they had to charge consumers billions more in 2024 to stay afloat, but customers were just paying the price for insurer greed and executive excess.”
From 2021 through 2024, homeowners’ insurance costs rose 24% nationwide, well above the inflation rate. Yet at the same time, CEOs of the 10 largest U.S. insurance companies earned a combined $391 million over the last three years, according to the CFA.
Using publicly available data, the study laid out how much each CEO made over the last two years, along with how much the company’s auto and homeowners policy rates increased in 2024. Here is the information on the top 10 insurance companies, organized alphabetically, including how much executive pay increased across the board at the end.
Allstate
2023 Compensation: $16,516,626
2024 Compensation: $26,147,258
2024 Auto Insurance Rate Increase: 12.2%
2024 Homeowners Rate Increase: 10.4%
American Family
2023 Compensation: $4,094,460
2024 Compensation: $8,422,016
2024 Auto Insurance Rate Increase: N/A
2024 Homeowners Rate Increase: 16.9%
Berkshire Hathaway (GEICO)
2023 Compensation: $10,000,000
2024 Compensation: $15,000,000
2024 Auto Insurance Rate Increase: 3.7%
2024 Homeowners Rate Increase: N/A
Farmers
2023 Compensation: $3,352,972
2024 Compensation: $5,100,068
2024 Auto Insurance Rate Increase: 9.8%
2024 Homeowners Rate Increase: 11.9%
Liberty Mutual
2023 Compensation: $10,346,284
2024 Compensation: $10,240,997
2024 Auto Insurance Rate Increase: 9.9%
2024 Homeowners Rate Increase: 16.6%
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Nationwide
2023 Compensation: $11,362,300
2024 Compensation: $15,845,201
2024 Auto Insurance Rate Increase: N/A
2024 Homeowners Rate Increase: 12.7%
Progressive
2023 Compensation: $15,636,618
2024 Compensation: $16,377,514
2024 Auto Insurance Rate Increase: 2.9%
2024 Homeowners Rate Increase: 15.5%
State Farm
2023 Compensation: $3,578,361
2024 Compensation: $4,412,867
2024 Auto Insurance Rate Increase: 8%
2024 Homeowners Rate Increase: 10.9%
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Travelers
2023 Compensation: $22,730,072
2024 Compensation: $23,059,498
2024 Auto Insurance Rate Increase: 7.4%
2024 Homeowners Rate Increase: 8.8%
USAA
2023 Compensation: $8,118,816
2024 Compensation: $9,610,174
2024 Auto Insurance Rate Increase: 2.6%
2024 Homeowners Rate Increase: 4.2%
Totals
When you add those numbers up, the top executive at each of the 10 insurance companies made $105,736,509 in total compensation in 2023. In 2024, that number was $134,215,593, an increase of just under 27%. On average, auto insurance rates increased 7.7% and homeowners insurance rates increased 11.2% in 2024, funding those increases. If that doesn’t make you angry — especially if you end up getting a non-renewal notice from one of these companies — we don’t know what will.
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