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Mercury General MCY Property & Casualty — Policy acquisition costs

Other segment segments

Other
$2.7M-6.9%

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Other financials

Income statement

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Revenue$1.5B+10.5%
Net income$190.4M+276%
EPS (diluted)$3.44+276%

Balance sheet

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Cash & equivalents$1.4B+5.1%
Total debt$12.7M-29.2%
Total assets$9.9B+9.4%

Cash flow

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Operating cash flow$325.6M+574%
CapEx$16.8M+27.8%
Free cash flow$308.8M+477%

Valuation

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Market cap$5.95B+50.5%
Enterprise value$4.61B+62.0%
P/E7.1×-3.1×
P/S+0.3×

Profitability

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Net margin13.7%+8.6pp
FCF margin23.1%+10.1pp

Where this comes from

Reported directly by Mercury General in its filing.

Tagged under the XBRL concept us-gaap:DeferredPolicyAcquisitionCostAmortizationExpense.

The source filing: Mercury General’s 10-Q, filed May 5, 2026.

Filed
May 5, 2026, 4:12 PM EDT
Fiscal quarter
Q1 FY2026
Calendar quarter
Q1 2026
Accession
0000064996-26-000014
Line itemThree Months Ended March 31, 2026 / Property & CasualtyThree Months Ended March 31, 2026 / OtherThree Months Ended March 31, 2026 / TotalThree Months Ended March 31, 2025 / Property & CasualtyThree Months Ended March 31, 2025 / OtherThree Months Ended March 31, 2025 / Total
Losses792.74.0796.71,065.63.71,069.3
Loss adjustment expenses135.70.5136.2151.00.5151.5
Losses and loss adjustment expenses928.44.5932.91,216.64.21,220.8
Policy acquisition costs237.82.7240.5225.82.9228.7
Other operating expenses123.10.8123.978.90.679.5
Underwriting gain (loss)155.8(0.7)155.1(245.5)(0.4)(245.9)
Investment income85.681.5
Net realized investment (losses) gains(4.5)23.3

Item 1. Financial Statements

FAQ

What is Mercury General's property & casualty — policy acquisition costs?
Mercury General (MCY) reported property & casualty — policy acquisition costs of $237.8M in Q1 2026.
How has Mercury General's property & casualty — policy acquisition costs changed year-over-year?
Mercury General's property & casualty — policy acquisition costs increased by 5.3% year-over-year, from $225.8M to $237.8M.
What is the long-term trend for Mercury General's property & casualty — policy acquisition costs?
Over 3 years (2022 to 2025), Mercury General's property & casualty — policy acquisition costs has grown at a 12.9% compound annual growth rate (CAGR), from $645.5M to $929.7M.
What does property & casualty — policy acquisition costs mean?
Expenses directly related to the acquisition of new insurance policies, including commissions, premium taxes, and underwriting costs. Monitoring this metric helps evaluate the efficiency of the company's sales and distribution channels.

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