How do dividends work for insurance companies?

Many insurance stocks pay dividends, with most paying quarterly dividends to shareholders. Not all insurance companies choose to pay dividends; some opt to retain their profits to grow their business or investment portfolios.

Are insurance stocks recession-resistant?

Insurance is a generally recession-resistant business, as it is viewed as an essential expense by many people. This is especially true for "mandatory" types of insurance, such as homeowners and auto insurance. Life insurance and other types tend to be slightly less recession-resistant.

Are insurance stocks a good buy?

Insurance stocks generally trade for lower price-to-earnings (P/E) valuations than the average S&P 500 company. However, whether insurance stocks are a good buy largely depends on your investment goals, risk tolerance, and income needs.

What is the most undervalued insurance stock?

There's no one definition of what makes an insurance stock undervalued. The most 'undervalued' stocks are those that are trading for the lowest prices relative to the intrinsic value of the business, so looking at metrics like price-to-book valuations, price-to-earnings-growth (PEG) multiples, and others can be used to find insurance stocks that might be undervalued relative to peers.

What are the best health insurance stocks?

Five of the largest health insurance stocks by market cap (the size of the company calculated by the shares outstanding multiplied by the share price) include:UnitedHealth Group (NYSE: UNH)Elevance (NYSE: ELV)CVS Health (NYSE: CVS)Cigna (NYSE: CI)Humana (NYSE: HUM)

Best Insurance Stocks for 2026 and How to Invest

By Matthew Frankel, CFP – Updated Apr 20, 2026 at 4:09 PM EST | Fact-checked by Frank Bass

Key Points

Insurance stocks offer stability as they can yield profits both during economic highs and lows.
Progressive excels in the market with a 700% return over 10 years, leveraging technology.
Markel diversifies investments, including acquiring businesses and stocks, akin to Berkshire Hathaway.

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Ticker Information Table
Name and ticker	Current price	Market cap	Dividend yield
Progressive (NYSE:PGR)	$196.80	$115.7 billion	7.03%
Markel Group (NYSE:MKL)	$1,787.40	$22.1 billion	0.00%
Kinsale Capital Group (NYSE:KNSL)	$303.89	$7.0 billion	0.25%

Data as of May 6, 2026. Showing 3 of 3 tickers.

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1. Progressive

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NYSE: PGR

Progressive

Today's Change

(-0.47%) $-0.94

Current Price

$196.80

Key Data Points

Market Cap

$116B

Day's Range

$196.78 - $200.65

52wk Range

$192.02 - $289.96

Volume

Avg Vol

2.9M

Dividend Yield

7.03%

Progressive (PGR -0.29%) is a great option for investors seeking insurance exposure with low volatility. It is the largest publicly traded auto insurance company in the United States and has a long history of excellent profitability and growth.

Because it's been around for so long, many investors don't realize how much of a technology leader Progressive is. The company launched the first mass-market telematics device over a decade ago and has been innovating ever since. It has a massive data advantage over peers, which has allowed it to underwrite more effectively and produce outsized returns. In fact, Progressive has generated a total return of about 700% over the past 10 years, handily outperforming the S&P 500.

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2. Markel

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NYSE: MKL

Markel Group

Today's Change

(1.28%) $22.59

Current Price

$1787.40

Key Data Points

Market Cap

$22B

Day's Range

$1786.06 - $1804.38

52wk Range

$1719.41 - $2207.59

Volume

2.7K

Avg Vol

59K

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Markel (MKL +1.18%) is a specialty insurer that insures unusual risks, a much-needed business in both strong economies and recessions. Not only does Markel typically run a nice underwriting profit, but the company has an interesting investment strategy.

Instead of solely focusing on safe investments, such as high-grade bonds, Markel allocates about one-third of its invested assets to publicly traded stocks and also acquires entire businesses through its Markel Ventures segment. For this reason, Markel is often described as a smaller-scale version of Berkshire Hathaway (BRK.A +0.85%)(BRK.B +0.86%), which happens to be Markel's largest stock investment.

3. Kinsale Capital Group

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NYSE: KNSL

Kinsale Capital Group

Today's Change

(-0.37%) $-1.12

Current Price

$303.89

Key Data Points

Market Cap

$7.0B

Day's Range

$303.81 - $313.15

52wk Range

$300.23 - $512.76

Volume

22K

Avg Vol

277K

Dividend Yield

0.25%

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Did You Know?

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A graphic showing three profitability metrics specific to insurance stocks: the loss ratio, expense ratio and combined ratio. — Image source: The Motley Fool.

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Insurance stock FAQ

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About the Author

Matt Frankel, CFP, is a contributing Motley Fool stock market analyst specializing in the real estate and financial sectors. Prior to The Motley Fool, Matt taught high school and college mathematics. He holds a bachelor’s degree in physics from the University of South Carolina, a master’s degree in mathematics from Nova Southeastern University, and a graduate certificate in financial planning from Florida State University. He won a SABEW award for coverage of the 2017 Tax Cuts and Jobs Act. He is also regularly interviewed by Cheddar, Globe St, The National Desk, and other TV networks and publications for his real estate, financial, stock market, and investing expertise.

TMFMattFrankel

@MattFrankelCFP

Matt Frankel, CFP has positions in Berkshire Hathaway, Kinsale Capital Group, and Markel Group. The Motley Fool has positions in and recommends Berkshire Hathaway, Kinsale Capital Group, and Markel Group. The Motley Fool has a disclosure policy.

Best Insurance Stocks for 2026 and How to Invest

Key Points

1. Progressive

NYSE: PGR

Key Data Points

2. Markel

NYSE: MKL

Key Data Points

3. Kinsale Capital Group

NYSE: KNSL

Key Data Points

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Insurance stock FAQ

About the Author

Read Next

Stocks Mentioned

Premium Investing Services

Insurance stock FAQ

How do dividends work for insurance companies?

Are insurance stocks recession-resistant?

Are insurance stocks a good buy?

What is the most undervalued insurance stock?

What are the best health insurance stocks?

1. Progressive

2. Markel

How to invest in insurance stocks

Benefits and risks of investing in insurance stocks

The bottom line

Related investing topics

FAQ

3 top insurance stocks for 2026

NYSE: KNSL

Key Data Points

3. Kinsale Capital Group

NYSE: MKL

Key Data Points