
RLI (RLI) Stock Forecast & Price Target
RLI (RLI) Analyst Ratings
Bulls say
RLI Corp is experiencing robust growth within its Surety segment, benefiting from new agency relationships, construction projects, and elevated material costs, which enhances its market position. The company's Excess and Surplus (E&S) casualty division has reported a significant 13% increase due to a 20% rise in submissions, driven by strategic engagement with wholesale distribution and notable rate increases in both transportation and commercial auto lines. These positive trends in submissions and rates indicate a strengthening foundation for revenue generation, positioning RLI favorably within the competitive property and casualty insurance market.
Bears say
RLI Corp has experienced significant challenges, evidenced by an 8% decline in surplus lines commercial property premiums in the third quarter, marking the largest quarterly drop for this cycle. Additionally, the company's casualty reserve cushion has reportedly diminished in recent years, suggesting possible underlying loss inflation stemming from increased loss development in the 2021-2022 accident years. If the current loss development trends persist, it could lead to a reduction in implied redundancy year-over-year, further impacting RLI's financial stability and growth potential.
This aggregate rating is based on analysts' research of RLI and is not a guaranteed prediction by Public.com or investment advice.
RLI (RLI) Analyst Forecast & Price Prediction
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