At a glance
Safety Insurance Group Inc is worth $1.53B, about 16 times its fiscal 2025 earnings. Revenue grew 12.8% to $1.26B in fiscal 2025, with 7.9% kept as profit; over 5 years it has grown 8.4% a year. It pays a 3.54% dividend yield, and returned $318.9M to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned +57.9% over the past year with dividends reinvested and +10.4% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 26.8% in the 2020 crash (S&P 500: 33.7%) and 21.2% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 22 months and 45 months after the lows.
The business in plain English
Safety Insurance Group sells auto and home insurance in New England. It operates through four insurance subsidiaries and writes policies only in Massachusetts, New Hampshire and Maine. Massachusetts supplies most of its premiums. The company and its predecessors have written insurance in Massachusetts since 1979.
Auto insurance for personal cars is the core product. It made up 54.9% of 2025 direct written premiums, which is the value of policies sold during the year. Homeowners insurance made up 25.2% and commercial auto 15.2%. Smaller lines include business owner policies for small and medium-sized firms (2.5%), dwelling fire cover for homes the owner does not live in (1.2%), and umbrella liability policies. Figures for 2025 from Commonwealth Automobile Reinsurers put Safety fourth in Massachusetts personal auto, with about 9.4% of the market, and first in commercial auto, with 13.0%. In 2024 it was the state's third-largest homeowners insurer, with 7.0%.
Safety does not have its own sales force. It sells only through independent agents: 797 of them in 1,063 locations during 2025. That approach fits Massachusetts, where independent agents wrote 68.8% of personal insurance premiums in 2025, compared with 39.0% nationwide. The company makes money in two ways. It collects more in premiums than it pays out in claims and costs, and it invests the premiums until claims come due. Revenue was about $1.26 billion in fiscal 2025. The drawback is concentration: the business depends on one state, mostly on car insurance, and is exposed to New England storms.
Price history
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SAFT +57.9% over the year to Oct 28, 2026, total return with dividends reinvested.
Latest results
- In Q2 FY2026 (ended Jun 30, 2026), revenue was $325.7M, up 3% from a year earlier, and net income was $34.5M (+19.3%).
- For fiscal 2025, revenue was $1.26B (+12.8% year over year; +8.4% a year from FY2020 to FY2025) with a 7.9% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +8.4% good |
|---|---|
| Free cash flow margin | 15.2% good |
| Return on equity (FY2025) | 11.1% watch |
| Return on assets (FY2025) | 4% watch |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $846.2M | $138.2M | $99.5M |
| FY2021 | $884.9M | $130.7M | $133.2M |
| FY2022 | $797.6M | $46.6M | $42.2M |
| FY2023 | $931.0M | $18.9M | $50.3M |
| FY2024 | $1.12B | $70.7M | $124.3M |
| FY2025 | $1.26B | $99.3M | $192.0M |
Valuation snapshot
| Market value | $1.53B |
|---|---|
| P/E ratio | 15.5 |
| Dividend yield | 3.54% |
Rank among 1514 US companies
Market value at each year end
Safety Insurance Group’s market value went from $1.12B at the end of 2016 to $1.53B on Oct 28, 2026, up 37%; since the end of 2025 it is up 32%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $1.53B | +31.5% |
| 2025 | $1.16B | -5.1% |
| 2024 | $1.22B | +8.8% |
| 2023 | $1.12B | -9.5% |
| 2022 | $1.24B | -2.5% |
| 2021 | $1.27B | +9.8% |
| 2020 | $1.16B | -18.5% |
| 2019 | $1.42B | +13.8% |
| 2018 | $1.25B | +2.2% |
| 2017 | $1.22B | +9.6% |
| 2016 | $1.12B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| SAFT price data to Oct 28, 2026 | +38.0% | +57.9% | +16.9% | +10.4% | +9.1% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +38.0% |
| 2025 | -0.9% |
| 2024 | +13.3% |
| 2023 | -5.4% |
| 2022 | +3.1% |
| 2021 | +14.1% |
| 2020 | -11.7% |
| 2019 | +17.3% |
| 2018 | +5.7% |
| 2017 | +13.7% |
| 2016 | +36.7% |
| 2015 | -7.4% |
| 2014 | +20.6% |
| 2013 | +27.7% |
| 2012 | +19.9% |
| 2011 | -11.1% |
| 2010 | +37.7% |
| 2009 | +0.0% |
| 2008 | +8.3% |
| 2007 | -25.3% |
| 2006 | +27.8% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 18.4% over that stretch · deepest drop along the way 33.8%, back to its old high 17 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 25% over that stretch · deepest drop along the way 26.8%, back to its old high 21.5 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 5.5% over that stretch · deepest drop along the way 21.2%, back to its old high 45.4 months after the low |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (25 read): 0 open-market purchases and 15 sales ($138.6M).
| Date | Insider | Type | Value |
|---|---|---|---|
| Jul 27, 2026 | Srb Corp 10% owner | sell | $79.8M |
| Jul 27, 2026 | Srb Corp 10% owner | sell | $48.1M |
| Jul 24, 2026 | Srb Corp 10% owner | sell | $4.0M |
| Jul 13, 2026 | Srb Corp 10% owner | sell | $2.6M |
| Mar 20, 2026 | Srb Corp 10% owner | sell | $1.0M |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 14.3% | Jun 30, 2025 |
| Vanguard Portfolio Management | 5.81% | Mar 31, 2026 |
| STATE STREET CORPORATION | 5.2% | Mar 31, 2026 |
| Vanguard Capital Management | 5.19% | Mar 31, 2026 |
| Glazer Capital, LLC | 5.1% | Sep 25, 2026 |
| Dimensional Fund Advisors LP | 4.9% | Mar 31, 2025 |
| SRB Corporation | 1.75% | Jul 27, 2026 |
| Victory Capital Management, Inc. | 0.02% | Dec 31, 2024 |
ETFs with the most weight in SAFT
| JPSV JPMorgan Active Small Cap Value ETF | 1.23% |
| DGRS WisdomTree US Smallcap Quality Dividend Growth Fund | 0.85% |
| SMLV SPDR SSGA US Small Cap Low Volatility Index ETF | 0.66% |
| HEJD VictoryShares Hedged Equity Income ETF | 0.54% |
| SCDS JPMorgan Fundamental Data Science Small Core ETF | 0.47% |
| SIXL ETC 6 Meridian Low Beta Equity ETF | 0.43% |
| PSCF Invesco S&P SmallCap Financials ETF | 0.35% |
| VFMV Vanguard U.S. Minimum Volatility ETF | 0.27% |
What could go wrong
- Almost all business is in Massachusetts. Massachusetts produced $1.2 billion of $1.28 billion in 2025 direct written premiums. A weak state economy, tougher state rules or new competitors entering the market could hurt nearly the whole company.
- Car insurance dominates the mix. Private passenger auto made up 54.9% of 2025 premiums and commercial auto 15.2%. Trouble across the auto insurance industry, such as more accidents or pricier repairs, would weigh heavily on results.
- Relies entirely on independent agents. Safety sells only through independent agents, who can also place customers with rival insurers. Larger competitors with greater resources could win agents' business with higher commissions or better technology.
- Storms and climate change. Homeowners policies were 25.2% of 2025 premiums. Severe weather can raise the number and cost of claims, climate change may add to that, and reinsurance (insurers' own insurance) may not cover every loss.
- Inflation can push claim costs higher. Inflation and supply chain delays can raise loss severity, the average cost of each claim. If repair and rebuilding costs climb faster than premium rates, profits shrink.
- Regulators control rates and subsidiary dividends. State regulators review premium rates and limit when policies can be canceled. Massachusetts also oversees dividends from the insurance units, which the holding company relies on.
Recent events
- Other company announcement
- Quarterly results released
- Major agreement signed
- Investor presentation or announcement
- Major agreement signed; New debt or financial obligation
- Shareholder vote results
- Quarterly results released
- Quarterly results released
- Quarterly results released
For income and retirement investors
Safety pays a steady dividend but has rarely raised it. Dividends were $3.60 a share in each year from 2020 through 2024 and $3.64 in 2025. That makes the streak of increases one year, and growth averaged 0.2% a year over five years. The 2025 dividend took 54.3% of earnings and 28.1% of free cash flow (cash left after running the business). The payout held even in 2023, when earnings were just $1.28 a share. The yield was 3.54% as of October 28, 2026. Buybacks were modest: $51.4 million from 2021 to 2025, against $267.5 million in dividends.
The shares have fallen hard in past slumps. They dropped 33.8% between September 2008 and March 2009 and recovered 17 months later. In the 2020 COVID crash they fell 26.8% and took 21.5 months to recover. A 21.2% drop in 2022 was not fully made up until July 2026. A single stock like Safety carries more risk than a diversified fund.
Questions investors ask
How does Safety Insurance make money?
By selling car and home insurance and investing the premiums it collects. It profits when premiums exceed claims and expenses, and it earns investment income on money held until claims are paid. In 2025 it wrote $1.28 billion of direct written premiums: 54.9% private passenger auto, 25.2% homeowners and 15.2% commercial auto. Nearly all of it came from Massachusetts, with the rest from New Hampshire and Maine. All of it was sold through independent agents.
Does Safety Insurance raise its dividend every year?
No. The dividend was $3.60 a share every year from 2020 through 2024, then rose to $3.64 in 2025, a one-year streak of increases. Over five years it grew about 0.2% a year. The company kept paying $3.60 in 2023 even though earnings fell to $1.28 a share. The yield was 3.54% as of October 28, 2026. Regulators oversee the dividends its insurance units pay to the parent company, which the parent depends on.
Is Safety Insurance profitable?
Yes, in most years. The company says it has been profitable in 44 of the 45 years since 1979. In 2025 net income rose 40.3% to $99.3 million on revenue of $1.26 billion. Return on equity (profit as a share of shareholders' equity) was 11.1%. Profits swing a lot, though: net income fell from $138.2 million in 2020 to $18.9 million in 2023 before recovering.
How has Safety Insurance stock performed?
Strongly over one year, more modestly over longer periods. Based on share prices as of October 28, 2026, the stock gained 57.9% over one year and 38% in 2026 through that date. Over five years it returned 10.4% a year, and over 10 years 9.1% a year. The path has been bumpy: the shares lost 5.38% in 2023 and 0.86% in 2025. The deepest decline in 21 years of price history was 44%.
Who are Safety Insurance's biggest shareholders?
Large asset managers reported the biggest stakes. BlackRock reported 14.3% as of June 30, 2025. As of March 31, 2026, Vanguard Portfolio Management reported 5.81%, Vanguard Capital Management 5.19% and State Street 5.2%. Glazer Capital reported 5.1% as of September 25, 2026. From October 29, 2025 to October 29, 2026, insiders sold about $139 million of stock and bought none. Most of that came from SRB Corporation, a 10% owner whose reported stake was 1.75% as of July 27, 2026.