Based on key financial metrics such as the price-to-sales ratio, shareholder yield and the price-earnings ratio, the following 5 stocks made the list for top value stocks in the Insurance industry. Those looking for value stocks to add to their portfolio may want to use this list as a starting point for further investment research.

Why Focus on Undervalued Insurance Stocks?

Value investors seek to buy stocks at a discount to their intrinsic value. Long-term returns show that such strategies are advantageous. Value stocks, as a group, tend to outperform growth stocks over extended periods of time. Typically, value investors perform financial analysis of numerous metrics, don’t follow the herd and are long-term investors.

AAII’s A+ Investor Value Grade is derived from a stock’s Value Score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

What Goes Into AAII’s Value Grade?

Stock evaluation requires access to huge amounts of data as well as the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movement. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors with that task.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A–F grades for more than just value. It is possible for a stock to appear cheap based on one valuation metric but appear expensive on another. It is also possible for one valuation ratio to be associated with outperforming stocks during certain periods of time but not others. Some stocks may even have null values for certain metrics like the price-earnings ratio or the price-to-book ratio but not others. An example of this would be a company with losses instead of profits or a negative book value because of heavy borrowing. Negative earnings or book value result in non-meaningful ratios that are left blank or null.

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5 Undervalued Insurance Stocks

Of course, there are countless value stocks that are worth mentioning, but this is a concise list of the top 5 undervalued stocks in the Insurance industry for Wednesday, December 17, 2025. Let’s take a closer look at their individual scores to see how they measure up against each other and the Insurance industry median.

The Value Grade is assigned based on how each stock’s composite valuation compares to all other stocks.

The process for assigning grades starts with each variable for a given stock. The percentile rankings for all valid ratios that a stock has are calculated. So, for instance, a stock could have a price-to-book ranking in the 43rd percentile, a price-earnings ranking in the 67th percentile, a price-to-sales ranking in the 23rd percentile, etc. Then, those rankings are averaged for each stock. (A minimum of two valid variables are required, though all six will be used if available.)

Once the average of the individual variables is calculated, that average is ranked against all stocks. Put another way, each stock’s composite valuation is compared to all other stocks. These ranks are then sorted into quintiles from the cheapest 20% (a grade of A) to the most expensive 20% (a grade of F).

As always, we recommend that you conduct proper due diligence and research before investing in any security. We also suggest that investors utilize numerous grades, not just value, when it comes to deciding whether a company is a good fit for their allocation needs.

American Coastal Insurance Corporation’s Value Grade

Value Grade:

American Coastal Insurance Corporation, through its subsidiaries, primarily engages in the commercial and personal property and casualty insurance business in the United States. The company provides structure, content, and liability coverage for standard single-family homeowners, renters, and condominium unit owners. It also offers commercial multi-peril property insurance for residential condominium associations and apartments, as well as coverage to policyholders for loss or damage to dwellings and buildings, inventory, detached structures, and equipment caused by fire, wind, hail, water, theft, and vandalism. In addition, the company provides equipment breakdown, identity theft, and cyber security policies. The company markets and distributes its products through a network of independent agencies. The company was formerly known as United Insurance Holdings Corp. and changed its name to American Coastal Insurance Corporation in August 2023. American Coastal Insurance Corporation was founded in 1999 and is based in Saint Petersburg, Florida.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

American Coastal Insurance Corporation has a Value Score of 91, which is considered to be undervalued.

When you look at American Coastal Insurance Corporation’s price-to-sales ratio at 1.89 compared to the industry median at 1.11, this company has a higher price relative to revenue compared to its peers. This could make American Coastal Insurance Corporation’s stock less attractive for value investors.

American Coastal Insurance Corporation’s price-earnings ratio is 7.40 compared to the industry median at 14.20. This means it has a lower share price relative to earnings compared to its peers. This could make American Coastal Insurance Corporation more attractive for value investors.

Now, let’s assess American Coastal Insurance Corporation’s EV/EBITDA ratio, also known as enterprise multiple. At 3.8, when compared to the industry median of 9.3, the company may be considered undervalued in relation to its peers. Value investors could use the enterprise multiple to identify stocks that are considered overvalued or undervalued relative to their industry.

Shareholder yield is the sum of a stock’s dividend yield (paid over previous 12 months minus special dividends) and the percentage of net share buybacks over the previous 12 months. American Coastal Insurance Corporation’s shareholder yield is higher than its industry median ratio of 1.10%. Value investors may look for an attractive shareholder yield because it can be a powerful tool for identifying if the company has a good management team.

As one of the most common value metrics, the price-to-book ratio evaluates a company’s current market price relative to its book value. American Coastal Insurance Corporation’s price-to-book ratio is higher than its industry median ratio of 1.66. This could make American Coastal Insurance Corporation less attractive to investors looking for a new addition to their portfolio.

Lastly, let’s take a look at American Coastal Insurance Corporation’s price-to-free-cash-flow ratio (P/FCF), which can indicate a company’s market value relative to its operating cash flow. American Coastal Insurance Corporation’s price-to-free-cash-flow ratio is lower than its industry median ratio of 9.15. This could make American Coastal Insurance Corporation more attractive because the lower P/FCF ratio indicates that American Coastal Insurance Corporation is undervalued. The P/FCF ratio metric can also be viewed over a long-term time frame to see if the company's cash flow to share price value is generally improving or worsening.

Kingstone Companies, Inc.’s Value Grade

Value Grade:

Kingstone Companies, Inc., through its subsidiary, Kingstone Insurance Company ("KICO"), provides property and casualty insurance products in the United States. It offers personal line of insurance products, such as homeowners, dwelling fire, cooperative/condominiums, renters, and personal umbrella policies; and commercial auto insurance products. It also provides for-hire vehicle physical damage only policies for livery and car service vehicles and taxicabs; and canine legal liability policies. In addition, the company offers reinsurance products. It underwrites its products through retail and wholesale agents and brokers. The company was formerly known as DCAP Group, Inc. and changed its name to Kingstone Companies, Inc. in July 2009. Kingstone Companies, Inc. was founded in 1886 and is headquartered in Kingston, New York.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Kingstone Companies, Inc. has a Value Score of 80, which is considered to be undervalued.

Kingstone Companies, Inc.’s price-earnings ratio is 7.2 compared to the industry median at 14.2. This means that it has a lower price relative to its earnings compared to its peers. This makes Kingstone Companies, Inc. more attractive for value investors.

Kingstone Companies, Inc.’s price-to-book ratio is lower than its peers. This could make Kingstone Companies, Inc. more attractive for value investors when compared to the industry median at 1.66.

You can read more about Kingstone Companies, Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Markel Group Inc.’s Value Grade

Value Grade:

Markel Group Inc., through its subsidiaries, engages in the insurance business in the United States and internationally. It offers general and professional liability, personal lines, marine and energy, specialty programs, and workers' compensation insurance products; and property coverages that include fire, windstorm, hail, water damage, and other property coverages comprising catastrophe-exposed property risks, such as earthquake and wind. The company also offers credit and surety products, and collateral protection insurance products. In addition, it offers transaction, directors and officers, and healthcare liability reinsurance; and specialty treaty reinsurance products, including credit and surety, workers' compensation, marine and energy, public entity, mortgage default, aviation and space, agriculture, and discrete political violence. Further, the company provides construction services, consumer and building products, transportation-related products, consulting services, and equipment manufacturing products, as well as leasing and other services. Additionally, the company offers a range of investment products, including insurance-linked securities comprising catastrophe bonds, insurance swaps, traditional reinsurance contracts, industry loss warranties, and other financial instruments; and program services. It also operates as an investment fund manager. The company was formerly known as Markel Corporation and changed its name to Markel Group Inc. in May 2023. Markel Group Inc. was founded in 1930 and is headquartered in Glen Allen, Virginia.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Markel Group Inc. has a Value Score of 79, which is considered to be undervalued.

Markel Group Inc.’s price-earnings ratio is 15.0 compared to the industry median at 14.2. This means that it has a higher price relative to its earnings compared to its peers. This makes Markel Group Inc. less attractive for value investors.

Markel Group Inc.’s price-to-book ratio is higher than its peers. This could make Markel Group Inc. less attractive for value investors when compared to the industry median at 1.66.

You can read more about Markel Group Inc.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Reinsurance Group of America, Incorporated’s Value Grade

Value Grade:

Reinsurance Group of America, Incorporated provides reinsurance and financial solutions. It offers individual and group life and health insurance products, such as term life, credit life, universal life, whole life, group life and health, joint and last survivor insurance, critical illness, disability, and longevity products, as well as asset-intensive and financial reinsurance products; and other capital motivated solutions. The company also provides reinsurance for mortality, morbidity, lapse, and investment-related risk associated with products; and reinsurance for investment-related risks. In addition, the company develops and markets technology solutions; and offers consulting and outsourcing solutions for the insurance and reinsurance industries. It operates in the United States, Latin America, Canada, Europe, the Middle East, Africa, and the Asia Pacific. Reinsurance Group of America, Incorporated was founded in 1973 and is headquartered in Chesterfield, Missouri.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

Reinsurance Group of America, Incorporated has a Value Score of 90, which is considered to be undervalued.

Reinsurance Group of America, Incorporated’s price-earnings ratio is 15.6 compared to the industry median at 14.2. This means that it has a higher price relative to its earnings compared to its peers. This makes Reinsurance Group of America, Incorporated less attractive for value investors.

Reinsurance Group of America, Incorporated’s price-to-book ratio is higher than its peers. This could make Reinsurance Group of America, Incorporated less attractive for value investors when compared to the industry median at 1.66.

You can read more about Reinsurance Group of America, Incorporated’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

SiriusPoint Ltd.’s Value Grade

Value Grade:

SiriusPoint Ltd. provides multi-line reinsurance and insurance products and services worldwide. The company operates in two segments, Reinsurance, and Insurance & Services. The Reinsurance segment provides aviation and space, accident and health, casualty, credit, marine and energy, property to insurance and reinsurance companies, government entities, and other risk bearing vehicles. This segment offers medical insurance products, trip cancellation programs, medical management services, and 24/7 emergency medical and travel assistance services. The Insurance & Services segment provides accident and health, marine and energy, property and casualty, mortgage, environmental, workers' compensation, commercial auto lines, professional liability, and other lines of business. The company was formerly known as Third Point Reinsurance Ltd. and changed its name to SiriusPoint Ltd. in February 2021. SiriusPoint Ltd. was incorporated in 2011 and is headquartered in Pembroke, Bermuda.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are value and so on.

SiriusPoint Ltd. has a Value Score of 88, which is considered to be undervalued.

SiriusPoint Ltd.’s price-earnings ratio is 15.1 compared to the industry median at 14.2. This means that it has a higher price relative to its earnings compared to its peers. This makes SiriusPoint Ltd. less attractive for value investors.

SiriusPoint Ltd.’s price-to-book ratio is higher than its peers. This could make SiriusPoint Ltd. less attractive for value investors when compared to the industry median at 1.66.

You can read more about SiriusPoint Ltd.’s key financial metrics like shareholder yield, price-to-free-cash-flow and EV/EBITDA ratio, or learn more about its Momentum and Growth Grades, by subscribing to A+ Investor.

Other Insurance Stock Grades

Value is just one of the five Stock Grades included in our A+ Investor service. AAII members can see the top-graded stocks—those with grades of A or B for value, growth, momentum, earnings estimate revisions and quality—on the A+ Stock Grades Screener.

Also, if you want full access to all of AAII’s premium services, you can subscribe to one convenient bundled plan called AAII Platinum where you can try out A+ Investor, AAII Dividend Investing, the Stock Superstars Report, Growth Investing and VMQ Stocks. With the other premium services, you can dive deep into additional metrics, portfolios, commentary and information about Insurance stocks as well as other industrys.

Choosing Which of the 5 Best Insurance Stocks Is Right for You

Choosing which value stocks to invest in will ultimately depend on your individual goals and allocation; however, comparing similar value stocks in the same industry can help you analyze which might be better investments for you in the long run. So, let’s take a look at the Value Grade for all of our stocks.

• American Coastal Insurance Corporation stock has a Value Grade of A.
• Kingstone Companies, Inc. stock has a Value Grade of B.
• Markel Group Inc. stock has a Value Grade of B.
• Reinsurance Group of America, Incorporated stock has a Value Grade of A.
• SiriusPoint Ltd. stock has a Value Grade of A.

Now that you have a bit more background about each of the 5 undervalued stocks in the Insurance industry as well as their overall grades, it’s time for you to conduct additional research to see if these could fit your portfolio needs based on your goals and risk tolerance. AAII can help you figure out both and identify which investments align with what works best for you.

We do so through a program of education that teaches you to invest for yourself and become an effective manager of your own wealth—no more relying on others for your financial independence. You can rely on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis that makes you a better investor.

A+ Investor adds to that qualitative teaching by giving you a powerful data suite that helps you whittle down investment decisions to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Additional Resources About Insurance Stocks

Want to learn more about Insurance stocks to see if they could be the right investment for you? Check out some additional resources and articles to help you on your financial journey.

• 5 Undervalued Insurance Stocks for Wednesday, December 17
• Is American Coastal Insurance Corporation (ACIC) a Good Dividend Stock?
• Is Chubb Limited (CB) Overvalued?
• Is The Progressive Corporation (PGR) Overvalued?

AAII Disclaimer

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