P&C Insurers' Q1 Revenues Top Estimates by 2.2%, but Shares Slip 4.3% Amid Geopolitical Shift

The 32 U.S. property and casualty insurers tracked by StockStory reported mixed first-quarter 2026 results, with aggregate revenues beating analyst expectations by 2.2% but share prices declining an average 4.3% since the earnings, as a market rotation away from the sector took hold. First American Financial (NYSE:FAF) posted revenue of $1.84 billion, up 16.2% year over year, exceeding estimates by 2.4%. Mercury General (NYSE:MCY) advanced 10.5% to $1.54 billion, also topping forecasts. Allstate (NYSE:ALL) reported a 3.2% increase to $17.35 billion. By contrast, Fidelity National Financial (NYSE:FNF) missed revenue estimates by 10.7%, causing its stock to tumble 11%. The sector's decline occurred as investors rotated out of AI and crypto names into safer havens, with the U.S. conflict against Iran intensifying geopolitical risk. The sudden shift overshadowed solid underwriting performances and placed oil supply, inflation, and global stability at the center of market psychology.