Oct 16 (Reuters) - Insurance bellwether Travelers

Companies ( TRV ) reported a profit surge in the third quarter

on Thursday, helped by lower catastrophe losses, stronger

underwriting fees and higher investment returns.

Resilient consumer spending, despite higher borrowing costs,

has helped sustain insurance demand, as businesses and

households continue to prioritize protection against financial

risks, accidents, property damage and natural disasters.

Travelers' results often serve as a bellwether for the

property and casualty insurance sector, reflecting broader

industry trends in underwriting, pricing and catastrophe losses.

The New York-based company's core income climbed to $1.87

billion, or $8.14 per share, in the three months ended September

30. That compares with $1.22 billion, or $5.24 per share, a year

earlier.

Net written premiums, the total value of policies sold after

accounting for reinsurance, rose 1% in the quarter to $11.47

billion, led by growth in business insurance.

Catastrophe losses came in at $402 million on a pre-tax

basis, compared with $939 million a year earlier.

The 2025 Atlantic hurricane season marks the first time in a

decade when no hurricanes had made landfall in the United States

through the end of September, according to AccuWeather.

The absence of major catastrophes can offer a tailwind to

insurers, as losses from hurricanes, wildfires and severe storms

- a key swing factor for the industry - often sharply affect

quarterly earnings despite their efforts to price in risks and

share them through reinsurance.

Travelers' underlying combined ratio came in at 83.9% in the

quarter. A ratio below 100 indicates that the insurer collected

more in premiums than it paid out in claims and expenses.

The company posted an underwriting income of $1.38 billion

on a pre-tax basis, which more than doubled from a year earlier.

Net investment income, which comes from bonds, stocks and

other low-risk financial assets, rose 14.3% to $1.03 billion.

(Reporting by Prakhar Srivastava in Bengaluru; Editing by

Shinjini Ganguli)