Sectors & IndustriesFinancial ServicesInsurance - Specialty

Best Specialty Insurance Stocks to Buy Now (2025)

Top specialty insurance stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best specialty insurance stocks to buy now. Learn More.

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best specialty insurance stocks to buy right now are:

Axis Capital Holdings (NYSE:AXS) is the #1 top specialty insurance stock out of 20 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Axis Capital Holdings (NYSE:AXS) is: Value: B, Growth: C, Momentum: B, Sentiment: C, Safety: C, Financials: C, and AI: A.

Axis Capital Holdings (NYSE:AXS) has a Due Diligence Score of 46, which is 14 points higher than the specialty insurance industry average of 32.

AXS passed 16 out of 38 due diligence checks and has strong fundamentals. Axis Capital Holdings has seen its stock return 49.17% over the past year, overperforming other specialty insurance stocks by 29 percentage points.

Axis Capital Holdings has an average 1 year price target of $109.80, an upside of 6.61% from Axis Capital Holdings's current stock price of $102.99.

Axis Capital Holdings stock has a consensus Buy recommendation according to Wall Street analysts. Of the 5 analysts covering Axis Capital Holdings, 40% have issued a Strong Buy rating, 20% have issued a Buy, 40% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Nmi Holdings (NASDAQ:NMIH) is the #2 top specialty insurance stock out of 20 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Nmi Holdings (NASDAQ:NMIH) is: Value: B, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: B, and AI: B.

Nmi Holdings (NASDAQ:NMIH) has a Due Diligence Score of 31, which is -1 points lower than the specialty insurance industry average of 32. Although this number is below the industry average, our proven quant model rates NMIH as a "B".

NMIH passed 10 out of 33 due diligence checks and has average fundamentals. Nmi Holdings has seen its stock return 25.16% over the past year, overperforming other specialty insurance stocks by 5 percentage points.

Nmi Holdings has an average 1 year price target of $40.40, an upside of 0.15% from Nmi Holdings's current stock price of $40.34.

Nmi Holdings stock has a consensus Buy recommendation according to Wall Street analysts. Of the 5 analysts covering Nmi Holdings, 40% have issued a Strong Buy rating, 20% have issued a Buy, 40% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Assurant (NYSE:AIZ) is the #3 top specialty insurance stock out of 20 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Assurant (NYSE:AIZ) is: Value: C, Growth: C, Momentum: C, Sentiment: B, Safety: C, Financials: C, and AI: C.

Assurant (NYSE:AIZ) has a Due Diligence Score of 46, which is 14 points higher than the specialty insurance industry average of 32.

AIZ passed 16 out of 38 due diligence checks and has strong fundamentals. Assurant has seen its stock return 17.87% over the past year, underperforming other specialty insurance stocks by -2 percentage points.

Assurant has an average 1 year price target of $228.75, an upside of 15.43% from Assurant's current stock price of $198.17.

Assurant stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Assurant, 50% have issued a Strong Buy rating, 25% have issued a Buy, 25% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 15 specialty insurance stocks that have issued dividends in the past year, the 3 specialty insurance stocks with the highest dividend yields are:

Amerisafe (NASDAQ:AMSF) has an annual dividend yield of 10.17%, which is 7 percentage points higher than the specialty insurance industry average of 2.67%. Amerisafe's dividend payout is not stable, having dropped more than 10% ten times in the last 10 years. Amerisafe's dividend has shown consistent growth over the last 10 years.

Amerisafe's dividend payout ratio of 180% indicates that its high dividend yield might not be sustainable for the long-term.

Investors Title Co (NASDAQ:ITIC) has an annual dividend yield of 7.87%, which is 5 percentage points higher than the specialty insurance industry average of 2.67%. Investors Title Co's dividend payout is not stable, having dropped more than 10% eight times in the last 10 years. Investors Title Co's dividend has shown consistent growth over the last 10 years.

Investors Title Co's dividend payout ratio of 100.5% indicates that its high dividend yield might not be sustainable for the long-term.

Radian Group (NYSE:RDN) has an annual dividend yield of 2.93%, which is the same as the specialty insurance industry average of 2.67%. Radian Group's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Radian Group's dividend has shown consistent growth over the last 10 years.

Radian Group's dividend payout ratio of 25.3% indicates that its dividend yield is sustainable for the long-term.

Specialty insurance stocks were down -0.94% in the last day, and down -0.07% over the last week.

We couldn't find a catalyst for why specialty insurance stocks are down.

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued specialty insurance stocks right now are:

Axis Capital Holdings (NYSE:AXS) is the most undervalued specialty insurance stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Axis Capital Holdings has a valuation score of 57, which is 24 points higher than the specialty insurance industry average of 33. It passed 4 out of 7 valuation due diligence checks.

Axis Capital Holdings's stock has gained 49.17% in the past year. It has overperformed other stocks in the specialty insurance industry by 29 percentage points.

Enact Holdings (NASDAQ:ACT) is the second most undervalued specialty insurance stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Enact Holdings has a valuation score of 71, which is 38 points higher than the specialty insurance industry average of 33. It passed 5 out of 7 valuation due diligence checks.

Enact Holdings's stock has gained 19.44% in the past year. It has performed in line with other stocks in the specialty insurance industry.

Essent Group (NYSE:ESNT) is the third most undervalued specialty insurance stock based on its Valuation Rating of B. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Essent Group has a valuation score of 43, which is 10 points higher than the specialty insurance industry average of 33. It passed 3 out of 7 valuation due diligence checks.

Essent Group's stock has gained 4.87% in the past year. It has underperformed other stocks in the specialty insurance industry by -15 percentage points.

53.33% of specialty insurance stocks rated by analysts are a buy right now. On average, analysts expect specialty insurance stocks to rise by 14.4% over the next year.

0% of specialty insurance stocks have a Zen Rating of A (Strong Buy), 15% of specialty insurance stocks are rated B (Buy), 65% are rated C (Hold), 15% are rated D (Sell), and 5% are rated F (Strong Sell).