Sectors & Industries Financial 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.

Industry: Insurance - Specialty

Overview Zen Rating Price Value Growth Financials

Momentum Sentiment Forecast Dividends Due Diligence

Insurance - Specialty is Zen Rated D and is the 89th ranked industry out of 145 stock market industries

Ticker	Company	Market Cap	ROE	ROA	ROCE	ROIC	D/E	Current Ratio	Gross Margin	Profit Margin	Operating Margin
TIPT	TIPTREE INC	$759.75M	11.80%	1.00%	N/A	2.90%	10.85	N/A	58.70%	2.80%	7.73%
AIZ	ASSURANT INC	$9.45B	13.00%	1.90%	N/A	2.90%	5.69	N/A	75.80%	5.60%	7.66%
NMIH	NMI HOLDINGS INC	$2.88B	16.50%	11.00%	N/A	13.70%	0.48	N/A	93.30%	55.60%	75.57%
FAF	FIRST AMERICAN FINANCIAL CORP	$6.13B	3.70%	1.20%	N/A	2.80%	2.17	N/A	28.30%	2.90%	6.10%
AXS	AXIS CAPITAL HOLDINGS LTD	$7.30B	14.20%	2.60%	N/A	3.40%	4.53	N/A	47.90%	13.80%	17.44%
TRUP	TRUPANION INC	$1.98B	-1.30%	-0.50%	2.12%	2.80%	1.51	1.70	14.70%	-0.30%	0.75%
AGO	ASSURED GUARANTY LTD	$4.12B	7.90%	3.70%	N/A	4.70%	1.12	N/A	98.50%	45.60%	66.05%
MTG	MGIC INVESTMENT CORP	$6.06B	14.70%	11.60%	N/A	14.40%	0.27	N/A	99.50%	62.60%	82.50%
ACT	ENACT HOLDINGS INC	$5.27B	13.90%	10.60%	N/A	14.10%	0.31	N/A	95.90%	56.90%	76.75%
ESNT	ESSENT GROUP LTD	$5.73B	13.00%	10.30%	N/A	12.20%	0.27	N/A	91.90%	57.30%	70.07%
RYAN	RYAN SPECIALTY HOLDINGS INC	$15.18B	8.40%	0.60%	5.93%	9.00%	16.28	1.05	100.00%	1.90%	12.27%
RDN	RADIAN GROUP INC	$4.42B	13.00%	7.00%	N/A	8.10%	0.91	N/A	97.10%	46.30%	66.92%
AMSF	AMERISAFE INC	$829.32M	18.40%	4.30%	N/A	5.60%	3.35	N/A	31.20%	16.50%	20.64%
EIG	EMPLOYERS HOLDINGS INC	$940.71M	9.70%	2.90%	N/A	3.70%	2.31	N/A	46.50%	12.00%	14.80%
ITIC	INVESTORS TITLE CO	$396.64M	11.40%	8.70%	N/A	12.40%	0.31	N/A	100.00%	11.40%	14.43%
JRVR	JAMES RIVER GROUP HOLDINGS LTD	$249.66M	-24.50%	-2.50%	N/A	-1.70%	8.94	N/A	19.90%	-18.20%	-11.09%
FNF	FIDELITY NATIONAL FINANCIAL INC	$15.54B	14.30%	1.20%	N/A	2.00%	11.33	N/A	75.20%	8.40%	12.65%
HIPO	HIPPO HOLDINGS INC	$637.98M	-15.70%	-3.40%	N/A	-4.10%	3.76	N/A	12.70%	-13.20%	-13.04%
MBI	MBIA INC	$282.08M	N/A	-19.20%	N/A	-3.90%	-2.00	N/A	-304.70%	-983.70%	-504.65%
AMBC	AMBAC FINANCIAL GROUP INC	$387.20M	-54.90%	-7.40%	N/A	-6.70%	8.26	N/A	42.70%	-317.40%	-320.26%

Specialty Insurance Stocks FAQ

What are the best specialty insurance stocks to buy right now in Aug 2025?

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:

1. Tiptree (NASDAQ:TIPT)

Tiptree (NASDAQ:TIPT) 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 Tiptree (NASDAQ:TIPT) is: Value: C, Growth: C, Momentum: C, Sentiment: C, Safety: C, Financials: C, and AI: B.

Tiptree (NASDAQ:TIPT) has a Due Diligence Score of 32, which is 2 points higher than the specialty insurance industry average of 30.

TIPT passed 11 out of 38 due diligence checks and has average fundamentals. Tiptree has seen its stock return 11.01% over the past year, overperforming other specialty insurance stocks by 8 percentage points.

2. Assurant (NYSE:AIZ)

Assurant (NYSE:AIZ) is the #2 top specialty insurance stock out of 20 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% 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: B.

Assurant (NYSE:AIZ) has a Due Diligence Score of 46, which is 16 points higher than the specialty insurance industry average of 30.

AIZ passed 16 out of 38 due diligence checks and has strong fundamentals. Assurant has seen its stock return 6.84% over the past year, overperforming other specialty insurance stocks by 3 percentage points.

Assurant has an average 1 year price target of $229.00, an upside of 22.8% from Assurant's current stock price of $186.48.

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.

3. Nmi Holdings (NASDAQ:NMIH)

Nmi Holdings (NASDAQ:NMIH) is the #3 top specialty insurance stock out of 20 with a Zen Rating of C. Stocks with a rating of C have had an average return of +7.53% per year. Learn more.

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

Nmi Holdings (NASDAQ:NMIH) has a Due Diligence Score of 29, which is -1 points lower than the specialty insurance industry average of 30.

NMIH passed 9 out of 33 due diligence checks and has average fundamentals. Nmi Holdings has seen its stock lose -2.69% over the past year, underperforming other specialty insurance stocks by -6 percentage points.

Nmi Holdings has an average 1 year price target of $41.40, an upside of 11.32% from Nmi Holdings's current stock price of $37.19.

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, 0% have issued a Buy, 60% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the specialty insurance stocks with highest dividends?

Out of 11 specialty insurance stocks that have issued dividends in the past year, the 3 specialty insurance stocks with the highest dividend yields are:

1. Amerisafe (NASDAQ:AMSF)

Amerisafe (NASDAQ:AMSF) has an annual dividend yield of 10.35%, which is 8 percentage points higher than the specialty insurance industry average of 2.83%. 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 170.6% indicates that its high dividend yield might not be sustainable for the long-term.

2. Investors Title Co (NASDAQ:ITIC)

Investors Title Co (NASDAQ:ITIC) has an annual dividend yield of 7.53%, which is 5 percentage points higher than the specialty insurance industry average of 2.83%. 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.

3. First American Financial (NYSE:FAF)

First American Financial (NYSE:FAF) has an annual dividend yield of 3.56%, which is 1 percentage points higher than the specialty insurance industry average of 2.83%. First American Financial's dividend payout is stable, having never dropped by more than 10% in the last 10 years. First American Financial's dividend has shown consistent growth over the last 10 years.

First American Financial's dividend payout ratio of 118% indicates that its dividend yield might not be sustainable for the long-term.

Why are specialty insurance stocks down?

Specialty insurance stocks were down -0.84% in the last day, and down -2.66% over the last week.

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

What are the most undervalued specialty insurance stocks?

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:

1. Nmi Holdings (NASDAQ:NMIH)

Nmi Holdings (NASDAQ:NMIH) 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.

Nmi Holdings has a valuation score of 43, which is 9 points higher than the specialty insurance industry average of 34. It passed 3 out of 7 valuation due diligence checks.

Nmi Holdings's stock has dropped -2.69% in the past year. It has underperformed other stocks in the specialty insurance industry by -6 percentage points.

2. Essent Group (NYSE:ESNT)

Essent Group (NYSE:ESNT) 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.

Essent Group has a valuation score of 43, which is 9 points higher than the specialty insurance industry average of 34. It passed 3 out of 7 valuation due diligence checks.

Essent Group's stock has dropped -7.72% in the past year. It has underperformed other stocks in the specialty insurance industry by -11 percentage points.

3. Axis Capital Holdings (NYSE:AXS)

Axis Capital Holdings (NYSE:AXS) 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.

Axis Capital Holdings has a valuation score of 57, which is 23 points higher than the specialty insurance industry average of 34. It passed 4 out of 7 valuation due diligence checks.

Axis Capital Holdings's stock has gained 25.02% in the past year. It has overperformed other stocks in the specialty insurance industry by 22 percentage points.

Are specialty insurance stocks a good buy now?

43.75% of specialty insurance stocks rated by analysts are a buy right now. On average, analysts expect specialty insurance stocks to rise by 20.97% over the next year.

0% of specialty insurance stocks have a Zen Rating of A (Strong Buy), 5% of specialty insurance stocks are rated B (Buy), 80% are rated C (Hold), 10% are rated D (Sell), and 5% are rated F (Strong Sell).

What is the average p/e ratio of the insurance - specialty industry?

The average P/E ratio of the insurance - specialty industry is 23.34x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.