Property and casualty insurers are on a financial tear, as rate hikes and low catastrophe losses boost their bottom line.

Travelers, a bellwether for the sector, reported surging profits for the three months through June. Net income was up 46%, at $2.2 billion compared to $1.5 billion for the same period last year. Underwriting profits rose even more sharply.

The earnings are the latest sign of an industry on a roll. Its underwriting profits for first three months of this year were the highest for at least 25 years, according to S&P Global Market Intelligence