FP_091317_cover
The insurance business has been a solid if unspectacular investment lately, essentially matching the S&P 500 step-for-step over the past three and five years.

Among the funds with the highest exposure to the insurance sector, the average one-year gain has been 17.9%, with an average three-year return of 9.52%. In the same periods, the S&P 500, as represented by SPY, has posted gains of 17.9% and 10.1%, respectively.

But in the near future, the property and casualty segment of the sector will be looking at major payouts in the aftermath of hurricanes Harvey and Irma. The damage in Florida from Hurricane Irma was predicted to be $58 billion (with an additional $30 billion in the Caribbean), according to Bloomberg, citing statistics from Enki Research. Hurricane Harvey caused $85 billion in damage in the Houston area. Combined, they equal the monetary damage of Hurricane Katrina in 2005, the costliest hurricane to hit the U.S., with $160 billion in damage, based on inflation-adjusted totals.

For this list, we looked at all mutual funds and ETFs with an exposure to the insurance industry of 20% or higher, and then ranked those funds by their three-year returns. Scroll through to see the top 20.

All data from Morningstar Direct.
FP_091317_20

20. First Trust STOXX European Sel Div ETF (FDD)

Insurance Sector Exposure: 20.88%
1-Yr. Returns: 13.00%
3-Yr. Returns: 2.41%
5-Yr. Returns: 6.20%
Expense Ratio: 0.60%
Total Assets (millions): $509
FP_091317_19

19. PowerShares DWA Financial Momentum ETF (PFI)

Insurance Sector Exposure: 25.80%
1-Yr. Returns: 0.60%
3-Yr. Returns: 3.51%
5-Yr. Returns: 10.08%
Expense Ratio: 0.60%
Total Assets (millions): $71
FP_091317_18

18. Mount Lucas US Focused Eq I (BMLEX)

Insurance Sector Exposure: 27.32%
1-Yr. Returns: 19.32%
3-Yr. Returns: 3.75%
5-Yr. Returns: 13.07%
Expense Ratio: 0.95%
Total Assets (millions): $11
FP_091317_17

17. Putnam Global Financial Y (PGFYX)

Insurance Sector Exposure: 28.69%
1-Yr. Returns: 19.56%
3-Yr. Returns: 4.21%
5-Yr. Returns: 10.31%
Expense Ratio: 1.03%
Total Assets (millions): $24
FP_091317_16

16. iShares Global Financials ETF (IXG)

Insurance Sector Exposure: 21.06%
1-Yr. Returns: 23.28%
3-Yr. Returns: 5.38%
5-Yr. Returns: 11.35%
Expense Ratio: 0.48%
Total Assets (millions): $451
FP_091317_15

15. Fidelity Select Financial Services Port (FIDSX)

Insurance Sector Exposure: 21.35%
1-Yr. Returns: 19.21%
3-Yr. Returns: 7.15%
5-Yr. Returns: 12.83%
Expense Ratio: 0.76%
Total Assets (millions): $1,070
FP_091317_14

14. Fidelity Advisor Financial Services I (FFSIX)

Insurance Sector Exposure: 21.12%
1-Yr. Returns: 19.26%
3-Yr. Returns: 7.27%
5-Yr. Returns: 13.00%
Expense Ratio: 0.84%
Total Assets (millions): $373
FP_091317_13

13. Oppenheimer Financials Sect Revenue ETF (RWW)

Insurance Sector Exposure: 31.13%
1-Yr. Returns: 23.06%
3-Yr. Returns: 8.96%
5-Yr. Returns: 16.19%
Expense Ratio: 0.49%
Total Assets (millions): $33
FP_091317_12

12. Franklin Mutual Financial Services Z (TEFAX)

Insurance Sector Exposure: 34.44%
1-Yr. Returns: 17.95%
3-Yr. Returns: 9.26%
5-Yr. Returns: 13.36%
Expense Ratio: 1.13%
Total Assets (millions): $695
FP_091317_11

11. T. Rowe Price Financial Services (PRISX)

Insurance Sector Exposure: 21.45%
1-Yr. Returns: 22.01%
3-Yr. Returns: 9.39%
5-Yr. Returns: 14.43%
Expense Ratio: 0.88%
Total Assets (millions): $717
FP_091317_10

10. First Trust Financials AlphaDEX ETF (FXO)

Insurance Sector Exposure: 23.28%
1-Yr. Returns: 16.53%
3-Yr. Returns: 9.64%
5-Yr. Returns: 14.98%
Expense Ratio: 0.64%
Total Assets (millions): $1,101
FP_091317_09

9. Davis Financial A (RPFGX)

Insurance Sector Exposure: 24.05%
1-Yr. Returns: 17.03%
3-Yr. Returns: 9.72%
5-Yr. Returns: 14.17%
Expense Ratio: 0.92%
Total Assets (millions): $1,195
FP_091317_08

8. Global X China Financials ETF (CHIX)

Insurance Sector Exposure: 26.79%
1-Yr. Returns: 18.81%
3-Yr. Returns: 9.96%
5-Yr. Returns: 12.39%
Expense Ratio: 0.65%
Total Assets (millions): $49
FP_091317_07

7. iShares US Insurance ETF (IAK)

Insurance Sector Exposure: 98.42%
1-Yr. Returns: 16.91%
3-Yr. Returns: 10.17%
5-Yr. Returns: 15.62%
Expense Ratio: 0.44%
Total Assets (millions): $171
FP_091317_06

6. Vanguard Financials ETF (VFH)

Insurance Sector Exposure: 21.02%
1-Yr. Returns: 21.93%
3-Yr. Returns: 10.60%
5-Yr. Returns: 15.16%
Expense Ratio: 0.10%
Total Assets (millions): $6,645
FP_091317_05

5. Fidelity MSCI Financials ETF (FNCL)

Insurance Sector Exposure: 20.64%
1-Yr. Returns: 21.98%
3-Yr. Returns: 10.64%
5-Yr. Returns: N/A
Expense Ratio: 0.12%
Total Assets (millions): $888
FP_091317_04

4. Guggenheim S&P 500 Eq Weight Fincl ETF (RYF)

Insurance Sector Exposure: 34.19%
1-Yr. Returns: 22.17%
3-Yr. Returns: 10.72%
5-Yr. Returns: 16.15%
Expense Ratio: 0.40%
Total Assets (millions): $315
FP_091317_03

3. Fidelity Select Insurance Port (FSPCX)

Insurance Sector Exposure: 88.19%
1-Yr. Returns: 17.17%
3-Yr. Returns: 11.19%
5-Yr. Returns: 16.36%
Expense Ratio: 0.79%
Total Assets (millions): $489
FP_091317_02

2. SPDR S&P Insurance ETF (KIE)

Insurance Sector Exposure: 99.89%
1-Yr. Returns: 16.79%
3-Yr. Returns: 12.06%
5-Yr. Returns: 17.14%
Expense Ratio: 0.35%
Total Assets (millions): $867
FP_091317_01

1. PowerShares KBW Prpty & Casualty Ins ETF (KBWP)

Insurance Sector Exposure: 100%
1-Yr. Returns: 10.60%
3-Yr. Returns: 14.81%
5-Yr. Returns: 16.60%
Expense Ratio: 0.35%
Total Assets (millions): $89
MORE FROM FINANCIAL PLANNING