Progressive Corp. has priced an underwritten public offering of $850 million aggregate principal amount of its 4.125% senior notes due 2047.

The notes were priced at 99.879% of par. The company will use part of the net proceeds from the offering to redeem all of its 6.70% fixed-to-floating rate junior subordinated debentures due 2067, of which $563.7 million in principal amount is currently outstanding. The junior subordinated debentures may be redeemed on or after June 15 at a redemption price equal to 100% of the principal amount plus accrued and unpaid interest to the redemption date.

Credit Suisse Securities (USA) LLC and Merrill Lynch Pierce Fenner & Smith Inc. serve as joint book runners for the offering. Goldman Sachs & Co. and Deutsche Bank Securities Inc. act as co-managers.