Financial Performance - Arch Capital reported net premiums of $15.7 billion for 2024, with a net income of $4.3 billion available to common shareholders[16] - Book value per share increased to $53.11 at December 31, 2024, up from $46.94 at the end of 2023, representing a growth of 4.5%[16] - Total investable assets held by the company were $41.4 billion as of December 31, 2024, emphasizing a focus on capital preservation and market liquidity[87] Acquisitions and Expansions - The company expanded its U.S. insurance middle market presence by acquiring Allianz's U.S. Middle Market Property and Casualty insurance business on August 1, 2024[20] - The acquisition of Watford Insurance Company in 2024 added to Arch Capital's capabilities, as WIC is an admitted insurer in all 50 states[29] - Arch Capital's mortgage operations include participation in GSE credit risk-sharing transactions and direct mortgage insurance, with significant expansion in Australia through the acquisition of Westpac Lenders Mortgage Insurance Limited in August 2021[24] - The company established a managing agency and syndicate at Lloyd's of London in 2009, enhancing its U.K. presence with the acquisition of Barbican Group Holdings Limited in 2019[19] - Arch Insurance (EU) expanded its presence across Europe in 2023 with new branch offices in Spain and France, following the establishment of its Ireland-based carrier[19] Underwriting and Claims Management - Arch Capital's strategy focuses on specialty lines of insurance and reinsurance, targeting areas where it can apply specialized underwriting expertise[25] - The insurance group aims to capitalize on profitable underwriting opportunities by expanding its product portfolio and adding professionals with expertise in specialty lines[36] - Centralized underwriting responsibility is maintained across product lines, enhancing accountability and management of marketing and distribution[36] - The insurance group adheres to disciplined underwriting standards, focusing on risk selection and proper pricing to generate underwriting profit[36] - Claims management is emphasized as a key component of market credibility, with a focus on expeditious and satisfactory claims handling[36] Employee Engagement and Talent Acquisition - As of February 20, 2025, the company had over 7,200 employees globally, an increase from approximately 6,400 the previous year, indicating strong talent retention and growth[77] - The company launched a new talent acquisition model in 2023 to enhance its ability to attract top talent across multiple talent pools[79] - Over 65,000 awards were received by employees in 2024 through the global recognition program, supporting employee engagement and retention[82] Risk Management and Compliance - The company employs an Enterprise Risk Management framework that includes various risk categories, ensuring comprehensive risk assessment and management[96] - The Own Risk and Solvency Assessment (ORSA) process is integral to Arch Capital's risk management framework, linking risk profile, risk appetite, business strategy, and solvency requirements[103] - The ORSA report is produced at least annually, with results reported to the Board, which actively participates in the assessment process[104] - Arch Re Bermuda and AGRL must maintain a minimum liquidity ratio of 75% of relevant liabilities, ensuring compliance with solvency and liquidity standards[110] Regulatory Environment - The Bermuda Monetary Authority (BMA) has established a target capital level for Class 3A and Class 4 insurers equal to 120% of their Enhanced Capital Requirement (ECR)[111] - Arch Capital was designated as an Internationally Active Insurance Group (IAIG) by the BMA in 2024, subjecting it to international oversight[121] - The SEC Cybersecurity Rules require public companies to report material cybersecurity incidents within four days and disclose risk management processes in their annual reports[142] - The California Consumer Privacy Act, effective January 1, 2023, grants consumers rights to access, correct, and delete their data, along with a private right of action for cybersecurity breaches[145] Climate Change and Sustainability - Arch is taking steps to mitigate climate change effects in underwriting segments, adopting a thermal coal policy and providing environmentally sustainable insurance solutions[75] - U.S. state insurance regulators are increasing oversight of climate change risks, requiring insurers with over $100 million in premiums to disclose their climate risk management annually[160] - The U.K. government aims to align its financial system with the 2050 "Net Zero" target, implementing mandatory climate-related financial disclosures for large companies starting from April 6, 2022[188] Technology and Innovation - The company’s generative AI technologies are closely monitored, with approval required for new implementations, highlighting a commitment to data-driven decision-making[76] - The NAIC adopted a model bulletin on the use of AI systems by insurers, with at least 20 states expected to adopt it by February 1, 2025[148] - California passed several AI statutes in 2024 that may impact U.S. underwriting entities, with comprehensive requirements effective from January 1, 2026[151]

Premiums and Revenue - Gross premiums written increased by 11.9% to $4,756 million for the three months ended December 31, 2024, compared to $4,251 million in the same period of 2023[13] - Net premiums written rose by 17.1% to $3,819 million for the three months ended December 31, 2024, up from $3,261 million in the prior year[13] - Net premiums earned grew by 23.9% to $4,143 million for the three months ended December 31, 2024, compared to $3,344 million in 2023[13] - Total revenues for Q4 2024 were $4,548 million, an increase of 14.4% compared to $3,975 million in Q4 2023[18] - Net premiums earned for the year ended December 31, 2024, reached $15,100 million, up from $12,440 million in 2023, indicating a growth of 21.3%[74] Underwriting Performance - Underwriting income decreased by 12.6% to $625 million for the three months ended December 31, 2024, from $715 million in the same period of 2023[13] - The loss ratio increased to 57.5% for the three months ended December 31, 2024, compared to 49.0% in the prior year[13] - The combined ratio for the total business was 85.0%, with the insurance segment at 98.5% and the reinsurance segment at 83.0%[35] - The combined ratio for Q4 2024 was 98.5%, up from 93.1% in Q3 2024, reflecting higher underwriting expenses[47] - The loss ratio for Q4 2024 was 66.3%, compared to 61.6% in Q3 2024, indicating an increase in claims relative to premiums[47] Investment Income - Net investment income rose by 29.4% to $405 million for the three months ended December 31, 2024, compared to $313 million in 2023[13] - The company reported net investment income of $405 million for Q4 2024, up from $313 million in Q4 2023, reflecting a growth of 29.4%[18] - The Company’s gross investment income for the year ended December 31, 2024, was $1,586 million, up from $1,100 million in 2023[84] - The Company reported a total return on investments of (1.05)% for the three months ended December 31, 2024, compared to 3.97% in the previous quarter[84] Net Income and Shareholder Equity - Net income available to Arch common shareholders decreased by 60.2% to $925 million for the three months ended December 31, 2024, down from $2,324 million in the same period of 2023[13] - Comprehensive income available to Arch fell by 86.7% to $415 million for the three months ended December 31, 2024, compared to $3,111 million in 2023[13] - Common shareholders' equity decreased to $19.990 billion from $21.444 billion in the previous quarter, reflecting a decline of approximately 6.8%[118] - Book value per common share decreased to $53.11 from $57.00 in the previous quarter, indicating a decrease of about 12.7%[118] Assets and Liabilities - Total assets as of December 31, 2024, were $70,906 million, up from $58,906 million a year earlier, reflecting a growth of 20.4%[20] - Total liabilities as of December 31, 2024, were $50,086 million, an increase from $40,551 million in 2023, marking a growth of 23.5%[20] - Total investable assets reached $41,388 million, while total assets amounted to $70,906 million[35] Claims and Reserves - The reserve for losses and loss adjustment expenses increased to $29,369 million, compared to $22,752 million at the end of 2023, representing a rise of 29.1%[20] - Total losses and loss adjustment expenses for the year ended December 31, 2024, were $8,342 million, compared to $6,246 million in 2023, representing a 33.6% increase[74] - The company reported a net favorable development in prior year loss reserves of 22.3% for Q4 2024[56] Market and Segment Performance - North America accounted for 74.1% of net premiums written in Q4 2024, with total North America premiums reaching $1,448 million[49] - The international segment contributed 25.9% to total net premiums written in Q4 2024, with $506 million reported[50] - The property and short-tail specialty line in North America saw a 23.5% increase in net premiums written, totaling $364 million in Q4 2024[49] Share Repurchase and Capital Management - The aggregate cost of shares repurchased in the last quarter was $23.5 million, with 0.3 million shares repurchased at an average price of $89.65 per share[120] - The cumulative cost of shares repurchased since the program's inception is $5.895 billion, with 433.8 million shares repurchased[120] - Remaining share repurchase authorization stands at $976.5 million, indicating potential for future buybacks[120] Risk and Credit Quality - The risk-to-capital ratio for Arch MI U.S. is reported at 7.8:1 as of December 31, 2024, indicating a stable capital position relative to risk[62] - The percentage of RIF by credit quality shows that 62.3% of the total RIF is from borrowers with a FICO score of 740 and above[61] - The weighted average FICO score remains stable at 748 across the reporting periods, indicating consistent credit quality among insured loans[61]

Financial Performance - Total revenues for Q3 2024 reached $4,722 million, a 42% increase from $3,329 million in Q3 2023[19] - Net income available to Arch common shareholders for Q3 2024 was $978 million, compared to $713 million in Q3 2023, representing a 37% increase[19] - Comprehensive income available to Arch for Q3 2024 was $1,598 million, significantly higher than $589 million in Q3 2023[22] - Net income for the nine months ended September 30, 2024, was $3,377 million, an increase of 60.2% compared to $2,109 million for the same period in 2023[28] - Net income available to Arch for the three months ended September 30, 2024, was $988 million, compared to $723 million for the same period in 2023, representing a 36.7% increase[47] - Basic net income per common share for Q3 2024 was $2.62, up from $1.93 in Q3 2023, indicating a 36% increase[19] - After-tax operating income available to Arch common shareholders for Q3 2024 was $762 million, compared to $876 million in Q3 2023, reflecting a decrease of 13.0%[212] Investment Performance - The company reported net investment income of $399 million for Q3 2024, compared to $269 million in Q3 2023, marking a 48% increase[19] - Net investment income for the three months ended September 30, 2024, was $399 million, a 48.3% increase from $269 million in the same period of 2023[99] - Gross investment income for the nine months ended September 30, 2024, reached $1,158 million, up 50.7% from $768 million in the prior year[99] - Net realized gains for the three months ended September 30, 2024, were $169 million, compared to a loss of $248 million in the same period of 2023[102] - The company reported net realized losses for Q3 2024 amounted to $169 million, compared to gains of $248 million in Q3 2023[212] Assets and Liabilities - Total assets increased to $73,656 million as of September 30, 2024, up from $58,906 million at the end of 2023, reflecting a growth of 25%[15] - The company’s total liabilities increased to $51,382 million as of September 30, 2024, compared to $40,551 million at the end of 2023, reflecting a 27% increase[15] - Total shareholders' equity at the end of the period was $22,274 million, up from $15,239 million year-over-year, reflecting a growth of 46.1%[25] - Cash and restricted cash at the end of the period increased to $1,712 million from $1,355 million, marking a growth of 26.4%[28] - The company recognized goodwill of $266 million from the acquisition, primarily due to expanded presence and long-term growth opportunities in the insurance market[40] Underwriting Performance - The combined ratio for the insurance segment was 93.1%, while the reinsurance segment had a combined ratio of 92.3%, indicating strong underwriting performance[57] - The loss ratio for the insurance segment was 61.6%, while the reinsurance segment reported a loss ratio of 69.6%[57] - The property and casualty underwriting teams generated $269 million of underwriting income and over $5 billion of gross premiums written, up 22% from the 2023 third quarter[191] - The reinsurance segment contributed $149 million of underwriting income in the 2024 third quarter, despite increased catastrophic events[192] - The mortgage segment generated $269 million of underwriting income in the 2024 third quarter, with a persistency rate of 82.9% and a low delinquency rate[195] Acquisitions and Growth - The acquisition of Allianz's U.S. Middle Market Property & Casualty Insurance and U.S. Entertainment Property and Casualty Insurance Business was completed for $450 million on August 1, 2024[35] - The total assets acquired in the Allianz transaction were valued at $3,341 million, while total liabilities acquired were $3,157 million, resulting in identifiable net assets of $184 million[39] - The Company completed the acquisition of Watford Insurance Company for a total consideration of $35 million during the third quarter[178] Shareholder Returns - The Company declared a special cash dividend of $1.9 billion, equating to $5.00 per outstanding common share, payable on December 4, 2024[183] - The ending common shareholders' equity increased to $21,444 million in Q3 2024 from $14,409 million in Q3 2023[212] - The average common shareholders' equity for Q3 2024 was $20,640 million, compared to $14,110 million in Q3 2023, showing growth in equity base[212] Tax and Regulatory - The effective tax rate for the nine months ended September 30, 2024, was 8.1%, a decrease from 8.8% for the same period in 2023[172] - The Company paid $221 million in income taxes for the nine months ended September 30, 2024, compared to $127 million for the same period in 2023[173] Risk Management - The Company estimates that Hurricane Milton will negatively impact its 2024 fourth quarter results by $275 million to $375 million, based on industry insured losses of $25 billion to $35 billion[179] - The company utilized various derivative instruments, including foreign currency forward contracts and commodity futures, to manage portfolio duration and replicate investment positions[157]

EXHIBIT 99.2 Arch Capital Group Ltd. Waterloo House, Ground Floor 100 Pitts Bay Road Pembroke HM 08 Bermuda Financial Supplement September 30, 2024 The following financial supplement is provided to assist in your understanding of Arch Capital Group Ltd. ("Arch") and its subsidiaries (collectively, the "Company"). This report is for informational purposes only. It should be read in conjunction with documents filed by Arch with the U.S. Securities and Exchange Commission, including the most recent Annual Repo ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-16209 ARCH CAPITAL GROUP LTD. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identifi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) Waterloo House, Ground Floor 100 Pitts Bay Road, Pembroke HM 08, Bermuda (441) 278-9250 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission f ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended December 31, 2023 Commission File No. 001-16209 ARCH CAPITAL GROUP LTD. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification N ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-16209 ARCH CAPITAL GROUP LTD. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Ide ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-16209 ARCH CAPITAL GROUP LTD. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identifi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 001-16209 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) Waterloo House, Ground Floor 100 Pitts Bay Road, Pembroke HM 08, B ...