Financial Performance - Donegal Group Inc. reported a net income of $16.9 million for Q2 2025, a significant increase of 306.1% compared to $4.2 million in Q2 2024 [1][3][32] - Total revenues for Q2 2025 were $247.1 million, slightly up by 0.2% from $246.8 million in Q2 2024 [1][3] - The company achieved a non-GAAP operating income of $15.6 million for Q2 2025, representing a 338.2% increase from $3.6 million in Q2 2024 [1][21] Premiums and Underwriting - Net premiums earned decreased by 1.1% to $231.8 million in Q2 2025 from $234.3 million in Q2 2024 [1][6] - The combined ratio improved to 97.7% in Q2 2025 from 103.0% in Q2 2024, indicating better underwriting performance [1][8] - The core loss ratio for commercial lines was 50.1% in Q2 2025, down from 55.0% in Q2 2024, reflecting improved risk management [8][9] Investment Performance - Net investment income increased by 13.3% to $12.5 million in Q2 2025 compared to $11.1 million in Q2 2024 [1][14] - Net investment gains for Q2 2025 were $1.5 million, a significant rise from $0.7 million in Q2 2024 [1][16] Book Value and Returns - Book value per share rose to $16.62 at June 30, 2025, compared to $14.48 at June 30, 2024, marking a 14.8% increase [1][17] - The annualized return on average equity was 11.3% for Q2 2025, up from 3.4% in Q2 2024 [1][9] Strategic Initiatives - The company is progressing with a multi-year systems modernization project, with the final major commercial lines systems release successfully deployed [4] - Management emphasized a focus on disciplined execution and operational excellence to enhance long-term competitive positioning [5]

Group 1 - Donegal Group Inc. plans to release its second quarter results for the period ended June 30, 2025, on July 24, 2025, before the NASDAQ market opens [1] - A supplemental investor presentation will be available on the company's website concurrently with the earnings press release [1] - A pre-recorded audio webcast featuring management commentary will be available on the company's website at approximately 8:30 am ET on July 24, 2025 [2] Group 2 - Donegal Group Inc. is an insurance holding company offering property and casualty insurance in 21 states across the Mid-Atlantic, Midwestern, Southern, and Southwestern regions [3] - The Donegal Insurance Group, which includes Donegal Mutual Insurance Company and its subsidiaries, holds an A.M. Best rating of A (Excellent) [3] - The company's Class A and Class B common stocks trade on the NASDAQ Global Select Market under the symbols DGICA and DGICB, respectively [4] Group 3 - The company focuses on achieving sustained excellent financial performance, modernizing operations, capitalizing on growth opportunities, and providing superior experiences to agents, customers, and employees [4]

Group 1 - The property and casualty insurance industry is experiencing increasing demand, reflected by an 8% compound annual growth rate (CAGR) over the past five years [1] - Insurers are responding to this surging demand with margin growth strategies [1] Group 2 - The article highlights the author's self-taught background in equity analysis and the use of data analytics to identify investment opportunities in the stock market [1] - The author's investment style focuses on value, high quality, and long/short mid and small-cap companies [1]

Financial Performance - Net premiums written for the three months ended March 31, 2025, totaled $247,092,000, compared to $251,442,000 for the same period in 2024, reflecting a decrease of approximately 1.4%[104][105] - Net premiums earned for Q1 2025 were $232.7 million, an increase of $5.0 million, or 2.2%, compared to $227.7 million in Q1 2024[110] - Net premiums written for Q1 2025 were $247.1 million, a decrease of $4.4 million, or 1.7%, from $251.4 million in Q1 2024[111] - Net investment income increased to $12.0 million in Q1 2025, up $1.0 million, or 9.2%, from $11.0 million in Q1 2024[112] - Net income for Q1 2025 was $25.2 million, or $0.71 per share, compared to $6.0 million, or $0.18 per share, in Q1 2024[119] - Net cash flows provided by operating activities were $25.7 million in Q1 2025, significantly higher than $4.8 million in Q1 2024[121] Loss and Expense Management - Total liabilities for losses and loss expenses as of March 31, 2025, amounted to $1,092,624,000, a decrease from $1,120,985,000 as of December 31, 2024[98] - The loss ratio for Q1 2025 was 56.7%, down from 66.3% in Q1 2024, attributed to decreased core losses and large fire losses[114] - The core loss ratio for Q1 2025 was 54.2%, compared to 58.7% in Q1 2024, reflecting ongoing premium rate increases[114] - The expense ratio for Q1 2025 was 34.6%, a decrease from 35.7% in Q1 2024, due to effective expense management initiatives[116] - The combined ratio improved to 91.6% in Q1 2025 from 102.4% in Q1 2024, primarily due to a decrease in the loss ratio[117] Claims and Reserves - The average claim amount has gradually increased over the past several years due to rising property and automobile repair costs, as well as increased medical loss costs[95] - The company has noted stable amounts in the number of claims incurred and outstanding relative to their premium base, excluding severe weather events and the COVID-19 pandemic[95] - For every 1% change in loss and loss expense reserves, the effect on pre-tax results of operations would be approximately $7,000,000[93] - The company’s insurance subsidiaries maintain liabilities for both reported and unreported claims, with a focus on covering ultimate costs including investigation and litigation[91] Capital and Dividends - The total amount available for distribution as dividends from insurance subsidiaries without prior approval in 2025 is approximately $53.3 million, comprising $40.7 million from Atlantic States, $7.8 million from MICO, and $4.7 million from Peninsula[125] - Atlantic States did not purchase any shares of its Class A common stock under the share repurchase program during the three months ended March 31, 2025, with a total of 57,658 shares purchased since the program's inception[124] - The insurance subsidiaries did not pay any dividends to Atlantic States during the first three months of 2025[125] Debt and Borrowing - As of March 31, 2025, Atlantic States had no outstanding borrowings under its line of credit with M&T, with the ability to borrow up to $20.0 million at interest rates equal to the current Term SOFR rate plus 2.11%[122] - Atlantic States had a $35.0 million outstanding advance with the FHLB of Pittsburgh at a fixed interest rate of 3.806%, due in September 2026[122] Risk Management - The company is monitoring the impact of tariffs and inflationary factors, which may lead to future increases in loss costs[93] - Atlantic States' insurance subsidiaries maintain reinsurance agreements with Donegal Mutual and other major unaffiliated authorized reinsurers, indicating a strategy to manage credit risk[130] - There have been no material changes to Atlantic States' quantitative or qualitative market risk exposure from December 31, 2024, through March 31, 2025[133] - The company manages interest rate risk by maintaining an appropriate relationship between the average duration of its investment portfolio and the duration of its liabilities[132] Business Operations - The total commercial lines liabilities as of March 31, 2025, were $556,596,000, slightly down from $558,175,000 as of December 31, 2024[98] - The total personal lines liabilities decreased from $146,189,000 as of December 31, 2024, to $139,601,000 as of March 31, 2025[98] - Atlantic States' insurance subsidiaries provide property and casualty insurance coverages primarily through independent insurance agencies, billing the majority of this business directly to the insured[129]

Financial Data and Key Metrics Changes - For Q1 2025, net premiums earned increased by 2.2% to $232.7 million, while net premiums written decreased by 1.7% due to lower new business volume and planned attrition [11][12] - The combined ratio improved significantly to 91.6% from 102.4% in the prior year quarter, with a core loss ratio decrease of 4.5 percentage points [12][17] - After-tax net income rose to $25.2 million, a substantial increase from $6 million in Q1 2024 [17] Business Line Data and Key Metrics Changes - Personal lines net premiums written decreased by 9.9%, while commercial lines saw a growth of 3.3% [11][12] - The commercial lines segment combined ratio improved to 94.7%, with a core loss ratio improvement of 0.7 percentage points [21][22] - The personal lines combined ratio improved by 16.7 percentage points to 83.6%, driven by a reduction in large fire losses and improved underwriting performance [34][35] Market Data and Key Metrics Changes - The average in-force policy premium across all commercial lines increased by 6% to $7,500 [21] - The real retention rate for personal lines, excluding the impact of non-renewals in Maryland, was a healthy 86.7% [33] - The company experienced a decrease in weather-related losses, with total weather claims impact lower than the previous five-year average for Q1 [14] Company Strategy and Development Direction - The company is focusing on strengthening underwriting practices and maintaining pricing discipline in a competitive market [19][20] - Ongoing systems modernization efforts are expected to enhance operational efficiency and competitive advantage [7][9] - The company is refining its technology roadmap to leverage data analytics for future success [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate economic uncertainties and inflationary pressures [6][41] - The company is prepared to respond to potential increases in claims costs with data-driven actions [6][7] - Management highlighted the importance of maintaining a balance between growth and profitability in the current market environment [5][39] Other Important Information - The company announced an increase in its quarterly cash dividend, reflecting confidence in its business strategies [56] - The investment strategy remains conservative, focusing on high credit quality and attractive spread products [49][50] Q&A Session Summary Question: What are the expectations for future premium growth? - The company is implementing strategies to stabilize personal lines premiums while emphasizing growth in commercial lines [33] Question: How is the company addressing inflationary pressures? - Management is closely monitoring economic inflation and its potential impacts on claims costs, ensuring disciplined pricing strategies [41][42]

Financial Performance - Q1 2025 - Net premiums earned reached $2327 million, a 22% increase compared to Q1 2024[20, 22] - Net investment income increased by 92% to $120 million[20, 26] - The loss ratio improved significantly by 96 percentage points to 567%[20, 22] - Net income saw a substantial increase of 3232% to $252 million[22] Premium Trends - Overall net premiums written decreased slightly by 17% to $2471 million[22, 23] - Commercial lines net premiums written increased by 33% to $1606 million, driven by solid retention and renewal premium increases[23, 24] - Personal lines net premiums written decreased by 99% to $865 million, primarily due to planned attrition and lower new business writings[23, 24] Portfolio and Strategy - The investment portfolio totaled $14 billion as of March 31, 2025, emphasizing high-quality fixed-income securities[25] - The company is focused on growing commercial lines while maintaining a profitable book of personal lines[8] - Renewal premium increases averaged approximately 106%, excluding workers' compensation[24]

[Financial & Operational Highlights](index=1&type=section&id=Donegal%20Group%20Inc.%20Announces%20First%20Quarter%202025%20Results) Donegal Group Inc. announced strong first quarter 2025 results, driven by significant improvements in underwriting and investment performance [Q1 2025 Financial Performance Summary](index=1&type=section&id=Financial%20Summary) Donegal Group reported record Q1 2025 earnings with net income surging 323.2% to $25.2 million and a combined ratio improving to 91.6% Q1 2025 Financial Performance | Financial Metric | Q1 2025 | Q1 2024 | % Change | | :--- | :--- | :--- | :--- | | Net Premiums Earned | $232.7M | $227.7M | 2.2% | | Total Revenues | $245.2M | $241.1M | 1.7% | | Net Income | $25.2M | $6.0M | 323.2% | | Non-GAAP Operating Income | $25.6M | $4.3M | 496.8% | | Net Income per Class A Share (diluted) | $0.71 | $0.18 | 294.4% | | Book Value per Share | $16.24 | $14.53 | 11.8% | - The combined ratio significantly improved to **91.6%** in Q1 2025, compared to **102.4%** in Q1 2024, indicating enhanced underwriting profitability[3](index=3&type=chunk) - The annualized return on average equity rose sharply to **17.8%** from **4.9%** in the prior-year quarter[3](index=3&type=chunk) [Management Commentary](index=1&type=section&id=Management%20Commentary) Management attributed record earnings to strategic initiatives and operational discipline, focusing on sustained profitability and commercial growth - The company achieved record earnings for the second consecutive quarter, reflecting deliberate actions to prioritize sustained profitability[2](index=2&type=chunk) - The strategic focus in commercial lines is on growing the middle market segment, while personal lines strategy involves limiting new business and non-renewing a legacy Maryland book to maintain profitability[5](index=5&type=chunk) - Management expressed confidence in navigating the evolving insurance landscape and capitalizing on future growth opportunities to enhance shareholder value[5](index=5&type=chunk) [Insurance Operations Analysis](index=2&type=section&id=Insurance%20Operations) The company's insurance operations demonstrated improved underwriting profitability driven by a lower combined ratio and strategic premium adjustments [Premiums Analysis](index=2&type=section&id=Net%20Premiums%20Written) Net premiums earned increased by 2.2% to $232.7 million, while net premiums written decreased by 1.7% due to strategic shifts in personal lines Premiums (Q1 2025 vs Q1 2024) | Premiums (Q1 2025 vs Q1 2024) | Commercial Lines | Personal Lines | Total | | :--- | :--- | :--- | :--- | | Net Premiums Earned | $136.2M (+3.1%) | $96.5M (+0.9%) | $232.7M (+2.2%) | | Net Premiums Written | $160.6M (+3.3%) | $86.5M (-9.9%) | $247.1M (-1.7%) | - The decline in net premiums written was primarily due to a **$9.5 million** decrease in personal lines, attributed to planned attrition and lower new business writings[9](index=9&type=chunk) - Commercial lines net premiums written grew by **$5.1 million**, mainly from solid retention and renewal premium increases, partially offset by lower new business[9](index=9&type=chunk) [Underwriting Performance](index=3&type=section&id=Underwriting%20Performance) Underwriting profitability dramatically improved with the GAAP combined ratio falling to 91.6%, driven by lower loss ratios and favorable reserve development GAAP Combined Ratio Components | GAAP Combined Ratio Components | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Core Loss Ratio | 54.4% | 58.7% | | Weather-related Loss Ratio | 3.7% | 4.7% | | Large Fire Loss Ratio | 3.1% | 6.6% | | Net Prior-Year Reserve Development | -4.5% | -3.7% | | **Total Loss Ratio** | **56.7%** | **66.3%** | | Expense Ratio | 34.6% | 35.7% | | **Combined Ratio** | **91.6%** | **102.4%** | - Large fire losses decreased significantly to **$7.7 million** from **$15.0 million** in the prior-year quarter, primarily due to lower loss frequency and severity[12](index=12&type=chunk) - Net favorable development of prior-year reserves reduced the loss ratio by **4.5 percentage points**, an increase from the **3.7 percentage point** reduction in Q1 2024[13](index=13&type=chunk) - The expense ratio decreased to **34.6%** from **35.7%**, reflecting successful expense management initiatives[14](index=14&type=chunk) [Investment Operations](index=4&type=section&id=Investment%20Operations) The company's investment operations generated increased net investment income from a high-quality fixed-maturity portfolio, despite minor equity losses [Investment Portfolio and Strategy](index=4&type=section&id=Investment%20Portfolio) The investment strategy focuses on generating after-tax income from a $1.41 billion portfolio primarily composed of high-quality fixed-maturity securities - The investment strategy focuses on generating income from a high-quality securities portfolio, minimizing credit risk[15](index=15&type=chunk) Investment Portfolio Composition | Investment Type | % of Portfolio (Mar 31, 2025) | | :--- | :--- | | Corporate securities | 31.4% | | Obligations of states and political subdivisions | 29.3% | | Mortgage-backed securities | 22.5% | | U.S. Treasury and government agencies | 12.5% | | Equity securities | 2.9% | | Short-term investments | 1.5% | [Investment Results](index=5&type=section&id=Investment%20Results) Net investment income increased 9.2% to $12.0 million, though the company recorded net investment losses due to equity market value declines - Net investment income grew **9.2%** to **$12.0 million**, driven by an increase in average investment yield and higher average invested assets[17](index=17&type=chunk) - The company recorded net investment losses of **$0.5 million**, compared to net investment gains of **$2.1 million** in Q1 2024, due to market value declines in equity holdings[18](index=18&type=chunk) [Shareholder Information](index=5&type=section&id=Shareholder%20Information) Book value per share increased to $16.24, driven by strong net income and unrealized gains, alongside declared quarterly cash dividends [Book Value and Dividends](index=5&type=section&id=Book%20Value%20and%20Dividends) Book value per share increased to $16.24 due to strong net income and unrealized gains, with regular quarterly cash dividends declared - Book value per share rose to **$16.24** at March 31, 2025, from **$15.36** at December 31, 2024, an increase of **$0.88** per share[19](index=19&type=chunk) - On April 17, 2025, the company declared quarterly cash dividends of **$0.1825** per Class A share and **$0.165** per Class B share[25](index=25&type=chunk) [Non-GAAP Financial Measures](index=5&type=section&id=Definitions%20of%20Non-GAAP%20Financial%20Measures) This section defines and reconciles key non-GAAP measures, including operating income and net premiums written, providing additional performance insights - The company utilizes non-GAAP measures such as net premiums written, operating income or loss, and statutory combined ratio, which are common in the insurance industry, to provide additional perspective on performance[20](index=20&type=chunk)[21](index=21&type=chunk) Reconciliation of Net Income to Operating Income (in thousands) | Reconciliation (in thousands) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | **Net Income to Operating Income** | | | | Net income | $25,205 | $5,956 | | Investment (losses) gains (after tax) | $372 | $(1,670) | | **Non-GAAP operating income** | **$25,577** | **$4,286** | Reconciliation of Net Premiums Earned to Written (in thousands) | Reconciliation (in thousands) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | **Net Premiums Earned to Written** | | | | Net premiums earned | $232,702 | $227,749 | | Change in net unearned premiums | $14,390 | $23,693 | | **Net premiums written** | **$247,092** | **$251,442** | [Financial Statements](index=7&type=section&id=Financial%20Supplement) This section presents the unaudited Consolidated Statements of Income and Balance Sheets, detailing the company's financial performance and position - The Consolidated Statements of Income detail the components of revenue and expenses for the quarters ended March 31, 2025 and 2024[32](index=32&type=chunk)[33](index=33&type=chunk)[34](index=34&type=chunk) - The Consolidated Balance Sheets present the company's financial position as of March 31, 2025, compared to December 31, 2024[35](index=35&type=chunk)[36](index=36&type=chunk)

Financial Performance - Donegal Group Inc. reported net premiums earned of $232.7 million for Q1 2025, a 2.2% increase from $227.7 million in Q1 2024 [1][3] - Total revenues for Q1 2025 were $245.2 million, up 1.7% from $241.1 million in Q1 2024 [1][34] - Net income surged to $25.2 million, or $0.71 per diluted Class A share, compared to $6.0 million, or $0.18 per diluted Class A share in the prior year, reflecting a 323.2% increase [1][34] - Non-GAAP operating income reached $25.6 million, a 496.8% increase from $4.3 million in Q1 2024 [1][34] Underwriting Performance - The combined ratio improved significantly to 91.6% in Q1 2025 from 102.4% in Q1 2024, indicating better underwriting profitability [3][9] - The core loss ratio decreased to 54.2% in Q1 2025 from 58.7% in Q1 2024, reflecting effective loss management strategies [10][12] - Weather-related losses were $8.6 million, contributing 3.7 percentage points to the loss ratio, down from $10.8 million and 4.7 percentage points in the previous year [13] Investment Operations - Net investment income for Q1 2025 was $12.0 million, a 9.2% increase from $11.0 million in Q1 2024, driven by higher average investment yield [19] - The company reported net investment losses of $0.5 million in Q1 2025, compared to net investment gains of $2.1 million in Q1 2024, attributed to a decrease in the market value of equity securities [20] Strategic Focus - The company is prioritizing sustained profitability while pursuing targeted premium growth, particularly in commercial lines [2][5] - In personal lines, growth was constrained by intentional strategies, including limiting new business volume and non-renewal of a legacy book of business [5][8] - Donegal Group aims to enhance operational capabilities and capitalize on future growth opportunities to increase shareholder value [5][31] Book Value and Equity - Book value per share increased to $16.24 at March 31, 2025, from $14.53 at March 31, 2024, reflecting strong financial performance [1][21] - The annualized return on average equity was 17.8% for Q1 2025, significantly higher than 4.9% in Q1 2024 [1][34]

Core Viewpoint - Donegal Group Inc. is set to release its first-quarter results for the period ending March 31, 2025, on April 24, 2025, before the market opens, along with a supplemental investor presentation [1][2]. Company Overview - Donegal Group Inc. operates as an insurance holding company, providing property and casualty insurance across 21 states in the Mid-Atlantic, Midwestern, Southern, and Southwestern regions of the United States [3]. - The Donegal Insurance Group, which includes Donegal Mutual Insurance Company and its subsidiaries, holds an A.M. Best rating of A (Excellent) [3]. Stock Information - The Class A and Class B common stocks of Donegal Group Inc. are traded on the NASDAQ Global Select Market under the symbols DGICA and DGICB, respectively [4]. Strategic Focus - The company aims to achieve sustained excellent financial performance, modernize its operations, capitalize on profitable growth opportunities, and enhance experiences for agents, customers, and employees [4]. Investor Relations - Investor inquiries can be directed to Karin Daly, Vice President at The Equity Group Inc., via phone or email [5].

Ownership and Structure - Donegal Mutual held approximately 44% of the outstanding Class A common stock and 84% of the outstanding Class B common stock as of December 31, 2024, providing it with about 70% of the combined voting power[230]. - The pooling agreement between Donegal Mutual and Atlantic States allocates 80% of the pooled business to Atlantic States, allowing both companies to share underwriting results proportionately[231]. - In 2024, Donegal Mutual purchased 1,057,282 shares of Class A common stock, while no shares of Class B common stock were purchased during 2024 or 2023[234]. - Donegal Mutual has 100% quota-share reinsurance agreements with Southern Mutual Insurance Company and Mountain States insurance subsidiaries, placing their assumed business into the underwriting pool[339]. - The underwriting pool allows Donegal Mutual and Atlantic States to share underwriting results in proportion to their participation, significantly impacting total consolidated revenues[340]. Financial Performance - Net income for 2024 was $50.9 million, or $1.53 per share, compared to $4.4 million, or $0.14 per share, in 2023[276]. - Net premiums written increased from $895,697,000 in 2023 to $942,281,000 in 2024, representing a growth of approximately 5.2%[256]. - The combined ratio improved from 104.4% in 2023 to 98.6% in 2024, indicating a significant enhancement in underwriting profitability[256]. - Net investment income rose from $40,853,000 in 2023 to $44,918,000 in 2024, an increase of about 10.1%[256]. - Total revenues for 2024 were $989,605,050, a 6.7% increase from $927,337,984 in 2023[326]. - Net income for 2024 reached $50,862,252, a significant increase from $4,425,504 in 2023 and a recovery from a net loss of $1,959,405 in 2022[332]. Claims and Losses - The insurance subsidiaries recognized a decrease in their liability for losses and loss expenses of $15.0 million in 2024, representing 2.2% of the December 31, 2023 net carried reserves[243]. - The average claim outstanding has gradually increased due to rising property and automobile repair costs, medical loss costs, and increased litigation trends[244]. - The establishment of liabilities for losses and loss expenses is inherently uncertain, and the ultimate liability may exceed the recorded reserves[242]. - The total liability for losses and loss expenses decreased slightly from $1,126,157,000 in 2023 to $1,120,985,000 in 2024, reflecting a reduction of approximately 0.5%[247]. - The number of claims pending at the end of the period decreased from 3,144 in 2023 to 2,832 in 2024, a decline of approximately 9.9%[252]. - The total expected development on reported claims for 2024 is $153,403 thousand, indicating anticipated future claims costs[427]. Investment and Assets - Total investments increased to $1.4 billion at December 31, 2024, from $1.3 billion in 2023, representing 61.6% of total assets[298]. - The company’s total assets at the end of 2024 were significantly impacted by the cumulative effect of adopting updated guidance for credit losses, resulting in a reduction of $1,895,902[329]. - The company recorded gross realized gains of $403.5 million in 2024, compared to $3.7 billion in 2023, indicating a significant decrease in investment performance[401]. - The total available for sale securities had an amortized cost of $652.6 billion and an estimated fair value of $617.9 billion as of December 31, 2024[398]. - The company’s investment expenses increased to $3.9 million in 2024 from $2.9 million in 2023, indicating rising costs associated with investment management[401]. Tax and Regulatory - The effective tax rate increased to 18.4% in 2024 from 12.6% in 2023, with income tax expense rising to $11.5 million[275]. - The company utilizes the asset and liability method for income tax accounting, establishing deferred tax assets and liabilities for temporary differences[363]. - In 2024, the company realized $370,644 in tax benefits upon the exercise of stock options, compared to $139,135 in 2023 and $360,452 in 2022, indicating a significant increase in tax benefits year-over-year[371]. Equity and Dividends - Book value per share increased to $15.36 at December 31, 2024, up from $14.39 a year earlier[277]. - Cash dividends declared totaled $23.2 million in 2024, up from $22.2 million in 2023 and $20.9 million in 2022[296]. - Stockholders' equity increased to $545,776,131 in 2024, compared to $479,745,354 in 2023, reflecting a growth of approximately 13.8%[323]. Actuarial and Reserving Practices - The actuaries for the insurance subsidiaries prepare initial estimates for ultimate losses by multiplying earned premium by an expected loss ratio, which is based on historical experience and various trends[419]. - The actuaries utilize methods such as paid loss development and incurred loss development to estimate ultimate costs, selecting point estimates through judgmental weighting of these methods[420]. - Claims are recognized at the claimant level, with one count for each claim event, and the methods for summarizing claim counts have remained consistent over time[423]. - The company continues to monitor trends in claims development to adjust their actuarial estimates and reserves accordingly[424].