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].

Financial Data and Key Metrics Changes - The fourth quarter 2024 net income of $24 million represents the highest quarterly earnings in the company's history [8] - Net premiums earned increased by 4.6% to $236.6 million in Q4 2024 [15] - The combined ratio for Q4 2024 improved to 92.9%, compared to 106.8% for the prior-year quarter [16] - The full year 2024 loss ratio was 64.5%, an improvement from 69.1% in 2023 [22] - The expense ratio for Q4 2024 decreased to 32.8% from 34.1% in the prior-year quarter [92] Business Line Data and Key Metrics Changes - Net premiums written decreased by 0.6%, with a 5% decrease in personal lines premiums offset by a 2.8% growth in commercial lines [16] - The core loss ratio improved by 9.5 percentage points in Q4 2024, with a 4.4 percentage-point decrease in commercial lines and a 16.7 percentage-point decrease in personal lines [17] - For the full year 2024, the commercial lines statutory combined ratio was 98.2%, compared to 101.6% for 2023 [41] Market Data and Key Metrics Changes - Weather-related losses for the full year 2024 were $67.7 million, or 7.2 percentage points of the loss ratio, down from $72.9 million, or 8.3 percentage points in 2023 [23] - The company experienced a nominal level of net development of reserves for losses incurred in prior accident years, with minimal impact on the loss ratio for Q4 2024 [91] Company Strategy and Development Direction - The company aims for high-single-digit percentage growth in commercial lines while expecting a modest decline in personal lines for 2025 [13] - A major commercial systems release is scheduled for deployment in Q3 2025, which will modernize mid-market commercial products [10] - The company is focused on completing its major systems transformation project and executing ongoing profit-focused initiatives [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that the strategies implemented will result in sustained excellent financial performance [12] - The company is monitoring recent volatility in weather patterns and industry-specific inflation, particularly social inflation driven by increasing litigation trends [60] - Management highlighted the importance of independent agents as a differentiator in a rapidly changing environment [61] Other Important Information - The company achieved a net investment income growth of 12.5% in Q4 2024, totaling $12.1 million [65] - The average tax-equivalent yield for Q4 2024 was 3.58%, up from 3.34% in the prior-year quarter [66] - The company added $25 million to the top-end limit of its property catastrophe reinsurance coverage for 2025 [97] Q&A Session Summary Question: What are the expectations for growth in commercial lines? - The company plans to achieve high-single-digit percentage growth in commercial lines, targeting profitable small and mid-market accounts in specific geographical regions [13] Question: How is the company addressing personal lines performance? - The company expects a modest decline in personal lines for 2025 but aims to stabilize premium writings by gradually increasing new business levels [14] Question: What is the outlook for investment income? - The company achieved a 10% growth in net investment income year-over-year, totaling $44.9 million for the full year 2024, the highest annual net investment income in its history [65]

Company Overview Fourth Quarter 2024 Investor Presentation February 20, 2025 Kevin G. Burke President and Chief Executive Officer Jeffrey D. Miller Executive Vice President and Chief Financial Officer www.donegalgroup.com Safe Harbor We base all statements contained in this release that are not historic facts on our current expectations. Such statements are forward-looking in nature (as defined in the Private Securities Litigation Reform Act of 1995) and necessarily involve risks and uncertainties. Forward- ...

Group 1: Earnings Performance - Donegal Group reported quarterly earnings of $0.69 per share, significantly exceeding the Zacks Consensus Estimate of $0.20 per share, and compared to a loss of $0.11 per share a year ago, representing an earnings surprise of 245% [1] - Over the last four quarters, Donegal has surpassed consensus EPS estimates three times, with revenues for the quarter ended December 2024 at $249.7 million, slightly missing the Zacks Consensus Estimate by 0.68% [2] Group 2: Stock Performance and Outlook - Donegal shares have declined approximately 1.9% since the beginning of the year, while the S&P 500 has gained 4.5% [3] - The company's earnings outlook is crucial for investors, with current consensus EPS estimates at $0.31 for the coming quarter and $1.20 for the current fiscal year, with revenues expected to be $255.8 million and $1.05 billion respectively [7] Group 3: Industry Context - The Insurance - Property and Casualty industry, to which Donegal belongs, is currently ranked in the top 26% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors or through tools like the Zacks Rank [5][6]

Financial Performance - Net premiums earned increased by 4.6% to $236.6 million in Q4 2024, and by 6.2% to $936.7 million for the full year 2024[1][2] - Net income for Q4 2024 was $24.0 million, or $0.70 per diluted Class A share, compared to a net loss of $2.0 million, or $0.06 per Class A share in Q4 2023[1][2] - Net income for the year 2024 was $50,862,000, significantly higher than $4,426,000 in 2023, marking an increase of 1,149%[42] - Total revenues for the year ended December 31, 2024, reached $989,605,000, up from $927,338,000 in 2023, reflecting a growth of 6.7%[42] Underwriting Performance - The combined ratio improved to 92.9% in Q4 2024 from 106.8% in Q4 2023, and to 98.6% for the full year 2024 from 104.4% in 2023[1][12] - The core loss ratio for Q4 2024 decreased to 52.3% from 61.8% in Q4 2023, indicating improved underwriting performance[1][13] - The full year 2024 loss ratio decreased to 64.5%, compared to 69.1% for 2023, with the core loss ratio improving to 54.0% from 57.5%[18] - The statutory loss ratio improved to 60.5% in 2024 from 61.2% in 2023, indicating better loss management[38] Investment Performance - Net investment income increased by 12.5% to $12.1 million in Q4 2024, and by 10.0% to $44.9 million for the full year 2024[1][2] - Net investment gains for 2024 were $4,981,000, compared to $3,173,000 in 2023, representing a growth of 56.8%[42] Expense Management - The expense ratio for Q4 2024 was 32.8%, down from 34.1% in Q4 2023, reflecting various expense reduction initiatives[22] - The company effectively mitigated higher costs associated with major systems modernization through targeted expense-reduction strategies[6] - Total expenses for the year 2024 were $927,266,000, slightly higher than $922,274,000 in 2023, reflecting a marginal increase of 0.5%[42] Shareholder Value - Book value per share rose to $15.36 at December 31, 2024, compared to $14.39 at year-end 2023, reflecting a 6.7% increase[1][2] - Regular quarterly cash dividends of $0.1725 per share for Class A and $0.155 per share for Class B were declared on December 19, 2024[33] - The weighted-average number of Class A shares outstanding increased to 28,155,276 in 2024 from 27,469,250 in 2023[42] Strategic Focus - The company plans to pursue strategic premium growth and enhance underwriting performance through targeted initiatives and premium rate increases[4][6] - The company is focusing on high-quality new commercial middle market and small business accounts, as well as personal lines segment growth[6] Losses - Weather-related losses for Q4 2024 were $7.7 million, or 3.3 percentage points of the loss ratio, down from $13.4 million, or 5.9 percentage points in Q4 2023[14] - Large fire losses in Q4 2024 were $9.5 million, or 4.0 percentage points of the loss ratio, compared to $10.8 million, or 4.8 percentage points in Q4 2023[15] - For the full year 2024, weather-related losses totaled $67.7 million, or 7.2 percentage points of the loss ratio, down from $72.9 million, or 8.3 percentage points in 2023[19] Assets - Total assets as of December 31, 2024, were $2,336,032,000, an increase from $2,266,294,000 in 2023, reflecting a growth of 3.1%[44]