```markdown PART I [Business](index=5&type=section&id=Item%201.%20Business) EHI specializes in workers' compensation insurance for small businesses, operating through agent and direct channels, with significant California concentration - EHI is a holding company specializing in workers' compensation insurance for small, low-to-medium hazard businesses across the United States, with all its insurance subsidiaries holding an A.M. Best rating of **"A-" (Excellent)**[20](index=20&type=chunk) - The company's business is significantly concentrated in California, which accounted for **45% of its in-force premiums** as of December 31, 2022[27](index=27&type=chunk)[63](index=63&type=chunk) - EHI operates through two primary distribution channels: the traditional 'Employers' brand via agents and the direct-to-customer 'Cerity' brand for digital solutions[78](index=78&type=chunk)[79](index=79&type=chunk) Key Financial Results (2020-2022) | Indicator | 2022 | 2021 | 2020 | | :--- | :--- | :--- | :--- | | **Net Premiums Written** | $707.2M | $583.1M | $574.9M | | **Total Revenues** | $713.5M | $703.1M | $711.4M | | **Net Income** | $48.4M | $119.3M | $119.8M | - The company's strategy focuses on profitable growth through disciplined underwriting, claims management, technology investments (including direct-to-customer platforms), and diversifying risk exposure[33](index=33&type=chunk) - A key distribution partner, ADP, generated **15.0% of the company's total in-force premiums** as of December 31, 2022, up from 13.1% in 2021 and 12.9% in 2020[122](index=122&type=chunk) [Risk Factors](index=19&type=section&id=Item%201A.%20Risk%20Factors) The company faces operational, financial, and regulatory risks, including policy mispricing, intense competition, California concentration, and reserve adequacy - Operational risks include the failure to price policies sufficiently, intense competition from larger, multi-line carriers, and the cyclical nature of the property and casualty insurance industry[144](index=144&type=chunk)[146](index=146&type=chunk)[149](index=149&type=chunk) - A significant concentration of business in California (**45% of in-force premiums** as of Dec 31, 2022) exposes the company to localized economic, regulatory, and natural peril risks[151](index=151&type=chunk) - The company relies heavily on distribution partners, with its largest agent, ADP, accounting for **15.0% of total in-force premiums**, creating a concentration risk[154](index=154&type=chunk) - Financial risks include the possibility that loss and loss adjustment expense (LAE) reserves, which are based on estimates, may be inadequate to cover actual losses, and a downgrade in the company's **"A-" A.M. Best rating** could adversely affect business[172](index=172&type=chunk)[168](index=168&type=chunk) - As a holding company, EHI's ability to pay dividends and meet obligations depends on funds transferred from its insurance subsidiaries, which are restricted by state laws[175](index=175&type=chunk) - Regulatory and legal risks are extensive, including changes in state insurance laws, potential federal legislation like single-payer healthcare proposals, and state laws that could prevent or delay a change in control[182](index=182&type=chunk)[188](index=188&type=chunk)[191](index=191&type=chunk) [Unresolved Staff Comments](index=29&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports that there are no unresolved staff comments - None [Properties](index=29&type=section&id=Item%202.%20Properties) The company leases 131,882 square feet of office space across 5 states, including its principal executive offices in Reno, Nevada, and is actively reducing its real estate footprint - The company leases **131,882 square feet** of office space in **5 states**, with its main executive offices in Reno, Nevada[214](index=214&type=chunk) - Since 2021, the company has been reducing its real estate footprint by closing offices in several states and may continue this trend[214](index=214&type=chunk)[215](index=215&type=chunk) [Legal Proceedings](index=30&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in routine litigation but does not anticipate any material impact on its financial condition - The company is involved in routine litigation but does not anticipate any material impact on its financial condition from these proceedings[216](index=216&type=chunk)[218](index=218&type=chunk) [Mine Safety Disclosures](index=30&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section is not applicable to the company - Not applicable PART II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=31&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on the NYSE, returning capital to shareholders via dividends and share repurchases - The company's common stock is listed on the New York Stock Exchange (NYSE) under the symbol **"EIG"**[222](index=222&type=chunk) - The company expects to continue paying quarterly cash dividends and may also pay special dividends, as it did in 2022[223](index=223&type=chunk) Q4 2022 Share Repurchases | Period | Total Shares Purchased | Average Price Paid Per Share | Approximate Dollar Value Remaining Under Program | | :--- | :--- | :--- | :--- | | Oct 2022 | — | $— | $49.1M | | Nov 2022 | — | $— | $49.1M | | Dec 2022 | 40,355 | $42.15 | $47.4M | - The Board of Directors expanded the share repurchase program to **$100.0 million** and extended its expiration to December 31, 2023[224](index=224&type=chunk) [Management's Discussion and Analysis of Consolidated Financial Condition and Results of Operations](index=33&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Consolidated%20Financial%20Condition%20and%20Results%20of%20Operations) Net income decreased in 2022 due to investment losses despite premium growth, with the company maintaining strong capital and managing critical loss reserve estimates - Net income decreased significantly to **$48.4 million** in 2022 from **$119.3 million** in 2021, largely due to a swing from net investment gains in 2021 to net investment losses in 2022[238](index=238&type=chunk)[239](index=239&type=chunk) - Premium growth in 2022 was driven by higher new and renewal business and increased final audit premiums, reflecting U.S. labor market strengthening and wage inflation[234](index=234&type=chunk)[235](index=235&type=chunk) - Rising market interest rates in 2022 negatively impacted the fair value of the company's fixed maturity investments, resulting in unrealized losses, but favorably impacted net investment income[236](index=236&type=chunk) - The company believes its capital position remains strong, with adequate liquidity at both the holding company and operating subsidiary levels, despite market volatility[304](index=304&type=chunk) [Results of Operations](index=34&type=section&id=Results%20of%20Operations) Total revenues increased slightly in 2022 driven by higher net premiums and investment income, but net income significantly decreased due to substantial net investment losses Consolidated Results of Operations (2020-2022) | (in millions) | 2022 | 2021 | 2020 | | :--- | :--- | :--- | :--- | | **Net premiums earned** | $675.2 | $574.4 | $615.3 | | **Net investment income** | $89.8 | $72.7 | $76.3 | | **Net realized/unrealized (losses) gains** | $(51.8) | $54.6 | $19.0 | | **Total revenues** | $713.5 | $703.1 | $711.4 | | **Losses and LAE** | $391.0 | $315.2 | $302.4 | | **Total expenses** | $657.7 | $556.1 | $563.7 | | **Net income** | $48.4 | $119.3 | $119.8 | - The increase in net investment income in 2022 to **$89.8 million** was primarily due to higher market interest rates and higher invested balances[244](index=244&type=chunk) - The **$51.8 million net investment loss** in 2022 was driven by unrealized losses on equity securities consistent with market performance and realized losses on fixed maturity securities due to rising interest rates[246](index=246&type=chunk)[247](index=247&type=chunk) [Summary of Financial Results by Segment](index=38&type=section&id=Summary%20of%20Financial%20Results%20by%20Segment) The Employers segment drove premium growth and underwriting income, while the Cerity segment showed growth but incurred an underwriting loss, with Corporate and Other reflecting LPT impacts Employers Segment - Key Metrics (2022) | Metric | Amount | | :--- | :--- | | Gross Premiums Written | $707.5M | | Net Premiums Earned | $672.1M | | Underwriting Income | $39.9M | | Combined Ratio | 94.1% | - The Employers segment's premium growth in 2022 was due to higher new/renewal business and a **$24.6 million increase** in final audit premium accruals, reflecting a stronger labor market[268](index=268&type=chunk) Cerity Segment - Key Metrics (2022) | Metric | Amount | | :--- | :--- | | Gross Premiums Written | $6.7M | | Net Premiums Earned | $3.1M | | Underwriting Loss | $(12.7)M | - The Corporate and Other segment's results include the impact of the Loss Portfolio Transfer (LPT) agreement, which reduced consolidated Losses and LAE by **$8.3 million** in 2022[299](index=299&type=chunk)[300](index=300&type=chunk)[301](index=301&type=chunk) [Liquidity and Capital Resources](index=45&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity and capital, supported by holding company cash, a credit facility, FHLB advances, and an investment portfolio, while returning capital to shareholders - The holding company held **$98.9 million** in cash and investments as of December 31, 2022, and has access to a **$75.0 million revolving credit facility** for liquidity[306](index=306&type=chunk)[307](index=307&type=chunk) - In 2022, insurance subsidiaries received **$182.5 million** in advances from the FHLB, which were used to purchase an equivalent amount of high-quality collateralized loan obligation securities[316](index=316&type=chunk) - The company returned significant capital to shareholders in 2022, paying **$28.8 million** in regular dividends, **$55.0 million** in special dividends, and repurchasing **$30.4 million** of common stock[335](index=335&type=chunk)[337](index=337&type=chunk) - The company's investment portfolio totaled over **$2.5 billion** at year-end 2022, with **85%** in fixed maturity securities having a duration of **3.9 years** and a weighted average quality of **"A"**[112](index=112&type=chunk)[347](index=347&type=chunk) [Critical Accounting Estimates](index=51&type=section&id=Critical%20Accounting%20Estimates) The most critical accounting estimate is the inherently uncertain valuation of unpaid losses and LAE reserves, based on actuarial methods and sensitive to future medical cost inflation - The estimation of unpaid losses and LAE is the company's most critical accounting estimate due to its inherent uncertainty and significant impact on financial statements[358](index=358&type=chunk)[360](index=360&type=chunk) Unpaid Losses and LAE Reserves (as of Dec 31) | (in millions) | 2022 | 2021 | | :--- | :--- | :--- | | Gross unpaid losses and LAE | $1,960.7 | $1,981.2 | | Less: Reinsurance recoverable | $445.4 | $476.9 | | **Net unpaid losses and LAE** | **$1,515.3** | **$1,504.3** | - For 2022, management's best estimate for net reserves (**$1,515.3 million**) is positioned within the actuarial range of **$1,365.8 million (low)** to **$1,687.3 million (high)**[377](index=377&type=chunk) - A **1% increase** in medical claim cost inflation above the rate assumed in the reserves could increase future net medical costs by approximately **$63.9 million**[383](index=383&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=56&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to credit, interest rate, and equity price risks, with interest rate sensitivity showing a $74.3 million decrease in portfolio fair value for a 100 basis point rate rise, and inflation posing a risk to loss reserves - The company's primary market risks are credit risk, interest rate risk, and equity price risk[394](index=394&type=chunk) - Interest rate risk is a key exposure for the fixed maturity portfolio, which had a duration of **3.9 years** as of December 31, 2022[398](index=398&type=chunk) Interest Rate Sensitivity Analysis (Fixed Maturity & Short-Term Investments) | Hypothetical Change in Interest Rates | Estimated Pre-tax (Decrease) / Increase in Fair Value | | :--- | :--- | | 100 basis point rise | $(74.3)M | | 100 basis point decline | $124.5M | - A hypothetical **10% decrease** in the market price of the company's equity securities would result in a pre-tax loss of **$19.7 million**[403](index=403&type=chunk) - Elevated inflation poses a risk to the adequacy of loss reserves, particularly for medical costs, and could also increase operating expenses[405](index=405&type=chunk) [Financial Statements and Supplementary Data](index=59&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents consolidated financial statements, an effective internal control report, and an unqualified auditor's opinion, with loss reserve valuation identified as a Critical Audit Matter - Management concluded that the company's internal control over financial reporting was effective as of December 31, 2022[415](index=415&type=chunk) - The independent auditor, Ernst & Young LLP, issued an unqualified opinion on the consolidated financial statements and the effectiveness of internal control over financial reporting[417](index=417&type=chunk)[424](index=424&type=chunk) - The auditor identified the 'Valuation of reserve for Unpaid Losses and Loss Adjustment Expenses' as a Critical Audit Matter due to the highly judgmental nature of the assumptions used in the actuarial reserving process[428](index=428&type=chunk)[430](index=430&type=chunk)[431](index=431&type=chunk) [Changes in and Disagreements With Accountants on Accounting and Financial Disclosure](index=106&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20With%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - None [Controls and Procedures](index=106&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective at a reasonable level of assurance as of December 31, 2022 - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of December 31, 2022[632](index=632&type=chunk)[634](index=634&type=chunk) - There were no material changes to the company's internal control over financial reporting during the fourth quarter of 2022[637](index=637&type=chunk) [Other Information](index=108&type=section&id=Item%209B.%20Other%20Information) The company reports no other information - None PART III [Directors, Executive Officers, and Corporate Governance](index=109&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%2C%20and%20Corporate%20Governance) This section provides information on executive officers and incorporates by reference details on directors, the audit committee, and compliance from the 2023 Proxy Statement - Lists the executive officers of the company as of February 24, 2023, including Katherine H. Antonello (President and CEO) and Michael S. Paquette (EVP, CFO)[642](index=642&type=chunk)[643](index=643&type=chunk)[644](index=644&type=chunk) - Information regarding directors, the audit committee, and Section 16 compliance is incorporated by reference from the 2023 Annual Meeting of Stockholders Proxy Statement[650](index=650&type=chunk)[651](index=651&type=chunk)[652](index=652&type=chunk) [Executive Compensation](index=110&type=section&id=Item%2011.%20Executive%20Compensation) All required information regarding executive compensation is incorporated by reference from the 2023 Proxy Statement - Information is incorporated by reference from the 2023 Proxy Statement[654](index=654&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=110&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Security ownership information is incorporated by reference from the 2023 Proxy Statement, detailing securities to be issued and available for future issuance under equity compensation plans - Security ownership details are incorporated by reference from the 2023 Proxy Statement[655](index=655&type=chunk) Equity Compensation Plan Information (as of Dec 31, 2022) | Plan Category | Securities to be Issued Upon Exercise | Securities Remaining for Future Issuance | | :--- | :--- | :--- | | Stock options | 23,500 | 1,801,631 | | RSUs | 257,313 | 1,544,318 | | PSUs | 478,405 | 1,065,913 | | **Total** | **759,218** | **1,065,913** | [Certain Relationships and Related Transactions, and Director Independence](index=111&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) All required information for this item is incorporated by reference from the 2023 Proxy Statement - Information is incorporated by reference from the 2023 Proxy Statement[659](index=659&type=chunk) [Principal Accountant Fees and Services](index=111&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) All required information regarding principal accountant fees and services is incorporated by reference from the 2023 Proxy Statement - Information is incorporated by reference from the 2023 Proxy Statement[660](index=660&type=chunk) PART IV [Exhibits and Financial Statement Schedules](index=112&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists financial statements, schedules, and exhibits, including governance documents, material contracts, and Sarbanes-Oxley Act certifications - This section contains a list of all financial statements, schedules, and exhibits filed with the report[663](index=663&type=chunk) - Filed exhibits include governance documents, material contracts (reinsurance, credit agreements), and executive compensation plans[673](index=673&type=chunk) - Includes required CEO and CFO certifications pursuant to the Sarbanes-Oxley Act[677](index=677&type=chunk) [Form 10-K Summary](index=119&type=section&id=Item%2016.%20Form%2010-K%20Summary) The company indicates that there is no Form 10-K summary - None ```

Employers Holdings. Inc. (NYSE:EIG) Q4 2022 Earnings Conference Call February 17, 2023 11:00 AM ET Company Participants Lori Brown - Executive Vice President Katherine Antonello - Chief Executive Officer Michael Paquette - Chief Financial Officer Conference Call Participants Mark Hughes - Truist Paul Newsome - AOL.com Operator Thank you for standing by and welcome to the Employers Holdings Fourth Quarter 2022 Earnings Conference Call. [Operator Instructions] As a reminder, today's program is being recorded. ...

Employers Holdings, Inc. (NYSE:EIG) Q3 2022 Earnings Conference Call October 28, 2022 11:00 AM ET Company Participants Lori Brown - EVP, GC Katherine Antonello - CEO Michael Paquette - CFO Conference Call Participants Operator Good day, ladies and gentlemen. Thank you for standing by. And welcome to the Q3 2022 Employers Holdings, Inc., Earnings Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instruction ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission file number: 001-33245 EMPLOYERS HOLDINGS, INC. (Exact name of registrant as specified in its charter) Nevada 04-3850065 (State or other jurisd ...

Employers Holdings, Inc. (NYSE:EIG) Q2 2022 Earnings Conference Call July 29, 2022 11:00 AM ET Company Participants Lori Brown - EVP and General Counsel Katherine Antonello - CEO Michael Paquette - CFO Conference Call Participants Mark Hughes - Truist Securities Paul Newsome - Piper Sandler Operator Good day and thank you for standing by. Welcome to today's Second Quarter 2022 Employers Holdings, Inc. Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers’ pre ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission file number: 001-33245 EMPLOYERS HOLDINGS, INC. (Exact name of registrant as specified in its charter) Nevada 04-3850065 (State or other jurisdictio ...

Employers Holdings, Inc. (NYSE:EIG) Q1 2022 Earnings Conference Call April 28, 2022 11:00 AM ET Company Participants Lori Brown - EVP & General Counsel Katherine Antonello - CEO Michael Paquette - CFO Conference Call Participants Mark Hughes - Truist Securities Bob Farnam - Boenning & Scattergood Operator Good day. Thank you for standing by, and welcome to today's Q1 2022 Employers Holdings, Inc. Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speakers’ presenta ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission file number: 001-33245 EMPLOYERS HOLDINGS, INC. (Exact name of registrant as specified in its charter) Nevada 04-3850065 (State or other jurisdicti ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ Commission file number: 001-33245 EMPLOYERS HOLDINGS, INC. (Exact name of registrant as specified in its charter) Nevada 04-3850065 (State or other jurisdiction of ...

Employers Holdings, Inc. (NYSE:EIG) Q4 2021 Earnings Conference Call February 17, 2022 11:00 AM ET Company Participants Kathy Antonello – Chief Executive Officer Mike Paquette – Chief Financial Officer Lori Brown – Executive Vice President & General Counsel Conference Call Participants Matt Carletti – JMP Securities Mark Hughes – Truist Securities Robert Farnam – Boenning & Scattergood Operator Good day and thank you for standing by. Welcome to the Q4, 2021 Employers Holdings, Inc. Earnings Conference Call ...