PART I – FINANCIAL INFORMATION This section provides the unaudited consolidated financial statements and management's discussion and analysis of financial condition and results of operations [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited consolidated financial statements, including balance sheets, statements of operations, comprehensive income, changes in shareholders' equity, and cash flows, along with detailed explanatory notes [Consolidated Balance Sheets](index=3&type=section&id=Consolidated%20Balance%20Sheets) This section details the company's financial position, showing assets, liabilities, and shareholders' equity at specific reporting dates - The company's total assets slightly decreased from **$1.73 billion** at December 31, 2024, to **$1.72 billion** at June 30, 2025[8](index=8&type=chunk) - Total liabilities decreased from **$1.04 billion** to **$1.03 billion** over the same period[8](index=8&type=chunk) - Shareholders' equity increased by **$6.1 million**, from **$689.1 million** to **$695.3 million**[8](index=8&type=chunk) Consolidated Balance Sheet Highlights (in millions) | Metric | June 30, 2025 | December 31, 2024 | Change | | :-------------------------------- | :------------ | :---------------- | :----- | | Total Assets | $1,720.6 | $1,731.3 | $(10.7) | | Total Liabilities | $1,025.3 | $1,042.1 | $(16.8) | | Total Shareholders' Equity | $695.3 | $689.1 | $6.1 | | Cash and cash equivalents | $67.3 | $17.0 | $50.3 | | Unpaid losses and loss adjustment expenses | $776.1 | $800.4 | $(24.3) | [Consolidated Statements of Operations](index=4&type=section&id=Consolidated%20Statements%20of%20Operations) This section presents the company's revenues, expenses, and net income for the reported periods, including earnings per share - Net income for the quarter ended June 30, 2025, increased by **2.5%** to **$10.3 million**, while for the six months ended June 30, 2025, it decreased by **70.4%** to **$6.4 million**[10](index=10&type=chunk) - Basic EPS for Q2 2025 was **$0.72**, a slight decrease from **$0.73** in Q2 2024, and for 6M 2025, it was **$0.44**, a significant decrease from **$1.56** in 6M 2024[10](index=10&type=chunk) Consolidated Statements of Operations Highlights (in millions, except per share data) | Metric | Q2 2025 | Q2 2024 | % Change (QoQ) | 6M 2025 | 6M 2024 | % Change (YoY) | | :-------------------------------- | :------ | :------ | :------------- | :------ | :------ | :------------- | | Gross written premiums | $106.8 | $100.7 | 6.1% | $205.5 | $194.2 | 5.8% | | Net earned premiums | $95.1 | $92.8 | 2.5% | $188.5 | $189.4 | (0.5%) | | Net investment income | $14.7 | $15.3 | (3.9%) | $29.5 | $29.8 | (1.1%) | | Net income | $10.3 | $10.1 | 2.5% | $6.4 | $21.5 | (70.4%) | | Basic EPS | $0.72 | $0.73 | (1.4%) | $0.44 | $1.56 | (71.8%) | [Consolidated Statements of Comprehensive Income (Loss)](index=5&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) This section reports net income and other comprehensive income components, reflecting the total change in shareholders' equity from non-owner sources - Comprehensive income for Q2 2025 was **$12.6 million**, an increase from **$12.0 million** in Q2 2024. For the six months ended June 30, 2025, it was **$12.1 million**, a decrease from **$26.3 million** in 6M 2024[13](index=13&type=chunk) - Other comprehensive income, net of tax, for 6M 2025 was **$5.8 million**, up from **$4.8 million** in 6M 2024, primarily driven by unrealized holding gains[13](index=13&type=chunk) Consolidated Statements of Comprehensive Income Highlights (in millions) | Metric | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------------------- | :------ | :------ | :------ | :------ | | Net income | $10.3 | $10.1 | $6.4 | $21.5 | | Other comprehensive income, net of tax | $2.3 | $1.9 | $5.8 | $4.8 | | Comprehensive income, net of tax | $12.6 | $12.0 | $12.1 | $26.3 | [Consolidated Statements of Changes in Shareholders' Equity](index=6&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Shareholders'%20Equity) This section outlines the changes in each component of shareholders' equity, including net income, distributions, and share issuances - Total shareholders' equity increased to **$695.3 million** at June 30, 2025, from **$667.5 million** at June 30, 2024[16](index=16&type=chunk) - The company issued **550,000** class A common shares designated as class A-2 common shares during the six months ended June 30, 2025[16](index=16&type=chunk) - Retained earnings increased to **$264.8 million** at June 30, 2025, from **$256.7 million** at June 30, 2024, after accounting for net income and distributions[16](index=16&type=chunk) Shareholders' Equity Highlights (in millions) | Metric | June 30, 2025 | June 30, 2024 | | :-------------------------------- | :------------ | :------------ | | Total shareholders' equity | $695.3 | $667.5 | | Additional paid-in capital | $463.8 | $457.6 | | Retained earnings | $264.8 | $256.7 | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) This section presents the cash inflows and outflows from operating, investing, and financing activities for the reported periods - Net cash provided by operating activities significantly decreased to **$9.4 million** for the six months ended June 30, 2025, from **$36.9 million** in the same period of 2024[19](index=19&type=chunk) - Net cash provided by investing activities shifted from an outflow of **$(17.7) million** in 6M 2024 to an inflow of **$51.1 million** in 6M 2025, primarily due to proceeds from maturity of fixed maturities[19](index=19&type=chunk) - Cash and cash equivalents at the end of the period increased to **$67.3 million** at June 30, 2025, from **$46.7 million** at June 30, 2024[19](index=19&type=chunk) Consolidated Statements of Cash Flows Highlights (in millions) | Cash Flow Activity | 6M 2025 | 6M 2024 | Change | | :-------------------------------- | :------ | :------ | :------- | | Net cash provided by operating activities | $9.4 | $36.9 | $(27.5) | | Net cash provided by (used for) investing activities | $51.1 | $(17.7) | $68.8 | | Net cash used for financing activities | $(10.2) | $(10.6) | $0.4 | | Net change in cash and cash equivalents | $50.3 | $8.7 | $41.6 | | Cash and cash equivalents at end of period | $67.3 | $46.7 | $20.6 | [Notes to Consolidated Financial Statements (Unaudited)](index=8&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements%20(Unaudited)) This section provides detailed explanations of the accounting policies, significant estimates, and specific financial statement line items, offering further context to the unaudited consolidated financial statements [1. Principles of Consolidation and Basis of Presentation](index=8&type=section&id=1.%20Principles%20of%20Consolidation%20and%20Basis%20of%20Presentation) This note describes the basis of financial statement preparation and the entities included in the consolidated financial statements - The interim consolidated financial statements are unaudited and prepared in conformity with United States GAAP[21](index=21&type=chunk) - The consolidated financial statements include Global Indemnity Group, LLC and its wholly owned subsidiaries, with all intercompany balances and transactions eliminated[23](index=23&type=chunk) [2. Investments](index=8&type=section&id=2.%20Investments) This note details the company's investment portfolio, including fixed maturities, equity securities, and related realized gains and net investment income - Total investments decreased to **$1.37 billion** at June 30, 2025, from **$1.42 billion** at December 31, 2024[8](index=8&type=chunk) - The company's fixed maturities portfolio had gross unrealized losses of **$(9.6) million** at June 30, 2025, and **$(14.9) million** at December 31, 2024[24](index=24&type=chunk)[25](index=25&type=chunk) - The company concluded that the unrealized losses are non-credit losses on securities where management does not intend to sell, and it is more likely than not that the Company will not be required to sell the security before recovery[33](index=33&type=chunk) Net Realized Investment Gains (in thousands) | Investment Type | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :---------------- | :------ | :------ | :------ | :------ | | Fixed maturities | $(34) | $(7) | $(21) | $(32) | | Equity securities | $161 | $212 | $284 | $1,084 | | Total | $127 | $205 | $263 | $1,052 | Net Investment Income (in millions) | Source | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------- | :------ | :------ | :------ | :------ | | Fixed maturities | $14.9 | $14.6 | $29.3 | $28.2 | | Equity securities | $0.2 | $0.2 | $0.3 | $0.4 | | Cash and cash equivalents | $0.8 | $0.7 | $1.6 | $1.3 | | Other invested assets | $(0.6) | $0.3 | $(0.7) | $0.9 | | Investment expense | $(0.5) | $(0.5) | $(1.0) | $(1.0) | | Net investment income | $14.7 | $15.3 | $29.5 | $29.8 | [3. Fair Value Measurements](index=18&type=section&id=3.%20Fair%20Value%20Measurements) This note explains the methodologies and hierarchy used to measure the fair value of financial instruments, categorizing assets by input observability - The company's invested assets are categorized based on a fair value hierarchy: Level 1 (quoted prices in active markets), Level 2 (observable inputs other than quoted prices), and Level 3 (unobservable inputs)[61](index=61&type=chunk)[64](index=64&type=chunk) - As of June 30, 2025, total assets measured at fair value were **$1.35 billion**, with **$572.4 million** in Level 1 and **$776.5 million** in Level 2[63](index=63&type=chunk) - The company holds interests in three limited partnership investments with an aggregate fair value of **$22.1 million** at June 30, 2025, and **$29.4 million** at December 31, 2024[67](index=67&type=chunk) [4. Allowance for Expected Credit Losses - Premium Receivables and Reinsurance Receivables](index=22&type=section&id=4.%20Allowance%20for%20Expected%20Credit%20Losses%20-%20Premium%20Receivables%20and%20Reinsurance%20Receivables) This note outlines the allowances established for potential credit losses on premium and reinsurance receivables, reflecting estimated uncollectible amounts - The allowance for expected credit losses related to premium receivables decreased to **$3.4 million** at June 30, 2025, from **$3.5 million** at December 31, 2024[74](index=74&type=chunk) - The allowance for expected credit losses related to reinsurance receivables remained stable at **$9.0 million** at both June 30, 2025, and December 31, 2024[75](index=75&type=chunk) Allowance for Expected Credit Losses - Premium Receivables (in millions) | Metric | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------------------- | :------ | :------ | :------ | :------ | | Beginning balance | $3.5 | $4.4 | $3.5 | $4.8 | | Current period provision for expected credit losses | $(0.1) | $(0.4) | $(0.1) | $(0.2) | | Write-offs | $(0.0) | $(0.0) | $(0.1) | $(0.6) | | Ending balance | $3.4 | $4.0 | $3.4 | $4.0 | [5. Income Taxes](index=23&type=section&id=5.%20Income%20Taxes) This note discusses the company's income tax status, effective tax rates, and the impact of recent tax legislation on its financial results - Global Indemnity Group, LLC is a publicly traded partnership and generally not subject to federal income tax[77](index=77&type=chunk) - The effective tax rate for Q2 2025 was **21.2%**, slightly higher than the statutory rate of **21%**, primarily due to non-deductible executive compensation[80](index=80&type=chunk) - The effective tax rate for 6M 2025 was **20.9%**, slightly lower than the statutory rate of **21%**, primarily due to the partnership tax treatment of Global Indemnity Group, LLC's income[81](index=81&type=chunk) - The company is assessing the impact of the U.S. enacted One Big Beautiful Bill Act on July 4, 2025, but does not expect a material effect[83](index=83&type=chunk) [6. Liability for Unpaid Losses and Loss Adjustment Expenses](index=23&type=section&id=6.%20Liability%20for%20Unpaid%20Losses%20and%20Loss%20Adjustment%20Expenses) This note details the company's reserves for future payments of claims and related expenses, including changes from prior accident years - The balance of liability for unpaid losses and loss adjustment expenses at June 30, 2025, was **$776.1 million**, a decrease from **$800.4 million** at December 31, 2024[84](index=84&type=chunk) - Net losses and loss adjustment expenses related to prior years resulted in an increase of less than **$0.1 million** for both Q2 and 6M 2025, compared to decreases in the prior year periods[85](index=85&type=chunk)[87](index=87&type=chunk) Liability for Unpaid Losses and Loss Adjustment Expenses (in millions) | Metric | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------------------- | :------ | :------ | :------ | :------ | | Balance at beginning of period | $794.8 | $853.6 | $800.4 | $850.6 | | Total net losses and loss adjustment expenses | $52.9 | $53.7 | $119.7 | $107.0 | | Total paid net losses and loss adjustment expenses | $68.4 | $61.6 | $142.7 | $111.0 | | Balance at end of period | $776.1 | $844.2 | $776.1 | $844.2 | [7. Shareholders' Equity](index=24&type=section&id=7.%20Shareholders'%20Equity) This note describes the components of shareholders' equity, including common shares, additional paid-in capital, retained earnings, and share repurchase authorizations - The company amended its LLCA effective January 16, 2025, authorizing **5,000,000** class A common shares designated as class A-2 common shares[89](index=89&type=chunk) - On March 6, 2025, **550,000** class A-2 common shares were issued to Fox Paine & Company, LLC, with a grant date fair value of **$11.0 million**[91](index=91&type=chunk)[102](index=102&type=chunk) - No class A common shares were repurchased during the quarter and six months ended June 30, 2025, with a remaining authorization of **$101.0 million**[92](index=92&type=chunk) Common Share Distributions (in millions) | Period | Total Distributions Declared | | :-------------------------------- | :--------------------------- | | Six Months Ended June 30, 2025 | $10.0 | | Six Months Ended June 30, 2024 | $9.5 | [8. Related Party Transactions](index=26&type=section&id=8.%20Related%20Party%20Transactions) This note discloses transactions and relationships with related parties, including management fees and advisory fees paid to controlling entities - Fox Paine Entities beneficially own approximately **83.8%** of the voting power of Global Indemnity Group, LLC as of June 30, 2025, and control the appointment of all directors[98](index=98&type=chunk) - Management fee expense of **$0.8 million** was incurred for each of Q2 2025 and Q2 2024, and **$1.6 million** for each of 6M 2025 and 6M 2024[99](index=99&type=chunk) - An advisory fee of **$11.0 million** (grant date fair value of Class A-2 common shares) and **$0.2 million** in cash was approved for Fox Paine & Company, LLC for services related to the company's internal corporate reorganization[102](index=102&type=chunk) [9. Commitments and Contingencies](index=27&type=section&id=9.%20Commitments%20and%20Contingencies) This note outlines the company's legal proceedings, unfunded investment commitments, and other contractual obligations that may impact future financial results - The company is involved in various legal proceedings in the ordinary course of business, but does not believe their resolution will have a material adverse effect[104](index=104&type=chunk) - The company has an unfunded commitment of **$14.2 million** to an alternative investment vehicle (European non-performing loans) as of June 30, 2025, with no expected future capital calls[107](index=107&type=chunk) - The company is party to a Management Agreement with Fox Paine & Company, LLC, for which an annual management fee is paid[108](index=108&type=chunk) [10. Share-Based Compensation Plans](index=28&type=section&id=10.%20Share-Based%20Compensation%20Plans) This note details the company's share-based compensation arrangements, including stock options and share grants to employees and directors - During the six months ended June 30, 2025, the company granted **50,000** Time-Based Stock Options at a strike price of **$36.25**, vesting on December 31, 2028[109](index=109&type=chunk) - No restricted class A common shares or restricted stock units were granted or forfeited during the quarters and six months ended June 30, 2025[111](index=111&type=chunk) - The company granted **38,129** class A common shares to non-employee directors during the six months ended June 30, 2025, at a weighted average grant date value of **$32.05** per share[113](index=113&type=chunk) [11. Earnings Per Share](index=29&type=section&id=11.%20Earnings%20Per%20Share) This note provides the calculation of basic and diluted earnings per share, including the reconciliation of net income to common shareholders Earnings Per Share (EPS) Data (in millions, except per share data) | Metric | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------------------- | :------ | :------ | :------ | :------ | | Net income available to common shareholders | $10.2 | $10.0 | $6.1 | $21.2 | | Basic EPS | $0.72 | $0.73 | $0.44 | $1.56 | | Diluted EPS | $0.71 | $0.73 | $0.43 | $1.55 | - Weighted average shares for basic EPS were **14.3 million** for Q2 2025 and **14.1 million** for 6M 2025[114](index=114&type=chunk) [12. Segment Information](index=29&type=section&id=12.%20Segment%20Information) This note presents financial data for the company's new reportable segments, reflecting the impact of a recent internal business reorganization - The company underwent an extensive internal business reorganization on December 31, 2024, leading to new reportable segments[115](index=115&type=chunk) - The three new reportable segments are Agency and Insurance Services, Belmont Insurance Companies - Core, and Belmont Insurance Companies - Non-Core[116](index=116&type=chunk)[121](index=121&type=chunk) - Agency and Insurance Services recorded **$28.9 million** in commission and service fee income for the six months ended June 30, 2025, with no comparable revenue in 2024 due to new affiliated service agreements[128](index=128&type=chunk)[119](index=119&type=chunk) Segment Underwriting Income (Loss) (in millions) | Segment | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------------------- | :------ | :------ | :------ | :------ | | Agency and Insurance Services | $2.3 | $0 | $4.1 | $0 | | Belmont Core | $2.7 | $4.7 | $(8.8) | $10.3 | | Belmont Non-Core | $0.8 | $(1.1) | $0.0 | $(1.5) | | Total Underwriting Income (Loss) | $5.8 | $3.5 | $(4.7) | $8.8 | [13. New Accounting Pronouncements](index=34&type=section&id=13.%20New%20Accounting%20Pronouncements) This note discusses the adoption status of new accounting pronouncements and their potential impact on the company's financial statements - The Company did not adopt any new accounting pronouncements during the six months ended June 30, 2025[132](index=132&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=35&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's perspective on the company's financial performance and condition, highlighting key operational and financial trends, segment results, and significant changes for the reported periods [Financial Highlights](index=35&type=section&id=Financial%20Highlights) This section summarizes key financial metrics and performance indicators for the reported periods, including premiums, underwriting income, and equity - Gross written premiums increased **6.1%** to **$106.8 million** for Q2 2025 and **5.8%** to **$205.5 million** for 6M 2025[138](index=138&type=chunk)[146](index=146&type=chunk) - Current accident year underwriting income increased **61%** to **$5.6 million** for Q2 2025[138](index=138&type=chunk) - Net investment income for Q2 2025 was **$14.7 million**, a **3.9%** decrease from Q2 2024, primarily due to losses from limited partnerships[138](index=138&type=chunk) - The current accident year combined ratio improved to **94.6%** in Q2 2025 from **96.7%** in Q2 2024[138](index=138&type=chunk) - Net income for Q2 2025 was **$10.3 million** (**$0.71** diluted EPS), compared to **$10.1 million** (**$0.73** diluted EPS) in Q2 2024[138](index=138&type=chunk) - Total cash and investments remained at **$1.4 billion** at June 30, 2025, with fixed maturities and cash comprising **98%** of total investments[143](index=143&type=chunk) - Shareholders' equity increased by **$6.1 million** to **$695.3 million** at June 30, 2025, from **$687.1 million** at March 31, 2025[143](index=143&type=chunk) - Book value per common share increased to **$48.35** at June 30, 2025, from **$47.85** at March 31, 2025[143](index=143&type=chunk) [Results of Operations](index=36&type=section&id=Results%20of%20Operations) This section analyzes the company's operational performance, detailing changes in premiums, underwriting income, investment income, and net income [Premiums](index=37&type=section&id=Premiums) This section analyzes changes in gross and net written premiums across different business segments, highlighting growth drivers and product terminations - Gross written premiums increased by **6.1%** to **$106.8 million** for the quarter ended June 30, 2025, and by **5.8%** to **$205.5 million** for the six months ended June 30, 2025[146](index=146&type=chunk) - Direct written premiums for Wholesale Commercial, Vacant Express, and Collectibles collectively grew by **10.3%** (Q2) and **9.5%** (6M) due to premium rate increases, new agency appointments, organic growth, and new products[147](index=147&type=chunk) - Direct written premiums for Specialty Products declined by **26.1%** (Q2) and **42.0%** (6M) due to the termination of products not meeting profitability expectations[147](index=147&type=chunk) - Belmont Core's assumed business grew by **85.5%** (Q2) and **144.1%** (6M) due to new treaties incepting in 2024 and 2025[148](index=148&type=chunk) Premium Volume by Segment (in millions) | Metric | Q2 2025 | Q2 2024 | % Change (QoQ) | 6M 2025 | 6M 2024 | % Change (YoY) | | :-------------------------------- | :------ | :------ | :------------- | :------ | :------ | :------------- | | Gross written premiums | $106.8 | $100.7 | 6.1% | $205.5 | $194.2 | 5.8% | | Net written premiums | $103.9 | $97.8 | 6.3% | $199.8 | $189.8 | 5.2% | | Belmont Core Gross written premiums | $109.8 | $100.6 | 9.2% | $208.2 | $194.6 | 7.0% | | Belmont Non-Core Gross written premiums | $(3.0) | $0.2 | NM | $(2.7) | $(0.4) | NM | [Underwriting Income (Loss)](index=39&type=section&id=Underwriting%20Income%20(Loss)) This section discusses the company's underwriting performance, including income, losses, and combined ratios, with specific attention to catastrophe impacts - Underwriting income for Q2 2025 was **$5.8 million**, a **64.4%** increase from **$3.5 million** in Q2 2024[141](index=141&type=chunk) - The company reported an underwriting loss of **$4.7 million** for 6M 2025, compared to an underwriting income of **$8.8 million** for 6M 2024, primarily due to **$15.7 million** in net losses from California Wildfires[156](index=156&type=chunk) - The current accident year combined ratio improved by **2.1 points** to **94.6%** for Q2 2025[152](index=152&type=chunk) - Excluding California Wildfires, the current accident year combined ratio for 6M 2025 was **94.7%**, an improvement from **95.8%** in 6M 2024[158](index=158&type=chunk) Underwriting Ratios | Ratio | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------------------- | :------ | :------ | :------ | :------ | | Loss ratio | 55.6% | 57.8% | 63.5% | 56.5% | | Expense ratio | 38.8% | 38.8% | 39.5% | 39.2% | | Combined ratio | 94.4% | 96.6% | 103.0% | 95.7% | | Current accident year combined ratio | 94.6% | 96.7% | 103.0% | 95.8% | [Net investment income](index=44&type=section&id=Net%20investment%20income) This section analyzes the trends in net investment income, detailing contributions from fixed maturities, equity securities, and limited partnerships - Net investment income decreased by **3.9%** to **$14.7 million** for Q2 2025 and by **1.1%** to **$29.5 million** for 6M 2025, mainly due to performance in limited partnerships[164](index=164&type=chunk) - Net investment income from the fixed maturities portfolio increased by **2.3%** (Q2) and **4.4%** (6M) due to an improved yield[167](index=167&type=chunk) - The book yield on the fixed maturities portfolio increased to **4.54%** at June 30, 2025, from **4.47%** at June 30, 2024[167](index=167&type=chunk) - Approximately **$400 million** of the fixed maturities portfolio was reinvested at **5.5%** during 6M 2025, increasing duration to **1.2 years**[167](index=167&type=chunk) Net Investment Income by Source (in millions) | Source | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :-------------------- | :------ | :------ | :------ | :------ | | Fixed maturities | $15.3 | $15.0 | $30.2 | $28.9 | | Limited partnerships | $(0.6) | $0.3 | $(0.7) | $0.9 | | Net investment income | $14.7 | $15.3 | $29.5 | $29.8 | [Net Realized Investment Gains](index=45&type=section&id=Net%20Realized%20Investment%20Gains) This section reports on the realized gains and losses from the sale of investment securities, categorized by investment type - Net realized investment gains decreased by **38.0%** to **$0.1 million** for Q2 2025 and by **75.0%** to **$0.3 million** for 6M 2025[170](index=170&type=chunk) - Equity securities contributed **$0.2 million** in net realized gains for Q2 2025 and **$0.3 million** for 6M 2025[170](index=170&type=chunk) Net Realized Investment Gains (in thousands) | Investment Type | Q2 2025 | Q2 2024 | 6M 2025 | 6M 2024 | | :---------------- | :------ | :------ | :------ | :------ | | Equity securities | $161 | $212 | $284 | $1,084 | | Fixed maturities | $(34) | $(7) | $(21) | $(32) | | Total | $127 | $205 | $263 | $1,052 | [Corporate Expenses](index=45&type=section&id=Corporate%20Expenses) This section explains changes in corporate expenses, including professional fees and advisory fees related to internal reorganizations - Corporate expenses increased by **$1.1 million** to **$7.5 million** for Q2 2025, primarily due to increased professional fees related to newly formed agency and insurance services companies[172](index=172&type=chunk) - For 6M 2025, corporate expenses increased by **$4.3 million** to **$17.0 million**, driven by **$2.9 million** in advisory fees (stock compensation) related to the internal reorganization and increased employee/professional fees[173](index=173&type=chunk) [Income Tax Expense](index=45&type=section&id=Income%20Tax%20Expense) This section details the company's income tax expense, effective tax rates, and the factors influencing tax liabilities for the reported periods - Income tax expense for Q2 2025 was **$2.8 million** on pre-tax income of **$13.1 million**, compared to **$2.6 million** on **$12.7 million** in Q2 2024[174](index=174&type=chunk) - For 6M 2025, income tax expense was **$1.7 million** on pre-tax income of **$8.0 million**, a significant decrease from **$5.5 million** on **$26.9 million** in 6M 2024[174](index=174&type=chunk) [Net Income](index=46&type=section&id=Net%20Income) This section presents the company's net income for the reported periods, including the impact of significant events like the California Wildfires - Net income for Q2 2025 was **$10.3 million**, a slight increase from **$10.1 million** in Q2 2024[176](index=176&type=chunk) - Net income for 6M 2025 was **$6.4 million**. Excluding the after-tax impact of California Wildfires (**$12.2 million**), net income would have been **$18.8 million**[176](index=176&type=chunk) [Reserves](index=46&type=section&id=Reserves) This section discusses the company's gross and net reserves for unpaid losses and loss adjustment expenses, including the impact of frequency and severity changes - Carried gross reserves for unpaid losses and loss adjustment expenses were **$776.1 million** at June 30, 2025, down from **$800.4 million** at December 31, 2024[177](index=177&type=chunk) - Net reserves were **$716.6 million** at June 30, 2025, compared to **$739.6 million** at December 31, 2024[177](index=177&type=chunk) - Gross and net reserves related to Belmont Non-Core are declining as it services the run-off of de-emphasized and terminated business[178](index=178&type=chunk) Impact of Frequency and Severity Changes on Current Accident Year Net Losses (in millions) | Frequency Change | -10% Severity | -5% Severity | 0% Severity | 5% Severity | 10% Severity | | :--------------- | :------------ | :----------- | :---------- | :---------- | :----------- | | -5% | $(17.4) | $(11.7) | $(6.0) | $(0.3) | $5.4 | | 0% | $(12.0) | $(6.0) | $0 | $6.0 | $12.0 | | 5% | $(6.6) | $(0.3) | $6.0 | $12.3 | $18.6 | [Reconciliation of non-GAAP financial measures and ratios](index=48&type=section&id=Reconciliation%20of%20non-GAAP%20financial%20measures%20and%20ratios) The company provides non-GAAP financial measures to exclude the impact of prior accident year adjustments and the California Wildfires for a clearer evaluation of underwriting performance - The company provides non-GAAP financial measures to exclude the impact of prior accident year adjustments and the California Wildfires for a clearer evaluation of underwriting performance[182](index=182&type=chunk) - Current accident year underwriting income, excluding California Wildfires, was **$10.9 million** for the six months ended June 30, 2025[185](index=185&type=chunk) - Net income, excluding California Wildfires (net of tax), was **$18.8 million** for the six months ended June 30, 2025[185](index=185&type=chunk) - The current accident year combined ratio, excluding California Wildfires, was **94.7%** for the six months ended June 30, 2025[185](index=185&type=chunk) Non-GAAP Reconciliation Highlights (6M Ended June 30, 2025, in millions) | Metric | GAAP | Non-GAAP (Excl. CA Wildfires) | | :-------------------------------- | :----- | :---------------------------- | | Underwriting income (loss) | $(4.7) | $11.0 | | Net income | $6.4 | $18.8 | | Current accident year combined ratio | 103.0% | 94.7% | [Critical Accounting Estimates and Policies](index=50&type=section&id=Critical%20Accounting%20Estimates%20and%20Policies) This section identifies the key accounting policies and estimates that require significant judgment and their potential impact on the financial statements - The company's critical accounting policies involve significant estimates for liability for unpaid losses, reinsurance receivables, investments, fair value measurements, goodwill, intangible assets, deferred acquisition costs, and taxation[189](index=189&type=chunk) - There have been no significant changes to these critical accounting policies or underlying methodologies during the current year[189](index=189&type=chunk) [Liquidity and Capital Resources](index=50&type=section&id=Liquidity%20and%20Capital%20Resources) This section analyzes the company's ability to generate and manage cash, including sources and uses of funds, cash flows, and capital adequacy [Sources and Uses of Funds](index=50&type=section&id=Sources%20and%20Uses%20of%20Funds) This section outlines the primary sources of the company's funds and how they are utilized, including intercompany dividends and ownership structures - Global Indemnity Group, LLC's principal assets are ownership in Belmont Holdings GX, Inc. and Penn-America Underwriters, LLC[191](index=191&type=chunk) - Insurance subsidiaries declared extraordinary dividends of **$100.0 million** in June 2025, approved in July 2025, for distribution to Belmont Holdings GX, Inc. in Q3 2025[198](index=198&type=chunk) - Dividend limitations are imposed by state laws based on statutory financial results, which differ from GAAP[197](index=197&type=chunk) [Cash Flows](index=51&type=section&id=Cash%20Flows) This section details the changes in cash flows from operating, investing, and financing activities, explaining significant fluctuations - Net cash provided by operating activities decreased by **$27.5 million** to **$9.4 million** for the six months ended June 30, 2025, compared to **$36.9 million** in the same period of 2024[199](index=199&type=chunk) - The decline in operating cash flows was primarily driven by an increase in current accident year catastrophe property net losses and prior accident year casualty net losses paid from the Belmont Non-Core Casualty lines of business[199](index=199&type=chunk) Operating Cash Flow Components (in millions) | Cash Flow Activity | 6M 2025 | 6M 2024 | Change | | :-------------------------------- | :------ | :------ | :------- | | Net premiums collected | $210.9 | $199.6 | $11.2 | | Net losses and loss adjustment expenses paid | $(150.5) | $(108.6) | $(41.9) | | Underwriting and corporate expenses | $(90.5) | $(72.6) | $(18.0) | | Net investment income | $41.6 | $21.0 | $20.6 | | Net cash provided by operating activities | $9.4 | $36.9 | $(27.5) | [Liquidity](index=51&type=section&id=Liquidity) This section assesses the company's short-term financial flexibility, including distribution payments and proceeds from investment redemptions - Quarterly distribution payments of **$0.35** per common share were declared, totaling **$10.0 million** paid to common shareholders during the six months ended June 30, 2025[200](index=200&type=chunk) - Distributions of **$0.2 million** were paid to preferred shareholders during the six months ended June 30, 2025[200](index=200&type=chunk) - Partial redemption proceeds of **$4.4 million** were received from the Global Debt Fund, LP during the six months ended June 30, 2025[201](index=201&type=chunk) - No material changes to the company's liquidity were reported during the quarter and six months ended June 30, 2025, other than the discussed items[203](index=203&type=chunk) [Capital Resources](index=52&type=section&id=Capital%20Resources) This section discusses the company's capital structure and any material changes to its capital resources during the reporting period - There have been no material changes to the company's capital resources during the quarter and six months ended June 30, 2025[204](index=204&type=chunk) [Off Balance Sheet Arrangements](index=52&type=section&id=Off%20Balance%20Sheet%20Arrangements) This section confirms the absence of any off-balance sheet arrangements that could materially affect the company's financial position - The Company has no off balance sheet arrangements[206](index=206&type=chunk) [Cautionary Note Regarding Forward-Looking Statements](index=52&type=section&id=Cautionary%20Note%20Regarding%20Forward-Looking%20Statements) This section advises readers that the report contains forward-looking statements subject to risks and uncertainties, and the company disclaims any obligation to update them - Forward-looking statements in the report are based on current expectations and projections, subject to various risks and uncertainties[209](index=209&type=chunk) - Key risks include legislative/regulatory actions, natural disasters, sufficiency of reserves, adverse capital market developments, cyber-attacks, and other factors detailed in the 2024 Annual Report on Form 10-K[209](index=209&type=chunk) - The Company undertakes no obligation to publicly update or review any forward-looking statement[210](index=210&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=52&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) This section discusses the company's exposure to market risks, primarily interest rate, credit, equity price, and foreign exchange risks, confirming no material changes and highlighting portfolio quality - The company's primary market risks are interest rate risk, credit risk (fixed maturities), equity price risk (equity securities), and foreign exchange risk[211](index=211&type=chunk) - There have been no material changes to the company's market risk since December 31, 2024[212](index=212&type=chunk) - The investment grade fixed income portfolio maintains an **AA-** average rating and a duration of **1.2 years**[212](index=212&type=chunk) [Item 4. Controls and Procedures](index=53&type=section&id=Item%204.%20Controls%20and%20Procedures) This section reports on the evaluation of disclosure controls and procedures, concluding their effectiveness and stating no material changes in internal control over financial reporting - Management, with the participation of the CEO and CFO, concluded that the design and operation of the company's disclosure controls and procedures were effective as of June 30, 2025[213](index=213&type=chunk) - There have been no changes in the company's internal control over financial reporting during Q2 2025 that have materially affected, or are reasonably likely to materially affect, these controls[214](index=214&type=chunk) PART II – OTHER INFORMATION This section provides additional information not covered in the financial statements, including legal proceedings, risk factors, equity sales, and exhibits [Item 1. Legal Proceedings](index=54&type=section&id=Item%201.%20Legal%20Proceedings) This section states that the company is involved in various legal proceedings in the ordinary course of business but does not expect them to have a material adverse effect on its financial condition or operations - The company is involved in various legal proceedings in the ordinary course of business, but does not believe their resolution will have a material adverse effect on its business, results of operations, cash flows, or financial condition[216](index=216&type=chunk) - The company closely monitors relationships with reinsurers in runoff due to a greater potential for disputes[217](index=217&type=chunk) [Item 1A. Risk Factors](index=54&type=section&id=Item%201A.%20Risk%20Factors) This section refers to the company's 2024 Annual Report on Form 10-K for a detailed discussion of risk factors and confirms that no material changes have occurred since that filing - The risk factors identified in the company's 2024 Annual Report on Form 10-K have not materially changed[218](index=218&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=54&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section reports no unregistered sales of equity securities, no share repurchases from third parties, and no shares surrendered by employees during the reporting period - There were no sales of unregistered equity securities during the quarter ended June 30, 2025[219](index=219&type=chunk) - Global Indemnity Group, LLC did not repurchase any shares from third parties under its repurchase program during the quarter and six months ended June 30, 2025[219](index=219&type=chunk) - No shares were surrendered by the company's employees during the quarter and six months ended June 30, 2025[220](index=220&type=chunk) [Item 3. Defaults Upon Senior Securities](index=54&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This section confirms that there were no defaults upon senior securities during the reporting period - There were no defaults upon senior securities during the reporting period[221](index=221&type=chunk) [Item 4. Mine Safety Disclosures](index=54&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section states that there are no mine safety disclosures to report for the company - There are no mine safety disclosures to report[222](index=222&type=chunk) [Item 5. Other Information](index=54&type=section&id=Item%205.%20Other%20Information) This section reports that none of the company's directors or Section 16 officers adopted or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the quarter - None of the company's directors or Section 16 officers adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the quarter ended June 30, 2025[223](index=223&type=chunk) [Item 6. Exhibits](index=55&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the 10-Q report, including various certifications from the CEO and CFO, as well as Inline XBRL documents - The report includes certifications from the Chief Executive Officer and Chief Financial Officer (Exhibits 31.1, 31.2, 32.1, 32.2)[227](index=227&type=chunk) - Inline XBRL documents (101.INS, 101.SCH, 104) are also filed as exhibits[227](index=227&type=chunk) [Signature](index=56&type=section&id=Signature) This section contains the official signature block for the registrant, Global Indemnity Group, LLC, confirming the filing of the report - The report was signed on behalf of Global Indemnity Group, LLC by Brian J. Riley, Chief Financial Officer, on August 6, 2025[229](index=229&type=chunk)

Financial Data and Key Metrics Changes - The accident year combined ratio improved to 94.6%, resulting in an underwriting profit of $5,600,000, a significant increase from $96,700,000 recorded last year [6] - Net income for the quarter was $10,300,000, consistent with last year's results of $10,100,000 [12][13] - Book value per share increased from $47.85 at March 31 to $48.35 at June 30 [12] Business Line Data and Key Metrics Changes - Gross premiums grew 18% over 2024, reaching $109,900,000, excluding terminated contracts [7][16] - Wholesale commercial premiums increased by 8% to $69,100,000, with average rate increases of about 4% [17] - Bacon Express premiums grew 27% to $12,400,000, driven by organic growth [18] Market Data and Key Metrics Changes - The overall premium growth outlook for 2025 is positive, with expectations of 10% growth [19] - The non-cat loss ratio improved to 50.1 in 2025 from 54.1 in 2024, indicating better underwriting performance [15] Company Strategy and Development Direction - The company is investing in technology and expanding underwriting capabilities through organic growth and selective acquisitions [10] - A new policy rating and issuance system is expected to be rolled out to agency partners in early 2026 [8] Management Comments on Operating Environment and Future Outlook - Management noted that while there are growth opportunities in certain segments, there are also emerging price competition in small commercial lines [23] - The company expects to maintain solid premium pricing in line with loss inflation [19] Other Important Information - The company received approval for $100,000,000 in dividends from its insurance subsidiaries to bolster liquidity [9] - Discretionary capital was reported at $265,000,000, supporting growth in the Agency and Insurance Services segment [20] Q&A Session Summary Question: What is the nature of the corporate expenses related to business development? - Management explained that they are looking to expand agency operations and have been reviewing various opportunities, which involves some due diligence costs [22] Question: What is the outlook for the overall E&S market? - Management indicated that while there are growth opportunities in certain segments, there is increased price competition in small commercial lines [23] Question: Will administrative expenses continue to grow? - Management stated that while they are engaging outside contractors for reviews, any significant increase in expenses would likely coincide with closing transactions [28][30] Question: What is the exposure to new fires in California? - Management confirmed that initial reserves for California wildfires have remained stable, with no significant new exposure identified [31] Question: What are the return on equity targets for the next few years? - Management expects returns on equity to reach around 12% for the insurance operations and 8% to 9% for the holding company, with a focus on reducing the expense ratio [34][35]

[Executive Summary & Company Overview](index=1&type=section&id=Executive%20Summary%20%26%20Company%20Overview) This section provides an overview of Global Indemnity Group's strong Q2 2025 performance and its core business operations as a property and casualty insurance holding company [Introduction & Q2 2025 Highlights](index=1&type=section&id=Introduction%20%26%20Q2%202025%20Highlights) Global Indemnity Group reported strong Q2 2025 results, marked by significant growth in underwriting income and continued premium expansion Q2 2025 Highlights | Metric | Q2 2025 ($M) | Q2 2024 ($M) | Change ($M) | Change (%) | | :---------------------------------- | :----------- | :----------- | :---------- | :--------- | | Current accident year underwriting income | 5.6 | 3.5 | 2.1 | 60.0% | | Gross written premiums | 106.8 | 100.7 | 6.1 | 6.1% | | Gross written premiums (excl. terminated products) | 109.9 | 93.4 | 16.5 | 17.7% | | Book value per share | 48.35 | 47.85 | 0.50 | 1.0% | | Net income available to common shareholders | 10.2 | 10.0 | 0.2 | 2.0% | | Net income available to common shareholders per share | 0.71 | 0.73 | (0.02) | -2.7% | | Current accident year combined ratio | 94.6% | 96.7% | -2.1% | | | Net investment income | 14.7 | 15.3 | (0.6) | -3.9% | [About Global Indemnity Group, LLC](index=9&type=section&id=About%20Global%20Indemnity%20Group,%20LLC) Global Indemnity Group, LLC is a publicly listed holding company for property and casualty insurance-related businesses - Global Indemnity Group (NYSE:GBLI) is a publicly listed holding company for property and casualty insurance-related businesses[28](index=28&type=chunk) - **Key Subsidiaries and Operations:** * **Penn-America Underwriters, LLC:** Comprises three agencies (Penn-America Insurance Services, J.H. Ferguson and Associates, Collectibles Insurance Services) for sourcing, underwriting, and servicing policies, and two strategic insurance product and service businesses (Liberty Insurance Adjustment Agency, Kaleidoscope Insurance Technologies) * **Belmont Holdings GX, Inc.:** Includes five state-regulated insurance carriers (Penn-Patriot Insurance Company, Diamond State Insurance Company, Penn-Star Insurance Company, Penn-America Insurance Company, and United National Insurance Company), all rated 'A' (Excellent) by AM Best * **Belmont Holdings Asset Management:** Focuses on enhancing investment portfolio performance for property & casualty insurance companies[28](index=28&type=chunk)[31](index=31&type=chunk) [Consolidated Financial Performance](index=2&type=section&id=Consolidated%20Financial%20Performance) This section details the company's overall financial health, presenting key operating results, balance sheet positions, and changes in shareholders' equity for recent periods [Selected Consolidated Operating and Balance Sheet Information](index=2&type=section&id=Selected%20Consolidated%20Operating%20and%20Balance%20Sheet%20Information) This section provides a snapshot of key consolidated operating and balance sheet metrics for the three and six months ended June 30, 2025, compared to the same periods in 2024, and balance sheet data as of June 30, 2025, March 31, 2025, and December 31, 2024 Selected Operating Data (Three Months Ended June 30) | Metric | 2025 ($M) | 2024 ($M) | Change ($M) | | :---------------------------------- | :-------- | :-------- | :---------- | | Gross written premiums | 106.8 | 100.7 | 6.1 | | Investment income | 14.7 | 15.3 | (0.6) | | Underwriting income (loss) | 5.8 | 3.5 | 2.3 | | Operating income | 10.2 | 9.9 | 0.3 | | Net income available to common shareholders | 10.2 | 10.0 | 0.2 | | Net income available to common shareholders per share | 0.71 | 0.73 | (0.02) | | Combined ratio | 94.4% | 96.6% | -2.2% | | Combined ratio, current accident year | 94.6% | 96.7% | -2.1% | Selected Balance Sheet Data (As of June 30, 2025 vs. Dec 31, 2024) | Metric | June 30, 2025 ($M) | Dec 31, 2024 ($M) | Change ($M) | | :------------------------ | :----------------- | :---------------- | :---------- | | Cash and invested assets, net | 1,433.0 | 1,440.7 | (7.7) | | Total assets | 1,720.6 | 1,731.3 | (10.7) | | Shareholders' equity | 695.3 | 689.1 | 6.2 | | Book value per share | 48.35 | 49.98 | (1.63) | | Shares Outstanding (in millions) | 14.3 | 13.7 | 0.6 | [Consolidated Statements of Operations](index=5&type=section&id=Consolidated%20Statements%20of%20Operations) The consolidated statements of operations detail the company's revenues, expenses, and net income for the three and six months ended June 30, 2025, and 2024 Consolidated Statements of Operations (Three Months Ended June 30) | Metric | 2025 ($K) | 2024 ($K) | Change ($K) | Change (%) | | :---------------------------------- | :-------- | :-------- | :---------- | :--------- | | Gross written premiums | 106,801 | 100,706 | 6,095 | 6.05% | | Net earned premiums | 95,146 | 92,814 | 2,332 | 2.51% | | Total revenues | 110,520 | 108,687 | 1,833 | 1.69% | | Net losses and loss adjustment expenses | 52,948 | 53,662 | (714) | -1.33% | | Acquisition costs and other underwriting expenses | 36,915 | 35,968 | 947 | 2.63% | | Net income available to common shareholders | 10,234 | 9,983 | 251 | 2.51% | | Diluted EPS | 0.71 | 0.73 | (0.02) | -2.74% | | Combined ratio | 94.4% | 96.6% | -2.2% | | Consolidated Statements of Operations (Six Months Ended June 30) | Metric | 2025 ($K) | 2024 ($K) | Change ($K) | Change (%) | | :---------------------------------- | :-------- | :-------- | :---------- | :--------- | | Gross written premiums | 205,476 | 194,194 | 11,282 | 5.81% | | Net earned premiums | 188,462 | 189,393 | (931) | -0.49% | | Total revenues | 219,171 | 220,978 | (1,807) | -0.82% | | Net losses and loss adjustment expenses | 119,686 | 107,046 | 12,640 | 11.81% | | Acquisition costs and other underwriting expenses | 74,422 | 74,237 | 185 | 0.25% | | Net income available to common shareholders | 6,135 | 21,239 | (15,104) | -71.12% | | Diluted EPS | 0.43 | 1.55 | (1.12) | -72.26% | | Combined ratio | 103.0% | 95.7% | +7.3% | | [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) The consolidated balance sheets provide a snapshot of the company's financial position as of June 30, 2025, compared to December 31, 2024 Consolidated Balance Sheet (As of June 30, 2025 vs. December 31, 2024) | Metric | June 30, 2025 ($K) | Dec 31, 2024 ($K) | Change ($K) | Change (%) | | :---------------------------------- | :----------------- | :---------------- | :---------- | :--------- | | Total investments | 1,370,985 | 1,423,605 | (52,620) | -3.70% | | Cash and cash equivalents | 67,344 | 17,009 | 50,335 | 295.93% | | Total assets | 1,720,585 | 1,731,253 | (10,668) | -0.62% | | Unpaid losses and loss adjustment expenses | 776,127 | 800,391 | (24,264) | -3.03% | | Unearned premiums | 195,013 | 183,411 | 11,602 | 6.33% | | Total liabilities | 1,025,297 | 1,042,104 | (16,807) | -1.61% | | Total shareholders' equity | 695,288 | 689,149 | 6,139 | 0.89% | [Changes in Common Shareholders' Equity and Book Value per Share](index=2&type=section&id=Changes%20in%20Common%20Shareholders'%20Equity%20and%20Book%20Value%20per%20Share) This section details the changes in common shareholders' equity and book value per share from December 31, 2024, to June 30, 2025 Changes in Common Shareholders' Equity and Book Value per Share (Dec 31, 2024 to June 30, 2025) | Item | Shareholders' Equity ($M) | Shares (M) | Book Value Per Share ($) | | :-------------------------- | :------------------------ | :--------- | :----------------------- | | Balance at Dec 31, 2024 | 685.1 | 13.7 | 49.98 | | Net income | 6.4 | — | 0.43 | | Fair value of fixed maturities | 5.8 | — | 0.42 | | Stock compensation / share issuance | 4.2 | 0.6 | (1.78) | | Dividends | (10.2) | — | (0.70) | | Balance at June 30, 2025 | 691.3 | 14.3 | 48.35 | - The increase in shares outstanding by **0.6 million** includes **550,000 Class A-2 common shares** issued on March 6, 2025, for services related to the Company's internal corporate reorganization[6](index=6&type=chunk) [Segment Performance](index=3&type=section&id=Segment%20Performance) This section analyzes the financial performance and premium generation across the company's distinct business segments for the reporting periods [Segment Income](index=3&type=section&id=Segment%20Income) The segment income analysis for Q2 and H1 2025 reveals varied performance across the company's segments Underwriting Income (Three Months Ended June 30) | Segment | 2025 ($M) | 2024 ($M) | Change ($M) | | :-------------------------- | :-------- | :-------- | :---------- | | Agency and Insurance Services | 2.3 | — | 2.3 | | Belmont Core | 2.7 | 4.6 | (1.9) | | Belmont Non-Core | 0.8 | (1.1) | 1.9 | | Consolidated | 5.8 | 3.5 | 2.3 | Underwriting Income (Six Months Ended June 30) | Segment | 2025 ($M) | 2024 ($M) | Change ($M) | | :-------------------------- | :-------- | :-------- | :---------- | | Agency and Insurance Services | 4.1 | — | 4.1 | | Belmont Core | (8.8) | 10.3 | (19.1) | | Belmont Non-Core | — | (1.5) | 1.5 | | Consolidated | (4.7) | 8.8 | (13.5) | - Belmont Core's underwriting income for the six months ended June 30, 2025, was significantly impacted, showing a **loss of $8.8 million** compared to a gain of **$10.3 million** in the prior year[10](index=10&type=chunk) [Segment Written Premiums](index=4&type=section&id=Segment%20Written%20Premiums) This section details the gross and net written premiums across Belmont Core and Belmont Non-Core segments for the three and six months ended June 30, 2025, and 2024 Gross Written Premiums (Three Months Ended June 30) | Segment | 2025 ($K) | 2024 ($K) | Change ($K) | Change (%) | | :---------------- | :-------- | :-------- | :---------- | :--------- | | Belmont Core | 109,819 | 100,552 | 9,267 | 9.22% | | Belmont Non-Core | (3,018) | 154 | (3,172) | Not Meaningful | | Total | 106,801 | 100,706 | 6,095 | 6.05% | Gross Written Premiums (Six Months Ended June 30) | Segment | 2025 ($K) | 2024 ($K) | Change ($K) | Change (%) | | :---------------- | :-------- | :-------- | :---------- | :--------- | | Belmont Core | 208,208 | 194,600 | 13,608 | 6.99% | | Belmont Non-Core | (2,732) | (406) | (2,326) | Not Meaningful | | Total | 205,476 | 194,194 | 11,282 | 5.81% | [Direct Written Premiums by Agency and Insurance Services Segment](index=4&type=section&id=Direct%20Written%20Premiums%20by%20Agency%20and%20Insurance%20Services%20Segment) Direct written premiums for the Agency and Insurance Services segment showed overall growth for both the three and six months ended June 30, 2025 Direct Written Premiums (Three Months Ended June 30) | Product Line | 2025 ($K) | 2024 ($K) | % Change | | :-------------------------- | :-------- | :-------- | :------- | | Wholesale Commercial | 69,075 | 63,877 | 8.1% | | Vacant Express | 12,370 | 9,731 | 27.1% | | Collectibles | 4,186 | 4,014 | 4.3% | | Specialty Products | 12,143 | 16,435 | (26.1%) | | Total direct written premiums | 97,774 | 94,057 | 4.0% | Direct Written Premiums (Six Months Ended June 30) | Product Line | 2025 ($K) | 2024 ($K) | % Change | | :-------------------------- | :-------- | :-------- | :------- | | Wholesale Commercial | 133,957 | 124,932 | 7.2% | | Vacant Express | 23,291 | 18,585 | 25.3% | | Collectibles | 8,285 | 7,668 | 8.0% | | Specialty Products | 19,707 | 34,004 | (42.0%) | | Total direct written premiums | 185,240 | 185,189 | 0.0% | [Assumed Written Premiums by Belmont Segments](index=4&type=section&id=Assumed%20Written%20Premiums%20by%20Belmont%20Segments) Assumed written premiums for Belmont Core showed substantial growth for both the three and six months ended June 30, 2025 Assumed Written Premiums (Three Months Ended June 30) | Segment | 2025 ($K) | 2024 ($K) | % Change | | :---------------- | :-------- | :-------- | :------- | | Belmont Core | 12,045 | 6,495 | 85.5% | | Belmont Non-Core | (3,049) | 143 | Not Meaningful | | Total | 8,996 | 6,638 | 35.5% | Assumed Written Premiums (Six Months Ended June 30) | Segment | 2025 ($K) | 2024 ($K) | % Change | | :---------------- | :-------- | :-------- | :------- | | Belmont Core | 22,968 | 9,411 | 144.1% | | Belmont Non-Core | (2,850) | (509) | Not Meaningful | | Total | 20,118 | 8,902 | 126.0% | [Investment Performance](index=7&type=section&id=Investment%20Performance) This section reviews the company's investment portfolio, detailing asset allocation, investment income, and overall return metrics [Selected Investment Data](index=7&type=section&id=Selected%20Investment%20Data) The company's selected investment data shows a slight decrease in total cash and invested assets net, but an increase in total investment return for the six months ended June 30, 2025 Market Value of Investments (As of June 30, 2025 vs. Dec 31, 2024) | Asset Type | June 30, 2025 ($M) | Dec 31, 2024 ($M) | Change ($M) | Change (%) | | :---------------------------------- | :----------------- | :---------------- | :---------- | :--------- | | Fixed maturities | 1,336.3 | 1,381.9 | (45.6) | -3.30% | | Cash and cash equivalents | 67.3 | 17.0 | 50.3 | 295.88% | | Total cash and invested assets, net | 1,433.0 | 1,440.7 | (7.7) | -0.53% | Total Pre-Tax Investment Return (Three Months Ended June 30) | Metric | 2025 ($M) | 2024 ($M) | Change ($M) | | :-------------------------- | :-------- | :-------- | :---------- | | Net investment income | 14.7 | 15.3 | (0.6) | | Net realized investment gains | 0.1 | 0.2 | (0.1) | | Net unrealized investment gains | 2.9 | 2.4 | 0.5 | | Total investment return | 17.7 | 17.9 | (0.2) | | Annualized investment return % | 4.9% | 5.0% | -0.1% | Total Pre-Tax Investment Return (Six Months Ended June 30) | Metric | 2025 ($M) | 2024 ($M) | Change ($M) | | :-------------------------- | :-------- | :-------- | :---------- | | Net investment income | 29.5 | 29.8 | (0.3) | | Net realized investment gains | 0.3 | 1.1 | (0.8) | | Net unrealized investment gains | 7.2 | 5.9 | 1.3 | | Total investment return | 37.0 | 36.8 | 0.2 | | Annualized investment return % | 5.1% | 5.2% | -0.1% | [Non-GAAP Financial Measures](index=7&type=section&id=Non-GAAP%20Financial%20Measures) This section clarifies the definition and reconciliation of non-GAAP financial measures, such as operating income and adjusted combined ratios, used for performance evaluation [Note Regarding Operating Income](index=7&type=section&id=Note%20Regarding%20Operating%20Income) This section defines "Operating income" as a non-GAAP financial measure, which excludes after-tax net realized investment gains and other unique non-operational charges from net income - Operating income is a non-GAAP financial measure, calculated by excluding after-tax net realized investment gains and other unique non-operational charges from net income[24](index=24&type=chunk) - The company explicitly states that operating income is not a substitute for net income determined in accordance with GAAP, and investors should not place undue reliance on this measure[24](index=24&type=chunk) Summary of Operating Income (Three Months Ended June 30) | Metric | 2025 ($K) | 2024 ($K) | | :-------------------------- | :-------- | :-------- | | Operating income, net of tax | 10,242 | 9,935 | | Net realized investment gains, net of tax | 102 | 158 | | Net income | 10,344 | 10,093 | | Operating income per share – diluted | 0.71 | 0.72 | [Reconciliation of Non-GAAP Financial Measures and Ratios](index=8&type=section&id=Reconciliation%20of%20Non-GAAP%20Financial%20Measures%20and%20Ratios) This section provides detailed reconciliations of various non-GAAP financial measures and ratios to their most directly comparable GAAP measures - The company believes non-GAAP financial measures are useful for investors to evaluate underwriting performance trends, as they exclude the impact of prior accident year adjustments and the California Wildfires[25](index=25&type=chunk) Consolidated Current Accident Year Underwriting Income excluding California Wildfires (Six Months Ended June 30) | Metric | 2025 ($K) | 2024 ($K) | | :---------------------------------------------------- | :-------- | :-------- | | Underwriting income (loss) (GAAP) | (4,689) | 8,812 | | Effect of prior accident year | (53) | (81) | | Current accident year underwriting income (loss) | (4,742) | 8,731 | | California Wildfires net losses and loss adjustment expenses | 15,684 | — | | Current accident year underwriting income excluding California Wildfires (Non-GAAP) | 10,942 | 8,731 | Current Accident Year Combined Ratio excluding California Wildfires (Six Months Ended June 30) | Metric | 2025 | 2024 | | :---------------------------------------------------- | :----- | :----- | | Combined ratio (GAAP) | 103.0% | 95.7% | | Effect of prior accident year | — | 0.1% | | Current accident year combined ratio | 103.0% | 95.8% | | Impact of California Wildfires | (8.3%) | — | | Current accident year combined ratio excluding California Wildfires (Non-GAAP) | 94.7% | 95.8% | [Forward-Looking Information](index=9&type=section&id=Forward-Looking%20Information) This section provides a cautionary disclaimer regarding forward-looking statements, highlighting inherent risks and uncertainties that may cause actual results to differ materially [Forward-Looking Statements Disclaimer](index=9&type=section&id=Forward-Looking%20Statements%20Disclaimer) This section serves as a cautionary statement regarding forward-looking statements made in the press release - Forward-looking statements in the press release are subject to risks and uncertainties, and actual results may differ materially from estimates[30](index=30&type=chunk) - The statements are based on estimates and information available at the time of the press release, and Global Indemnity does not assume any obligation to update them[30](index=30&type=chunk) - Investors are advised to consult Global Indemnity's filings with the Securities and Exchange Commission for a discussion of risks and uncertainties[30](index=30&type=chunk)

[Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents Global Indemnity Group, LLC's unaudited consolidated financial statements for Q1 2025, including core statements and notes [Consolidated Balance Sheets](index=3&type=section&id=Consolidated%20Balance%20Sheets) The consolidated balance sheets show a slight decrease in total assets and equity, with increased cash and cash equivalents Consolidated Balance Sheet Highlights (March 31, 2025 vs. December 31, 2024) | Metric (in thousands) | March 31, 2025 | December 31, 2024 | Change | | :-------------------- | :------------- | :---------------- | :----- | | Total assets | $1,713.6M | $1,731.3M | $(17.6M) | | Total liabilities | $1,026.6M | $1,042.1M | $(15.5M) | | Total shareholders' equity | $687.1M | $689.1M | $(2.1M) | | Total investments | $1,351.7M | $1,423.6M | $(71.9M) | | Cash and cash equivalents | $81.1M | $17.0M | $64.1M | | Unpaid losses and loss adjustment expenses | $794.8M | $800.4M | $(5.5M) | - Total assets decreased by **$17.6 million**, primarily driven by a decrease in total investments, partially offset by a significant increase in cash and cash equivalents[9](index=9&type=chunk) [Consolidated Statements of Operations](index=4&type=section&id=Consolidated%20Statements%20of%20Operations) Consolidated operations show a significant Q1 2025 profitability decline, with a net loss and higher expenses Consolidated Statements of Operations Highlights (Q1 2025 vs. Q1 2024) | Metric (in thousands) | Q1 2025 | Q1 2024 | Change ($) | Change (%) | | :-------------------- | :-------- | :-------- | :--------- | :--------- | | Gross written premiums | $98.7M | $93.5M | $5.2M | 5.5% | | Net earned premiums | $93.3M | $96.6M | $(3.3M) | (3.4%) | | Total revenues | $108.7M | $112.3M | $(3.6M) | (3.2%) | | Net losses and loss adjustment expenses | $66.7M | $53.4M | $13.4M | 25.0% | | Corporate expenses | $9.5M | $6.4M | $3.1M | 49.1% | | Net income (loss) | $(4.0M) | $11.4M | $(15.4M) | (135.1%) | | Basic EPS | **$(0.30)** | **$0.83** | **$(1.13)** | (136.1%) | | Diluted EPS | **$(0.30)** | **$0.82** | **$(1.12)** | (136.6%) | - The company reported a net loss of **$4.0 million** in Q1 2025, a significant decline from a net income of **$11.4 million** in Q1 2024, primarily due to a **25.0%** increase in net losses and loss adjustment expenses and a **49.1%** rise in corporate expenses[11](index=11&type=chunk) [Consolidated Statements of Comprehensive Income (Loss)](index=5&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) Comprehensive income shifted to a loss in Q1 2025, driven by net loss despite other comprehensive income growth Consolidated Statements of Comprehensive Income (Loss) Highlights (Q1 2025 vs. Q1 2024) | Metric (in thousands) | Q1 2025 | Q1 2024 | Change ($) | Change (%) | | :-------------------- | :-------- | :-------- | :--------- | :--------- | | Net income (loss) | $(4.0M) | $11.4M | $(15.4M) | (135.1%) | | Other comprehensive income, net of tax | $3.5M | $2.9M | $0.6M | 21.9% | | Comprehensive income (loss), net of tax | $(0.5M) | $14.2M | $(14.7M) | (103.5%) | - Despite an increase in other comprehensive income (net of tax) by **21.9%**, the company's comprehensive income (loss) significantly declined from a gain of **$14.2 million** in Q1 2024 to a loss of **$0.5 million** in Q1 2025, driven by the net loss for the period[15](index=15&type=chunk) [Consolidated Statements of Changes in Shareholders' Equity](index=6&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Shareholders'%20Equity) Shareholders' equity increased year-over-year due to paid-in capital and retained earnings, despite a current quarter net loss Consolidated Statements of Changes in Shareholders' Equity Highlights (Q1 2025 vs. Q1 2024) | Metric (in thousands) | March 31, 2025 | March 31, 2024 | Change ($) | | :-------------------- | :------------- | :------------- | :--------- | | Total shareholders' equity (End of Period) | $687.1M | $659.5M | $27.6M | | Additional paid-in capital (End of Period) | $463.1M | $456.2M | $6.9M | | Retained earnings (End of Period) | $259.6M | $251.5M | $8.1M | | Net income (loss) | $(4.0M) | $11.4M | $(15.4M) | | Distributions to shareholders | $(5.0M) | $(4.8M) | $(0.2M) | - Total shareholders' equity increased by **$27.6 million** year-over-year, primarily due to an increase in additional paid-in capital and retained earnings, despite a net loss in Q1 2025[18](index=18&type=chunk) [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow significantly decreased in Q1 2025, largely offset by investing activities, boosting cash and equivalents Consolidated Statements of Cash Flows Highlights (Q1 2025 vs. Q1 2024) | Metric (in thousands) | Q1 2025 | Q1 2024 | Change ($) | Change (%) | | :-------------------- | :-------- | :--------- | :--------- | :--------- | | Net cash provided by operating activities | $2.4M | $22.7M | $(20.3M) | (89.4%) | | Net cash provided by (used for) investing activities | $66.8M | $(16.9M) | $83.8M | 494.5% | | Net cash used for financing activities | $(5.1M) | $(4.9M) | $(0.2M) | 3.8% | | Net change in cash and cash equivalents | $64.1M | $0.8M | $63.3M | 7721.6% | | Cash and cash equivalents at end of period | $81.1M | $38.9M | $42.3M | 108.8% | - Net cash provided by operating activities decreased significantly by **89.4%** in Q1 2025 compared to Q1 2024, primarily due to increased net losses and loss adjustment expenses paid. However, net cash from investing activities saw a substantial positive swing, leading to a large net increase in cash and cash equivalents[21](index=21&type=chunk)[173](index=173&type=chunk) [Notes to Consolidated Financial Statements (Unaudited)](index=8&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements%20(Unaudited)) This section provides detailed disclosures and explanations for the unaudited consolidated financial statements [1. Principles of Consolidation and Basis of Presentation](index=8&type=section&id=1.%20Principles%20of%20Consolidation%20and%20Basis%20of%20Presentation) This section outlines the company's consolidation principles and financial statement presentation basis - Global Indemnity Group, LLC is a Delaware limited liability company, publicly traded on the NYSE under GBLI (excluding Class A-2 shares). The interim consolidated financial statements are unaudited and prepared in conformity with GAAP, requiring management estimates[22](index=22&type=chunk)[23](index=23&type=chunk) - The consolidated financial statements include Global Indemnity Group, LLC and its wholly-owned subsidiaries, with all intercompany balances and transactions eliminated[25](index=25&type=chunk) [2. Investments](index=8&type=section&id=2.%20Investments) This section details the company's investment portfolio, including fixed maturities, equity securities, and alternative investments Total Fixed Maturities (March 31, 2025 vs. December 31, 2024) | Metric (in thousands) | March 31, 2025 | December 31, 2024 | Change ($) | Change (%) | | :-------------------- | :------------- | :---------------- | :--------- | :--------- | | Amortized Cost | $1,323.7M | $1,394.6M | $(71.0M) | (5.1%) | | Estimated Fair Value | $1,315.4M | $1,381.9M | $(6

Financial Data and Key Metrics Changes - The net loss for the first quarter was $4 million, which included $15.6 million in losses from California wildfires, resulting in a net income of $8.2 million excluding these losses compared to $11.4 million in the same period last year [13] - Book value per share decreased from $49.98 at year-end to $47.85 at March 31, primarily due to stock compensation and comprehensive loss [13] - Investment income increased by 2% to $14.8 million from a year ago, with a current book yield on the fixed income portfolio at 4.5% [14][15] Business Line Data and Key Metrics Changes - Consolidated gross premiums increased by 6% to $98.7 million in 2025 compared to $93.5 million in 2024, with a 16% increase in gross written premiums excluding terminated products [19][20] - The Agency and Insurance Services segment generated income of $1.8 million before tax for the quarter, while the consolidated accident year combined ratio was 111.5, improving to 94.8% when excluding wildfire losses [16][18] Market Data and Key Metrics Changes - The underlying core growth excluding terminated products was 16%, with rate increases and exposure growth modestly exceeding estimates of social and price inflation trends [6][9] - The company anticipates annual average catastrophic losses of $17 million, with the recent Los Angeles wildfires exceeding previous models for wildfire risk [10][11] Company Strategy and Development Direction - The company has completed a strategic restructuring to facilitate efficient and controlled rapid product expansion, with expectations for growth fueled by organic growth and focused acquisitions [7][8] - The focus remains on long-term value creation for shareholders, with investments directed towards the new Pan America underwriter operation rather than share repurchases [33][36] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving premium growth of at least 10% for 2025, with expectations for improved underwriting performance in the latter part of the year [22] - The company is adopting a defensive strategy in investments due to fluctuating interest rates and is closely monitoring potential fraud claims amid economic downturns [38][39] Other Important Information - The company has maintained staff numbers slightly below 2023 levels while managing expenses, with a target to reduce the expense ratio to 37% or lower in the long term [11][12] - Discretionary capital was reported at $251 million as of March 31, which supports growth investments [22] Q&A Session Summary Question: Can the expense ratio drop below 40% in the next two or three quarters? - Management expects the expense ratio to be in the 39% to 40% range for this year, with the targeted 37% achievable in 2026 or 2027 [27] Question: Why issue stock to insiders instead of repurchasing shares? - The decision to issue shares was based on a contractual obligation to compensate for Project Manifest, with the board believing that investing in operations will create more long-term value [33] Question: Will there be more losses from the LA fire? - Most of the losses have been paid out, and management does not expect any material changes in the reported numbers [37] Question: How will economic factors impact claims and profitability? - Management is focused on monitoring potential fraud claims and premium payment interruptions, emphasizing that insurance operates similarly over the long term despite short-term economic fluctuations [39] Question: Should corporate expenses trend back to prior levels post-Q1? - Corporate expenses are expected to trend back towards historical levels, but potential acquisitions may introduce additional expenses [50]

Financial Data and Key Metrics Changes - The net loss for Q1 2025 was $4 million, which included $15.6 million in pre-tax losses from California wildfires, resulting in a net income of $8.2 million when excluding these losses, compared to $11.4 million in the same period last year [13] - Book value per share decreased from $49.98 at year-end to $47.85 at March 31, primarily due to the comprehensive loss of $500,000 and stock compensation [13][22] - Investment income increased by 2% to $14.8 million from a year ago, with a current book yield on the fixed income portfolio at 4.5% [14] Business Line Data and Key Metrics Changes - Consolidated gross premiums increased by 6% to $98.7 million in 2025 compared to $93.5 million in 2024, with gross written premiums excluding terminated products increasing by 16% to $98.4 million [19] - The Agency and Insurance Services segment generated income of $1.8 million before tax for the quarter, while the consolidated accident year combined ratio was 111.5, improving to 94.8% when excluding wildfire losses [16][18] - The Wholesale Commercial segment grew by 6% to $64.9 million, while Insurtech grew by 20% to $15 million [20] Market Data and Key Metrics Changes - The company anticipates an annual average of $17 million from all catastrophic losses, with the recent Los Angeles wildfires exceeding previous models for wildfire risk [10][11] - The company expects premium growth of at least 10% for 2025, with underwriting performance expected to improve in the last three quarters compared to the same period in 2024 [21][22] Company Strategy and Development Direction - The company has completed a strategic restructuring to facilitate efficient product expansion, with plans for organic growth and targeted acquisitions over the next few years [7][12] - The focus remains on long-term growth rather than short-term stock price boosts, with the board prioritizing investments in operations over share repurchases [32][35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the underlying trends despite reported numbers falling short of targets, indicating strong potential for shareholder value growth [12] - The company is adopting a defensive strategy in investments due to fluctuating interest rates and is closely monitoring potential fraud claims amid economic downturns [38] Other Important Information - The company has maintained staff numbers slightly below 2023 levels while growing the business at double-digit rates [11] - Discretionary capital was reported at $251 million as of March 31, which is intended to support growth initiatives [22] Q&A Session Summary Question: Can the expense ratio drop below 40% in the next two or three quarters? - Management expects the expense ratio to be in the 39% to 40% range for this year, with the targeted 37% being a longer-term goal [26] Question: Why issue stock to insiders instead of repurchasing shares? - The decision to issue shares was based on a contractual obligation to compensate for advisory services related to Project Manifest, with the board believing that investing in operations will create more long-term value [31][32] Question: Will there be more losses from the LA fire? - Most of the losses have been paid out, and management does not expect any material changes to the reported numbers [36] Question: How might economic factors impact claims and profitability? - Management is focused on monitoring interest rates and potential fraud claims, emphasizing that insurance operates similarly over the long term despite short-term fluctuations [38] Question: What was the tangible book value dilution from the shares issued? - The per share impact was reported as 1.74 [39] Question: Will corporate expenses trend back to prior levels post-Q1? - Corporate expenses are expected to trend back towards historical levels, but potential acquisitions may introduce additional expenses [48][50]

Financial Performance - The net loss available to common shareholders for Q1 2025 was $4.1 million, or ($0.30) per share, including a $12.2 million loss attributed to California Wildfires[1] - Excluding California Wildfires, net income available to common shareholders was $8.1 million, or $0.58 per share, compared to $11.3 million, or $0.82 per share in Q1 2024[2] - Net income available to common shareholders was a loss of $4,099 million in Q1 2025, compared to a profit of $11,256 million in Q1 2024[17] - The net income available to common shareholders excluding California Wildfires for Q1 2025 was $8,117,000, down from $11,256,000 in Q1 2024[27] - The operating income excluding California Wildfires for Q1 2025 was $8,121,000, compared to $10,692,000 in Q1 2024[27] Premiums and Underwriting - Gross written premiums increased by 6% to $98.7 million in Q1 2025, with a 16% increase to $98.4 million when excluding terminated products[2] - Total direct written premiums decreased by 4.0% to $87,467 million in Q1 2025 from $91,132 million in Q1 2024[14] - InsurTech segment saw a significant growth of 20.1%, with direct written premiums reaching $15,020 million compared to $12,508 million in the previous year[14] - Belmont Core segment reported a remarkable increase of 274.6% in assumed written premiums, totaling $10,922 million, up from $2,916 million[15] - Gross written premiums increased to $98,675 million in Q1 2025, compared to $93,488 million in Q1 2024, reflecting a growth of 5.0%[17] Losses and Expenses - Net losses and loss adjustment expenses rose to $66,738 million, up from $53,384 million, indicating a significant increase in claims[17] - The California Wildfires resulted in net losses and loss adjustment expenses of $15,600,000 for the current accident year[27] Ratios and Financial Metrics - The current accident year combined ratio was 111.5% in Q1 2025, compared to 94.9% in Q1 2024; excluding California Wildfires, it would have been 94.8%[2] - The combined ratio deteriorated to 111.7% in Q1 2025 from 94.9% in Q1 2024, highlighting increased underwriting losses[17] - The current accident year underwriting income (loss) was a loss of $10,328,000 in Q1 2025, compared to an income of $5,272,000 in Q1 2024[27] - The current accident year combined ratio excluding California Wildfires was 94.8% in Q1 2025, compared to 94.9% in Q1 2024[27] - The effect of prior accident year on the combined ratio was a decrease of 0.2% in Q1 2025[27] Shareholder Equity and Book Value - Shareholders' equity decreased to $687.1 million as of March 31, 2025, from $689.1 million at December 31, 2024[2] - Book value per common share fell to $47.85 at March 31, 2025, down from $49.98 at December 31, 2024[2] Investment Performance - Net investment income rose by 2% to $14.8 million in Q1 2025 compared to the same period in 2024[2] - The total annualized investment return remained stable at 5.4% for both Q1 2025 and Q1 2024, indicating consistent investment performance[21] Corporate Developments - The Company executed an extensive internal business reorganization to enhance operational efficiency and statutory capital[7] - The appointment of Praveen Reddy as President and CEO of Penn-America Underwriters marks a strategic investment to develop agency capabilities[7] Assets and Cash Position - Cash and cash equivalents increased significantly to $81,146 million as of March 31, 2025, compared to $17,009 million at the end of 2024[19] - Total assets decreased to $1,713,606 million from $1,731,253 million, reflecting a decline in overall asset value[19] Company Overview - Global Indemnity Group, LLC is a publicly listed holding company for property and casualty insurance-related businesses[28] - The company does not assume any obligation to update forward-looking statements after the date they were made[30]

Financial Data and Key Metrics Changes - Net income increased to $43.2 million in 2024 from $25.4 million in 2023, with a per-share value increase from $47.53 to $49.98 [24] - Investment income rose by 13% to $62.4 million compared to the previous year [25] - The consolidated accident year combined ratio improved to 95.4% in 2024 from 97.3% in 2023 [29] Business Line Data and Key Metrics Changes - Penn America segment's gross premiums increased by 12% in 2024, driven by a 17% growth in Insurtech and 12% growth in wholesale commercial [10] - Underwriting income for Penn America rose to $22.1 million in 2024 from $18.5 million in 2023 [30] - The assumed reinsurance business grew significantly, with gross written premiums increasing to $25.4 million from $13.9 million in 2023 [40] Market Data and Key Metrics Changes - Total catastrophe losses decreased by approximately 26% from 2023, with total cat losses for 2024 at $12.7 million compared to $13.8 million in 2023 [13][31] - The expense ratio for Penn America improved to 38.1% in 2024, with a target to reduce it further to 37% or lower [16] Company Strategy and Development Direction - The company is focusing on enhancing underwriting capabilities and expanding product offerings through strategic hires and technology investments [20][88] - A multi-year technology transformation is underway, with over 75% of the transition to the cloud completed [17] - The company aims for a revenue growth of 10% from Penn America in 2025, alongside improvements in non-catastrophe accident year loss ratios [41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term metrics for revenue growth and underwriting profits, despite challenges in the regulatory environment affecting rate increases [8][72] - The company is reassessing its catastrophe models due to unexpected losses from recent wildfires, indicating a need for adjustments in risk assessment [65][68] Other Important Information - Discretionary capital increased to $255 million at the end of 2024, compared to $200 million in 2023, providing more capacity for growth initiatives [42] - The average credit quality of the fixed income portfolio remains at double A, with a current book yield of 4.4% [27] Q&A Session Summary Question: Regarding the California fires, was it an underwriting issue or rate increase challenge? - Management indicated that they have been seeking rate increases but faced regulatory challenges, resulting in a sizable loss from a limited number of properties [46] Question: Can you provide more details on the reinsurance segment growth and future plans? - The reinsurance segment has grown to 16 treaties with expectations for continued growth in 2025 and 2026 [49] Question: What is the total exposure in California and is it on the direct commercial side? - The total exposure in California is about six basis points of the total market, all on the direct book [58] Question: What kind of rate increases do you expect in California following the recent wildfire? - Management expects at least a 50% increase on affected business types, but noted that achieving this in California's regulatory environment is challenging [72] Question: Is there room to reduce the expense ratio without compromising underwriting quality? - Management believes there is room to reduce the expense ratio and plans to improve it as they run off terminated business [80]

Financial Data and Key Metrics Changes - Net income increased to $43.2 million in 2024 from $25.4 million in 2023, with a per-share value increase from $47.53 to $49.98 [24] - Investment income rose by 13% to $62.4 million compared to the previous year [25] - The consolidated accident year combined ratio improved to 95.4% in 2024 from 97.3% in 2023 [29] Business Line Data and Key Metrics Changes - Penn America segment's gross premiums increased by 12% in 2024, driven by a 17% growth in Insurtech and 12% growth in wholesale commercial [10] - Underwriting income for Penn America rose to $22.1 million in 2024 from $18.5 million in 2023, with an accident year combined ratio of 94.4% [30] - The assumed reinsurance business grew significantly, with gross written premiums increasing to $25.4 million from $13.9 million in 2023 [40] Market Data and Key Metrics Changes - Total gross premiums decreased to $389.8 million in 2024 from $416.4 million in 2023, primarily due to runoff from non-core segments [35] - The California wildfire losses amounted to $15 million, with the company reassessing its exposure and modeling for future risks [14][62] Company Strategy and Development Direction - The company is focusing on enhancing underwriting capabilities and expanding product offerings through strategic hires and technology investments [20][88] - A multi-year technology transformation is underway, with over 75% of the transition to the cloud completed [17] - The company aims for revenue growth of 10% from Penn America in 2025, alongside improvements in non-catastrophe accident year loss ratios [41] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving long-term metrics for revenue growth and underwriting profits, despite challenges in the regulatory environment for rate increases in California [8][72] - The company is optimistic about the future, with plans to continue investing in growth and improving underwriting results [22][90] Other Important Information - The expense ratio for Penn America was reported at 38.1%, with a goal to reduce it to 37% or lower [16] - Discretionary capital increased to $255 million at the end of 2024, providing flexibility for future investments [42] Q&A Session Summary Question: Regarding the California fires, was it an underwriting issue or rate increase challenges? - Management indicated that they have been seeking rate increases but faced regulatory challenges, resulting in a sizable loss from a limited number of properties [46] Question: Can you provide more details on the reinsurance segment's growth? - The reinsurance segment has grown to 16 treaties with expectations for continued growth in 2025 and 2026 [49] Question: Is there potential for reducing the expense ratio without compromising underwriting quality? - Management acknowledged room for improvement in the expense ratio and indicated that they do not currently plan any special dividends [80] Question: What is the total exposure in California? - The total exposure in California is about six basis points of the total market, all on the direct book [58] Question: What kind of rate increases are expected in California following the wildfire? - Management anticipates needing at least a 50% rate increase for affected business, but regulatory challenges may complicate this [72]

PART I [Business](index=6&type=section&id=Item%201.%20BUSINESS) Global Indemnity operates as a specialty property and casualty insurer through core Penn-America and Non-Core segments, recently reorganized, holding an 'A' (Excellent) AM Best rating - The company operates through two segments: Penn-America (core products) and Non-Core Operations (de-emphasized or discontinued business). Penn-America's gross premiums written were **$400.0 million** in 2024[20](index=20&type=chunk) - In December 2024, the company executed a significant internal reorganization, creating Penn-America Underwriters, LLC for distribution and services, and placing its five specialty insurance companies under Belmont Holdings GX, Inc. to improve capital efficiency[16](index=16&type=chunk)[17](index=17&type=chunk) Penn-America Gross Written Premiums by Division (in thousands) | Business Division | 2024 | 2023 | 2022 | |-----------------------|--------------|--------------|---------------| | Wholesale Commercial | $248,600 | $234,941 | $219,688 | | Specialty Products | $69,612 | $72,535 | $121,838 | | InsurTech | $56,341 | $48,309 | $40,977 | | Assumed Reinsurance | $25,423 | $13,875 | $5,464 | | **Total** | **$399,976** | **$369,660** | **$387,967** | Investment Portfolio Summary (Fair Value, in thousands) | Investment Type | Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | |-------------------------|----------------|----------------|----------------| | Total fixed maturities | $1,381,908 | $1,293,793 | $1,248,198 | | Equity securities | $12,284 | $16,508 | $17,520 | | Other invested assets | $29,413 | $38,236 | $38,176 | | Cash and cash equivalents| $17,009 | $38,037 | $38,846 | | **Total** | **$1,440,614** | **$1,386,574** | **$1,342,740** | - The company's insurance subsidiaries are assigned a financial strength rating of **"A" (Excellent)** by AM Best, indicating an excellent ability to meet ongoing obligations to policyholders[95](index=95&type=chunk)[96](index=96&type=chunk) [Risk Factors](index=28&type=section&id=Item%201A.%20RISK%20FACTORS) The company faces risks from restructuring, loss reserving uncertainty, disasters, cybersecurity, investment volatility, and concentrated ownership - The recent restructuring initiative may not produce anticipated benefits and could lead to unintended consequences, such as the loss of key personnel or harmed relationships with agents[122](index=122&type=chunk) - A significant risk is that actual claims payments may exceed established loss reserves, which are based on estimates and inherently uncertain, potentially leading to adverse effects on financial condition[125](index=125&type=chunk)[127](index=127&type=chunk) - The company is exposed to cybersecurity risks, including security breaches or cyber-attacks on its own or third-party systems, which could disrupt business, damage its reputation, and cause financial losses[140](index=140&type=chunk)[144](index=144&type=chunk)[146](index=146&type=chunk) - The company's investment performance is subject to adverse capital market developments, including interest rate fluctuations, liquidity risk, and credit/default risk, which could negatively impact financial results[152](index=152&type=chunk) - Fox Paine Entities beneficially own shares representing approximately **83.8%** of the company's total voting power, giving them control over matters requiring shareholder approval, which may create conflicts of interest with other shareholders[182](index=182&type=chunk) - As a publicly traded partnership, shareholders may be subject to U.S. federal, state, and local income taxes on their share of the company's taxable income, regardless of whether they receive cash distributions[195](index=195&type=chunk) [Unresolved Staff Comments](index=50&type=section&id=Item%201B.%20UNRESOLVED%20STAFF%20COMMENTS) The company reports that it has no unresolved staff comments from the SEC - None[217](index=217&type=chunk) [Cybersecurity](index=50&type=section&id=Item%201C.%20CYBERSECURITY) The company manages cybersecurity through its Enterprise Risk Management framework, led by the CISO, with no material impact to date - Cybersecurity risk management is incorporated within the company's Enterprise Risk Management framework, led by the Senior Vice President of Operations[219](index=219&type=chunk) - The Chief Information Security Officer (CISO) has primary responsibility for managing cybersecurity risks and provides quarterly reports to the Enterprise Risk Management Committee of the Board of Directors[224](index=224&type=chunk)[225](index=225&type=chunk)[228](index=228&type=chunk) - The company engages external experts, such as cybersecurity assessors and consultants, to assess and test its risk mitigation tools and security measures[220](index=220&type=chunk)[221](index=221&type=chunk) - To date, the company believes that risks from identified cybersecurity threats have not materially affected and are not reasonably likely to materially affect the company's business strategy, results of operations, or financial condition[223](index=223&type=chunk) [Properties](index=52&type=section&id=Item%202.%20PROPERTIES) The company's principal offices are in Bala Cynwyd, Pennsylvania, with other leases terminated as employees transition to remote work - The company's principal executive offices are in leased space in Bala Cynwyd, Pennsylvania[230](index=230&type=chunk) - The company is terminating leases in Omaha, Nebraska; Cavan, Ireland; and Scottsdale, Arizona, as employees at these locations have transitioned to remote work[230](index=230&type=chunk) [Legal Proceedings](index=52&type=section&id=Item%203.%20LEGAL%20PROCEEDINGS) The company is involved in ordinary course legal proceedings, not expecting material adverse effects, but anticipates disputes with runoff reinsurers - The company is involved in various legal proceedings in the ordinary course of business but does not expect them to have a material adverse effect on its financial condition[231](index=231&type=chunk) - The company anticipates continued litigation and arbitration proceedings and notes a higher potential for disputes with reinsurers in runoff[232](index=232&type=chunk) [Mine Safety Disclosures](index=52&type=section&id=Item%204.%20MINE%20SAFETY%20DISCLOSURES) This item is not applicable to the company - None[233](index=233&type=chunk) PART II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=53&type=section&id=Item%205.%20MARKET%20FOR%20REGISTRANT%27S%20COMMON%20EQUITY%2C%20RELATED%20STOCKHOLDER%20MATTERS%20AND%20ISSUER%20PURCHASES%20OF%20EQUITY%20SECURITIES) Global Indemnity's Class A shares trade on NYSE, with an active share repurchase program and future dividends subject to Board discretion and regulatory restrictions - The Board of Directors authorized a share repurchase program of up to **$135 million**, which expires on December 31, 2027. As of March 11, 2025, **$101.0 million** remained available for repurchases[191](index=191&type=chunk)[244](index=244&type=chunk) - During the year ended December 31, 2023, the company repurchased **1,357,082 shares** for an aggregate amount of **$34.0 million**, at an average price of **$25.05 per share**[246](index=246&type=chunk) - Future dividends are subject to the discretion of the Board of Directors and are dependent on the ability of its insurance subsidiaries to pay dividends, which is subject to significant regulatory restrictions[248](index=248&type=chunk)[249](index=249&type=chunk) Five-Year Cumulative Total Return Comparison | Index | 12/31/19 | 12/31/20 | 12/31/21 | 12/31/22 | 12/31/23 | 12/31/24 | |------------------------|----------|----------|----------|----------|----------|----------| | Global Indemnity | $100.0 | $96.5 | $84.8 | $78.7 | $108.8 | $121.5 | | NASDAQ Insurance Index | $100.0 | $100.9 | $114.3 | $116.5 | $126.1 | $156.5 | | NASDAQ Composite Index | $100.0 | $143.6 | $174.4 | $116.6 | $167.3 | $215.2 | [[Reserved]](index=54&type=section&id=Item%206.%20%5BRESERVED%5D) This item is not applicable - Not applicable[250](index=250&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=55&type=section&id=Item%207.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) In 2024, Global Indemnity's net income rose to $43.2 million, driven by strong underwriting and investment income, reflecting core business focus 2024 Financial Highlights | Metric | 2024 | 2023 | |-----------------------------|-----------------------|-----------------------| | Net Income | $43.2 million | $25.4 million | | Diluted EPS | $3.12 | $1.83 | | Underwriting Income | $17.8 million | $3.0 million | | Penn-America GWP | $400.0 million (+8.2%)| $369.7 million | | Net Investment Income | $62.4 million (+12.5%)| $55.4 million | | Shareholders' Equity | $689.1 million (+6.2%)| $648.8 million | | Book Value per Common Share | $49.98 (+5.2%) | $47.51 | - The liability for unpaid losses and loss adjustment expenses is a critical accounting estimate, requiring significant judgment. As of December 31, 2024, gross reserves were **$800.4 million** and net reserves were **$739.6 million**[264](index=264&type=chunk)[279](index=279&type=chunk) Consolidated Underwriting Ratios | Ratio | 2024 | 2023 | 2022 | |-----------------|---------|---------|---------| | Loss Ratio | 56.6% | 61.1% | 59.6% | | Expense Ratio | 39.0% | 38.6% | 39.2% | | Combined Ratio | 95.6% | 99.7% | 98.8% | - The Penn-America segment's accident year combined ratio improved to **94.4%** in 2024 from **95.2%** in 2023, driven by better property results. The segment's accident year underwriting income increased **19.3%** to **$22.1 million**[316](index=316&type=chunk)[327](index=327&type=chunk)[328](index=328&type=chunk) - The company's liquidity is strong, with sources of funds including premiums, investment income, and dividends from insurance subsidiaries. The holding company has no direct operations and relies on these subsidiary cash flows to meet its obligations, including shareholder distributions and share repurchases[362](index=362&type=chunk)[364](index=364&type=chunk)[368](index=368&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=86&type=section&id=Item%207A.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) The company's primary market risks are interest rate and credit risk, managed through high-quality, short-duration fixed-income investments and strong counterparty selection - The company's primary market risk exposures are interest rate risk and credit risk associated with its investment portfolio[418](index=418&type=chunk) Interest Rate Sensitivity Analysis (as of Dec 31, 2024) | Basis Point Change | Change in Market Value (in thousands) | % Change | |--------------------|---------------------------------------|----------| | (200) | $19,736 | 1.4% | | (100) | $9,885 | 0.7% | | 100 | ($9,913) | (0.7%) | | 200 | ($19,822) | (1.4%) | - Credit risk is managed by investing in high-quality debt instruments and limiting exposure to any single issuer. The company also mitigates credit risk from its general agencies and reinsurers through contractual terms and by dealing with financially strong counterparties[423](index=423&type=chunk)[425](index=425&type=chunk)[426](index=426&type=chunk) [Financial Statements and Supplementary Data](index=88&type=section&id=Item%208.%20FINANCIAL%20STATEMENTS%20AND%20SUPPLEMENTARY%20DATA) This section presents the company's audited consolidated financial statements, with an unqualified auditor's opinion, highlighting unpaid losses and loss adjustment expenses as a critical audit matter - The independent auditor, Ernst & Young LLP, issued an unqualified opinion on the consolidated financial statements and the effectiveness of internal control over financial reporting[436](index=436&type=chunk)[437](index=437&type=chunk) - The auditor identified the Valuation of Unpaid Losses and Loss Adjustment Expenses as a Critical Audit Matter due to the significant estimation uncertainty and complex judgments involved[440](index=440&type=chunk)[441](index=441&type=chunk) Consolidated Balance Sheet Highlights (in thousands) | Account | Dec 31, 2024 | Dec 31, 2023 | |-------------------------|--------------|--------------| | Total Investments | $1,423,605 | $1,348,537 | | Total Assets | $1,731,253 | $1,729,576 | | Unpaid Losses & LAE | $800,391 | $850,599 | | Total Liabilities | $1,042,104 | $1,080,823 | | Total Shareholders' Equity | $689,149 | $648,753 | Consolidated Statement of Operations Highlights (in thousands) | Account | 2024 | 2023 | 2022 | |-------------------------|--------------|--------------|--------------| | Net Earned Premiums | $376,992 | $473,357 | $602,471 | | Total Revenues | $441,187 | $528,129 | $628,534 | | Net Losses & LAE | $213,190 | $289,153 | $359,228 | | Net Income (Loss) | $43,241 | $25,429 | ($850) | - Subsequent to year-end, on March 6, 2025, the company issued **550,000 class A-2 common shares** to Fox Paine & Company, LLC as an advisory fee for services related to the internal corporate reorganization[710](index=710&type=chunk)[711](index=711&type=chunk)[712](index=712&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=163&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[717](index=717&type=chunk) [Controls and Procedures](index=163&type=section&id=Item%209A.%20CONTROLS%20AND%20PROCEDURES) Management concluded that disclosure controls and internal control over financial reporting were effective as of December 31, 2024, with no material weaknesses or changes - Management, including the Principal Executive Officer and Chief Financial Officer, concluded that the company's disclosure controls and procedures were effective as of December 31, 2024[717](index=717&type=chunk) - Management's assessment concluded that the company's internal control over financial reporting was effective as of December 31, 2024, with no material weaknesses identified[721](index=721&type=chunk) - There were no changes in internal control over financial reporting during the fourth quarter of 2024 that materially affected, or are reasonably likely to materially affect, these controls[723](index=723&type=chunk) [Other Information](index=166&type=section&id=Item%209B.%20OTHER%20INFORMATION) This section details the March 6, 2025 issuance of 550,000 Class A-2 common shares to Fox Paine & Company, LLC as an advisory fee for reorganization services - On March 6, 2025, the company issued **550,000 class A common shares** designated as class A-2 common shares to Fox Paine & Company, LLC as payment for services related to the company's internal reorganization[733](index=733&type=chunk) - The class A-2 shares represent an interest in the company's profits above a threshold amount of **$475.3 million** and have specific distribution rights in the event of a Change of Control Transaction[733](index=733&type=chunk) [Disclosure Regarding Foreign Jurisdictions That Prevent Inspections](index=166&type=section&id=Item%209C.%20DISCLOSURE%20REGARDING%20FOREIGN%20JURISDICTIONS%20THAT%20PREVENT%20INSPECTIONS) This item is not applicable to the company - Not applicable[735](index=735&type=chunk) PART III [Directors, Executive Officers, and Corporate Governance](index=167&type=section&id=Item%2010.%20DIRECTORS%2C%20EXECUTIVE%20OFFICERS%2C%20AND%20CORPORATE%20GOVERNANCE) Information regarding directors, executive officers, and corporate governance is incorporated by reference from the 2025 Proxy Statement - The information required for this item is incorporated by reference from the Registrant's Proxy Statement for the 2025 Annual Meeting of Shareholders[737](index=737&type=chunk) [Executive Compensation](index=167&type=section&id=Item%2011.%20EXECUTIVE%20COMPENSATION) Information regarding executive compensation is incorporated by reference from the 2025 Proxy Statement - The information required for this item is incorporated by reference from the Registrant's Proxy Statement for the 2025 Annual Meeting of Shareholders[740](index=740&type=chunk) [Security Ownership of Certain Beneficial Owners and Management, and Related Stockholder Matters](index=167&type=section&id=Item%2012.%20SECURITY%20OWNERSHIP%20OF%20CERTAIN%20BENEFICIAL%20OWNERS%20AND%20MANAGEMENT%2C%20AND%20RELATED%20STOCKHOLDER%20MATTERS) Information regarding security ownership is incorporated by reference from the 2025 Proxy Statement - The information required for this item is incorporated by reference from the Registrant's Proxy Statement for the 2025 Annual Meeting of Shareholders[741](index=741&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=167&type=section&id=Item%2013.%20CERTAIN%20RELATIONSHIPS%20AND%20RELATED%20TRANSACTIONS%2C%20AND%20DIRECTOR%20INDEPENDENCE) Information regarding related party transactions and director independence is incorporated by reference from the 2025 Proxy Statement - The information required for this item is incorporated by reference from the Registrant's Proxy Statement for the 2025 Annual Meeting of Shareholders[742](index=742&type=chunk) [Principal Accountant Fees and Services](index=167&type=section&id=Item%2014.%20PRINCIPAL%20ACCOUNTANT%20FEES%20AND%20SERVICES) Information regarding principal accountant fees and services is incorporated by reference from the 2025 Proxy Statement - The information required for this item is incorporated by reference from the Registrant's Proxy Statement for the 2025 Annual Meeting of Shareholders[743](index=743&type=chunk) PART IV [Exhibits and Financial Statement Schedules](index=168&type=section&id=Item%2015.%20EXHIBITS%20AND%20FINANCIAL%20STATEMENT%20SCHEDULES) This section lists all financial statements, schedules, and exhibits filed with the report, including governance documents and certifications - This section lists all financial statements, schedules, and exhibits filed with the report, including governance documents like the LLC Agreement, material contracts, and required certifications[746](index=746&type=chunk)[747](index=747&type=chunk) [Form 10-K Summary](index=172&type=section&id=Item%2016.%20FORM%2010-K%20SUMMARY) The company indicates that there is no Form 10-K summary - None[750](index=750&type=chunk)