Company Overview - The company operates as the fifth largest private passenger auto premium insurance carrier, the second largest commercial auto insurance carrier, and the third largest homeowner insurance carrier in Massachusetts[20]. - The company is the second largest writer of commercial automobile insurance in Massachusetts with a market share of 12.6% in 2022[119]. - The company is the third largest writer of homeowners insurance in Massachusetts, holding a market share of 6.5% in 2021[120]. Financial Performance - In 2022, direct written premiums totaled $823.3 million, with private passenger automobile insurance contributing 52.0%, commercial automobile 17.4%, and homeowners 25.3%[26]. - The combined ratio is typically maintained below industry averages, indicating effective cost management and underwriting practices[20]. - In 2022, the bad debt expense as a percentage of direct written premiums was 0.1%, indicating effective credit management[74]. - The total incurred losses and LAE for the current year 2022 amounted to $491,979, compared to $461,727 in 2021, reflecting an increase of approximately 6.5%[99]. - The statutory surplus of Safety Insurance was $782,200, with a net income of $66,197 for 2022, allowing for a maximum of $78,220 in dividends without prior approval[159]. Market Strategy - The company aims to further penetrate the Massachusetts, New Hampshire, and Maine markets across all lines of business[27]. - The company focuses on developing interdependent relationships with agents in Massachusetts, New Hampshire, and Maine to increase market share[50]. - Competitive commissions and incentives are offered to agents, with a focus on attracting profitable new business[52]. Technology and Innovation - The investment in technology aims to provide agents with advanced tools, enhancing the ease of doing business[20]. - The Innovation Lab has been active in 2022, conducting research and developing new technologies to enhance customer experience and competitiveness[71]. - The company introduced the Safety Commercial Express system in 2021, which was updated in 2022 to improve agent processing capabilities[70]. Claims Management - The claims department utilizes stringent settlement procedures, with approximately 58% of bodily injury claims in 2022 being soft tissue injuries[82]. - The company employs automated systems for claims processing, which streamline operations and improve customer service[87]. - Reserves for unpaid losses are reviewed quarterly, with annual certification required from a qualified actuary to ensure reasonableness[92]. Investment Portfolio - As of December 31, 2022, the company's investment portfolio was valued at $1,403,160, with 74.9% in fixed maturity securities and 17.1% in equity securities[137]. - The company’s fixed maturity investments primarily consist of investment grade corporate securities, U.S. government securities, and asset-backed securities[134]. - The estimated fair value of asset-backed securities was $443,164, representing 42.3% of the total fixed income security portfolio[149]. Risk Management - The Company has adopted a comprehensive risk management approach to assess its current and prospective solvency positions under various stress scenarios[173]. - The Company has significant exposure to interest rate risk due to its holdings of fixed rate investments, with estimated fair values of $1,092,151, $1,261,399, and changes in fair value of $41,996 and $43,120 for the years ending December 31, 2022, and 2021 respectively[394]. - The Company manages equity price risk through diversification and asset allocation techniques, with plans to purchase additional equity securities in the future[396]. Corporate Governance - The Company has a Code of Business Conduct and Ethics that applies to all employees and directors, ensuring compliance and ethical standards[192]. - The Company’s executive officers have extensive experience, with the President and CEO, George M. Murphy, having over 34 years in the industry[176]. - The Company’s Vice President of Claims, Paul J. Narciso, has 36 years of claims experience, contributing to the Company’s operational expertise[181]. Audit and Compliance - The Company reported a fair presentation of its financial position as of December 31, 2022, and 2021, in accordance with generally accepted accounting principles[400]. - The Company maintained effective internal control over financial reporting as of December 31, 2022[400]. - The audit procedures included testing the effectiveness of controls related to loss reserves and evaluating the methods and assumptions used in estimating these reserves[411].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______to ______ Commission File Number: 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) 20 Custom Hou ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______to ______ Commission File Number: 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-418169 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______to ______ Commission File Number: 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-41816 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-4181699 (State or other ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______to ______ Commission File Number: 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-4 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______to ______ Commission File Number: 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-418169 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2021 For the transition period from ______to ______ Commission File Number: 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-4181699 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identificat ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 000-50070 SAFETY INSURANCE GROUP, INC. (Exact name of registrant as specified in its charter) Delaware 13-4181699 (State or other ...