Core Viewpoint - NI Holdings, Inc. reported a decline in key financial metrics for the third quarter of 2025, primarily due to strategic changes in its Non-Standard Auto segment, which included ceasing operations in certain states to improve future underwriting performance and stability [1][4][6]. Financial Performance - Direct written premiums decreased to $58.5 million from $67.7 million, a decline of 13.7% year-over-year, largely due to an 80.0% drop in Non-Standard Auto premiums [3][6]. - Net earned premiums also fell by 13.6% to $71.9 million compared to $83.3 million in the previous year [3][6]. - The loss and LAE (Loss Adjustment Expense) ratio remained stable at 78.2%, while the expense ratio improved to 30.9% from 32.8% [3][6]. - The combined ratio improved to 109.1% from 111.0%, indicating a slight enhancement in overall operational efficiency [3][6]. - Net loss attributable to NI Holdings decreased significantly by 38.4% to $(1.7) million from $(2.7) million [3][6]. - Basic loss per share improved to $(0.08) from $(0.13), reflecting a 38.5% reduction in losses per share [3][6]. Strategic Decisions - The company made a strategic decision to stop writing Non-Standard Auto business in Illinois, Arizona, and South Dakota, which is expected to reduce future earned premiums but aims to enhance underwriting performance and stability [4][6]. - The Home and Farm premiums saw a 10.1% increase, attributed to new business growth in North Dakota, rate increases, and higher insured property values, although this was partially offset by lower retention and new business in Nebraska [6]. Management Commentary - The new CEO, Cindy Launer, expressed enthusiasm about rejoining the company and emphasized the commitment to delivering outstanding service and products while addressing the challenges faced in the Non-Standard Auto segment [4].

Core Viewpoint - NI Holdings, Inc. reported mixed financial results for the year ended December 31, 2024, with a strong fourth quarter net income but challenges in certain segments leading to increased combined ratios and a decline in earnings per share [1][5][6]. Financial Performance - Direct written premiums for Q4 2024 were $73.1 million, down 7.9% from Q4 2023, while full-year direct written premiums increased slightly by 0.3% to $342.3 million [3][5]. - Net earned premiums for Q4 2024 were $71.8 million, a decrease of 3.0% compared to the prior year quarter, but full-year net earned premiums rose by 6.2% to $310.1 million [3][5]. - The loss and LAE (Loss Adjustment Expense) ratio for Q4 2024 was 45.8%, up 2.3 percentage points from the prior year quarter, and the full-year ratio was 66.9%, an increase of 3.1 percentage points [3][5]. - The combined ratio for Q4 2024 was 80.0%, up 1.3 percentage points year-over-year, while the full-year combined ratio was 100.7%, compared to 97.0% in 2023 [3][5]. - Net income attributable to NI Holdings for Q4 2024 was $9.8 million, a 48.6% increase from $6.6 million in Q4 2023, but the full-year net income showed a loss of $6.1 million compared to a loss of $5.5 million in 2023 [3][5][6]. Management Commentary - The newly appointed President and CEO expressed optimism about the company's future and emphasized the importance of collaboration with the board, employees, and agents to drive success [4][6]. - The company highlighted strong performance in the Private Passenger Auto and Home and Farm segments, aided by improved weather conditions and strategic underwriting actions [6][8]. Strategic Focus - NI Holdings plans to implement a comprehensive long-term strategic plan focusing on enhancing investments in people and technology, improving distribution management, and managing expenses to create lasting shareholder value [8]. - The company is taking aggressive actions to address challenges in the Non-Standard Auto segment, which has faced unfavorable reserve developments [6][7].