Palomar : PLMR May 2025 Investor Presentation

Published: 2025-05-14 12:13:13 ET PLMR

Published on 05/14/2025 at 12:13

plmr.com

Company Profile

TRACK RECORD OF DELIVERING STRONG GROWTH AND CONTINUED PROFITABILITY

AM Best "A" (Excellent) : Financial Strength Rating (FSC) XI group rating

(1)

Specialty insurer using data analytics, underwriting acumen, and risk transfer expertise to capitalize on market dislocations

Five product categories: Earthquake, Inland Marine & Other Property, Casualty, Fronting, and Crop

FIRST QUARTER HIGHLIGHTS (2)

Gross written premium (GWP) of $442.2 million; 20% year over year growth

37% same-store(3) year over year growth

Adjusted net income of $51.3 million, 85% year over year growth

3rd Largest Earthquake Insurer in the United States

Adjusted return on equity of 27%

Admitted and E&S offerings with nationwide scope

Multi-channel distribution serving residential and commercial clients;

products resonate with producers, other insurers and reinsurers

Adjusted combined ratio of 69%

Acquisition of Advanced AgProtection (AAP) closed April 1, 2025

First Indemnity of America (FIA) secured a T-listing from the U.S. Treasury on April 1, 2025

Risk transfer strategy limits exposure to major events and reduces earnings volatility

Experienced management team with industry expertise and longstanding

collaboration

Successfully secured $525 million of earthquake limit via Torrey Pines Re catastrophe bond effective 6/1

Raised 2025 adjusted net income guidance to $186-$200 million

from $180-$192 million

Includes PSIC, PESIC and Palomar Re

This slide contains non-GAAP metrics. See GAAP reconciliation in the Appendix

Excludes the impact of lines of business exited or discontinued since prior year.

A BUSINESS STRATEGY TO DOUBLE ADJUSTED NET INCOME AND ACHIEVE AN ADJUSTED ROE ABOVE 20% OVER THE INTERMEDIATE TERM

Palomar 2X Strategy

FUNDAMENTAL PRINCIPLES

Profitable growth

Anchored by earthquake franchise

Low volatility - specialty lines focus

Conservative and comprehensive

risk transfer strategy

Selective entry into new markets

Sustain attractive margins

2025 STRATEGIC IMPERATIVES

Integrate and Operate

Build New Market Leaders Deliberately

Remember What

W

e Like (And What W

e

Don't)

Generate Consistent Earnings

FIVE KEY SPECIALTY INSURANCE PRODUCTS DRIVING VALUE OVER THE INTERMEDIATE TERM

Palomar Portfolio of Specialty Insurance Products

Crop

11%(1)

Fronting

12%

Earthquake

30%

Q1 2025 GWP

$442M

Inland Marine

& Other Property

22%

Casualty

25%

($ in thousands)

Products

Q1 2025

Q1 2024

YoY %

Change

Earthquake

$130,245

$105,729

23%

Casualty

110,487

51,935

113%

Inland Marine & Other Property

99,284

76,876

29%

Fronting

53,927

94,831

(43)%

Crop

48,220

38,707

25%

Total Gross Written Premiums

$442,163

$368,078

20%(2)

The majority of Crop premiums are written and earned in Q3

37% same-store growth when excluding the impact of lines of business exited or discontinued since prior year

Disclaimer

Palomar Holdings Inc. published this content on May 14, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 14, 2025 at 16:12 UTC.