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HCI Exhibit 99.1 HCI Group Reports Third Quarter 2021 Results Tampa , Fla . - November 8 , 2021 - HCI Group , Inc. ( NYSE : HCI ) , a holding company with operations in homeowners insurance , software development and real estate , reported results for the three and nine months ended September 30 , 2021 . Third Quarter 2021 - Financial Results In the third quarter of 2021 , the company experienced a net loss of $ 4.9 million or $ 0.72 diluted loss per share compared with net income of $ 15.4 million or $ 1.70 diluted earnings per share in the third quarter of 2020. The prior year quarter included a one - time gain of $ 37.0 million on an involuntary sale of real estate . Adjusted net loss ( a non - GAAP measure which excludes net unrealized gains or losses on equity securities ) for the third quarter of 2021 was a loss of $ 3.5 million or $ 0.64 diluted loss per share compared with income of $ 14.4 million or $ 1.60 diluted earnings per share in the third quarter of 2020 . This press release includes an explanation of adjusted net income as well as a reconciliation to net income and earnings per share calculated in accordance with generally accepted accounting principles ( known as " GAAP " ) . Even though the company recorded a net loss in the third quarter , book value per share increased by approximately 16 % to $ 30.39 per share . A contributing factor to the increase was the conversion or exchange of a portion of the company's convertible notes into or for common stock . In the third quarter , holders of the company's convertible notes converted or exchanged $ 82.8 million in principal into approximately 1.36 million of the company's common shares . The transactions increased shareholders ' equity by approximately $ 81.1 million ( net of related transaction expenses ) . Additionally , these transactions decreased long - term debt by $ 82.5 million , accounting for a significant portion of the reduction of over 50 % from the second quarter of 2021. The company recognized debt conversion expenses of approximately $ 1.3 million on these transactions in the third quarter . After these transactions , the number of common shares outstanding increased from 8,265,640 at the end of June 30 , 2021 to 9,591,079 at the end of September 30 , 2021 . Subsequent to third quarter , in the month of October the company converted or exchanged an additional $ 28 million principal amount of debt into approximately 459,000 of the company's common shares . Consolidated gross written premiums of $ 174.3 million for the third quarter of 2021 increased 49.6 % from $ 116.5 million in the third quarter of 2020. The increase was due to the continued growth of TypTap Insurance Company , policies transitioned from Gulfstream Property & Casualty Insurance Company and a quota share reinsurance arrangement with United Property & Casualty Insurance Company . Consolidated gross premiums earned of $ 149.8 million for the third quarter of 2021 increased 40.4 % from $ 106.7 million in the third quarter of 2020. The increase was driven by the growth in Homeowners Choice gross premiums earned from $ 86.8 million to $ 98.3 million and the growth of TypTap gross premiums earned from $ 19.9 million to $ 51.5 million . Premiums ceded for reinsurance for the third quarter of 2021 increased to $ 55.6 million from $ 44.2 million in the third quarter of 2020 as a result of the growth in both TypTap and Homeowners Choice and represented 37.1 % and 41.5 % , respectively , of gross premiums earned . Premiums ceded for reinsurance included a prorated share of an $ 8 million increase resulting from a periodic true - up of total insured value attributable to the growth of the company . Net investment income increased to $ 2.5 million from $ 1.8 million in the third quarter of 2020. This increase was due to an increase in income from limited partnership investments , real estate investments and an investment in an unconsolidated joint venture offset by a decrease in interest income from fixed- maturity security investments . Net realized investment gains for the third quarter of 2021 increased to $ 1.2 million from $ 0.2 million for the third quarter of 2020. This increase was primarily due to net gains from selling equity securities . Net unrealized investment losses were $ 1.9 million in the third quarter of 2021 compared with $ 1.3 million of net unrealized investment gains for the third quarter of 2020 . 1