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SECOND QUARTER 2026 RESULTS August 4, 2026
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This presentation may contain forward-looking statements about our operations, anticipated performance and other similar matters. The Private Securities Litigation Reform Act of 1995 provides a safe harbor under the Securities Act of 1933 and the Securities Exchange Act of 1934 for forward-looking statements. The forward-looking statements are not historical facts and involve risks and uncertainties that could cause actual results to differ from those expected and/or projected. Such forward-looking statements are based on current expectations, estimates, forecasts and projections about the Company, the industry in which we operate, and beliefs and assumptions made by management. Words such as "expect(s)," "anticipate(s)," "intend(s)," "plan(s)," "believe(s)," "continue(s)," "seek(s)," "estimate(s)," "goal(s)," "remain(s) optimistic," "target(s)," "forecast(s)," "project(s)," "predict(s)," "should," "could," "may," "will," "might," "hope," "can" and other words and terms of similar meaning or expression in connection with a discussion of future operations, financial performance or financial condition, are intended to identify forward-looking statements. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed in such forward-looking statements. Some factors that could cause actual outcomes and results to differ materially from those expressed in the forward-looking statements is contained in Part I, Item 1A "Risk Factors" of our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the Securities and Exchange Commission ("SEC") on February 26, 2026. The risks identified in our Annual Report on Form 10-K and in our other SEC filings are representative of the risks, uncertainties, and assumptions that could cause actual outcomes and results to differ materially from what is expressed in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release or as of the date they are made. Except as required under the federal securities laws and the rules and regulations of the SEC, we do not have any intention and disclaim any duty or obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. Non-GAAP financial measures This presentation also includes certain non-GAAP financial measures within the meaning of Regulation G, including “adjusted operating income (loss),” which are used where management believes them to be helpful in understanding the Company’s results of operations or financial position. Refer to information about the non-GAAP measures contained in this presentation. Additional information as required by Regulation G are available in our Annual Report on Form 10-K and our Form 8-K furnished as of the date of this presentation with the SEC, which are available at http://ir.ufginsurance.com under “Financials.” Investors are cautioned not to place undue reliance on these non-GAAP measures in assessing our overall financial performance. SAFE HARBOR STATEMENT AND NON-GAAP MEASURES 2
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▪ Second quarter results produced record net written premium, net income and earnings per share; best second quarter combined ratio in more than 15 years ▪ Return on equity exceeded 13% ▪ Net written premium grew 9% ▪ Combined ratio improved 1.1 points ▪ Net investment income increased 33% ▪ Second quarter net income increased 45% to $33M, or $1.29 per share ▪ Book value per share increased to $38.02; adjusted book value per share increased to $39.72 CONSOLIDATED FINANCIAL RESULTS 3 (1) Underlying loss ratio is a non-GAAP financial measure that is defined as the net loss ratio less impacts of catastrophes and non -catastrophe prior year reserve development. (2) Underlying combined ratio is a non -GAAP financial measure that is defined as the GAAP combined ratio less impacts of catastrophe s and non -catastrophe prior year reserve development. (3) Adjusted operating income (loss) is a non -GAAP financial measure of net income excluding net investment gains and losses, after applicable taxes. (4) Return on equity is calculated by dividing annualized net income by average stockholders’ equity, which is calculated using a simple average of the beginning and ending balances for the period. (5) Adjusted book value per share is a non -GAAP financial measure calculated by dividing shareholders' equity, excluding net unreali zed investment gains and losses, after applicable federal and state income taxes, by the number of common shares outstanding. (In millions, except per share data) 2026 2025 Change 2026 2025 Change Net written premium $406 $373 9% $783 $708 11% Net earned premium $354 $315 12% $697 $623 12% GAAP ratios: Net loss ratio 59.9% 61.5% (1.6) pts 60.3% 61.5% (1.2) pts Underwriting expense ratio 35.4% 34.9% 0.5 pts 35.1% 36.4% (1.3) pts Combined ratio 95.3% 96.4% (1.1) pts 95.4% 97.9% (2.5) pts Loss ratios: Net loss ratio 59.9% 61.5% (1.6) pts 60.3% 61.5% (1.2) pts Catastrophe loss ratio (1) 2.7% 5.5% (2.8) pts 3.2% 5.3% (2.1) pts Reserve development (excl. catastrophe) (1) 0.0% (1.6%) 1.6 pts 0.0% (0.8%) 0.8 pts Underlying loss ratio (1) 57.2% 57.6% (0.4) pts 57.1% 57.0% 0.1 pts Underlying combined ratio (2) 92.6% 92.5% 0.1 pts 92.2% 93.4% (1.2) pts Net investment income $29 $22 $56 $45 Net investment gains (losses) ($0) ($1) ($1) ($2) Net income (loss) $33 $23 $63 $41 Adjusted operating income (loss) (3) $34 $24 $64 $42 Net income (loss) per diluted share $1.29 $0.87 $2.45 $1.54 Adjusted operating income (loss) per diluted share (3) $1.30 $0.90 $2.47 $1.60 Return on equity (4) 13.2% 10.0% Book value per share $38.02 Adjusted book value per share (5) $39.72 Second quarter Year to date
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▪ Net written premium increased 9% in the second quarter led by core commercial ▪ Second quarter combined ratio improved 1.1 points to 95.3% driven by a lower catastrophe loss ratio ▪ Second quarter catastrophe loss ratio of 2.7% remained well below five- and 10-year historical averages ▪ Underwriting expense ratio increased by 0.5 points over prior year partially driven by actions to reduce real estate footprint that will contribute to improvement in the expense ratio over time. ▪ Underlying loss ratio decreased slightly over prior year and remains within expectations P&C TRENDS 4(1) Underlying loss ratio is a non-GAAP financial measure that is defined as the net loss ratio less impacts of catastrophes and non-catastrophe prior year reserve development. (2) Underlying combined ratio is a non-GAAP financial measure that is defined as the GAAP combined ratio less impacts of catastrophes and non-catastrophe prior year reserve development. 56.5% 57.6% 56.0% 55.4% 57.0% 57.2% 37.9% 34.9% 34.6% 35.7% 34.9% 35.4% 5.0% 5.5% 1.3% 1.2% 3.7% 2.7% 99.4% 96.4% 91.9% 92.3% 95.6% 95.3% -10.0% 10.0% 30.0% 50.0% 70.0% 90.0% 110.0% 130.0% Q1 Q2 Q3 Q4 Q1 Q2 2025 2026 Underlying loss ratio Expense ratio Catastrophe losses Reserve development Combined ratio $335 $373 $328 $310 $377 $406 - 100 200 300 400 500 600 Q1 Q2 Q3 Q4 Q1 Q2 2025 2026 Net written premium ($M)
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P&C PRODUCTION RESULTS 5 ▪ Second quarter net written premium growth driven by a 9% increase in core commercial, achieved through broader access to new business opportunities from strengthened distribution relationships, deepened underwriting expertise and evolved capabilities balanced with disciplined risk selection ▪ New business and retention at healthy levels supportive of growth ▪ Average renewal rate change moderated from Q1 with continued pressure on property rates while auto rates were sequentially flat to Q1 and umbrella rates remained in double-digits ▪ Alternative distribution net written premium growth driven by disciplined selection of opportunities where target profitability could be achieved Notes: Monoline IM included in total core commercial results Surety NWP excludes proportional reinsurance 9.7% 7.6% 5.8% 4.8% 4.3% 2.9% 11.7% 9.4% 7.1% 6.3% 6.0% 4.6% 81% 86% 86% 85% 83% 83% 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 20% Retention Renewal premium change Rate Q1 Q2 Q3 Q4 Q1 Q2 BUSINESS UNIT DETAIL 2025 2026 2026 SMALL BUSINESS Retention 80% 86% 89% 88% 89% 89% Rate 5% 6% 5% 5% 5% 4% New business $ 14 14 14 12 14 15 CONSTRUCTION Retention 83% 84% 85% 86% 84% 82% Rate 11% 7% 5% 5% 4% 3% New business $ 26 38 35 24 33 40 MIDDLE MARKET Retention 80% 89% 86% 85% 81% 83% Rate 9% 9% 7% 4% 4% 2% New business $ 16 20 16 12 18 13 CORE COMMERCIAL GWP $ 256 285 243 218 282 308 NWP $ 238 268 226 201 266 291 New business $ 57 75 67 49 66 70 SURETY NWP $ 15 15 14 13 15 19 SPECIALTY NWP $ 8 16 10 22 12 13 ALT DIST NWP $ 74 74 77 74 84 84
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▪ Second quarter total invested assets of $2.5B, with 90% of invested assets in fixed income securities ▪ High-quality portfolio with average credit rating on fixed maturity assets of AA ▪ Portfolio attractively positioned to reinvest at higher rates with duration maintained at approximately four years ▪ Unrealized loss increased slightly in second quarter due to interest rate movement INVESTMENT PORTFOLIO 6 Investment portfolio composition & quality Unrealized gain / loss impact on stockholders’ equity Fixed maturity credit rating Rating % of portfolio AAA 27% AA 38% A 24% Baa / BBB 9% Investment grade 98% Other / not rated 2% Total fixed maturity 100% Fixed maturities 90% Other & long- term partnerships 10% Portfolio composition Note: Totals may be impacted by rounding Note: Totals impacted by rounding Fixed maturity asset balance ($M) Q2 2026 Q4 2025 YTD change Book value $2,340 $2,239 Unrealized gain (loss) ($57) ($34) ($23) Carried assets on balance sheet $2,284 $2,205 Change in equity (after tax) ($18)
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$21 $21 $22 $23 $25 $26 ($3) ($3) ($3) ($3) ($2) ($2) $5 $4 $7 $6 $4 $5 $23 $22 $26 $26 $27 $29 ($5) $0 $5 $10 $15 $20 $25 $30 $35 Q1 Q2 Q3 Q4 Q1 Q2 2025 2026 Fixed maturity Investment expense Long-term investments & other ▪ Second quarter net investment income increased 33%, with 24% growth in fixed maturity income ▪ Fixed maturity income growth driven by a combination of portfolio growth and ongoing investment at yields above portfolio average ▪ New purchase yield of 5.1% continued to exceed total portfolio yield, supporting increased future returns ▪ Other long-term investments, including limited partnerships, delivered higher returns in the second quarter compared to prior year INVESTMENT INCOME 7 Results Net investment income trend ($M) (1) Fixed maturity yield excluding unrealized gains/losses and expenses Pre-tax yield1 Total 4.3% 4.3% 4.4% 4.4% 4.4% 4.6% New money 5.3% 5.4% 5.0% 5.0% 5.0% 5.1%