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Heritage Insurance Holdings Inc. (HRTG+9.10%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing details the company's financial performance, reporting gross premiums written of $1.43 billion, an increase of 6.7% from the previous year. This growth was driven by strategic expansion in commercial residential lines and higher average premiums per policy.
Net premiums earned rose by 10.1% to $767.9 million, reflecting higher gross premiums earned outpacing the increase in ceded premiums.
The company reported a net income of $61.5 million for the year, up from $45.3 million in 2023. This improvement was attributed to rate actions, underwriting discipline, and exposure management.
Heritage's net loss ratio improved to 58.2% from 61.1% in 2023, driven by higher net premiums earned. However, the net expense ratio increased slightly to 36.0% due to higher acquisition costs.
The company maintained a ceded premium ratio of 45.4%, a 1.9 point improvement over the previous year, due to growth in gross premiums earned.
Heritage's reinsurance program for the 2024-2025 period provides coverage up to $1.3 billion for Heritage P&C, $1.1 billion for NBIC, and $750 million for Zephyr, with a first event retention of $40 million for each.
The filing also highlights the company's strategic initiatives, including optimizing its portfolio and improving underwriting results through selective underwriting and rate adequacy.
Heritage's total assets were reported at $2.5 billion, with total stockholders' equity of $290.8 million as of December 31, 2024.
The company continues to face risks related to catastrophic weather events, regulatory changes, and market competition, as outlined in the risk factors section of the filing.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Heritage Insurance Holdings Inc. annual 10-K report dated March 13, 2025. To report an error, please email earnings@qz.com.