Company: NODK
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001174947-25-000721
Chunk: 169

Company: NI Holdings, Inc.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 2
Chunk 169
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 factors discussed in the Loss and Loss Adjustment Expenses the Underwriting and General Expenses and Expense Ratio sections
above.

The overall combined ratio increased 0.5 percentage points in the three-month
period ended March 31, 2025, compared to the same period in 2024. These results were driven by the factors discussed in the Loss and Loss
Adjustment Expenses and the Underwriting and General Expenses and Expense Ratio sections above.

37 

Fee and Other Income

We had fee and other income of $230 for the three months ended March
31, 2025, compared to $404 for the three months ended March 31, 2024. Fee income is largely attributable to the Non-Standard Auto segment
and is a key component in measuring its profitability. Fee and other income on this business decreased to $221 for the three months ended
March 31, 2025, from $350 for the three months ended March 31, 2024, driven by the strategic reduction in written premium within this
segment.

Net Investment Income

The following table shows our average cash and invested assets, net
investment income, and return on average cash and invested assets for the reported periods:

    Three Months Ended March 31, 

    2025  
    2024 
  
    Average cash and invested assets 
    $391,998  
    $358,634 
  
    Net investment income 
    $2,838  
    $2,755 

    Gross return on average cash and invested assets 
     3.9%  
     4.1% 
  
    Net return on average cash and invested assets 
     2.9%  
     3.1% 

Net investment income increased $83 for the three months ended March
31, 2025, compared to the three months ended March 31, 2024. This increase was primarily driven by earning relatively consistent yields
on a higher average invested assets, partially offset by higher investment expenses.

Gross and net return on average cash and invested assets decreased
year-over-year, primarily driven by lower returns on high dividend yield equities as well as cash and other short-term investments, partially
offset by higher returns on the average fixed income securities balance (measured at fair value). The increase in average cash and invested
assets was driven by increases in cash and investments from the generation of positive operating cash flows during 2024 and the first
quarter of 202