Company: SLDE
Filing Date: 2025-06-09
Form Type: S-1/A
Source: 0001193125-25-137410
Chunk: 254

Company: Slide Insurance Holdings, Inc.
Filing Date: 2025-06-09
Form: S-1/A
Chunk 254
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, or differences between estimates and amounts ultimately paid, are reflected in the operating results of the period during which such adjustments are adjusted. During the three months ended March 31, 2025, the Company recognized favorable development of losses related to prior years of approximately $7,257 primarily to reduce non-catastrophereserves in response to lower than expected payments. During the three months ended March 31, 2024, the Company recognized favorable development of losses related to prior years of approximately $1,331 primarily to reduce catastrophe reserves in response to lower than expected payments.

| 7. | Income Taxes |

During the three months ended March 31, 2025 and 2024, the Company recorded approximately $31,404 and $18,646, respectively, of income tax expense, which resulted in effective tax rates of 25.34% and 25.42%, respectively. The tax rate was unchanged as compared to the corresponding period in the prior year. The Company’s estimated annual effective tax rate differs from the statutory federal tax rate due to state income taxes as well as certain nondeductible and tax-exemptitems. F-17

Slide Insurance Holdings, Inc. Notes to Unaudited Condensed Consolidated Financial Statements (Dollar amounts in thousands, except share and per share amounts, unless otherwise stated)

| 8. | Reinsurance |

Certain premiums and losses are ceded to other insurance companies under various excess of loss reinsurance agreements. The ceded reinsurance agreements are intended to provide the Company with the ability to maintain its exposure to losses within its capital resources. These reinsurance agreements do not relieve the Company from its primary obligation to policyholders, as it remains liable to its policyholders to the extent that any reinsurer does not meet its obligations for reinsurance ceded to it under reinsurance contracts. Therefore, the Company is subject to credit risk with respect to the obligations of its reinsurers, and any failure on the part of these reinsurers could have a material adverse effect on the Company’s business, financial condition and results of operations. Effective June 1, 2024, the Company entered into a per risk excess of loss treaty retaining $0.7 million on each property risk and ceding the next $4.3 million of loss. The per risk excess of loss treaties cover 100% of all losses except those related to named storms. These treaties are effective until May 31, 2025. Effective June 1, 2024, the Company entered into