Company: NODK
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001174947-25-000721
Chunk: 170

Company: NI Holdings, Inc.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 2
Chunk 170
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5.

Net Investment Gains (Losses)

Net investment gains (losses) consisted of the following:

    Three Months Ended March 31, 

    2025  
    2024 
  
    Gross realized gains 
    $503  
    $199 
  
    Gross realized losses, excluding credit impairment losses 
     (177) 
     (290)
  
    Net realized gains (losses) 
     326  
     (91)
  
    Change in net unrealized gains on equity securities 
     543  
     1,547 
  
    Net investment gains 
    $869  
    $1,456 

We had net realized gains of $326 for the three months ended March
31, 2025, compared to net realized losses of $91 for the three months ended March 31, 2024, which were the result of routine portfolio
management decisions. No credit impairment losses were reported during any of the periods presented.

We experienced an increase in net unrealized gains on equity securities
of $543 and $1,547 during the three months ended March 31, 2025 and 2024, respectively, driven by the impact of changes in fair value
attributable to favorable equity markets during these periods.

Our fixed income securities are classified as available for sale because
we will, from time to time, execute sales of securities that are not impaired, consistent with our investment goals and policies. The
fixed income portion of the portfolio experienced net unrealized gains of $3,313 during the three months ended March 31, 2025, compared
to net unrealized losses of $1,531 during the three months ended March 31, 2024. The change was primarily the result of changes in U.S.
interest rates. The change in the fair value of fixed income securities is not reflected in net income; rather it is reflected as a separate
component (net of income taxes) of other comprehensive income.

38 

Income before Income Taxes

For the three months ended March 31, 2025, we had pre-tax income of
$7,749 compared to a pre-tax income of $8,833 for the three months ended March 31, 2024. This change was attributable to the higher underwriting
loss in the Non-Standard Auto segment, and less favorable market conditions for equity investments, partially offset by earned premium
growth in our other segments, higher net investment income