Company: NODK
Filing Date: 2025-03-07
Form Type: 10-K
Source: 0001174947-25-000304
Chunk: 1767

Company: NI Holdings, Inc.
Filing Date: 2025-03-07
Form: 10-K
Item: Item 6
Chunk 1767
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. This decrease was driven by the much-improved loss experience as a result of having no catastrophe losses during 2023 compared
to 2022, combined with improved non-catastrophe weather losses and the significant rate increases and underwriting actions we implemented
to address the profitability on these lines of business. Catastrophe losses, net of reinsurance, for the Home and Farm segment accounted
for 72.1 percentage points of the net loss and loss adjustment expense ratio for the year ended December 31, 2022.

Crop – The net loss and loss adjustment expenses
ratio increased 1.1 percentage points in 2024 compared to 2023. The strong results for 2024 were the result of favorable crop growing
conditions, similar to the prior year. The net loss and loss adjustment expenses ratio decreased 14.1 percentage points in 2023 compared
to 2022. This decrease was due to improved crop growing conditions in 2023 in comparison to 2022.

All other – The net loss and loss adjustment
expenses ratio increased 33.0 percentage points in 2024 compared to 2023. This increase was driven by elevated large loss experience compared
to the prior year and an inter-segment reclassification of a large loss during 2023. The net loss and loss adjustment expenses ratio decreased
55.5 percentage points in 2023 compared to 2022. This decrease was driven by improved loss experience related to the commercial and excess
liability lines of business.

Underwriting and General Expenses and Expense Ratio

    Year Ended December 31, 

    2024  
    2023  
    2022 
  
    Underwriting and general expenses: 

    Amortization of deferred policy acquisition costs 
    $71,257  
    $67,631  
    $53,605 
  
    Other underwriting and general expenses 
     33,709  
     29,326  
     25,303 
  
    Total underwriting and general expenses 
    $104,966  
    $96,957  
    $78,908 

    Expense ratio 
     33.8%  
     33.2%  
     29.0% 

The expense ratio is calculated by dividing other underwriting and
general expenses and amortization of deferred policy acquisition costs by net premiums earned. The expense ratio measures a company’s
operational efficiency