Company: OXBRW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-023960
Chunk: 127

Company: OXBRIDGE RE HOLDINGS Ltd
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 127
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 Tokenholders. As of June 30, 2025, amounts due to
CatRe tokenholders decreased to $1.2 million from $1.73 million at December 31, 2024. The decrease is due to the tokenholders share
in the limit loss experienced on one of our reinsurance contracts affected by Hurricane Milton.

Unearned
Premiums Reserve. As of June 30, 2025, our unearned premiums reserve increased by $1.04 million, to $2.03 million from $991,000
at December 31, 2024. The increase is due to the new reinsurance contracts placed for the 2025 2026 treaty year.

31

LIQUIDITY
AND CAPITAL RESOURCES

General

We
are organized as a holding company and provide administrative and management services to our subsidiaries. Our operations are conducted
through our reinsurance subsidiaries, Oxbridge Reinsurance Limited and Oxbridge Re NS and our web3 focused subsidiary SurancePlus Inc.
which underwrites risks associated with our property and casualty reinsurance programs as well as the tokenization of RWAs such as Reinsurance
contracts. We have minimal continuing cash needs at the holding company level, with such needs principally being related to the payment
of administrative expenses and shareholder dividends. There are restrictions on Oxbridge Reinsurance Limited’s and Oxbridge Re
NS’ ability to pay dividends which are described in more detail below.

Sources
and Uses of Funds

Our
sources of funds primarily consist of premium receipts (net of brokerage fees and federal excise taxes, where applicable) and investment
income, including interest, dividends and realized gains. We use cash to pay losses and loss adjustment expenses, other underwriting
expenses, dividends, and general and administrative expenses. Substantially all our surplus funds, net of funds required for cash liquidity
purposes, are invested in accordance with our business plan and investment guidelines. Our investment portfolio, except for our investment
in Jet.AI, is primarily comprised of cash and highly liquid securities, which can be liquidated, if necessary, to meet current liabilities.
We believe that we have sufficient flexibility to liquidate any securities that we own to generate liquidity.

As
of June 30, 2025, we believe we had sufficient cash flows from operations to meet our liquidity requirements in the short term. We expect
that our operational needs for liquidity will be met by cash, investment income, sales under our existing ATM facilities and funds generated
from underwriting activities