Company: NODK
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001174947-25-000721
Chunk: 172

Company: NI Holdings, Inc.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 2
Chunk 172
---
 December 31, 2024.

Liquidity and Capital Resources

We expect to generate sufficient funds from our operations and maintain
a high degree of liquidity in our investment portfolio to meet the demands of claim settlements and operating expenses for the foreseeable
future. Our primary sources of funds are premium collections, investment earnings, and fixed income maturities.

We also have a $3,000 line of credit with Wells Fargo Bank, N.A. The
terms of the line of credit include a floating interest rate of 2.50% above the daily simple secured overnight financing rate. There were
no outstanding amounts during the three months ended March 31, 2025, or the year ended December 31, 2024. This line of credit is scheduled
to expire on December 13, 2025.

The change in cash and cash equivalents for continuing and discontinued
operations for the three months ended March 31, 2025 and 2024, were as follows:

    Three Months Ended March 31, 

    2025  
    2024 
  
    Net cash flows from operating activities 
    $9,888  
    $16,663 
  
    Net cash flows from investing activities 
     (3,459) 
     (4,143)
  
    Net cash flows from financing activities 
     (157) 
     (178)
  
    Net increase in cash and cash equivalents 
    $6,272  
    $12,342 

39 

For the three months ended March 31, 2025, net cash provided by operating
activities totaled $9,888 compared to $16,663 in the prior year quarter. This change was primarily driven by lower levels of cash received
for premiums in the current year quarter and positive cash flows from discontinued operations in the prior year quarter, partially offset
by lower levels of loss and loss adjustment expense payments in the current year quarter.

For the three months ended March 31, 2025, net cash used by investing
activities totaled $3,459 compared to $4,143 in the prior year quarter. The relatively consistent cash outflows in the current year quarter
compared to the prior year quarter were attributable to the investment of excess cash from operations.

For the three months ended March 31, 2025, net cash used by financing
activities totaled $157 compared to $178 a year ago. This decrease in cash used was attributable to a reduction in