Company: TIPT
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0001393726-25-000055
Chunk: 68

Company: TIPTREE INC.
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 8
Chunk 68
---
 premiums were diversified by geographic location, exposure and risk type with substantial reinsurance protection. As of March 31, 2025, the net loss to the Company in a 1-in-250 year catastrophe event represented approximately 3.9% of Fortegra’s stockholders’ equity. This reported loss includes the impact of incurred losses based on the estimated frequency and severity of potential events, reinstatements premiums, reinsurance recoveries and taxes.

Combined Ratio

The combined ratio was 89.9% for the three months ended March 31, 2025, compared to 90.3% for the prior year period, reflecting the consistent underwriting performance and scalability of the Company’s operating platform. The underwriting ratio was 76.0%, a decrease of 1.5 percentage points from the prior year period, which consists of a loss ratio of 46.4%, compared to 46.3% in the 

57

prior year period, and an acquisition ratio of 29.6%, compared to 31.2% in the prior year period. The increase in loss ratio was driven by changes in business mix towards commercial lines and increases in repair and labor costs on vehicle service contracts compared to prior year period, which was offset by the decline in acquisition ratio as a result of swing rate commission structures. Additionally, for the three months ended March 31, 2025, the loss ratio included 6.7 percentage points related to net catastrophe losses as compared to 0.3 percentage points in the prior year period. The primary catastrophic events impacting 2025 were the California wildfires. The operating expense ratio increased 1.1 percentage points to 13.9%, as compared to 12.8% in the prior year period.

Underwriting and Fee Revenues and Underwriting and Fee Margin - Non-GAAP

The below tables show underwriting and fee revenues and underwriting and fee margin by business mix for the three months ended March 31, 2025 and 2024.

Three Months Ended March 31, ($ in thousands)20252024InsuranceServicesTotalInsuranceServicesTotalUnderwriting and Fee Revenues (1)$364,739$86,492$451,231$350,192 $97,891 $448,083 Net losses and loss adjustment expenses179,848—179,848175,380 — 175,380 Member benefit claims—29,46529,465— 32,284 32,284 Commission expense (