Company: MHLA
Filing Date: 2025-03-10
Form Type: 10-K
Source: 0001412100-25-000011
Chunk: 178

Company: Maiden Holdings, Ltd.
Filing Date: 2025-03-10
Form: 10-K
Item: Item 7
Chunk 178
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, 2019. In addition, deferred commission and other acquisition expenses decreased further in 2024 due to accelerated amortization upon the recognition of a premium deficiency of $3.3 million in the AmTrust Reinsurance segment during the year ended December 31, 2024.

Funds withheld receivable decreased by 91.2% primarily due to settlement of reinsurance losses payable under the AmTrust Quota Share as well as $15.3 million of excess collateral released by AmTrust during the year ended December 31, 2024. The funds withheld receivable balance with AmTrust was fully exhausted in the third quarter of 2024, and the remaining funds withheld receivable balance pertains to accounts in the Diversified Reinsurance segment.

The Company's reserve for loss and LAE decreased by 8.5% primarily due to continued settlement of loss reserves for AmTrust Reinsurance contracts. 

The deferred gain on retroactive reinsurance increased by $34.0 million or 46.4% for the year ended December 31, 2024 primarily due to adverse development in the AmTrust Quota Share that is covered by the LPT/ADC Agreement with Cavello. The table below details the increase in the deferred gain for losses recoverable under the LPT/ADC Agreement for the years ended December 31, 2024 and 2023:

For the Year Ended December 31,20242023 ($ in thousands)Opening Balance$70,916 $45,408 Adverse PPD covered under the LPT/ADC Agreement64,338 29,308 Favorable PPD on commuted Workers Compensation business(26,200)(3,800)Amortization of deferred gain for the LPT/ADC Agreement(4,099)— Deferred gain liability for the LPT/ADC Agreement$104,955 $70,916 .

Accrued expenses and other liabilities increased by $49.7 million for the year ended December 31, 2024 primarily due to accrual of reinsurance losses payable due to AmTrust including $24.3 million for the Premium Repayment Loan Agreement.  The liability for investments purchased increased by $6.5 million due to trades occurring on or before December 31, 2024 that will be settled subsequent to that date.

84

Capital Resources

During the year ended December 31, 2024, book value per common share decreased by 81.5% to $0.