Schedule II - Condensed Financial Information of the Registrant

12 Months Ended

Dec. 31, 2021

Schedule II - Condensed Financial Information of the Registrant

Schedule II - Condensed Financial Information of the Registrant

Safety Insurance Group, Inc.

Condensed Financial Information of the Registrant

Condensed Balance Sheets

Schedule II

(Dollars in thousands)

	Years Ended December 31,
	2021		2020
Assets
Investments in consolidated affiliates	$	929,136	$	886,662
Other		24		39
Total assets	$	929,160	$	886,701
Liabilities
Accounts payable and other liabilities	$	1,987	$	2,022
Total liabilities		1,987		2,022
Shareholders’ equity		927,173		884,679
Total liabilities and shareholders’ equity	$	929,160	$	886,701

The condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto.

Safety Insurance Group, Inc.

Condensed Financial Information of the Registrant

Condensed Statements of Operations and Comprehensive Income

Schedule II

(Dollars in thousands)

	Years Ended December 31,
	2021		2020		2019
Revenues	$	—	$	—	$	—
Expenses		1,755		1,833		1,694
Net loss		(1,755)		(1,833)		(1,694)
Earnings from consolidated subsidiaries		132,465		140,044		101,295
Net income		130,710		138,211		99,601
Other comprehensive income (loss), net of tax		(28,948)		25,337		38,896
Comprehensive income	$	101,762	$	163,548	$	138,497

The condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto.

Safety Insurance Group, Inc.

Condensed Financial Information of the Registrant

Condensed Statements of Cash Flows

Schedule II

(Dollars in thousands)

	Years Ended December 31,
	2021		2020		2019
Net income	$	130,710	$	138,211	$	99,601
Adjustments to reconcile net income to net cash provided by operating activities:
Earnings from consolidated subsidiaries		(132,465)		(140,044)		(101,295)
Dividends received from consolidated subsidiaries(1)		49,488		89,156		47,585
Amortization of restricted stock expense		17,788		7,359		6,514
Changes in assets and liabilities:
Other assets		15		15		15
Accounts payable and accrued liabilities		35		(123)		247
Net cash provided by operating activities		65,571		94,574		52,667
Proceeds from exercise of stock options		—		—		—
Excess tax benefit from stock options exercised		—		—		—
Dividends paid		(54,008)		(54,575)		(52,667)
Acquisition of treasury stock		(11,563)		(39,999)		—
Net cash used for financing activities		(65,571)		(94,574)		(52,667)
Net increase in cash and cash equivalents		—		—		—
Cash and cash equivalents, beginning of year		—		—		—
Cash and cash equivalents, end of year	$	—	$	—	$	—

(1) No portion of the dividends received from operating subsidiaries during 2021, 2020 or 2019 represent returns of capital and therefore no portion is presented as an investing activity.

The condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto.