Schedule II. Condensed Financial Information of Registrant

12 Months Ended

Dec. 31, 2021

Notes to Condensed Financial Statments [Abstract]

Schedule II. Condensed Financial Information of Registrant

Employers Holdings, Inc.
Condensed Balance Sheets
	December 31,
	2021		2020
Assets	(in millions, except share data)
Investments:
Investment in subsidiaries	$	1,172.7	$	1,186.1
Fixed maturity securities at fair value (amortized cost $9.1 at December 31, 2021 and $9.6 at December 31, 2020)	10.1		11.0
Equity securities at fair value (cost $25.2 at December 31, 2021 and $0.4 at December 31, 2020)	25.0		0.4
Total investments	1,207.8		1,197.5
Cash and cash equivalents	4.8		11.0
Accrued investment income	0.2		0.2
Intercompany receivable	0.1		—
Federal income taxes receivable	1.5		0.8
Deferred income taxes, net	2.1		1.7
Other assets	0.9		6.4
Total assets	$	1,217.4	$	1,217.6
Liabilities and stockholders' equity
Accounts payable and accrued expenses	$	4.3	$	4.7
Other liabilities	—		0.1
Total liabilities	4.3		4.8
Stockholders' equity:
Common stock, $0.01 par value; 150,000,000 shares authorized; 57,690,254 and 57,413,806 shares issued and 27,741,400 and 28,564,798 shares outstanding at December 31, 2021 and 2020, respectively	0.6		0.6
Preferred stock, $0.01 par value; 25,000,000 shares authorized; none issued	—		—
Additional paid-in capital	410.7		404.3
Retained earnings	1,338.5		1,247.9
Accumulated other comprehensive income, net of tax	60.6		115.1
Treasury stock, at cost (29,948,854 shares at December 31, 2021 and 28,849,008 shares at December 31, 2020)	(597.3)		(555.1)
Total stockholders' equity	1,213.1		1,212.8
Total liabilities and stockholders' equity	$	1,217.4	$	1,217.6

Employers Holdings, Inc.
Condensed Statements of Income
	Years Ended December 31,
	2021		2020		2019
	(in millions, except per share data)
Revenues
Net investment income	$	0.6	$	1.1	$	3.7
Net realized and unrealized gains (losses) on investments	(0.2)		(1.9)		3.3
Total revenues	0.4		(0.8)		7.0
Expenses
Underwriting and general and administrative expenses	15.0		16.8		19.0
Interest and financing expenses	0.5		0.3		—
Total expenses	16.7		17.1		19.0
Loss before income taxes and equity in earnings of subsidiaries	(16.3)		(17.9)		(12.0)
Income tax benefit	(3.1)		(3.2)		(2.5)
Net loss before equity in earnings of subsidiaries	(13.2)		(14.7)		(9.5)
Equity in earnings of subsidiaries	132.5		134.5		166.6
Net income	$	119.3	$	119.8	$	157.1
Earnings per common share:
Basic	$	4.22	$	4.01	$	4.89
Diluted	$	4.17	$	3.97	$	4.83
Cash dividends declared per common share and eligible equity plan holders	$	1.00	$	1.00	$	0.88

Employers Holdings, Inc.
Condensed Statement of Cash Flows
	Years Ended December 31,
	2021		2020		2019
	(in millions)
Operating activities
Net income	$	119.3	$	119.8	$	157.1
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in undistributed earnings of subsidiaries	(40.9)		(39.9)		(70.4)
Net realized and unrealized losses (gains) on investments	0.2		1.9		(3.3)
Stock-based compensation	9.1		9.7		10.1
Amortization of premium on investments, net	0.1		0.1		—
Deferred income tax expense	(0.2)		0.8		(2.8)
Change in operating assets and liabilities:
Accounts payable, accrued expenses, and other liabilities	—		(2.2)		2.3
Federal income taxes	(0.7)		3.5		19.2
Other assets	(0.4)		(0.5)		(0.7)
Intercompany payables and receivables	(0.1)		3.5		(3.2)
Other	(0.1)		(0.3)		—
Net cash provided by operating activities	86.3		96.4		108.3
Investing activities
Purchases of fixed maturity securities	—		(3.2)		(9.3)
Purchases of equity securities	(35.0)		(3.0)		(42.0)
Purchases of short-term securities	—		—		—
Proceeds from sale of fixed maturity securities	0.4		14.9		4.3
Proceeds from sale of equity securities	10.3		29.0		56.0
Proceeds from maturities and redemptions of fixed maturity securities	—		3.8		3.8
Proceeds from maturities of short-term investments	—		—		25.0
Net change in unsettled investment purchases and sales	5.8		(4.4)		(5.0)
Capital contributions to subsidiaries	—		(0.4)		(73.6)
Net cash provided by (used in) investing activities	(18.5)		36.7		(40.8)
Financing activities
Acquisition of common stock	(42.6)		(99.4)		(67.5)
Cash transactions related to stock-based compensation	(2.7)		(1.8)		(2.5)
Dividends paid to stockholders	(28.7)		(30.8)		(28.9)
Net cash used in financing activities	(74.0)		(132.0)		(98.9)
Net increase (decrease) in cash and cash equivalents	(6.2)		1.1		(31.4)
Cash and cash equivalents at the beginning of the period	11.0		9.9		41.3
Cash and cash equivalents at the end of the period	$	4.8	$	11.0	$	9.9