
	Direct		Assumed		Ceded		Net

Year ended December 31, 2025
Premiums written	$	277,800,630	$	-	$	(64,081,564)	$	213,719,066
Change in unearned premiums	(19,326,339)		-		(7,266,005)		(26,592,344)
Premiums earned	$	258,474,291	$	-	$	(71,347,569)	$	187,126,722

Year ended December 31, 2024
Premiums written	$	241,979,937	$	-	$	(87,750,072)	$	154,229,865
Change in unearned premiums	(29,080,195)		-		3,348,250		(25,731,945)
Premiums earned	$	212,899,742	$	-	$	(84,401,822)	$	128,497,920


	Gross Liability		Reinsurance Receivables

December 31, 2025
Case-basis reserves	$	75,384,626	$	20,748,974
Loss adjustment expenses	26,359,154		4,206,150
IBNR reserves	38,794,838		8,277,241
Recoverable on unpaid losses			33,232,365
Recoverable on paid losses	-		2,827,829
Total loss and loss adjustment expenses	$	140,538,618	36,060,194
Unearned premiums			22,936,751
Receivables - reinsurance contracts			-
Total reinsurance receivables			$	58,996,945

December 31, 2024
Case-basis reserves	$	64,087,782	$	17,721,033
Loss adjustment expenses	23,442,101		3,940,147
IBNR reserves	38,680,545		10,661,457
Recoverable on unpaid losses			32,322,637
Recoverable on paid losses	-		5,254,482
Total loss and loss adjustment expenses	$	126,210,428	37,577,119
Unearned premiums			31,745,317
Receivables - reinsurance contracts			-
Total reinsurance receivables			$	69,322,436


	Years ended December 31,
	2025		2024

Balance at beginning of period	$	126,210,428	$	121,817,862
Less reinsurance recoverables	(32,322,637)		(33,288,650)
Net balance, beginning of period	93,887,791		88,529,212

Incurred related to:
Current year	85,349,385		64,414,543
Prior years	(1,083,663)		(1,779,827)
Total incurred	84,265,722		62,634,716

Paid related to:
Current year	40,940,473		32,956,899
Prior years	29,906,787		24,319,238
Total paid	70,847,260		57,276,137

Net balance at end of period	107,306,253		93,887,791
Add reinsurance recoverables	33,232,365		32,322,637
Balance at end of period	$	140,538,618	$	126,210,428

Prior year incurred loss and LAE development is based upon estimates by line of business and accident year. Prior year loss and LAE development incurred during the years ended December 31, 2025 and 2024 was $1,083,663 favorable and $1,779,827 favorable, respectively. In 2025, property claims overall developed better than expected, driven primarily by reserve takedowns on several large fire and water damage claims from accident years 2023 and 2024, resulting in favorable development. This favorable development was partially offset by increased reserves associated with liability claims, which reflect the inherent variability associated with liability claim settlement patterns. In 2024, the favorable development was primarily attributable to reserve takedowns on several large property losses from accident years 2022 and 2023, reflecting recoverable depreciation. This favorable impact was partially offset by strengthening of reserves for liability claims, particularly related to loss adjustment expenses.

The reserving process for loss and LAE reserves provides for the Company’s best estimate at a particular point in time of the ultimate unpaid cost of all losses and LAE incurred, including settlement and administration of losses, and is based on facts and circumstances then known including losses that have occurred but that have not yet been reported. The process relies on standard actuarial reserving methodologies, judgments relative to estimates of ultimate claim severity and frequency, the length of time before losses will develop to their ultimate level (‘tail’ factors), and the likelihood of changes in the law or other external factors that are beyond the Company’s control. Several actuarial reserving methodologies are used to estimate required loss reserves. The process produces carried reserves set by management based upon the actuaries’ best estimate and is the cumulative combination of the best estimates made by line of business, accident year, and loss and LAE. The amount of loss and LAE reserves for individual reported claims (the “case reserve”) is determined by the claims department and changes over time as new information is gathered. Such information is critical to the review of appropriate IBNR reserves and includes a review of coverage applicability, comparative liability on the part of the insured, injury severity, property damage, replacement cost estimates, and any other information considered pertinent to estimating the

exposure presented by the claim. The amounts of loss and LAE reserves for unreported claims and development on known claims (IBNR reserves) are determined using historical information aggregated by line of insurance as adjusted to current conditions. Since this process produces loss reserves set by management based upon the actuaries’ best estimate, there is no explicit or implicit provision for uncertainty in the carried loss reserves.

Due to the inherent uncertainty associated with the reserving process, the ultimate liability may differ, perhaps substantially, from the original estimate. Such estimates are regularly reviewed and updated and any resulting adjustments are included in the current period’s results. Reserves are closely monitored and are recomputed periodically using the most recent information on reported claims and a variety of statistical techniques. On at least a quarterly basis, the Company reviews by line of business existing reserves, new claims, changes to existing case reserves, and paid losses with respect to the current and prior periods. Several methods are used, varying by line of business and accident year, in order to select the estimated period-end loss reserves. These methods include the following:

Paid Bornhuetter-Ferguson (“BF”) – an estimated loss ratio for a particular accident year is determined, and is weighted against the portion of the accident year claims that have been paid, based on historical paid loss development patterns. The estimate of required reserves assumes that the remaining unpaid portion of a particular accident year will pay out at a rate consistent with the estimated loss ratio for that year. This method can be useful for situations where an unusually high or low amount of paid losses exists at the early stages of the claims development process.

Incurred Bornhuetter-Ferguson (“BF”) - an estimated loss ratio for a particular accident year is determined, and is weighted against the portion of the accident year claims that have been reported, based on historical incurred loss development patterns. The estimate of required reserves assumes that the remaining unreported portion of a particular accident year will pay out at a rate consistent with the estimated loss ratio for that year. This method can be useful for situations where an unusually high or low amount of reported losses exists at the early stages of the claims development process.

Incremental Claim-Based Methods – historical patterns of incremental incurred losses and paid LAE during various stages of development are reviewed and assumptions are made regarding average loss and LAE development applied to remaining claims inventory. Such methods more properly reflect changes in the speed of claims closure and the relative adequacy of case reserve levels at various stages of development. These methods may provide a more accurate estimate of IBNR for lines of business with relatively few remaining open claims but for which significant recent settlement activity has occurred.

Frequency / Severity Based Methods – historical measurements of claim frequency and average paid claim size (severity) are reviewed for more mature accident years where a majority of claims have been reported and/or closed. These historical averages are trended forward to more recent periods in order to estimate ultimate losses for newer accident years that are not yet fully developed. These methods are useful for lines of business with slow and/or volatile loss development patterns, such as liability lines where information pertaining to individual cases may not be completely known for many years. The claim frequency and severity information for older periods can then be used as reasonable measures for developing a range of estimates for more recent immature periods.

Management’s best estimate of required reserves is generally based on an average of the methods above, with appropriate weighting of methods based on the line of business and accident year being projected. In some cases, additional methods or historical data from industry sources are employed to supplement the projections derived from the methods listed above.

Three key assumptions that materially affect the estimate of loss reserves are the loss ratio estimate for the current accident year used in the BF methods, the loss development factor selections used in the loss development methods, and the loss severity assumptions used in the frequency / severity method described above. The loss ratio estimates used in the BF methods are selected after reviewing historical accident year loss ratios adjusted for rate changes, trend, and mix of business. The severity assumptions used in the frequency / severity method are determined by reviewing historical average claim severity for older more mature accident periods, trended forward to less mature accident periods.

The Company reviews the carried reserves levels on a regular basis as additional information becomes available and makes adjustments in the periods in which such adjustments are determined to be necessary. The Company is not aware of any claim trends that have emerged or that would cause future adverse development that have not already been contemplated in setting current carried reserves levels.

In New York State, lawsuits for negligence are subject to certain limitations and must be commenced within three years from the date of the accident or are otherwise barred. Accordingly, the Company’s exposure to unreported claims (“pure” IBNR) for accident dates of December 31, 2022 and prior is limited, although there remains the possibility of adverse development on reported claims (“case development” IBNR). In certain rare circumstances states have retroactively revised a statute of limitations. The Company is not aware of any such effort that would have a material impact on the Company’s results.

The following is information about incurred and paid claims development as of December 31, 2025, net of reinsurance, as well as the cumulative reported claims by accident year and total IBNR reserves as of December 31, 2025 included in the net incurred loss and allocated expense amounts. The historical information regarding incurred and paid claims development for the years ended December 31, 2016 to December 31, 2024 is presented as supplementary unaudited information.


	Incurred Loss and Allocated Loss Adjustment Expenses, Net of Reinsurance																				As of December 31, 2025
	For the Years Ended December 31,																				IBNR		Cumulative Number of Reported Claims by Accident Year
Accident Year	2016		2017		2018		2019		2020		2021		2022		2023		2024		2025
	(Unaudited 2016 - 2024)

2016	$	26,062	$	24,941	$	24,789	$	27,887	$	27,966	$	27,417	$	27,352	$	27,271	$	27,247	$	27,171	$	31	2,884
2017			31,605		32,169		35,304		36,160		36,532		36,502		36,819		37,268		37,359		149		3,401
2018					54,455		56,351		58,441		59,404		61,237		61,145		61,686		61,897		425		4,238
2019							75,092		72,368		71,544		71,964		73,310		74,363		76,337		2,025		4,509
2020									63,083		62,833		63,217		63,562		64,400		65,888		934		5,896
2021											96,425		96,673		96,134		96,771		98,411		1,303		5,836
2022													79,835		78,759		78,078		77,319		2,533		4,721
2023															78,978		72,025		70,128		5,125		4,097
2024																	57,860		54,364		7,014		3,140
2025																			77,556		20,697		2,306
																	Total		$	646,429


Accident Year	Cumulative Paid Loss and Allocated Loss Adjustment Expenses, Net of Reinsurance
	For the Years Ended December 31,
	2016		2017		2018		2019		2020		2021		2022		2023		2024		2025

	(Unaudited 2016 - 2024)

2016	$	15,364	$	19,001	$	21,106	$	23,974	$	25,234	$	25,750	$	26,382	$	26,854	$	26,808	$	26,876
2017			16,704		24,820		28,693		31,393		32,529		33,522		34,683		35,046		35,336
2018					32,383		44,516		50,553		52,025		54,424		56,199		57,185		57,798
2019							40,933		54,897		58,055		60,374		63,932		66,109		68,648
2020									39,045		50,719		53,432		56,523		59,220		60,859
2021											56,282		77,756		82,317		85,314		90,865
2022													45,856		65,732		68,170		70,703
2023															46,280		56,952		59,571
2024																	29,013		40,086
2025																			36,572
																	Total		$	547,316

Net liability for unpaid loss and allocated loss adjustment expenses for the accident years presented																			$	99,113
All outstanding liabilities before 2016, net of reinsurance																			1,441
Liabilities for loss and allocated loss adjustment expenses, net of reinsurance																			$	100,554