Carlsbad, California – Palomar Holdings, Inc. recently held its first-quarter earnings conference call, discussing impressive growth and success in various sectors of their business. With the company celebrating its 10th anniversary, the quarter showcased profitable growth and a demonstration of their ability to expand strategically while maintaining steady earnings.

The company reported a significant 47.2% increase in gross written premiums across five product categories, with notable contributions from Crop and Casualty products. Net earned premium also saw a healthy growth of 30% compared to the previous quarter. These results, combined with strong performance in Earthquake insurance, led to a 36% growth in adjusted net income and achieved an adjusted return on equity of 22.9%.

One highlight of the quarter was Palomar’s stockholders’ equity surpassing $500 million, advancing the company to an AM Best Financial Size Category 10. This milestone is expected to open up new market segments, distribution channels, and attract top talent to drive further growth and success. The company remains on track to meet its Palomar 2X goal of doubling adjusted net income over the next three to five years, displaying a steadfast commitment to sustaining profitable growth with excellent risk-adjusted returns.

Furthermore, Palomar outlined plans to provide performance commentary on specific product categories, including Earthquake, Inland Marine, Casualty, Fronting, and Crop lines. This approach aims to offer investors a better understanding of how each segment contributes to the overall performance of the business, highlighting key growth drivers and market conditions.

In the conference call, executives discussed the strong performance in Casualty products, which saw a robust 327% increase in premiums year-over-year. The company’s strategic focus on niche segments and conservative underwriting practices have driven this growth, anchored by a strong commitment to maintaining excellent risk management tactics and ensuring competitive rate increases in key markets.

Looking ahead, the company anticipates continued growth in its Earthquake franchise, with premium expected to grow in the high-teens to 20% range for 2024. Commercial earthquake policies, particularly in high-value properties, present significant opportunities for growth and profitability. Additionally, the company’s innovative approach to writing Crop insurance, in partnership with Advanced AgProtection, has already shown promising results, with premium expectations raised to over $125 million for 2024.

Overall, Palomar Holdings, Inc. remains optimistic about the future, driven by a solid foundation of growth, profitability, and a strategic vision to deliver sustainable earnings and value for its shareholders. As the company continues to expand its market presence and enhance its product offerings, investors can look forward to continued success and value creation in the years to come.