# GREENLIGHT CAPITAL RE, LTD. (GLRE) Informational only - not investment advice. CIK: 0001385613 SIC: 6331 Fire, Marine & Casualty Insurance SIC breadcrumb: [Finance, Insurance, And Real Estate](/division/H/) > [Insurance Carriers](/major-group/63/) > [SIC 6331 Fire, Marine & Casualty Insurance](/industry/6331/) Latest 10-K filed: 2026-03-09 SEC page: https://www.sec.gov/edgar/browse/?CIK=1385613 Filing source: https://www.sec.gov/Archives/edgar/data/1385613/000138561326000010/glre-20251231.htm ## Selected Fundamentals | Metric | Value | Unit | FY | Filed | | --- | ---: | --- | ---: | --- | | Revenue | 729777000 | USD | 2025 | 2026-03-09 | | Net income | 74832000 | USD | 2025 | 2026-03-09 | | Assets | 2169783000 | USD | 2025 | 2026-03-09 | ## Financials Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-03-09. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001385613.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts. | Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Revenue | 588,366,000 | 645,675,000 | 183,029,000 | 538,153,000 | 484,092,000 | 588,551,000 | 526,683,000 | 667,082,000 | 696,026,000 | 729,777,000 | | Net income | 44,881,000 | -44,952,000 | -350,054,000 | -3,986,000 | 3,866,000 | 17,578,000 | 25,342,000 | 86,830,000 | 42,816,000 | 74,832,000 | | Diluted EPS | 1.20 | -1.21 | -9.74 | -0.11 | 0.11 | 0.51 | 0.73 | 2.50 | 1.24 | 2.17 | | Operating cash flow | -35,787,000 | 94,419,000 | -59,308,000 | 1,631,000 | -91,323,000 | -56,296,000 | -31,799,000 | 7,507,000 | 111,504,000 | 210,212,000 | | Share buybacks | 0.00 | 2,819,000 | 16,503,000 | 0.00 | 17,781,000 | 10,000,000 | 35,000 | 0.00 | 7,488,000 | 9,825,000 | | Assets | 2,664,693,000 | 3,357,393,000 | 1,435,445,000 | 1,355,193,000 | 1,357,650,000 | 1,427,494,000 | 1,580,381,000 | 1,735,307,000 | 2,016,223,000 | 2,169,783,000 | | Liabilities | 1,773,006,000 | 2,505,967,000 | 955,981,000 | 878,010,000 | 892,793,000 | 951,831,000 | 1,077,261,000 | 1,139,212,000 | 1,380,344,000 | 1,461,806,000 | | Stockholders' equity | 874,242,000 | 831,324,000 | 477,772,000 | 477,183,000 | 464,857,000 | 475,663,000 | 503,120,000 | 596,095,000 | 635,879,000 | 707,977,000 | | Cash and cash equivalents | 1,242,509,000 | 27,285,000 | 18,215,000 | 25,813,000 | 8,935,000 | 76,307,000 | 38,238,000 | 51,082,000 | 64,685,000 | 111,756,000 | ### Ratios ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported. | Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Net margin | 7.63% | -6.96% | | -0.74% | 0.80% | 2.99% | 4.81% | 13.02% | 6.15% | 10.25% | | Return on equity | 5.13% | -5.41% | -73.27% | -0.84% | 0.83% | 3.70% | 5.04% | 14.57% | 6.73% | 10.57% | | Return on assets | 1.68% | -1.34% | -24.39% | -0.29% | 0.28% | 1.23% | 1.60% | 5.00% | 2.12% | 3.45% | | Liabilities / equity | 2.03 | 3.01 | 2.00 | 1.84 | 1.92 | 2.00 | 2.14 | 1.91 | 2.17 | 2.06 | ## Quarterly Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-05-05. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001385613.json. Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived. | Quarter | End date | Revenue | Net income | Diluted EPS | Method | | --- | --- | ---: | ---: | ---: | --- | | 2022-Q2 | 2022-06-30 | | | 0.37 | reported discrete quarter | | 2022-Q3 | 2022-09-30 | | | -0.56 | reported discrete quarter | | 2023-Q1 | 2023-03-31 | | | 0.17 | reported discrete quarter | | 2023-Q2 | 2023-06-30 | 189,689,000 | 49,860,000 | 1.32 | reported discrete quarter | | 2023-Q3 | 2023-09-30 | 166,922,000 | 13,477,000 | 0.39 | reported discrete quarter | | 2023-Q4 | 2023-12-31 | 155,485,000 | 17,606,000 | | derived Q4 = FY annual - nine-month YTD | | 2024-Q1 | 2024-03-31 | 191,313,000 | 27,019,000 | 0.78 | reported discrete quarter | | 2024-Q2 | 2024-06-30 | 174,863,000 | 7,978,000 | 0.23 | reported discrete quarter | | 2024-Q3 | 2024-09-30 | 188,008,000 | 35,237,000 | 1.01 | reported discrete quarter | | 2024-Q4 | 2024-12-31 | 141,842,000 | -27,418,000 | | derived Q4 = FY annual - nine-month YTD | | 2025-Q1 | 2025-03-31 | 213,302,000 | 29,627,000 | 0.86 | reported discrete quarter | | 2025-Q2 | 2025-06-30 | 160,106,000 | 329,000 | 0.01 | reported discrete quarter | | 2025-Q3 | 2025-09-30 | 146,071,000 | -4,405,000 | -0.13 | reported discrete quarter | | 2025-Q4 | 2025-12-31 | 210,298,000 | 49,281,000 | | derived Q4 = FY annual - nine-month YTD | | 2026-Q1 | 2026-03-31 | 189,660,000 | 35,750,000 | 1.05 | reported discrete quarter | ## Macro Cross-References - [CPIAUCSL](/indicator/CPIAUCSL/): Consumer Price Index for All Urban Consumers: All Items in U.S. City Average - [UNRATE](/indicator/UNRATE/): Unemployment Rate - [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate - [CES0500000003](/indicator/CES0500000003/): Average Hourly Earnings of All Employees, Total Private - [DFEDTARU](/indicator/DFEDTARU/): Federal Funds Target Range - Upper Limit - [DFEDTARL](/indicator/DFEDTARL/): Federal Funds Target Range - Lower Limit - [DGS3MO](/indicator/DGS3MO/): Market Yield on U.S. Treasury Securities at 3-Month Constant Maturity - [DGS2](/indicator/DGS2/): Market Yield on U.S. Treasury Securities at 2-Year Constant Maturity - [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity - [DGS30](/indicator/DGS30/): Market Yield on U.S. Treasury Securities at 30-Year Constant Maturity - [T10Y2Y](/indicator/T10Y2Y/): 10-Year Treasury Constant Maturity Minus 2-Year Treasury Constant Maturity - [CPILFESL](/indicator/CPILFESL/): Consumer Price Index for All Urban Consumers: All Items Less Food and Energy - [CPIUFDSL](/indicator/CPIUFDSL/): Consumer Price Index for All Urban Consumers: Food - [CPIENGSL](/indicator/CPIENGSL/): Consumer Price Index for All Urban Consumers: Energy - [CUSR0000SAH1](/indicator/CUSR0000SAH1/): Consumer Price Index for All Urban Consumers: Shelter - [PCEPI](/indicator/PCEPI/): Personal Consumption Expenditures: Chain-type Price Index - [PCEPILFE](/indicator/PCEPILFE/): Personal Consumption Expenditures Excluding Food and Energy: Chain-type Price Index - [PPIACO](/indicator/PPIACO/): Producer Price Index by Commodity: All Commodities - [T10YIE](/indicator/T10YIE/): 10-Year Breakeven Inflation Rate - [U6RATE](/indicator/U6RATE/): Total Unemployed, Plus All Marginally Attached Workers Plus Total Employed Part Time for Economic Reasons - [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm - [CIVPART](/indicator/CIVPART/): Labor Force Participation Rate - [EMRATIO](/indicator/EMRATIO/): Employment-Population Ratio - [UNEMPLOY](/indicator/UNEMPLOY/): Unemployed - [CE16OV](/indicator/CE16OV/): Employment Level - [ICSA](/indicator/ICSA/): Initial Claims - [JTSJOL](/indicator/JTSJOL/): Job Openings: Total Nonfarm - [JTSQUR](/indicator/JTSQUR/): Quits: Total Nonfarm - [GDPC1](/indicator/GDPC1/): Real Gross Domestic Product - [A191RL1Q225SBEA](/indicator/A191RL1Q225SBEA/): Real Gross Domestic Product: Percent Change from Preceding Period - [INDPRO](/indicator/INDPRO/): Industrial Production: Total Index - [TCU](/indicator/TCU/): Capacity Utilization: Total Index - [HOUST](/indicator/HOUST/): New Privately-Owned Housing Units Started: Total Units - [PERMIT](/indicator/PERMIT/): New Privately-Owned Housing Units Authorized in Permit-Issuing Places: Total Units - [RSAFS](/indicator/RSAFS/): Advance Retail Sales: Retail Trade - [PCE](/indicator/PCE/): Personal Consumption Expenditures - [DSPIC96](/indicator/DSPIC96/): Real Disposable Personal Income - [PSAVERT](/indicator/PSAVERT/): Personal Saving Rate - [M2SL](/indicator/M2SL/): M2 - [BOPGSTB](/indicator/BOPGSTB/): U.S. International Trade in Goods and Services: Balance - [MSPUS](/indicator/MSPUS/): Median Sales Price of Houses Sold for the United States - [HSN1F](/indicator/HSN1F/): New One Family Houses Sold: United States - [RHORUSQ156N](/indicator/RHORUSQ156N/): Homeownership Rate in the United States - [TTLCONS](/indicator/TTLCONS/): Total Construction Spending: Total Construction in the United States - [RRVRUSQ156N](/indicator/RRVRUSQ156N/): Rental Vacancy Rate in the United States - [TOTALSL](/indicator/TOTALSL/): Total Consumer Credit Owned and Securitized - [REVOLSL](/indicator/REVOLSL/): Revolving Consumer Credit Owned and Securitized - [DRCCLACBS](/indicator/DRCCLACBS/): Delinquency Rate on Credit Card Loans, All Commercial Banks - [GDP](/indicator/GDP/): Gross Domestic Product - [GPDI](/indicator/GPDI/): Gross Private Domestic Investment - [GCE](/indicator/GCE/): Government Consumption Expenditures and Gross Investment - [PCEC](/indicator/PCEC/): Personal Consumption Expenditures - [NETEXP](/indicator/NETEXP/): Net Exports of Goods and Services - [GFDEBTN](/indicator/GFDEBTN/): Federal Debt: Total Public Debt - [GFDEGDQ188S](/indicator/GFDEGDQ188S/): Federal Debt: Total Public Debt as Percent of Gross Domestic Product - [FYFSD](/indicator/FYFSD/): Federal Surplus or Deficit - [FGRECPT](/indicator/FGRECPT/): Federal Government Current Receipts - [FGEXPND](/indicator/FGEXPND/): Federal Government: Current Expenditures - [MANEMP](/indicator/MANEMP/): All Employees, Manufacturing - [USCONS](/indicator/USCONS/): All Employees, Construction - [USTRADE](/indicator/USTRADE/): All Employees, Retail Trade - [USFIRE](/indicator/USFIRE/): All Employees, Financial Activities - [USGOVT](/indicator/USGOVT/): All Employees, Government - [AWHAETP](/indicator/AWHAETP/): Average Weekly Hours of All Employees, Total Private - [DGORDER](/indicator/DGORDER/): Manufacturers' New Orders: Durable Goods - [NEWORDER](/indicator/NEWORDER/): Manufacturers' New Orders: Nondefense Capital Goods Excluding Aircraft - [BUSINV](/indicator/BUSINV/): Total Business Inventories - [EXPGS](/indicator/EXPGS/): Exports of Goods and Services - [IMPGS](/indicator/IMPGS/): Imports of Goods and Services - [IR](/indicator/IR/): Import Price Index (End Use): All Commodities - [PPIFIS](/indicator/PPIFIS/): Producer Price Index by Commodity: Final Demand ## Latest quarter (10-Q) Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/1385613/000138561326000062/glre-20260331.htm Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Confidence: high Filing date: 2026-05-05 Report date: 2026-03-31 ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS References to “we,” “us,” “our,” “our company,” or “the Company” refer to Greenlight Capital Re, Ltd. (“GLRE”) and its wholly-owned subsidiaries unless the context dictates otherwise. The following discussion should be read in conjunction with the condensed consolidated financial statements and accompanying noted included in Item 1 of this report and the audited consolidated financial statements and accompanying notes, which appear in our 2025 Form 10-K. The following is management’s discussion and analysis (“MD&A”) of our results of operations for the three months ended March 31, 2026 and 2025 and the Company’s financial condition at March 31, 2026 and December 31, 2025. All amounts are reported in U.S. dollars, unless otherwise noted. Tabular dollars are presented in thousands, with the exception of per share amounts or as otherwise noted. Page Overview 26 Business Overview 26 Outlook and Trends 26 Key Financial Measures and Non-GAAP Measures 27 Consolidated Results of Operations 28 Results by Segment 29 Open Market Segment 29 Innovations Segment 33 Other Corporate 35 Runoff Underwriting Business 35 Income from Investment in Solasglas 35 Financial Condition 36 Liquidity and Capital Resources 38 Liquidity 38 Capital Resources 39 Contractual Obligations and Commitments 40 Critical Accounting Estimates 40 Recent Accounting Pronouncements 40 25 Return to table of contents Overview Business Overview We are a global specialty property and casualty reinsurer headquartered in the Cayman Islands, with an underwriting and investment strategy that we believe differentiates us from most of our competitors. Our goal is to build long-term shareholder value by providing risk management solutions to the insurance, reinsurance, and other risk marketplaces. For the three months ended March 31, 2026 (“Q1 2026”), we had a net income of $35.8 million, compared to $29.6 million over the three months ended March 31, 2025 (“Q1 2025”). The increase was mainly attributable to stronger underwriting performance, partially offset by foreign exchange losses. The following is a summary of our financial performance for Q1 2026, compared to Q1 2025: •Gross premiums written was $227.9 million, a decrease of 8.1%; •Net premiums earned was $154.1 million, a decrease of 8.5%; •Net underwriting income was $6.2 million, compared to net underwriting loss of $7.8 million; •Total investment income was $40.4 million, a decrease of 0.2%; •Diluted EPS was $1.05, compared to $0.86, an increase of 22.1%; and •Fully diluted book value per share was $21.40, an increase of 4.7% since December 31, 2025. Fully diluted book value per share is a non-GAAP financial measure. See “Key Financial Measure and Non-GAAP Measures” section of this MD&A. Outlook and Trends Reinsurance market conditions We continue to see increased competition from existing and new reinsurance markets, predominantly in our Open Market segment. This is putting pressure on headline rates across various classes; however, attachment points and other terms & conditions are largely holding firm. Our focus remains on maintaining a diversified portfolio that is resilient to market supply-demand pressures. General economic conditions There are many factors contributing to an uncertain global economic outlook, and in particular, the current Middle East conflict. With the recent increase in oil price driven by this conflict, we believe that inflationary trends of recent years could persist. We continue to consider the potential impact of relevant economic factors on our underwriting portfolio. On the investment side, DME Advisors regularly monitors and re-positions Solasglas’ investment portfolio to manage the impact of inflation on its underlying investments and holds macro positions to benefit from a rising inflationary environment. DME Advisors remains conservatively positioned as it believes the equity markets are very expensive. During 2025, the U.S. Administration enacted trade policies that were more aggressive than the financial markets expected, causing additional uncertainty and volatility. These policies continue to complicate the near-term outlook for economic growth and inflation. We remain vigilant to economic data and additional policies that may impact our business. 26 Return to table of contents Key Financial Measures and Non-GAAP Measures There have been no changes to our key financial measures, including non-GAAP financial measures, as described in the MD&A of our 2025 Form 10-K. Fully Diluted Book Value Per Share The following table presents a reconciliation of the fully diluted book value per share to basic book value per share (the most directly comparable U.S. GAAP financial measure): March 31, 2026 December 31, 2025 September 30, 2025 June 30, 2025 March 31, 2025 Numerator for basic and fully diluted book value per share: Total equity as reported under U.S. GAAP $ 741,172 $ 707,977 $ 658,889 $ 663,318 $ 666,804 Denominator for basic and fully diluted book value per share: Ordinary shares issued and outstanding as reported and denominator for basic book value per share 33,684,902 33,897,709 34,099,226 34,198,153 34,557,449 Add: In-the-money stock options (1) and all outstanding RSUs 950,199 755,997 757,505 775,124 773,938 Denominator for fully diluted book value per share 34,635,101 34,653,706 34,856,731 34,973,277 35,331,387 Basic book value per share $ 22.00  $ 20.89  $ 19.32  $ 19.40  $ 19.30  Increase in basic book value per share $ 1.11  $ 1.57  $ (0.08) $ 0.10  $ 1.04  Increase in basic book value per share 5.3  % 8.1  % (0.4) % 0.5  % 5.7  % Fully diluted book value per share $ 21.40  $ 20.43  $ 18.90  $ 18.97  $ 18.87  Increase in fully diluted book value per share $ 0.97  $ 1.53  $ (0.07) $ 0.10  $ 0.92  Increase in fully diluted book value per share 4.7  % 8.1  % (0.4) % 0.5  % 5.1  % (1) Assuming net exercise by the grantee. 27 Return to table of contents Consolidated Results of Operations The table below summarizes our consolidated operating results. Three months ended March 31 2026 2025 Change Underwriting results: Gross premiums written $ 227,938  $ 247,945  $ (20,007) Net premiums written $ 183,474  $ 219,397  $ (35,923) Net premiums earned $ 154,145  $ 168,463  $ (14,318) Net loss and LAE incurred: Current year (93,644) (118,666) 25,022  Prior year (1) 2,489  (4,218) 6,707  Net loss and LAE incurred (91,155) (122,884) 31,729  Acquisition costs (48,962) (46,866) (2,096) Underwriting expenses (7,805) (6,358) (1,447) Deposit interest expense (32) (149) 117  Net underwriting income (loss) 6,191  (7,794) 13,985  Investment results: Income from investment in Solasglas 33,689  32,197  1,492  Net investment income 6,731  8,287  (1,556) Total investment income 40,420  40,484  (64) Corporate and other expenses (5,742) (4,672) (1,070) Foreign exchange gains (losses) (4,905) 4,355  (9,260) Interest expense (99) (1,464) 1,365  Income tax expense (115) (1,282) 1,167  Net income $ 35,750  $ 29,627  $ 6,123  Diluted EPS $ 1.05  $ 0.86  $ 0.19  Underwriting ratios: % Point Change Attritional loss ratio 55.3  % 54.4  % 0.9  Large event loss ratio 2.3  % —  % 2.3  CAT event loss ratio 3.2  % 16.0  % (12.8) Current year loss ratio 60.8  % 70.4  % (9.7) Prior year reserve development ratio (1.6) % 2.5  % (4.1) Loss ratio 59.1  % 72.9  % (13.8) Acquisition cost ratio 31.8  % 27.8  % 4.0  Composite ratio 90.9  % 100.7  % (9.8) Underwriting expense ratio 5.1  % 3.9  % 1.2  Combined ratio 96.0  % 104.6  % (8.6) 1 The net financial impact associated with changes in the estimate of losses incurred in prior years, which incorporates earned reinstatement premiums assumed and ceded, adjustments to assumed and ceded acquisition costs, and deposit interest income and expense, was a gain of $1.6 million and a loss of $3.5 million for the three months ended March 31, 2026 and 2025, respectively. 28 Return to table of contents Consolidated Results of Operations for Q1 2026 compared to Q1 2025 Basic book value per share increased by $1.11 per share, or 5.3%, to $22.00 per share from $20.89 per share at December 31, 2025. Fully diluted book value per share increased by $0.97 per share, or 4.7%, to $21.40 per share from $20.43 per share at December 31, 2025. Net income for Q1 2026 increased by $6.1 million to $35.8 million, driven mainly by the following: •Underwriting income: Favorable change of $14.0 million, driven by 8.6 percentage points improvement in combined ratio, which was predominantly driven by 13.8 percentage points improvement in the loss ratio, offset partially by an increase in acquisition cost ratio and underwriting expense ratio. The lower loss ratio was due to the lower CAT and large event losses, coupled with an improved prior year reserve development ratio. •Interest expense: Decreased by $1.4 million driven by the reduction in outstanding debt. Offset partially by: •Foreign exchange gains (losses): Unfavorable change of $9.3 million, driven mainly by the weakening of the pound sterling against the U.S. dollar during Q1 2026, compared to the strengthening of the pound against the U.S. dollar during Q1 2025. Results by Segment The following is a discussion and analysis for each reporting segment. Open Market Segment Results for the Open Market segment were as follows: Three months ended March 31 2026 2025 % Change Gross premiums written $ 180,347  $ 220,709  (18) % Net premiums written $ 151,295  $ 195,609  (23) % Net premiums earned $ 128,981  $ 149,641  (14) % Net loss and LAE incurred (75,230) (112,763) Acquisition costs (41,212) (40,881) Other underwriting expenses (5,743) (4,797) Deposit interest expense, net (32) (149) Underwriting income (loss) 6,764  (8,949) Net investment income 5,135  5,771  (11) % Income (loss) before income taxes $ 11,899  $ (3,178) Underwriting ratios: 2026 2025 % Point Change Loss ratio 58.3  % 75.4  % (17.1) Acquisition cost ratio 32.0  % 27.3  % 4.7  Composite ratio 90.3  % 102.7  % (12.4) Underwriting expenses ratio 4.5  % 3.3  % 1.2  Combined ratio 94.8  % 106.0  % (11.2) 29 Return to table of contents Gross Premiums Written Gross premiums written by line of business were as follows: Three months ended March 31 2026 2025 Change Casualty $ 11,648  6  % $ 29,724  13  % $ (18,076) Financial 25,526  14  % 24,064  11  % 1,462  Health 209  —  % 197  —  % 12  Multiline 62,304  35  % 66,334  30  % (4,030) Property 25,496  14  % 30,039  14  % (4,543) Specialty 55,164  31  % 70,351  32  % (15,187) Total $ 180,347  100  % $ 220,709  100  % $ (40,362) Gross premiums written within our Open Market segment in Q1 2026 decreased by $40.4 million or 18.3%, compared to Q1 2025. The decrease was predominantly attributable to the following lines of business: •Casualty: The $18.1 million, or 60.8%, decrease was mainly due to the non-renewal of certain reinsurance programs in our general liability class and multiline casualty class as part of our strategy to reduce our exposure to the Casualty line of business. •Multiline: The $4.0 million, or 6.1%, decrease was driven mostly by the non-renewal of a commercial auto quota share treaty, coupled with some negative premium estimate revisions within the FAL business related to certain syndicates on the 2024 and 2025 underwriting years. This was partially offset by new FAL business written on the 2026 underwriting year. •Property: The $4.5 million, or 15.1%, decrease was mainly due to negative [Excerpt truncated for page length; source filing is linked above.] ## Latest 10-K MD&A Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary. Confidence: high ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following is management’s discussion and analysis (“MD&A”) of the financial condition and results of operations for the years ended December 31, 2025, and 2024. Comparisons between 2024 and 2023 have been omitted from this Annual Report, but may be found in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2024 filed with the SEC. Accordingly, this information is incorporated by reference. This discussion and analysis should be read in conjunction with our audited consolidated financial statements and notes thereto presented in “Part II, Item 8. Financial Statements and Supplementary Data” of this Annual Report. Unless otherwise noted, tabular dollars are in thousands, except per share amounts. Amounts may not reconcile due to rounding differences.                   Page Overview 55 Business Overview 55 Outlook and Trends 55 Revenues and Expenses 55 Key Financial Measures and Non-GAAP Measures 56 Consolidated Results of Operations 58 Segment Results 60 Open Market Segment 60 Innovations Segment 63 Other Corporate 65 Runoff Underwriting Business 65 Income from Investment in Solasglas 66 Financial Condition 66 Liquidity and Capital Resources 69 Liquidity 69 Capital Resources 70 Contractual Obligations and Commitments 71 Critical Accounting Estimates 71 Premium Recognition 71 Loss and LAE Reserves 73 Investments Valuation 75 54 Return to table of contents Overview Business Overview We are a global specialty property and casualty reinsurer headquartered in the Cayman Islands, with an underwriting and investment strategy that we believe differentiates us from most of our competitors. Our goal is to build long-term shareholder value by providing risk management solutions to the insurance, reinsurance, and other risk marketplaces. Refer to “Part 1, Item 1. Business” for additional information. We earned a net income of $74.8 million for the year ended December 31, 2025, an increase of $32.0 million, or 74.8% compared to the prior year, predominantly due to strong underwriting results and favorable foreign exchange movement in 2025, partially offset by lower net investment income from Innovations and lower yields on restricted cash and cash equivalents. The following is a summary of our financial performance for the year ended December 31, 2025, compared to the prior year: •Gross premiums written was $773.3 million, an increase of 10.7%; •Net premiums earned was $661.1 million, an increase of 6.6%; •Net underwriting income was $35.7 million, compared to net underwriting loss of $8.2 million; •Total investment income was $60.2 million, a decrease of 24.4%; •Foreign exchange gains were $8.5 million, compared to foreign exchange losses of $5.6 million; •Diluted EPS was $2.17, compared to $1.24, an increase of 75.0%; and •Fully diluted book value per share was $20.43, an increase of $2.48, or 13.8%. Outlook and Trends Reinsurance market conditions At the January 1, 2026 renewals, we experienced greater opportunities owing to our stronger balance sheet and the upgrade of our A.M. Best Rating to A (Excellent), but we also faced a more competitive market. Rate changes for Open Market business varied significantly by line of business: property and specialty rates experienced downward pressure, whereas casualty rates increased. Attachment points and other terms and conditions mostly held firm. Although January 1st, is not historically a significant renewal date for our Innovations portfolio, we observed more opportunities with rate holding up well. In the current market conditions, we see increasing opportunities to leverage retrocession coverage, and we will take advantage of these opportunities where they enhance our economics and risk profile. General economic conditions There are many factors contributing to an uncertain global economic outlook, and in particular, we believe that inflationary trends of recent years could persist. We continue to consider the potential impact of relevant economic factors on our underwriting portfolio. On the investment side, DME Advisors regularly monitors and re-positions Solasglas’ investment portfolio to manage the impact of inflation on its underlying investments and holds macro positions to benefit from a rising inflationary environment. DME Advisors remains conservatively positioned as it believes the equity markets are very expensive. We believe trade policies will continue to cause uncertainty and volatility. In February 2026, the U.S. Supreme Court struck down the Administration’s tariffs enacted under the International Emergency Economic Powers Act (IEEPA) of 1977, but the Administration stated it will enact new tariffs under several other legislative acts. Revenues and Expenses Revenues We derive our revenues from two principal sources:  •premiums from reinsurance on property and casualty business assumed (net of any premiums ceded) - see “Critical Accounting Estimates” section of this MD&A; and •income from investments, including: 55 Return to table of contents •income (or loss) generated from our investment in Solasglas, net of management fee and performance compensation; •gains (or losses) from our other investments, including Innovations-related investments; and •interest income on our cash and cash equivalents, fixed maturities investment portfolio and FAL. In addition, we may from time to time derive other income from foreign exchange gains (or losses) relating to underwriting balances, net investment income from Lloyd’s syndicates, fees generated from advisory services, and fees relating to overrides, profit commissions, and fees due upon the early termination of contracts. Expenses Our expenses consist primarily of the following:  ● underwriting losses and LAE; ● acquisition costs; ● underwriting expenses; ● corporate and other expenses (also referred as “G&A”); ● interest expense on deposit-accounted contracts and debt; ● income taxes. The extent of our net losses and LAE incurred is a function of the amount and type of reinsurance contracts we write and the loss experience of the underlying coverage. Refer to “Critical Accounting Estimates” section of this MD&A. Acquisition costs consist primarily of brokerage fees, ceding commissions, premium taxes, profit commissions, letters of credit and trust fees, and federal excise taxes. We amortize deferred acquisition costs relating to successfully bound reinsurance contracts over the related contract term. Underwriting expenses consist primarily of compensation costs related to our underwriting activities, in addition to an allocation of corporate overhead costs. Corporate and other expenses consist primarily of compensation costs related to non-underwriting activities, including Innovations related investments and corporate personnel. Additionally, these also include professional fees (non-claim related), director compensation, travel and entertainment, information technology, rent, and other general operating costs, net of an allocation to underwriting expenses. Deposit interest expense relates to the accretion costs for deposit-accounted contracts that did not meet the risk transfer condition for reinsurance accounting under U.S. GAAP. Interest expense consists of interest paid and accrued on our debt and the amortization of the related deferred financing costs. Key Financial Measures and Non-GAAP Measures Management uses certain key financial measures, some of which are not prescribed under U.S. GAAP rules and standards (“non-GAAP financial measures”), to evaluate our financial performance, financial position, and the change in shareholder value. Generally, a non-GAAP financial measure, as defined in SEC Regulation G, is a numerical measure of a company’s historical or future financial performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented under U.S. GAAP. We believe that these measures, which may be calculated or defined differently by other companies, provide consistent and comparable metrics of our business performance to help shareholders understand performance trends and facilitate a more thorough understanding of the Company’s business. Non-GAAP financial measures should not be viewed as substitutes for those determined under U.S. GAAP. We use the following non-GAAP financial measure in this Annual Report. 56 Return to table of contents Fully Diluted Book Value Per Share Our primary financial goal is to increase fully diluted book value per share over the long term. We use fully diluted book value as a financial measure in our incentive compensation plan. We believe that long-term growth in fully diluted book value per share is the most relevant measure of our financial performance because it provides management and investors a yardstick to monitor the shareholder value generated. Fully diluted book value per share may also help our investors, shareholders, and other interested parties form a basis of comparison with other companies within the property and casualty reinsurance industry. Fully diluted book value per share should not be viewed as a substitute for the most comparable U.S. GAAP measure, which in our view is the basic book value per share. We calculate basic book value per share as (a) ending shareholders' equity, divided by (b) the total ordinary shares issued and outstanding, as reported in the consolidated financial statements. Fully diluted book value per share represents basic book value per share combined with any dilutive impact of in-the-money stock options and all outstanding restricted stock units, or “RSUs”. We believe these adjustments better reflect the ultimate dilution to our shareholders. The following table presents a reconciliation of the fully diluted book value per share to basic book value per share (the most directly comparable U.S. GAAP financial measure): At December 31, 2025 2024 Numerator for basic and fully diluted book value per share: Total equity as reported under U.S. GAAP $ 707,977  $ 635,879  Denominator for basic and fully diluted book value per share: Ordinary shares issued and outstanding as reported and denominator for basic book value per share 33,897,709 34,831,324 Add: In-the-money stock options (1) and all outstanding RSUs 755,997 590,001 Denominator for fully diluted book value per share 34,653,706 35,421,325 Basic book value per share $ 20.89  $ 18.26  Increase in basic book value per share $ 2.63  $ 1.39  Increase in basic book value per share 14.4  % 8.2  % Fully diluted book value per share $ 20.43  $ 17.95  Increase in fully diluted book value per share $ 2.48  $ 1.21  Increase in fully diluted book value per share 13.8  % 7.2  % (1) Assuming net exercise by the grantee. 57 Return to table of contents Consolidated Results of Operations The table below summarizes our consolidated operating results. 2025 2024 Change Underwriting results: Gross premiums written $ 773,261  $ 698,335  $ 74,926  Net premiums written $ 691,409  $ 621,265  $ 70,144  Net premiums earned $ 661,144  $ 619,954  $ 41,190  Net loss and LAE incurred:   Current year (399,200) (406,465) 7,265  Prior year (1) (12,392) (20,804) 8,412  Net loss and LAE incurred (411,592) (427,269) 15,677  Acquisition costs (184,853) (176,775) (8,078) Underwriting expenses (28,627) (22,857) (5,770) Deposit interest expense (421) (1,228) 807  Net underwriting income (loss) 35,651  (8,175) 43,826  Investment results: Income from investment in Solasglas 35,711  33,605  2,106  Net investment income 24,457  45,954  (21,497) Total investment income 60,168  79,559  (19,391) Corporate and other expenses (21,607) (16,377) (5,230) Foreign exchange gains (losses) 8,465  (5,606) 14,071  Interest expense (4,366) (5,836) 1,470  Income tax expense (3,479) (749) (2,730) Net income $ 74,832  $ 42,816  $ 32,016  Diluted earnings per share $ 2.17  $ 1.24  $ 0.93  Underwriting ratios: % Point Change Attritional loss ratio 53.4  % 56.3  % (2.9) Large event loss ratio 3.0  % 1.8  % 1.2  CAT event loss ratio 4.0  % 7.5  % (3.5) Current year loss ratio 60.4  % 65.6  % (5.2) Prior year reserve development ratio 1.9  % 3.4  % (1.5) Loss ratio 62.3  % 69.0  % (6.7) Acquisition cost ratio 28.0  % 28.5  % (0.5) Composite ratio 90.2  % 97.5  % (7.2) Underwriting expense ratio 4.4  % 3.9  % 0.5  Combined ratio 94.6  % 101.4  % (6.8) 1 The net financial impact associated with changes in the estimate of losses incurred in prior years, which incorporates earned reinstatement premiums assumed and ceded, adjustments to assumed and ceded acquisition costs, and deposit interest income and expense, was a loss of $11.4 million in 2025 (2024: $21.8 million). 58 Return to table of contents Consolidated Results of Operations for 2025 compared to 2024 Basic book value per share increased by $2.63 per share, or 14.4%, to $20.89 per share from $18.26 per share at December 31, 2024. Fully diluted book value per share increased by $2.48 per share, or 13.8%, to $20.43 per share from $17.95 per share at December 31, 2024. For the year ended December 31, 2025, net income increased by $32.0 million to $74.8 million, driven mainly by the following: •Underwriting income: Increased by $43.8 million due to 6.8 percentage points improvement in our combined ratio, driven predominantly by improved current year loss ratio and lower adverse prior year reserve development ratio. The lower attritional loss and CAT event loss ratios contributed to the lower current year loss ratio; partially offset by an increase in large event loss ratio. Refer to the “Results by Segment” section of the MD&A for further discussion and analysis. •Solasglas investment: Solasglas returned 7.5% in 2025, compared to 9.8% in 2024. However, income from our Solasglas investment was $2.1 million higher in 2025 versus 2024, due to the growth in the Investment Portfolio. •Foreign exchange gains (losses): $8.5 million foreign exchange gains for 2025, compared to $5.6 million foreign exchange losses for 2024, driven mainly by a stronger pound sterling movement against the U.S. dollar in 2025. •Interest expense: Decreased by $1.5 million predominantly driven by a decrease in the average outstanding debt balance in 2025 as a result of debt repayment due strong cash flows generated from operations. Offset partially by: •Investment income: Decreased by $19.4 million primarily driven by lower investment income on cash and cash equivalents mainly due to lower yields, losses on Innovations investments, and lower returns on funds withheld by third party Lloyd’s syndicates. The Lloyd’s syndicates invest a portion of these funds in fixed maturity securities, equities, and investment funds. We record our share of the investment income and fair value adjustments on these securities when the syndicates report them to us, generally on a quarter in arrears. See Note 14 “Net Investment Income” of the consolidated financial financial statements for further details. •Corporate and other expenses: Increased by $5.2 million predominantly driven by an increase in non-underwriting personnel costs, including higher incentive compensation expense as a result of strong underwriting results in 2025. •Income tax expense: Increased by $2.7 million due to increased taxable income from our operations in Ireland and U.K. 59 Return to table of contents Segment Results We have two operating segments: Open Market and Innovations. The following is a discussion and analysis for each reporting segment for the years ended December 31, 2025 and 2024. Open Market Segment Results for the Open Market segment were as follows: Year ended December 31 2025 2024 % Change Gross premiums written $ 652,229  $ 603,798  8  % Net premiums written $ 601,690  $ 541,446  11  % Net premiums earned $ 576,032  $ 511,922  13  % Net loss and LAE incurred (358,396) (341,586) Acquisition costs (158,465) (144,852) Other underwriting expenses (21,114) (19,175) Deposit interest expense, net (421) (1,228) Underwriting income 37,636  5,081  Net investment income 32,036  42,629  (25) % Income before income taxes $ 69,672  $ 47,710  Underwriting ratios: 2025 2024 % Point Change Loss ratio 62.2  % 66.7  % (4.5) Acquisition cost ratio 27.5  % 28.3  % (0.8) Composite ratio 89.7  % 95.0  % (5.3) Underwriting expenses ratio 3.7  % 4.0  % (0.3) Combined ratio 93.4  % 99.0  % (5.6) Gross Premiums Written Gross premiums written by line of business were as follows: Year ended December 31 2025 2024 Change Casualty $ 66,210  10  % $ 92,471  15  % $ (26,261) Financial 77,461  12  % 63,679  11  % 13,782  Health 230  —  % 217  —  % 13  Multiline 252,265  39  % 181,140  30  % 71,125  Property 82,537  13  % 87,922  15  % (5,385) Specialty 173,526  27  % 178,369  30  % (4,843) Total $ 652,229  100  % $ 603,798  100  % $ 48,431  Gross premiums written within our Open Market segment in 2025 increased by $48.4 million or 8%, compared to 2024. The increase was predominantly attributable to the following lines of business: •Multiline:The $71.1 million, or 39%, increase was driven mostly by growth in our FAL business bound in 2025, coupled with growth from new construction and engineering business bound in 2025. This was partially offset by non-renewal of commercial auto business. 60 Return to table of contents •Financial: The $13.8 million, or 22%, increase was mainly due to the reporting of additional premiums from previous treaty years in our mortgage business, coupled with rate and exposure growth in our transactional liability business and new surety business bound in 2025. The above was partially offset by the decrease in our casualty, property and specialty lines of business. The significant decrease in casualty business is predominantly a result of our decision to reduce our casualty exposure through non-renewal of certain general liability and workers’ compensation programs. Net Premiums Written Ceded premiums written in 2025 was $50.5 million, resulting in net premiums written of $601.7 million, compared to $62.4 million and $541.4 million, respectively, in 2024. The decrease in ceded premiums written of 19% was driven by reduced quota share retrocessional activity within our property business due to lower inward premiums. Additionally in 2024, we reinstated certain retrocession excess of loss treaties in which the full coverage was deemed exhausted due to the Baltimore Bridge loss. This was partially offset mainly by additional excess of loss retrocessional coverage within our specialty business in 2025 to manage our overall exposure to aviation, marine and energy risks. Net Premiums Earned For our Open Market segment, net premiums earned by line of business were as follows: Year ended December 31 2025 2024 Change Casualty $ 87,279  15  % $ 89,213  15  % $ (1,934) Financial 63,470  11  % 56,903  9  % 6,567  Health 221  —  % 217  —  % 4  Multiline 216,673  38  % 191,849  32  % 24,824  Property 61,065  11  % 49,262  8  % 11,803  Specialty 147,324  26  % 124,478  21  % 22,846  Total $ 576,032  100  % $ 511,922  100  % $ 64,110  Net premiums earned in 2025 increased by $64.1 million, or 13%, compared to 2024. The change is influenced by the amount and timing of net premiums written during the current year and prior years, coupled with the business mix written in the form of excess of loss versus proportional contracts. Additionally, within the financial line and certain specialty line classes, the gross premiums written for some treaties are earned over multiple years, corresponding with the anticipated risk coverage period. Similarly, the impact of scaling back our casualty business was partially reflected during 2025, and will mostly impact our casualty earned premiums in 2026. Loss ratio The components of the loss ratio for our Open Market segment were as follows: Year ended December 31 2025 2024 % Point Change Current year:   Attritional loss ratio 52.8  % 56.8  % (4.0)   Large event loss ratio 3.1  % 2.2  % 0.9    CAT event loss ratio 4.6  % 4.8  % (0.2) Current year loss ratio 60.5  % 63.8  % (3.3) Prior year reserve development ratio 1.8  % 2.9  % (1.1) Loss ratio 62.2  % 66.7  % (4.4) 61 Return to table of contents Current Year Loss Ratio The current year loss ratio in 2025 decreased by 3.3 percentage points to 60.5%, compared to 2024, predominantly due to improved attritional loss ratio, offset partially by a higher volume of large event losses. The CAT losses during 2025 primarily related to the California wildfire losses. Prior Year Reserve Development Ratio The Open Market segment’s prior year reserve development ratio improved by 1.1 percentage points in 2025 compared to 2024. Refer to Note 8 Loss and LAE Reserves to the consolidated financial statements for further details on the lines of business and prior year development. Acquisition cost ratio The acquisition cost ratio decreased by 0.8 percentage points in 2025 compared to 2024, due to the change in business mix, coupled with improved acquisition cost ratios for our multiline and financial lines of business. This was partially offset by an increase in acquisition cost ratio for our specialty line, mainly due to growth in quota share reinsurance treaties at higher acquisition cost ratio than for excess of loss treaties. The key drivers for the improved acquisition cost ratio relating to the financial and multiline business were: •Financial: Driven by our transactional liability business due to lower profit commission costs as a result of adverse loss reserve development in 2025. Additionally, the acquisition cost ratio for the mortgage business was higher in 2024 due to an increase in profit commission costs on prior years’ treaties. •Multiline: Driven predominantly from lower acquisition cost ratio for our FAL business, in part due to higher net premiums earned base to absorb fixed brokerage and commissions for new Syndicate 3456 programs. Underwriting expense ratio The underwriting expense ratio decreased marginally by 0.3 percentage points to 3.7% in 2025 compared to 2024, mainly due to net premiums earned growing more than our underwriting expenses which included higher incentive compensation due to stronger underwriting performance in 2025. A lower deposit interest expense also contributed to the lower expense ratio for 2025. Net investment income Net investment income decreased by 25% to $32.0 million in 2025 compared to 2024, predominantly driven by lower yields on collateralized cash balances and lower returns on funds withheld by third party Lloyd’s syndicates. Income before income taxes Income before income taxes for the Open Market segment was $69.7 million for 2025, compared to $47.7 million in 2024, driven predominantly by strong underwriting profits; partially offset by lower net investment income. 62 Return to table of contents Innovations Segment Results for the Innovations segment were as follows: Year ended December 31 2025 2024 % Change Gross premiums written $ 121,598  $ 94,725  28  % Net premiums written $ 90,233  $ 80,016  13  % Net premiums earned $ 85,626  $ 86,352  (1) % Net loss and LAE incurred (51,472) (51,939) Acquisition costs (26,818) (27,151) Other underwriting expenses (7,513) (3,682) Underwriting income (loss) (177) 3,580  Net investment income (10,064) 702  Corporate and other expenses (2,703) (2,445) 11  % Income (loss) before income taxes $ (12,944) $ 1,837  Underwriting ratios: 2025 2024 % Point Change Loss ratio 60.1  % 60.1  % —  Acquisition cost ratio 31.3  % 31.4  % (0.1) Composite ratio 91.4  % 91.5  % (0.1) Underwriting expenses ratio 8.8  % 4.3  % 4.5  Combined ratio 100.2  % 95.8  % 4.4  Gross Premiums Written Gross premiums written by line of business within our Innovations segment were as follows: Year ended December 31 2025 2024 Change Casualty $ 31,378  26  % $ 24,843  26  % $ 6,535  Financial 9,781  8  % 7,800  8  % 1,981  Health 9,087  7  % 4,631  5  % 4,456  Multiline 58,733  48  % 47,311  50  % 11,422  Specialty 12,619  10  % 10,140  11  % 2,479  Total $ 121,598  100  % $ 94,725  100  % $ 26,873  Gross premiums written in 2025 increased by $26.9 million, or 28%, compared to 2024. All lines of business contributed to the premium growth, particularly our multiline business due to organic premium growth and new business from Syndicate 3456. Net Premiums Written For the Innovations segment, ceded premiums written in 2025 was $31.4 million, resulting in net premiums written of $90.2 million, compared to $14.7 million and $80.0 million, respectively, in 2024. The increase in ceded premiums written was predominantly driven by the new whole-account retrocession program in which we have ceded 28% of Innovations-related programs incepting Q4 2024 onwards. 63 Return to table of contents Net Premiums Earned Net premiums earned by line of business within the Innovations segment were as follows: Year ended December 31 2025 2024 Change Casualty 24,615  29  % 18,705  22  % $ 5,910  Financial 9,428  11  % 5,499  6  % 3,929  Health 3,456  4  % 2,144  2  % 1,312  Multiline 45,053  53  % 51,669  60  % (6,616) Specialty 3,074  4  % 8,335  10  % (5,261) Total 85,626  100  % 86,352  100  % $ (726) Despite the significant growth in net premiums written in 2025, the net premiums earned was relatively consistent with 2024. This is influenced by the amount and timing of net premiums written during the current year and prior years, coupled with the business mix written in the form of excess of loss versus proportional contracts. Additionally, as previously noted, the whole-account retrocession program for Innovations incepted from the fourth quarter of 2024; whereas this retro program was in place for the full year in 2025. The ceded premium on the whole-account retro program is included in the multiline business in the above table. Loss ratio The components of the loss ratio within the Innovations segment were as follows: Year ended December 31 2025 2024 % Point Change Current year:   Attritional loss ratio 57.5  % 60.5  % (3.0)   Large event loss ratio 2.5  % —  % 2.5    CAT event loss ratio —  % —  % —  Current year loss ratio 59.9  % 60.5  % (0.5) Prior year reserve development ratio 0.2  % (0.3) % 0.5  Loss ratio 60.1  % 60.1  % —  Current Year Loss Ratio The current year loss ratio in 2025 decreased by 0.5 percentage points, compared to 2024 driven mainly by improved attritional loss ratio for all lines of business, offset partially by a large event loss relating to financial line of business. The Innovations segment was not impacted by any CAT events for the years presented in the above table. Prior Year Reserve Development Ratio The change in prior year reserve development was unfavorable by 0.5 ratio points. Refer to Note 8 Loss and LAE Reserves to the consolidated financial statements for further details on the lines of business and prior year development. Acquisition cost ratio While the acquisition cost ratio for the Innovations segment remained relatively consistent with 2024, there was variability within the lines of the business. The increase in acquisition cost ratio, mostly from our financial line, was offset predominantly by the decrease in the specialty business. 64 Return to table of contents The increase in acquisition costs in the financial line was driven mainly by premium growth from one program at higher acquisition cost; whereas the decrease in acquisition costs in the specialty business was driven mainly by non-renewal of certain quota share reinsurance business that had higher acquisition costs. Underwriting expense ratio The underwriting expense ratio increased by 4.5 percentage points to 8.8% in 2025 compared to 2024, as we invested in additional underwriters and infrastructure to drive the Innovations business growth. The increase in personnel costs also included higher incentive compensation driven by the overall company’s underwriting performance in 2025. Net investment income (loss) The Innovations segment reported a net investment loss of $10.1 million in 2025, compared to net investment income of $0.7 million in 2024. The investment performance in 2025 was predominantly driven by our Innovations private equity portfolio, primarily due to: •$22.3 million reversal of previously recognized unrealized gains (impairment charges) on two of our private equity holdings based on new financing rounds at a reduced enterprise value, coupled with fully impaired holdings due to financial distress and a partial debt impairment. For impairment charges based on reduced enterprise value, we calculated the fair value using valuation models incorporating significant unobservable inputs. These include discounted cash flow analyses and option pricing models. The key inputs and assumptions used in these models include, but are not limited to, projected cash flows provided by the investee’s management, discount rates, growth rates, volatility assumptions, and current market multiples. Partially offsetting the above impairment charges, we had the following unrealized and realized gains in 2025: •$8.0 million of unrealized gains from six holdings as a result of latest closed financing rounds by the respective investees, for which the fair value was based on observable price changes in orderly transactions; and •$2.1 million of realized gain on partial sales relating to two holdings. We also earned $1.7 million of interest income on cash collateral in 2025, compared to $1.7 million in 2024. While the yield declined in 2025, the average outstanding cash collateral was higher in 2025 compared to 2024. Income before income taxes The loss before income taxes for the Innovations segment was $12.9 million in 2025 compared to income before income taxes of $1.8 million in 2024. The performance in 2025 was predominantly driven by net investment loss and, to a lesser extent, an increase in underwriting expenses. Other Corporate Runoff Underwriting Business In late 2023, we made the decision to not renew a property business due to significant CAT losses relating to unprecedented severe convective storms in the U.S. On the quota share reinsurance treaty bound in 2023, we continued to earn premiums in 2024 and incurred additional CAT losses from severe convective storms that occurred in 2024. For the years ended December 31, 2025, and 2024, we incurred an underwriting loss of $1.8 million, and $16.8 million respectively, including prior year adverse development of $2.0 million and $6.2 million, respectively. This was partially offset by investment income of $1.0 million and $1.4 million, respectively, relating to this runoff business. We have reported the results of the above property runoff business as part of Corporate in Note 18 Segment Reporting in the consolidated financial statements. 65 Return to table of contents Income from Investment in Solasglas Our share of Solasglas’ net income increased by $2.1 million to $35.7 million in 2025, compared to 2024. This increase was driven by a higher investment portfolio balance during 2025, offset partially by a lower net investment return. For the year ended December 31, 2025, Solasglas reported a net investment return of 7.5%, compared to 9.8% for 2024. The following table provides a breakdown of the gross and net investment return for Solasglas: 2025 2024 Long portfolio gains 2.8  % 10.3  % Short portfolio losses (8.1) % (2.3) % Macro gains 14.9  % 4.4  % Other income and expenses(1) (1.2) % (1.6) % Gross investment return 8.4  % 10.8  % Net investment return(1) 7.5  % 9.8  % 1 “Other income and expenses” excludes performance compensation but includes management fees. “Net investment return” incorporates both of these amounts. For further information about management fees and performance compensation, refer to Note 16 “Related Party Transactions” of the consolidated financial statements. For the year ended December 31, 2025, the significant contributors to Solasglas’ investment return were long positions in gold, Brighthouse Financial Inc. (BHF) and Teva Pharmaceutical Industries (TEVA). The largest detractors were a long position in Lanxess AG (LXS GY) and two single-name short positions. For the year ended December 31, 2024, the significant contributors to Solasglas’ investment return were long positions in gold, Kyndryl Holdings (KD) and Green Brick Partners (GRBK). The largest detractors were three single-name short positions. Each month, we post on our website (www.greenlightre.com) the returns from our investment in Solasglas. Financial Condition Investments The following table provides a breakdown of our total investments:  At December 31, 2025 2024 Investment in Solasglas $ 504,555 79.7  % $ 387,144 84.1  % Fixed maturities 65,609 10.4  % — —  % Other investments 62,911 9.9  % 73,160 15.9  % Total investments $ 633,075 100.0  % $ 460,304 100.0  % At December 31, 2025, our total investments increased by $172.8 million, or 37.5%, to $633.1 million from December 31, 2024.. Investment in Solasglas Our investment in Solasglas increased by $117.4 million to $504.6 million at December 31, 2025. This was predominantly driven by $81.7 million of net contributions into Solasglas, coupled with the 7.5% net investment return in 2025. The contributions were funded partially from cash flows from operations and from the partial release of restricted cash and FAL. DME Advisors reports the composition of Solasglas’ portfolio on a delta-adjusted basis, which it believes is the appropriate manner to assess the exposure and profile of investments and reflects how it manages the portfolio. An option’s delta is the option price’s sensitivity to the underlying stock (or commodity) price. The delta-adjusted basis is the number of shares or contracts underlying the option multiplied by the delta and the underlying stock (or commodity) price. 66 Return to table of contents The following table represents the composition of Solasglas’ investments as a percentage of the investment portfolio: At December 31, 2025 2024 Long % Short % Long % Short % Equities and related derivatives 91.0  (53.3) 73.9  (43.3) Private and unlisted equity securities 1.9  —  2.1  —  Debt instruments 0.1  —  0.1  —  Total 93.0  % (53.3) % 76.1  % (43.3) % The above exposure analysis does not include cash (U.S. dollar and foreign currencies), gold and other commodities, credit default swaps, sovereign debt, foreign currency derivatives, interest rate derivatives, inflation swaps and other macro positions. Under this methodology, a total return swap’s exposure is reported at its full notional amount and options are reported at their delta-adjusted basis. At December 31, 2025, Solasglas’ exposure to gold on a delta-adjusted basis was 11.9% (2024: 10.1%). At December 31, 2025, 94.7% of Solasglas’ portfolio was valued based on quoted prices in actively traded markets (Level 1), 4.1% was composed of instruments valued based on observable inputs other than quoted prices (Level 2), and no instruments were valued based on non-observable inputs (Level 3). At December 31, 2025, 1.2% of Solasglas’ portfolio consisted of private equity funds valued using the funds’ net asset values as a practical expedient. Fixed Maturities In late 2025, we began investing funds held in certain regulatory trusts for U.S. cedents in a managed fixed maturity portfolio as well as cash held by Syndicate 3456 in a Lloyd’s approved liquidity fund to generate higher yields on these assets. The following table provides the credit quality distribution of our fixed maturity portfolio at December 31, 2025. Credit Rating Fair Value AAA AA- to AA+ A to A+ Not Subject to Credit Rating Fixed Maturities: U.S. government and agencies $ 17,979  $ —  $ 17,979  $ —  $ —  Agency RMBS 18,258  —  18,258  —  —  Corporate bonds 9,769  2,638  7,131  —  ABS 5,565  5,565  —  —  —  Non-agency RMBS 600  600  Municipal bonds 857  —  857  —  —   Total fixed maturity portfolio 53,028  6,165  39,732  7,131  —  Liquidity fund 12,581  —  —  —  12,581  Total fixed maturity investments $ 65,609  $ 6,165  $ 39,732  $ 7,131  $ 12,581  Our methodology for assigning credit ratings to fixed maturity securities utilizes a rules-based methodology, typically employing the middle rating of Standard & Poor’s (“S&P”), Moody’s, and Fitch ratings. When ratings from only two of these three agencies are available, the lower rating is used. When only one agency rates a security, that rating is used. At December 31, 2025, the fixed maturity portfolio had a weighted average credit rating of AA+, a book yield of 3.8%, and an average duration of 1.3 years. See Notes 4 “Fixed Maturities” and Note 7 “Fair Value Measurements” for further details. 67 Return to table of contents Other Investments The other investment holdings relate to private investments made by Innovations. At December 31, 2025, other investments decreased by $10.2 million to $62.9 million, from $73.2 million at December 31, 2024. The decrease was driven mainly by net investment losses, coupled with the partial sale of two holdings during 2025. This was partially offset by $4.1 million of new investments in 2025. While we manage a diversified Innovations-related investment portfolio, our top five holdings accounted for 53% (2024: 70%) of the total carrying value. For further information, see Note 5 “Other Investments” of the consolidated financial statements. Restricted cash and cash equivalents We use our restricted cash and cash equivalents primarily for funding trusts and letters of credit issued to our ceding insurers. Our restricted cash decreased by $52.4 million, or 9.0%, to $532.0 million since December 31, 2024, primarily due to transferring funds held in certain regulatory trusts for U.S. cedents into a managed fixed maturity portfolio. Reinsurance balances receivable Our reinsurance balances receivable decreased by $40.1 million, or 5.7%, to $664.4 million since December 31, 2024. This decrease was driven primarily by $25.8 million net reduction in funds held by cedents and $69.1 million net release of FAL; partially offset by $58.0 million increase in premiums held by Lloyd’s syndicates. The net release of FAL was as a result of substituting it with a £45 million LC in favor of Lloyd’s (see 10 “Debt and Credit Facilities”). Loss and LAE Reserves; Loss and LAE Recoverable Our total gross loss and LAE reserves increased by $107.0 million, or 12.4%, to $968.0 million since December 31, 2024. See Note 8 “Loss and Loss Adjustment Expense Reserves” of the consolidated financial statements for a summary of changes in outstanding loss and LAE reserves, current year CAT losses, prior period reserve development, and analysis of our incurred and paid claims development and claims duration for each of our reporting segments. In addition, refer to “Critical Accounting Estimates - Loss and LAE Reserves” within this MD&A for information on the reserving techniques, assumptions and processes we follow to estimate our loss and LAE reserves. Our total loss and LAE recoverable decreased by $4.4 million, or 5.1%, to $81.4 million since December 31, 2024, mainly due to updated estimate for loss recoveries from prior years. Virtually all the outstanding balance is based on estimated recoveries not yet due. See Note 9 “Retrocession” of the consolidated financial statements for a description of the credit risk associated with our retrocessionaires. Catastrophe Loss Exposure Most of our contracts have defined limits of liability that cap our risk exposure. Once these limits are reached, we are not liable for further losses. However, some contracts, especially quota share contracts covering first-dollar exposure, lack aggregate limits. Our property and Lloyd’s business, and to a lesser extent our casualty and other business, in the Open Market segment include contracts with natural peril loss exposure. We monitor our catastrophe loss exposure using PML (net of retrocession and reinstatement premiums), which can vary based on simulated losses and our in-force business composition. We track natural peril PMLs globally, focusing on peak peril regions and subdividing large geographic areas into individual peril zones. For natural catastrophe PMLs, we use catastrophe models at the 1-in-250-year return period, indicating a 0.4% probability of exceeding the estimated losses in any given year. PMLs are best estimates based on available modeled data, and actual events may differ significantly from these models. Our PML estimates cover all significant exposures from our reinsurance operations, including property, marine and energy, motor, and catastrophe workers’ compensation. 68 Return to table of contents At January 1, 2026, our estimated largest PML at a 1-in-250-year return period for a single event and in aggregate was $138.8 million and $151.2 million, respectively, both relating to the peril of North Atlantic Hurricane, compared to $116.3 million and $129.1 million, respectively, at January 1, 2025. Our PMLs increased as we grew our clients and accessed new business that met our profitability requirements. The below table contains the expected modeled loss for each of our peak peril regions and sub-regions for both a single event loss and aggregate loss measures at the 1-in-250-year return period. January 1, 2026 Net 1-in-250 Year Return Period Peril Single Event Loss Aggregate Loss North Atlantic Hurricane $ 138,805  $ 151,247  Florida Hurricane 97,857  101,080  Southeast Hurricane (excluding Florida) 114,122  117,190  Gulf of Mexico Hurricane 70,841  71,377  Northeast Hurricane 86,217  89,067  North America Earthquake California Earthquake 112,384  113,921  Pacific Northwest Earthquake 34,856  34,866  New Madrid Earthquake 17,924  17,924  Japan Earthquake 34,681  35,294  Japan Windstorm 19,612  20,386  Europe Windstorm 71,630  75,716  Liquidity and Capital Resources Liquidity Liquidity is a measure of a company’s ability to generate sufficient cash flows to meet the short-term and long-term cash requirements of its business operations. We manage liquidity at the holding company and operating subsidiary level. Holding Company Greenlight Capital Re is a holding company with no operations of its own and its assets consist primarily of investments in its subsidiaries. Accordingly, Greenlight Capital Re’s future cash flows depend on the availability of dividends or other statutorily permissible distributions, such as returns of capital, from its subsidiaries. The ability to pay dividends and/or distributions is limited by: •the applicable laws and regulations of the countries in which Greenlight Capital Re’s subsidiaries operate (see Note 19 “Statutory Requirements” to the consolidated financial statements); •the need to maintain adequate capital levels to support our reinsurance operations; and •the need to preserve our current “A (Excellent)” rating by A.M. Best. As a holding company, Greenlight Capital Re has minimal continuing cash needs, most of which are related to the payment of corporate and general administrative expenses and interest expenses. Our current policy is to retain earnings to support the growth of our business. We currently do not expect to pay dividends on our ordinary shares. We anticipate positive cash flows from operations (underwriting activities and investment income) to be sufficient to cover cash outflows under most loss scenarios in the near term. Based on expected cash flows from operations, financing arrangements and redemptions from related party investment fund as needed (subject to three day’s notice to the general partner), we believe we have sufficient liquidity to cover our working capital requirements and other contractual obligations and commitments through the foreseeable future. Operating Subsidiaries Our sources of funds from operating subsidiaries consist primarily of premium receipts (net of brokerage and ceding commissions), investment income, and other income. We use cash from our operations to pay losses and loss 69 Return to table of contents adjustment expenses, profit commissions, interest, and G&A expenses. Our reinsurance business inherently provides liquidity as premiums are received in advance of the time claims are paid. However, the amount of cash required to fund loss payments can fluctuate significantly from period to period due to the low frequency / high severity nature of certain types of reinsurance business we write. The following table summarizes our sources and uses of funds: 2025 2024 Total cash provided by (used in): Operating activities $ 210,212  $ 111,504  Investing activities (149,170) (96,562) Financing activities (65,138) (21,240) Effect of currency exchange on cash(1) (1,259) (345) Net cash outflows (5,355) (6,643) Cash, beginning of period 649,087  655,730  Cash, end of period $ 643,732  $ 649,087  (1) Cash includes unrestricted and restricted cash and cash equivalents - see Note 6 “Restricted Cash and Cash Equivalents” of the consolidated financial statements. Cash provided by operating activities The $98.7 million increase in cash provided by operating activities in 2025 compared to 2024 was driven mainly by the release of FAL and higher net income. We expect cash from operations to ebb and flow with our underwriting activities. Cash inflows from underwriting activities generally include premiums, net of acquisition costs, and reinsurance recoverables. Cash outflows principally include payments of losses and LAE, payments of retrocession premiums, and operating expenses. Cash provided by operating activities may vary significantly from period to period due to the timing of these inflows and outflows. Cash used in investing activities The $52.6 million increase in cash used for investing activities was driven predominantly by the new fixed maturity investments transferred from restricted cash; offset partially by a lower net contribution to Solasglas in 2025. Cash used in financing activities Financing cash outflows in 2025 were driven mainly by the $9.8 million of share repurchases and $55.3 million of debt repayments. In 2024, we had $7.5 million of share repurchases and $13.8 million of debt repayments. Capital Resources The following table summarizes our debt and capital structure: 2025 2024 Debt - outstanding principal $ 5,000  $ 60,313  Shareholders’ equity 707,977  635,879  Total capital $ 712,977  $ 696,192  Ratio of debt to shareholders’ equity 0.7  % 9.5  % The ratio of debt to shareholders’ equity provides an indication of our leverage and capital structure, along with some insights into our financial strength. In addition to the above capital, we also have LOC facilities to support our reinsurance business operations where we are not licensed or admitted as a reinsurer (see Note 10 “Debt and Credit Facilities” of the consolidated financial statements for further information). Debt As a result of strong operating cash flows and a new Revolving Credit Facility, we repaid the Term loans in 2025. At December 31, 2025, we had $5.0 million of outstanding debt under the Revolving Credit Facility. 70 Return to table of contents Total shareholders’ equity Total shareholders’ equity increased by $72.1 million to $708.0 million since December 31, 2024. The increase was primarily due to the net income of $74.8 million reported for the year, coupled with $7.1 million of share-based compensation adjustment to additional paid-in capital. This was partially offset by $9.8 million of share repurchases in the open market at an average price of $13.76 per share. At December 31, 2025, there were 33,897,709 outstanding ordinary shares, a decrease of 933,615 since December 31, 2024, mainly due to 714,044 shares repurchased and 376,686 forfeited restricted shares, offset partially by issuance of restricted shares and ordinary shares for vested RSUs. We expect that the existing capital base and internally generated funds will be sufficient to implement our business strategy for the foreseeable future. However, to provide us with flexibility and timely access to public capital markets should we require additional capital for working capital, capital expenditures, acquisitions, or other general corporate purposes, we have a $200.0 million shelf registration (Form S-3 registration statement) filed with the SEC, which became effective on July 5, 2024, and will expire on July 1, 2027. Contractual Obligations and Commitments At December 31, 2025, our contractual obligations and commitments by period due were as follows:  Less than  1 year 1-3 years 3-5 years More than  5 years Total Operating activities   Loss and loss adjustment expense reserves (1) $ 391,056  $ 353,305  $ 126,803  $ 96,796  $ 967,960    Operating lease obligations (2) 698  1,252  1,213  —  3,163  Financing activities   Debt (principal payments) (3) —  —  5,000  —  5,000  Total $ 391,754  $ 354,557  $ 133,016  $ 96,796  $ 976,123  (1) Due to the nature of our reinsurance operations, the actual amount and timing of the cash flows associated with our reinsurance contractual liabilities will fluctuate, perhaps materially, and, therefore, are highly uncertain. We have not taken into account corresponding reinsurance recoverable on unpaid amounts that would be due to us. (2) See Note 17 “Commitments and Contingencies” of the consolidated financial statements. (3) See Note 10 “Debt and Credit Facilities” of the consolidated financial statements. Critical Accounting Estimates Our consolidated financial statements contain certain amounts that are inherently subjective and have required management to make assumptions and best estimates to determine reported values. If certain factors, including those described in “Part I, Item IA. — Risk Factors,” cause actual events or results to differ materially from our underlying assumptions or estimates. In that case, there could be a material adverse effect on our results of operations, financial condition, or liquidity. We believe the following are the critical accounting estimates used to prepare our consolidated financial statements: •Premium recognition •Loss and LAE reserves •Investments valuation The following provides a summary of our accounting policies for the above critical accounting estimates. Premium Recognition Gross Premiums Written We record our property and casualty reinsurance premiums as premiums written based on our best estimate of the ultimate premiums for the contract period. Our estimates are based on actuarial pricing models, information 71 Return to table of contents received from ceding companies, and from Lloyd’s syndicates (for FAL business). Further, we record reinsurance premiums so long as they meet the risk transfer criteria under U.S. GAAP (see “Deposit Contracts” below). The recognition of gross premiums written will vary based on the type of the reinsurance contract as follows: •Excess of loss contracts: typically the contracts state premiums as a percentage of the subject premiums written by the client, subject to a minimum deposit premium. The minimum deposit premium is generally based on an estimate of subject premiums expected to be written by the client during the contract term. At the inception of the contract, we record the total contractual minimum deposit premium, which is subsequently adjusted when the actual subject premium is known. Generally, the adjustment to actual is not material on an aggregate basis. •Quota share (also known as proportional) contracts: we record our participation share of the estimated ultimate premiums in the same periods in which the underlying insurance contracts are written. For example, for a 12-month quota share reinsurance contract, we will recognize the estimated gross premiums written over 12 months, generally on a linear basis. •For multi-year contracts: we record reinsurance premiums at the inception of the contract based on our best estimate of total premiums to be received. Premiums are recognized on an annual basis for multi-year contracts where the cedants have the ability to unilaterally commute or cancel coverage within the term of the contract. We write mostly quota share reinsurance treaties. The following table provides a summary of our estimated gross premiums written for quota share reinsurance contracts incepting during the year: 2025 2024 2023 Open Market segment $ 439,982  $ 402,666  $ 358,230  Innovations segment 58,219  45,494  44,133  Property runoff —  —  42,744  Total quota share estimated premiums 498,201  448,160  445,107  Consolidated gross premiums written 773,261  698,335  636,810  As of % of total consolidated 64  % 64  % 70  % We regularly review premium estimates. Such review includes our experience with the ceding companies, managing general underwriters, familiarity with each market, the timing of the reported information, a comparison of reported premiums to expected ultimate premiums, along with a review of the aging and collection of premiums. We evaluate the appropriateness of the premium estimates on the basis of these reviews and record any adjustments to these estimates in the period in which they are determined. Changes in premium estimates, including premium receivable on both excess of loss and quota share contracts, are not unusual and may result in significant adjustments in any period. A portion of amounts included in “Reinsurance balances receivable” in the consolidated balance sheets represent estimated premiums written, net of commissions and brokerage, that are not currently due based on the terms of the underlying contracts. Additional premiums due on a contract with no remaining coverage period are earned in full when written. Certain contracts provide for reinstatement premiums in the event of a loss. Reinstatement premiums are written and earned when a triggering loss event occurs, based on management’s estimates of the ultimate reinstatement premiums. These estimates are subsequently adjusted when actual reinstatement premiums are known. Net Premiums Earned We earn premiums over the risk coverage period. Unearned premiums represent the unexpired portion of reinsurance provided. Changes in circumstances subsequent to the inception of contracts can impact the earnings period. For instance, when exposure limits for a reinsurance contract are reached, any associated unearned premiums are fully earned. Excess of loss reinsurance contracts are generally written on a “losses occurring” or “claims made” basis over the term of the policy. Accordingly, premiums are earned evenly over the contract term, which is generally 12 months. 72 Return to table of contents Line slip or proportional insurance/reinsurance contracts are generally written on a “risks attaching” basis, covering claims that relate to the underlying policies written during the terms of these contracts. As the underlying business incepts throughout the contract term, which is generally one year, and the underlying business generally has a one year coverage period, these premiums are generally earned evenly over a 24-month period from inception. For certain classes within financial and specialty lines of business, the underlying risk exposure period extend over several years and accordingly these premiums are earned over up to 60-months. Deposit Contracts If we determine that a reinsurance contract does not transfer sufficient risk to merit reinsurance accounting treatment, we report the premium we receive as a deposit liability. Similarly, we report the premium we pay as a deposit asset for ceded contracts that do not transfer sufficient risk to merit reinsurance accounting. Any income and expense on deposit-accounted contracts is calculated using the interest method and recorded in the consolidated statements of operations under “Other income (expense)” and “Deposit interest expense,” respectively. Loss and LAE Reserves Estimating our loss and LAE reserves involves a considerable degree of judgment, and our estimates as of any given date are inherently uncertain. Estimating loss and LAE reserves requires us to make assumptions regarding reporting and development patterns, frequency and severity trends, claims settlement practices, potential changes in legal environments, inflation, loss amplification, foreign exchange movements, and other factors. These estimates and judgments are based on numerous considerations and are often revised as (i) we receive changes in loss amounts reported by ceding companies and brokers; (ii) we obtain additional information, experience, or other data; (iii) we develop new or improved methodologies; or (iv) we observe changes in the legal environment. Our loss and LAE reserves relating to short-tail property risks are typically reported to us and settled more promptly than those relating to long-tail risks. However, the timeliness of loss reporting can be affected by such factors as the nature of the event causing the loss, the location of the loss, whether the loss is from policies in force with primary insurers or with reinsurers, and where our exposure falls within the cedent’s overall reinsurance program. Our loss and LAE reserves are composed of case reserves (based on claims reported to us), including ACR, and IBNR reserves. These reserves include the associated estimated claims handling costs. The following table summarizes our gross reserves for loss and LAE for each of the reportable segments, by line of business, and the runoff business at December 31, 2025: Case reserves IBNR Total loss and LAE reserves Open Market segment: Casualty $ 59,759  $ 178,180  $ 237,939  Financial 30,653  41,603  72,256  Health —  242  242  Multiline 39,580  203,284  242,864  Property 41,861  55,209  97,070  Specialty 38,787  180,980  219,767  Total Open Market segment 210,640  659,498  870,138  Innovations segment: Casualty 752  33,601  34,353  Financial 3,197  4,229  7,426  Health 861  193  1,054  Multiline 15,228  34,421  49,649  Specialty 611  1,844  2,455  Total Innovations segment 20,649  74,288  94,937  Corporate (property business in runoff) 1,787  1,098  2,885  Total $ 233,076  $ 734,884  $ 967,960  % of total 24  % 76  % 100  % 73 Return to table of contents We determine case reserve estimates based on loss reports received. We may establish ACR in excess of the case reserves reported by cedents if we believe the reported case reserve is inadequate based on other data points we may have. At December 31, 2025, we had no ACR. We determine our IBNR reserve estimates using standard actuarial methods and a combination of our own historical and current loss experience, insurance industry loss experience, assessments of pricing adequacy trends, and our professional judgment. In estimating our IBNR reserve, we estimate the total ultimate loss and LAE we expect to incur and subtract paid claims and case reserves. The nature and extent of our judgment in the reserving process depend in part upon the type of business. Some of our contracts represent business with a low frequency of claims occurrence and a high potential loss severity, such as claims arising from natural catastrophes and large loss events. Given the nature of these events, traditional actuarial reserving methods may not be reliable indicators of the final outcome. As such, for contracts or losses of this type, we estimate the ultimate cost associated with a single loss event rather than perform analysis on the historical development patterns of past events to estimate the ultimate losses for an entire accident year. Specifically for catastrophe losses, we estimate our reserves for these large events on a by-contract basis by reviewing policies with known or potential exposure to a particular loss event. For non-catastrophe losses, we apply standard actuarial methodologies in setting reserves, including paid and incurred loss development, Bornheutter-Ferguson, burning cost, and frequency and severity techniques. We supplement our analysis with industry loss ratio and development pattern information in conjunction with our own experience. The weight given to a particular method will depend on many factors, including the homogeneity within the class of business, the volume of losses, the maturity of the accident year, and the length of the expected development tail. For example, the expected loss ratio method assumes that the ratio of premiums and losses remains constant. In contrast, development methods rely on observable patterns within reported losses, both historical and newly reported, to establish a view of the ultimate loss incurred. Therefore, as an accident year matures, we may migrate from an expected loss ratio method to an incurred development method. As a predominantly broker-market reinsurer for both excess-of-loss and proportional contracts, we rely on loss information reported to brokers by primary insurers who, in turn, must estimate their losses at the policy level, often based on incomplete and changing information. The information we receive varies by cedent and may include paid losses, estimated case reserves, and an estimated provision for IBNR reserves. Reserving practices and data-reporting quality differ among ceding companies, which adds further uncertainty to our estimation of ultimate losses. The nature and extent of information received from ceding companies and brokers also vary widely depending on the type of coverage, the contractual reporting terms (which are affected by market conditions and practices), and other factors. Due to the lack of standardization of the terms and conditions of reinsurance contracts, the differences in coverage provided to individual clients, and the tendency of those coverages to change rapidly in response to market conditions, we cannot always reliably measure the ongoing economic impact of such uncertainties and inconsistencies. Time lags are inherent in loss reporting, especially in the case of excess-of-loss reinsurance contracts. The time lags, coupled with the combined characteristics of low claim frequency and high claim severity on such contracts, make the available data less useful for predicting ultimate losses. In the case of proportional contracts, we rely on an analysis of a cedent’s historical experience, industry information, and the underwriters’ professional judgment in estimating reserves. We also utilize ultimate loss ratio forecasts when reported by cedents and brokers, which are ordinarily subject to three to six-month lags for proportional business. Due to our reliance on ceding companies for claims reporting, our reserve estimates are highly dependent on ceding companies’ judgment. Furthermore, during the loss settlement period, which may last several years, additional facts regarding individual claims and trends will often become known, and case law may change, affecting ultimate expected losses. Since we rely on ceding company data in establishing our loss and LAE reserves, we maintain procedures designed to mitigate the risk that such information is incomplete or inaccurate. These procedures include: (i) comparisons of expected premiums to reported premiums, which helps us to identify delinquent client periodic reports; (ii) ceding company audits to identify inaccurate or incomplete reporting of claims and ensure that claims are actively and appropriately managed in line with agreed protocols and settlement authority limits; and (iii) underwriting reviews to ascertain that the losses ceded are covered as provided under the contract terms. These procedures are incorporated in our internal controls and are regularly evaluated and amended as market conditions, risk factors, and unanticipated areas of exposure develop. 74 Return to table of contents We engage an independent third-party actuarial firm to perform a reserve review and opine on the reasonableness and adequacy of the aggregate loss reserves. We provide the third-party actuarial firm with our pricing models, reserving analysis, and other data. The actuarial firm may also inquire about the various assumptions and estimates used in the reserving analysis. The actuarial firm independently creates its own reserving models based on industry loss information, augmented by client-specific loss information and independent assumptions and estimates. Based on various reserving methodologies that the actuarial firm considers appropriate, it creates a loss reserve estimate for each segment in the portfolio. It recommends an aggregate loss reserve, including IBNR. In the event of material differences between our aggregated booked reserves and the actuarial firm's recommended reserves, the reserving committee would be notified, with the reserves adjusted as deemed appropriate. To date, there have been no material differences resulting from the external actuary’s reviews requiring adjustments to our booked reserves. We monitor the development of our prior-year losses during subsequent calendar years by comparing the actual reported losses against previous estimates and current expectations. The analysis of this loss development is important to the ongoing refinement of our reserving assumptions. Each additional year of loss experience with a given cedent provides additional insight into the accuracy and timeliness of previously reported information. Estimating loss reserves for our book of longer-tail casualty reinsurance business, which we write on both a proportional and non-proportional basis, involves further uncertainties. In addition to the uncertainties described above, casualty business is generally subject to longer reporting lags than property business, and claims often take several years to settle. During this period, additional factors and trends will be revealed, and we may adjust our reserves accordingly. Therefore, any factors that extend the time until our cedents settle claims add uncertainty to the reserving process. The uncertainties inherent in the reserving process and the potential for unforeseen developments, including changes in laws and the prevailing interpretation of policy terms, may result in our loss and LAE reserves being materially greater or less than the loss and LAE reserves we initially established. We reflect adjustments to our loss and LAE reserves in our financial results during the period they are determined. Changes to our prior year loss reserves will impact our current underwriting results by improving our results if the prior year reserves prove redundant or impairing our results if the prior year reserves prove insufficient. We believe that our reserves for loss and LAE are sufficient to cover losses that fall within the terms of our policies and agreements with our insured and reinsured customers based on the methodologies used to estimate those reserves. However, we can provide no assurance that actual losses will not (i) be less than or (ii) exceed our total established reserves. Please refer to Notes 2 “Significant Accounting Policies - Loss and Loss Adjustment Expense Reserves and Recoverable” and 8 “Loss and Loss Adjustment Expense Reserves” of our consolidated financial statements for a more detailed explanation of our loss reserving methodology and the loss development tables by accident year, respectively, as required under U.S. GAAP. Investments Valuation We carry our investment in Solasglas at fair value, based on the most recent net asset value (“NAV”) obtained from Solasglas’ third-party administrator. Further, Solasglas’ financial statements for the years ended December 31, 2025, 2024, and 2023 were subject to an independent audit in which Solasglas’ external auditors issued an unqualified opinion for these years (see “Report of Independent Registered Public Accounting Firm” in the Exhibits). Our investment in fixed maturities are recognized at fair value. For the fixed maturity portfolio managed by a third party, all fixed maturity securities are classified as Level 2 except for US Treasury securities which are classified as Level 1. Refer to Note 7, “Fair Value Measurements” for the valuation methodologies used to determine the fair value of the fixed maturity securities by asset class. For the liquidity fund, as a practical expedient, the fair value is based on NAV obtained from the fund’s third party administrator. Other investments in our consolidated balance sheets includes private investments that do not have readily determinable fair values. We determine private equity securities’ carrying value based on the original cost, less impairment, plus or minus observable price changes in orderly transactions for an identical or similar investment of the same issuer. At each reporting date, we qualitatively consider whether the investment is impaired on the basis of certain impairment indicators. If we determine that the equity security is impaired on the basis of the qualitative assessment and the estimated fair value is less than the carrying value, we recognize an impairment loss in “Net investment income (loss)” in the consolidated statements of operations. We determine realized gains and losses 75 Return to table of contents from other investments based on the specific identification method (by reference to cost or amortized cost, as appropriate). These gains and losses are also included in “Net investment income (loss)” in the consolidated statements of operations. Refer to Innovations Segment - Net Investment Loss in the MD&A, for the valuation techniques and key inputs used by management to calculate the fair value of certain private equity investments during 2025 as a result of our impairment review. 76 Return to table of contents