Latest news with #workerscompensation
CBC
2 days ago
- Health
- CBC
The psychological toll of being a first responder in Edmonton
Trauma and danger, among other stressors like high workloads, come with being a first responder — but they take a mental toll. CBC News obtained workers' compensation data that shows, over the past five years, hundreds of first responders in Edmonton have had to step away from duty due to psychological injuries.
Medscape
6 days ago
- Health
- Medscape
Long COVID and Returning to Work: A Hard, Frustrating Road
Many patients with long COVID, struck down by the condition on the job, remain out of work and are still waiting on the finalization of workers' compensation claims. Several new studies suggested the problem may be striking more workers than previously estimated. Around 16 million workers have been affected nationwide by long COVID. Many who initially contracted the virus as a result of their jobs are left with the additional burden of proving that they acquired the condition in the workplace. Without it, they may be unable to file a claim for workers' compensation insurance, which provides benefits to employees who are injured or become ill on the job. Patients with long COVID are costly because they see doctors more often and are less likely to have their claims covered by workers' compensation insurance. Experts contend that, in order for claims to be covered by insurance, physicians need standardized diagnostic tests to prove patients have the condition as well as FDA-approved treatments that insurance companies are more likely to cover, and regulations that mandate coverage either federally or at the state level. This way, patients can get the care they need to return to work. Many Workers Sickened on the Job In states like California, patients with long COVID claims made up 5% of all California workers' compensation claims but accounted for a whopping 82% of medical treatment dollars. In New York, an analysis from the New York State Insurance Fund found more than 3100 workers' compensation claims, and among them, 18% were unable to work for more than a year because of ongoing long COVID symptoms. In all, around 6% of workers' compensation claims nationwide have been for long COVID, but many of these patients have had trouble collecting benefits. An additional 4% of Medicare patients, a large percentage of whom are retired, have been diagnosed and not recovered from long COVID. Many patients may have been close to retirement and decided to retire after a struggle to get better. 'In California alone, long COVID workers' compensation claims have cost upwards of $350.6 million, and it's only going to get worse,' said Grace McComsey, MD, who leads one of the 15 nationwide long COVID centers funded by the federal Researching COVID to Enhance Recovery Initiative in Cleveland. McComsey said that treatments will remain costly without more research to solve the problem of long COVID for the millions of workers who remain sick and can't go back to work. Charlie McCone, 35, of San Francisco, is one of those patients. He lost his job due to long COVID and now depends on his partner financially. He said he's seen upwards of 30 physicians and goes to the doctor weekly, and more recently, monthly, in an effort to find effective treatments for his debilitating condition. 'As somebody who has never had any health problems before, you go from interacting with the healthcare system once a year to weekly,' said McCone. 'It's why long COVID patients are so costly.' McCone has yet to receive any disability benefits for his condition. Tina Ridler, of Rochester, Minnesota, has been living with long COVID after a serious bout with acute COVID-19 in 2020. She went from working 60-80 hours weekly as a self-employed wellness center owner to a maximum of 20 hours. 'When you're already sick, it's scary to watch your access to treatment in flux,' said Ridler. At 60 years old, she's on the cusp of retirement, but with so many bills to pay, she's constantly financially stressed. Patients Need Standardized Diagnostic Tests Many of the patients filing workers' compensation claims were in healthcare and consumer-facing businesses, such as workers in the restaurant and airline industries, said Nisha Viswanathan, MD, director of the University of California, Los Angeles Long COVID Program. Long COVID is still a 'diagnosis of exclusion,' so in order for patients to gain coverage, physicians must do a number of tests to rule out other undiagnosed medical conditions to help prove that long COVID is causing their symptoms. 'While I'm glad that these patients are getting recognition that their long COVID was a result of their jobs, I still see a lot of struggles,' said Viswanathan. Workers' compensation companies have been pushing back on paying patient bills because there aren't any diagnostic tests for long COVID, and workups for patients can be costly, and often, they're still not covered, said Viswanathan. FDA-Approved Treatments Are More Likely Covered Viswanathan said that there's no incentive for workers' compensation companies to pay for treatments that they deem experimental and costly, which can be problematic when there are no FDA-approved long COVID treatments. A mandate of some sort of coverage at the state or federal level would also be helpful to protect patients, she added. Treatments like low-dose naltrexone, which Viswanathan has found helpful for some of her patients suffering from pain, sleep issues, and fatigue, for example, aren't approved long COVID treatments, and therefore, patients must pay for them out-of-pocket. 'What we really need are studies that validate treatments so that commercial insurance and workers' compensation companies will cover them,' said Viswanathan. That's been a chicken-and-egg problem from the start because without research dollars, patients can't secure approved treatments, and without approved treatments, patients can't get better and go back to work full-time. At the same time, the Trump Administration has slashed research funding along with access to treatments. In March, it closed the federal government's Office of Long COVID Research and Practice as part of a larger restructuring of health agencies. Additionally, its 2026 budget plan included a 40% cut in National Institutes of Health spending and a 55% cut in the National Science Foundation budget. Older Workers and Retirees Hit Hard A study published in The Journals of Gerontology found that of 3,588,671 Medicare recipients, nearly 4%, or 140,000 patients, had been diagnosed with long COVID and had their symptoms for over a year. Medicare does cover treatments for long COVID, though not all patients have access to the specialists required for treatment. According to the research, long COVID diagnoses in Medicare claims were common in a large sample of older adults. For David Putrino, PhD, a national leader in the treatment of long COVID at Mount Sinai Health System in New York City, it shows that older patients are still struggling. Many patients likely chose to retire because of their health. 'The Medicare numbers are eye- catching,' said Putrino. For physicians and patients alike, there's a frustration that patients can't get back to normal life because they're not able to get better, and at the same time, the cost for their treatments is mounting. 'Understanding how costly this disease is, we should be all-in when it comes to researching effective treatments,' said McComsey.
News.com.au
6 days ago
- Politics
- News.com.au
Labor introduces second workers' compensation reform Bill after backlash
The Labor government will seek to introduce a second Bill to reform workers' compensation in NSW despite an earlier version still being subject to a parliamentary inquiry. Treasurer Daniel Mookhey said the state government would introduce the Bill on Tuesday afternoon, the first sitting day of NSW parliament after the winter break. Mr Mookhey said the Bill was 'very similar in nature' to an earlier version that was sent back for a second inquiry by the upper house just earlier this year. He said changes reflected 'agreed amendments' with the lower house crossbench, including Sydney MP Alex Greenwich, and changes to some 'other related schemes'. 'The reason why is because the need for reform remains urgent,' Mr Mookhey said of the need to introduce the Bill. 'The workers' compensation system is failing small business, it's failing the not-for-profit sector, and it's failing injured workers.' The Labor government had hoped to pass its sweeping reforms to workers' compensation before the end of financial year. Instead, the Bill was sent to an upper house inquiry following significant pushback from the Coalition, Greens, unions, and the legal sector. The Coalition, who have joined with embattled MLC Mark Latham to propose amendments for the Bill, say the reforms would leave the most vulnerable workers at risk. Their proposed changes would also impact provisions around sexual harassment, including who can make a claim for compensation. A public inquiry on Friday heard evidence from a range of industry leaders, including from the legal and psychology sectors, as well as the unions. The Treasurer said the second Bill was also necessary because the state government did not expect the upper house to conclude the inquiry anytime soon. 'At this point, it's not clear when that (original) Bill will return, and therefore, from our perspective, we do think it's necessary to have to introduce this Bill,' he said. 'Should we get some clarity from the committee about what their intentions are with the first Bill – if they are intending to release it at a time in which parliament can take it up – then of course, the government will consider whether or not we need to repeat the exercise of having a vote again in the Legislative Assembly.' Mr Mookhey said the lower house would likely have to vote again on the original Bill if amendments were passed in the upper house. The Treasurer said work was under way to set insurance premiums for the nominal insurer, with the private sector reporting loses from the scheme of $6m per day. He told the media on Tuesday that 25 disability organisations had warned they faced a 36 per cent rise in premiums over the next three years if reforms weren't implemented. 'That will almost certainly mean that they either have to dramatically scale back their services or close them together,' he said.
Yahoo
30-07-2025
- Business
- Yahoo
Employers Holdings, Inc. Reports Second Quarter 2025 Results and Declares Regular Quarterly Dividend of $0.32 per Share
Company to Host Conference Call on Thursday, July 31, 2025, at 11:00 a.m. Eastern Daylight Time RENO, Nev., July 30, 2025 (GLOBE NEWSWIRE) -- Employers Holdings, Inc. (the 'Company') (NYSE:EIG), a holding company with subsidiaries that are specialty providers of workers' compensation insurance and services focused on small and mid-sized businesses engaged in low-to-medium hazard industries, today reported financial results for its second quarter ended June 30, 2025. Financial Highlights: (All comparisons vs. the second quarter of 2024). Net income per diluted share decreased by 2%, from $1.25 to $1.23; Adjusted net income per diluted share decreased 56%, from $1.10 to $0.48; Gross premiums written decreased 2%, from $207.9 million to $203.3 million; Net premiums earned increased 6%, from $187.8 million to $198.3 million; Loss and loss adjustment expenses ratio increased from 57.9% to 70.7%; Commission expense ratio improved from 13.9% to 13.2%; Underwriting expense ratio improved from 22.4% to 21.7%; GAAP combined ratio increased from 94.2% (95.4% excluding LPT) to 105.6% (106.4% excluding LPT); Net investment income increased 1%, from $26.9 million to $27.1 million; Net realized and unrealized gains on investments increased from $2.2 million to $20.9 million; Record number of ending policies in-force of 134,421, a 5% increase; and Returned $31.4 million to stockholders through a combination of share repurchases and regular quarterly dividends. Management Commentary Chief Executive Officer Katherine Antonello commented: 'Second quarter gross premiums written decreased slightly, with growth in smaller policy size bands offset by decreases within the middle market. Our focus on profitability over growth led to targeted underwriting actions and improved risk selection which impacted our ability and desire to grow at the same pace in certain classes and jurisdictions. Despite the reduction in gross premiums written, net premiums earned increased by 6%, and we ended the period with another record number of policies in-force, which were up 5% year-over-year. In response to the rapid rise in cumulative trauma claims in California, we increased the accident year 2025 loss and LAE ratio on voluntary business from 66.0% in the first quarter to 69.0%. As a result of this increased loss activity, we reallocated observed favorable reserve development from accident years 2020 and prior to more recent accident years, which resulted in no net prior loss reserve development from our voluntary business during the quarter. We took this action to reflect the increased frequency of cumulative trauma claims we are experiencing in the more recent accident years and the level of uncertainty around this new trend. We intend to perform a full actuarial study in the third quarter. Our commission expense ratio was 13.2%, versus 13.9% a year ago, driven by lower new business premiums. While our underwriting expenses increased slightly, our underwriting expense ratio decreased to 21.7% from 22.4% a year ago. We continue to find ways to reduce expenses by automating processes, delivering customer self-service capabilities, and utilizing artificial intelligence. Lastly, we declared a regular quarterly dividend of $0.32 per share and continue to see attractive opportunities to return capital to our shareholders via share repurchases. These actions reflect our strong balance sheet, abundant underwriting capital, and the confidence in the Company's future operations.' Summary of Second Quarter 2025 Results (All comparisons vs. the second quarter of 2024, unless otherwise noted). Gross premiums written were $203.3 million, a decrease of 2%. The decrease was primarily driven by reductions in new business in the middle market. Net premiums earned were $198.3 million, an increase of 6%. Losses and loss adjustment expenses were $140.1 million, an increase of 29%. The increase was primarily due to a higher current accident year loss and loss adjustment expense ratio of 69% and the absence of favorable prior accident year loss reserve development during the quarter. In addition, $5.5 million of loss and loss adjustment expense was recognized to increase the 2025 first quarter estimate, resulting in the calendar year loss and loss adjustment expense ratio of 70.7% (71.5% excluding LPT), versus 57.9% (59.1% excluding LPT). Commission expense was flat at $26.1 million. The Company's commission expense ratio was 13.2%, versus 13.9% a year ago. The decrease in the ratio was primarily related to lower agency incentive accruals, the increase in net premiums earned, and an increase in the proportion of renewal premiums, which are typically subject to a lower commission rate. Underwriting expenses were $43.1 million, an increase of 2%. The Company's underwriting expense ratio was 21.7%, versus 22.4% a year ago. Our increase in underwriting expenses was primarily related to a reduced internal allocation of underwriting expenses to loss adjustment expenses due to a refinement in assumptions. Excluding this allocation, underwriting expenses decreased by $3.0 million primarily driven by lower compensation-related expenses and depreciation and amortization costs offset by higher bad debt expense. Increased net earned premiums contributed to the lower underwriting expense ratio. Net investment income was $27.1 million, an increase of 1%. The increase was primarily due to higher book yields on our fixed maturity securities. Net realized and unrealized gains on investments reflected on the income statement were $20.9 million, versus $2.2 million. The increase is primarily attributable to increases in the fair value of the Company's equity securities holdings. Income tax expense was $7.3 million (19.7% effective rate), versus $8.3 million (20.8% effective rate). The effective rates during each of the periods included income tax benefits and exclusions associated with tax-advantaged investment income, LPT adjustments, deferred gain amortization and related adjustments, and tax credits utilized. The Company's book value per share including the deferred gain and computed after considering dividends declared was $49.44, an increase of 12.8% year-over-year and 3.1% for the second quarter of 2025. During the second quarter, this measure was favorably impacted by $7.4 million of after-tax unrealized gains arising from fixed maturity securities (which are reflected on the balance sheet) and $16.6 million of net after-tax unrealized gains arising from equity securities and other investments (which are reflected on the income statement). The Company's adjusted book value per share computed after considering dividends declared of $51.68 increased by 8.2% year-over-year and 2.5% during the second quarter of 2025. Third Quarter 2025 Dividend Declaration On July 30, 2025, the Company's Board of Directors declared a regular quarterly dividend of $0.32. The dividend is payable on August 27, 2025 to stockholders of record as of August 13, 2025. Stock Repurchases During the second quarter of 2025, the Company repurchased 482,000 shares of its common stock at an average price of $48.08 per share. During the period from July 1, 2025 through July 29, 2025, the Company repurchased a further 229,363 shares of its common stock at an average price of $46.44 per share. The Company currently has a remaining share repurchase authorization of $99.4 million. Earnings Conference Call and Webcast The Company will host a conference call on Thursday, July 31, 2025 at 11:00 a.m. Eastern Daylight Time / 8:00 a.m. Pacific Daylight Time. To participate in the live conference call, you must first register here. Once registered you will receive dial-in numbers and a unique PIN number. The webcast will be accessible on the Company's website at through the 'Investors' link. Reconciliation of Non-GAAP Financial Measures to GAAP The information in this press release should be read in conjunction with the Financial Supplement that is attached to this press release and available on our website. Within this earnings release we present various financial measures, some of which are 'non-GAAP financial measures' as defined in Regulation G pursuant to Section 401 of the Sarbanes - Oxley Act of 2002. A description of these non-GAAP financial measures, as well as a reconciliation of such non-GAAP measures to our most directly comparable GAAP financial measures is included in the attached Financial Supplement. Management believes that these non-GAAP measures are important to the Company's investors, analysts and other interested parties who benefit from having an objective and consistent basis for comparison with other companies within our industry. Management further believes that these measures are more relevant than comparable GAAP measures in evaluating our financial performance. Forward-Looking Statements In this press release, the Company and its management discuss and make statements based on currently available information regarding their intentions, beliefs, current expectations, and projections of, among other things, the Company's future performance, economic or market conditions, including current or future levels of inflation, potential implications of increased tariffs, changes in interest rates, labor market expectations, catastrophic events or geo-political conditions, legislative or regulatory actions or court decisions, business growth, retention rates, loss costs, claim trends and the impact of key business initiatives, future technologies and planned investments. Certain of these statements may constitute 'forward-looking' statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts and are often identified by words such as 'may,' 'will,' 'could,' 'would,' 'should,' 'expect,' 'plan,' 'anticipate,' 'target,' 'project,' 'intend,' 'believe,' 'estimate,' 'predict,' 'potential,' 'pro forma,' 'seek,' 'likely,' or 'continue,' or other comparable terminology and their negatives. The Company and its management caution investors that such forward-looking statements are not guarantees of future performance. Risks and uncertainties are inherent in the Company's future performance. Factors that could cause the Company's actual results to differ materially from those indicated by such forward-looking statements include, among other things, those discussed or identified from time to time in the Company's public filings with the Securities and Exchange Commission (SEC), including the risks detailed in the Company's Quarterly Reports on Form 10-Q and the Company's Annual Reports on Form 10-K. Except as required by applicable securities laws, the Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Filings with the SEC The Company's filings with the SEC and its quarterly investor presentations can be accessed through the 'Investors' link on the Company's website, The Company's filings with the SEC can also be accessed through the SEC's EDGAR Database at (EDGAR CIK No. 0001379041). About Employers Holdings, Inc. Employers Holdings, Inc. (NYSE: EIG), is a holding company with subsidiaries that are specialty providers of workers' compensation insurance and services (collectively 'EMPLOYERS®') focused on small and mid-sized businesses engaged in low-to-medium hazard industries. EMPLOYERS leverages over a century of experience to deliver comprehensive coverage solutions that meet the unique needs of its customers. Drawing from its long history and extensive knowledge, EMPLOYERS empowers businesses by protecting their most valuable asset – their employees – through exceptional claims management, loss control, and risk management services, creating safer work environments. EMPLOYERS is also proud to offer Cerity®, which is focused on providing digital-first, direct-to-consumer workers' compensation insurance solutions with fast, and affordable coverage options through a user-friendly online platform. EMPLOYERS operates throughout the United States, apart from four states that are served exclusively by their state funds. Insurance is offered through Employers Insurance Company of Nevada, Employers Compensation Insurance Company, Employers Preferred Insurance Company, Employers Assurance Company and Cerity Insurance Company, all rated A (Excellent) by AM Best. Not all companies do business in all jurisdictions. EIG Services, Inc., and Cerity Services, Inc., are subsidiaries of Employers Holdings, Inc. EMPLOYERS® is a registered trademark of EIG Services, Inc., and Cerity® is a registered trademark of Cerity Services, Inc. For more information, please visit and Contact Information Michael Pedraja (775) 327-2706 or mpedraja@ HOLDINGS, of Contents Page 1 Consolidated Financial Highlights 2 Summary Consolidated Balance Sheets 3 Summary Consolidated Income Statements 4 Return on Equity 5 Combined Ratios 6 Roll-forward of Unpaid Losses and LAE 7 Consolidated Investment Portfolio 8 Book Value Per Share 9 Earnings Per Share 10 Non-GAAP Financial MeasuresEMPLOYERS HOLDINGS, Financial Highlights (unaudited)$ in millions, except per share amounts Three Months Ended Six Months Ended June 30, June 30, 2025 2024 % change 2025 2024 % change Gross premiums written $ 203.3 $ 207.9 (2 ) % $ 415.4 $ 418.7 (1 ) % Net premiums written 201.5 206.1 (2 ) 411.8 415.2 (1 ) Net premiums earned 198.3 187.8 6 381.3 372.6 2 Net investment income 27.1 26.9 1 59.2 53.8 10 Net income excluding LPT(1) 28.0 29.6 (5 ) 39.2 55.8 (30 ) Adjusted net income(1) 11.5 27.9 (59 ) 32.8 45.1 (27 ) Net Income before income taxes 37.0 40.0 (8 ) 52.9 75.3 (30 ) Net Income 29.7 31.7 (6 ) 42.5 60.0 (29 ) Comprehensive income 37.2 29.6 26 71.8 47.0 53 Total assets 3,543.3 3,550.0 — Stockholders' equity 1,083.1 1,022.9 6 Stockholders' equity including the Deferred Gain(2) 1,173.8 1,118.2 5 Adjusted stockholders' equity(2) 1,227.0 1,217.2 1 Annualized adjusted return on stockholders' equity(3) 3.7 % 9.2 % (60 ) % 5.3 % 7.5 % (29 ) % Cash dividends declared per share $ 0.32 $ 0.30 7 % $ 0.62 $ 0.58 7 % Earnings per diluted share(4) 1.23 1.25 (2 ) 1.74 2.36 (26 ) Earnings per diluted share excluding LPT(4) 1.16 1.17 (1 ) 1.61 2.19 (26 ) Adjusted earnings per diluted share(4) 0.48 1.10 (56 ) 1.35 1.77 (24 ) Book value per share(2) 45.62 41.09 11 Book value per share including the Deferred Gain(2) 49.44 44.91 10 Adjusted book value per share(2) 51.68 48.89 6 Combined ratio excluding LPT: Loss and loss adjustment expense ratio: Current Year 71.4 % 63.9 % 68.8 % 64.1 % Prior Year 0.1 (4.8 ) 0.5 (2.5 ) Loss and loss adjustment expense ratio 71.5 % 59.1 % 69.3 % 61.6 % Commission expense ratio 13.2 % 13.9 % 12.9 % 13.7 % Underwriting expense ratio 21.7 % 22.4 % 22.6 % 23.7 % Combined ratio excluding LPT 106.4 % 95.4 % 104.8 % 99.0 % (1) See Page 3 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. (2) See Page 8 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. (3) See Page 4 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. (4) See Page 9 for description and calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. (5) See Pages 5 for details and Page 10 for information regarding our use of Non-GAAP Financial Measures. EMPLOYERS HOLDINGS, Consolidated Balance Sheets (unaudited)$ in millions, except per share amounts June 30,2025 December 31,2024 ASSETS Investments, cash and cash equivalents $ 2,529.5 $ 2,532.4 Accrued investment income 15.7 15.7 Premiums receivable, net 382.0 361.3 Reinsurance recoverable, net of allowance, on paid and unpaid losses and LAE 407.3 417.8 Deferred policy acquisition costs 64.0 59.6 Deferred income tax asset, net 29.4 38.3 Other assets 115.4 116.2 Total assets $ 3,543.3 $ 3,541.3 LIABILITIES Unpaid losses and LAE $ 1,786.8 $ 1,808.2 Unearned premiums 429.6 402.2 Commissions and premium taxes payable 62.8 65.8 Deferred Gain 90.7 94.0 Other liabilities 90.3 102.4 Total liabilities $ 2,460.2 $ 2,472.6 STOCKHOLDERS' EQUITY Common stock and additional paid-in capital $ 426.3 $ 424.8 Retained earnings 1,500.2 1,472.9 Accumulated other comprehensive loss (53.2 ) (82.5 ) Treasury stock, at cost (790.2 ) (746.5 ) Total stockholders' equity 1,083.1 1,068.7 Total liabilities and stockholders' equity $ 3,543.3 $ 3,541.3 Stockholders' equity including the Deferred Gain (1) $ 1,173.8 $ 1,162.7 Adjusted stockholders' equity (1) 1,227.0 1,245.2 Book value per share (1) $ 45.62 $ 43.52 Book value per share including the Deferred Gain(1) 49.44 47.35 Adjusted book value per share (1) 51.68 50.71 (1) See Page 8 for calculations and Page 10 for information regarding our use of Non-GAAP Financial Measures. EMPLOYERS HOLDINGS, Consolidated Income Statements (unaudited)$ in millions Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Revenues: Net premiums earned $ 198.3 $ 187.8 $ 381.3 $ 372.6 Net investment income 27.1 26.9 59.2 53.8 Net realized and unrealized gains on investments(1) 20.9 2.2 8.1 13.6 Other income — 0.1 0.3 0.1 Total revenues 246.3 217.0 448.9 440.1 Expenses: Losses and LAE incurred (140.1 ) (108.8 ) (260.8 ) (225.3 ) Commission expense (26.1 ) (26.0 ) (49.1 ) (51.1 ) Underwriting expenses (43.1 ) (42.2 ) (86.0 ) (88.4 ) Interest and financing expenses — — (0.1 ) — Total expenses (209.3 ) (177.0 ) (396.0 ) (364.8 ) Net income before income taxes 37.0 40.0 52.9 75.3 Income tax expense (7.3 ) (8.3 ) (10.4 ) (15.3 ) Net Income 29.7 31.7 42.5 60.0 Unrealized AFS investment gains (losses) arising during the period, net of tax(2) 7.4 (4.9 ) 28.5 (16.5 ) Reclassification adjustment for net realized AFS investment losses in net income, net of tax(2) 0.1 2.8 0.8 3.5 Total comprehensive income $ 37.2 $ 29.6 $ 71.8 $ 47.0 Net Income $ 29.7 $ 31.7 $ 42.5 $ 60.0 Amortization of the Deferred Gain - losses (1.7 ) (1.5 ) (3.3 ) (3.0 ) Amortization of the Deferred Gain - contingent commission — (0.4 ) — (0.8 ) LPT contingent commission adjustments — (0.2 ) — (0.4 ) Net income excluding LPT Agreement (3) 28.0 29.6 39.2 55.8 Net realized and unrealized gains on investments (20.9 ) (2.2 ) (8.1 ) (13.6 ) Income tax expense related to items excluded from Net income 4.4 0.5 1.7 2.9 Adjusted net income $ 11.5 $ 27.9 $ 32.8 $ 45.1 (1) Includes unrealized gains on equity securities and other investments of $19.6 million and $2.0 million for the three months ended June 30, 2025 and 2024, respectively, and $7.9 million and $14.7 million for the six months ended June 30, 2025 and 2024, respectively. (2) AFS = Available for Sale securities. (3) See Page 10 regarding our use of Non-GAAP Financial Measures. EMPLOYERS HOLDINGS, on Equity (unaudited)$ in millions Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Net income A $ 29.7 $ 31.7 $ 42.5 $ 60.0 Impact of the LPT Agreement (1.7 ) (2.1 ) (3.3 ) (4.2 ) Net realized and unrealized gains on investments (20.9 ) (2.2 ) (8.1 ) (13.6 ) Income tax expense related to items excluded from Net income 4.4 0.5 1.7 2.9 Adjusted net income (1) B 11.5 27.9 32.8 45.1 Stockholders' equity - end of period $ 1,083.1 $ 1,022.9 $ 1,083.1 $ 1,022.9 Stockholders' equity - beginning of period 1,075.7 1,018.9 1,068.7 1,013.9 Average stockholders' equity C 1,079.4 1,020.9 1,075.9 1,018.4 Stockholders' equity - end of period $ 1,083.1 $ 1,022.9 $ 1,083.1 $ 1,022.9 Deferred Gain - end of period 90.7 95.3 90.7 95.3 Accumulated other comprehensive loss - end of period 67.3 125.3 67.3 125.3 Income taxes related to accumulated other comprehensive loss - end of period (14.1 ) (26.3 ) (14.1 ) (26.3 ) Adjusted stockholders' equity - end of period 1,227.0 1,217.2 1,227.0 1,217.2 Adjusted stockholders' equity - beginning of period 1,228.8 1,213.0 1,245.2 1,199.1 Average adjusted stockholders' equity (1) D 1,227.9 1,215.1 1,236.1 1,208.2 Return on stockholders' equity A / C 2.8 % 3.1 % 4.0 % 5.9 % Annualized return on stockholders' equity 11.0 12.4 7.9 11.8 Adjusted return on stockholders' equity (1) B / D 0.9 % 2.3 % 2.7 % 3.7 % Annualized adjusted return on stockholders' equity (1) 3.7 9.2 5.3 7.5 (1) See Page 10 for information regarding our use of Non-GAAP Financial Measures. EMPLOYERS HOLDINGS, Ratios (unaudited)$ in millions, except per share amounts Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Net premiums earned A $ 198.3 $ 187.8 $ 381.3 $ 372.6 Losses and LAE incurred B 140.1 108.8 260.8 225.3 Amortization of deferred reinsurance gain - losses 1.7 1.5 3.3 3.0 Amortization of deferred reinsurance gain - contingent commission — 0.4 — 0.8 LPT contingent commission adjustments — 0.2 — 0.4 Losses and LAE excluding LPT(1) C $ 141.8 $ 110.9 264.1 229.5 Prior year loss reserve development 0.3 (9.1 ) 1.6 (9.2 ) Losses and LAE excluding LPT - current accident year D $ 141.5 $ 120.0 $ 262.5 $ 238.7 Commission expense E $ 26.1 $ 26.0 $ 49.1 $ 51.1 Underwriting expenses F $ 43.1 $ 42.2 $ 86.0 $ 88.4 GAAP combined ratio: Loss and LAE ratio B/A 70.7 % 57.9 % 68.4 % 60.5 % Commission expense ratio E/A 13.2 13.9 12.9 13.7 Underwriting expense ratio F/A 21.7 22.4 22.6 23.7 GAAP combined ratio 105.6 % 94.2 % 103.9 % 97.9 % Combined ratio excluding LPT:(1) Loss and LAE ratio excluding LPT C/A 71.5 % 59.1 % 69.3 % 61.6 % Commission expense ratio E/A 13.2 13.9 12.9 13.7 Underwriting expense ratio F/A 21.7 22.4 22.6 23.7 Combined ratio excluding LPT 106.4 % 95.4 % 104.8 % 99.0 % Combined ratio excluding LPT: current accident year:(1) Loss and LAE ratio excluding LPT D/A 71.4 % 63.9 % 68.8 % 64.1 % Commission expense ratio E/A 13.2 13.9 12.9 13.7 Underwriting expense ratio F/A 21.7 22.4 22.6 23.7 Combined ratio excluding LPT: current accident year 106.3 % 100.2 % 104.3 % 101.5 % (1) See Page 10 for information regarding our use of Non-GAAP Financial Measures. EMPLOYERS HOLDINGS, of Unpaid Losses and LAE (unaudited)$ in millions Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Unpaid losses and LAE at beginning of period $ 1,792.6 $ 1,874.5 $ 1,808.2 $ 1,884.5 Reinsurance recoverable, excluding CECL allowance, on unpaid losses and LAE 407.1 424.0 412.4 428.4 Net unpaid losses and LAE at beginning of period 1,385.5 1,450.5 1,395.8 1,456.1 Losses and LAE incurred: Current year losses 141.5 120.0 262.5 238.7 Prior year losses on voluntary business — (9.3 ) 0.7 (9.3 ) Prior year losses on involuntary business 0.3 0.2 0.9 0.1 Total losses incurred 141.8 110.9 264.1 229.5 Losses and LAE paid: Current year losses 26.0 24.1 34.0 30.9 Prior year losses 115.5 104.7 240.1 222.1 Total paid losses 141.5 128.8 274.1 253.0 Net unpaid losses and LAE at end of period 1,385.8 1,432.6 1,385.8 1,432.6 Reinsurance recoverable, excluding CECL allowance, on unpaid losses and LAE 401.0 418.3 401.0 418.3 Unpaid losses and LAE at end of period $ 1,786.8 $ 1,850.9 $ 1,786.8 $ 1,850.9 Total losses and LAE shown in the above table exclude amortization of the Deferred Gain and LPT contingent commission adjustments, which totaled $1.7 million and $2.1 million for the three months ended June 30, 2025 and 2024, respectively, and $3.3 million and $4.2 million, for the six months ended June 30, 2025 and 2024, HOLDINGS, Investment Portfolio (unaudited)$ in millions June 30, 2025 December 31, 2024 Investment Positions: Cost or AmortizedCost (1) Net Unrealized Gain (Loss) Fair Value % Fair Value % Fixed maturity securities $ 2,145.5 $ (67.4 ) $ 2,077.0 82 % $ 2,097.4 83 % Equity securities 155.5 120.1 275.6 11 259.8 10 Short-term investments 9.0 — 9.0 — 0.1 — Other invested assets 85.9 12.7 98.6 4 106.6 4 Cash and cash equivalents 69.1 — 69.1 3 68.3 3 Restricted cash and cash equivalents 0.2 — 0.2 — 0.2 — Total investments and cash $ 2,465.2 $ 65.4 $ 2,529.5 100 % $ 2,532.4 100 % Breakout of Fixed Maturity Securities: U.S. Treasuries and agencies $ 68.0 $ (0.5 ) $ 67.5 3 % $ 59.3 3 % States and municipalities 169.9 (2.0 ) 167.9 8 159.3 8 Corporate securities 822.2 (24.8 ) 797.2 38 803.0 38 Mortgage-backed securities 713.5 (37.3 ) 675.9 33 684.9 33 Asset-backed securities 195.9 (0.1 ) 195.8 9 214.0 10 Collateralized loan obligations 26.0 (0.1 ) 25.9 1 35.3 2 Bank loans and other 150.0 (2.6 ) 146.8 7 141.6 7 Total fixed maturity securities $ 2,145.5 $ (67.4 ) $ 2,077.0 100 % $ 2,097.4 100 %Weighted average book yield 4.5% 4.5% Average credit quality (S&P) A+ A+ Duration(2) 4.3 4.5 (1) Amortized cost excludes allowance for current expected credit losses of $1.1 million (2) Duration is measured by the sensitivity to changes in interest rates EMPLOYERS HOLDINGS, Value Per Share (unaudited)$ in millions, except per share amounts June 30,2025 March 31,2025 December 31,2024 June 30,2024 Numerators: Stockholders' equity A $ 1,083.1 $ 1,075.7 $ 1,068.7 $ 1,022.9 Plus: Deferred Gain 90.7 92.4 94.0 95.3 Stockholders' equity including the Deferred Gain (1) B 1,173.8 1,168.1 1,162.7 1,118.2 Accumulated other comprehensive loss 67.3 76.8 104.5 125.3 Income taxes related to accumulated other comprehensive loss (14.1 ) (16.1 ) (22.0 ) (26.3 ) Adjusted stockholders' equity (1) C $ 1,227.0 $ 1,228.8 $ 1,245.2 $ 1,217.2 Denominator (shares outstanding) D 23,740,953 24,210,602 24,556,706 24,896,116 Book value per share (1) A / D $ 45.62 $ 44.43 $ 43.52 $ 41.09 Book value per share including the Deferred Gain(1) B / D 49.44 48.25 47.35 44.91 Adjusted book value per share (1) C / D 51.68 50.75 50.71 48.89 Year-over-year change in: (2) Book value per share 14.0 % 13.5 % 11.9 % 15.7 % Book value per share including the Deferred Gain 12.8 12.3 10.6 14.0 Adjusted book value per share 8.2 8.5 9.8 10.2 (1) See Page 10 for information regarding our use of Non-GAAP Financial Measures. (2) Reflects the twelve month change in book value per share after taking into account dividends declared of $1.22, $1.20, $1.18 and $1.14 for the twelve month periods ended June 30, 2025, March 31, 2025, December 31, 2024 and June 30, 2024, respectively. EMPLOYERS HOLDINGS, Per Share (unaudited)$ in millions, except per share amounts Three Months Ended Six Months Ended June 30, June 30, 2025 2024 2025 2024 Numerators: Net income A $ 29.7 $ 31.7 $ 42.5 $ 60.0 Impact of the LPT Agreement (1.7 ) (2.1 ) (3.3 ) (4.2 ) Net income excluding LPT (1) B 28.0 29.6 39.2 55.8 Net realized and unrealized gains on investments (20.9 ) (2.2 ) (8.1 ) (13.6 ) Income tax expense related to items excluded from Net income 4.4 0.5 1.7 2.9 Adjusted net income (1) C $ 11.5 $ 27.9 $ 32.8 $ 45.1 Denominators: Average common shares outstanding (basic) D 24,005,881 25,278,473 24,201,160 25,312,208 Average common shares outstanding (diluted) E 24,136,221 25,363,941 24,370,311 25,449,957 Earnings per share: Basic A / D $ 1.24 $ 1.25 $ 1.76 $ 2.37 Diluted A / E 1.23 1.25 1.74 2.36 Earnings per share excluding LPT: (1) Basic B / D $ 1.17 $ 1.17 $ 1.62 $ 2.20 Diluted B / E 1.16 1.17 1.61 2.19 Adjusted earnings per share: (1) Basic C / D $ 0.48 $ 1.10 $ 1.36 $ 1.78 Diluted C / E 0.48 1.10 1.35 1.77 (1) See Page 10 for information regarding our use of Non-GAAP Financial Financial Measures Within this earnings release we present the following measures, each of which are "non-GAAP financial measures." A reconciliation of these measures to the Company's most directly comparable GAAP financial measures is included herein. Management believes that these non-GAAP measures are important to the Company's investors, analysts and other interested parties who benefit from having an objective and consistent basis for comparison with other companies within our industry. Management further believes that these measures are more relevant than comparable GAAP measures in evaluating our financial performance. is a non-recurring transaction that no longer provides any ongoing cash benefits to the Company. Management believes that providing non-GAAP measures that exclude the effects of the LPT Agreement (amortization of deferred reinsurance gain, adjustments to LPT Agreement ceded reserves and adjustments to the contingent commission receivable) is useful in providing investors, analysts and other interested parties a meaningful understanding of the Company's ongoing underwriting performance. reflects the unamortized gain from the LPT Agreement. This gain has been deferred and is being amortized using the recovery method, whereby the amortization is determined by the proportion of actual reinsurance recoveries to total estimated recoveries, except for the contingent profit commission, which was amortized through June 30, 2024, the date of its final determination. Amortization is reflected in losses and LAE incurred. (see Page 3 for calculations) is net income excluding the effects of the LPT Agreement, and net realized and unrealized gains and losses on investments (net of tax), and any miscellaneous non-recurring transactions (net of tax). Management believes that providing this non-GAAP measures is helpful to investors, analysts and other interested parties in identifying trends in the Company's operating performance because such items have limited significance to its ongoing operations or can be impacted by both discretionary and other economic factors and may not represent operating trends. (see Page 8 for calculations) is stockholders' equity including the Deferred Gain. Management believes that providing this non-GAAP measure is useful in providing investors, analysts and other interested parties a meaningful measure of the Company's total underwriting capital. (see Page 8 for calculations) is stockholders' equity including the Deferred Gain, less accumulated other comprehensive income (net of tax). Management believes that providing this non-GAAP measure is useful to investors, analysts and other interested parties since it serves as the denominator to the Company's adjusted return on stockholders' equity metric. (see Page 4 for calculations)Management believes that these profitability measures are widely used by our investors, analysts and other interested parties. (see Page 8 for calculations). Management believes that these valuation measures are widely used by our investors, analysts and other interested parties. (see Page 3 for calculations). Management believes that these performance and underwriting measures are widely used by our investors, analysts and other interested in to access your portfolio
News.com.au
28-07-2025
- Politics
- News.com.au
Mark Latham looms large as NSW workers compensation reform inquiry resumes
A strange alliance including the Coalition and the unions stand in the way of Labor and its workers compensation reform, but it's one of its most vocal opponents – Mark Latham – who is taking the spotlight. The second hearing into Labor's controversial workers compensation reforms will get underway on Tuesday morning, after the Bill was sent back for a further inquiry by the NSW upper house earlier this year. The state government says the reforms are integral to ensuring the workers compensation scheme is financially viable and will protect workers, while opponents claim it will abandon the most vulnerable. The hearing comes as independent MLC Mark Latham, who is a member of the committee and helped refer it, faces a series of bruising scandals, including allegations he abused his former partner. Mr Latham has repeatedly denied the allegations, which are untested and part of an application for a private apprehended violence order (AVO) filed by his ex-partner, Nathalie Matthews, with the local court. Mr Latham has not been charged with any criminal offence. The Liberals have accused the state government of attempting to 'discredit' amendments to Labor's reforms, put forward by Mr Latham and the opposition, 'on the basis that Mr Latham's name is attached to them'. Shadow treasurer Damien Tudehope condemned Mr Latham's behaviour but noted the amendments were put forward before the allegations were made and defended talks with Mr Latham on the amendments. 'Mark Latham is an elected member of parliament,' he said. 'The dynamic of the manner in which the upper house operates is that I've got to deal with all people in the upper house, notwithstanding that they do and say things that I don't agree with and would never endorse. 'But, at the same time, I need to, in fact, occupy my position as the leader of the Opposition in the upper house and achieve outcomes which I think deliver better results for legislation throughout.' Mr Tudehope said Mr Latham had 'tainted the whole of this process by what has occurred in relation to a whole lot of other issues', in regard to the proposed amendments. Greens MLC Abigail Boyd told the ABC the party had not made 'agreements or amendments with Mr Latham of any kind', and criticised Premier Chris Minns for singling out Mr Latham's role in the amendments. 'It's really telling that the moment that these particular revelations came out, the first thing they (Labor) did was call on the Coalition and the Greens to no longer 'work with Mark Latham on a particular bill',' she said. Ms Boyd told ABC 702 host Hamish McDonald that Mr Latham had been 'very unfairly attacking' her for a long time, and that assertions that she was now working with the former Labor leader was 'very offensive'. Treasurer Daniel Mookhey has so far rejected the proposed amendments, telling reporters on Friday modelling from iCare of some of the proposed amendments would 'punish workers' and increase premiums. 'My message is clear to the Liberal Party: side with small business, side with victims of sexual harassment. Don't side with Mark Latham,' he said. The modelling reportedly found the preposed amendments put the burden on victims of sexual and racial harassment, as well as bullying, by requiring that they prove the perpetrator intended to harm them. Mr Tudehope said their own modelling showed the amendments would achieve savings 'marginally less' than those the government claims it will deliver. The government said the proposed legislation will address a 'lack of focus on preventing psychological injury' at work, adding: 'Just 50 per cent of workers with psychological claims are back at work within a year. For physical injuries, the rate is 95 per cent.' The hearing will get underway on Tuesday morning.
