Safe Harbor

The Company bases all statements made in this presentation that are not historic facts on its current expectations. These statements are forward-looking in nature (as defined in the Private Securities Litigation Reform Act of 1995) and involve a number of risks and uncertainties. Actual results could vary materially. Factors that could cause actual results to vary materially include: the ability of the Company's insurance subsidiaries to attract new business, retain existing business and collect balances due to them as a result of the prolonged economic challenges resulting from the COVID-19 pandemic and related business shutdown, adverse and catastrophic weather events, the Company's ability to maintain profitable operations, the adequacy of the loss and loss expense reserves of the Company's insurance subsidiaries, business and economic conditions in the areas in which the Company's insurance subsidiaries operate, interest rates, competition from various insurance and other financial businesses, acts of terrorism, the availability and cost of reinsurance, legal and judicial developments including those related to COVID-19 business interruption coverage and exclusions, changes in regulatory requirements and other risks the Company describes from time to time in the periodic reports it files with the Securities and Exchange Commission. You should not place undue reliance on any such forward-looking statements. The Company disclaims any obligation to update such statements or to announce publicly the results of any revisions that it may make to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.

Reconciliations of non-GAAP data are included on pages 28-29 of this presentation.

Investment Thesis

  • • Well-established regional insurance group with a diverse book of business including both commercial and personal lines

  • • Shift in focus to commercial lines growth and actions to improve personal lines results contributed to recent margin improvement (96.0% combined ratio and 9% book value growth in 2020)

  • • Expanding independent agency relationships to sustain commercial premium growth momentum

  • • DGICA dividend yield of 4.3% as of February 22, 2021

  • • DGICA trades at 0.82X 12/31/2020 book value (among the lowest in peer group despite performance improvement)

Company Overview

Donegal Group Inc. is an insurance holding company offering property and casualty insurance in 24 states.

The Company offers full lines of personal products (~42% of total) and commercial products (~58% of total), including, commercial multi-peril, automobile, homeowners, workers' compensation, and other coverages.

NASDAQ: DGICA/DGICB

Corporate Headquarters

DGICA Share Description

DGICB Share Description

Marietta, Pennsylvania

24.6 million shares outstanding at 12/31/2020 (Voting rights 0.1:1)

5.6 million shares outstanding

(Voting rights 1:1)

At 12/31/2020

Cash and Investments Total Assets

Total Shareholders' Equity

Book Value Per Outstanding Common Share

DGICA Annual Dividend Per Share

Current Figures (DGICA)

Stock Price

52 Week Range

Price to Book Value*

* Based on 12/31/2020 Book Value

$1.3 billion $2.2 billion

At 9/30/2020

$1.3 billion $2.1 billion

At 12/31/2019

$1.2 billion $1.9 billion

$517.8 million $17.13

$504.1 million

$451.0 million

$16.96 $15.67

$0.60

$0.60 $0.58

At 2/22/2021

$13.97 $11.22 - $16.19

0.82X

This is an excerpt of the original content. To continue reading it, access the original document here.

Attachments

  • Original document
  • Permalink

Disclaimer

Donegal Group Inc. published this content on 23 February 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 February 2021 21:09:04 UTC.