Global Indemnity Group, LLC Files 2023 Annual Report on Form 10-K

TL;DR

<b>Global Indemnity Group, LLC has filed its 2023 annual report (10-K) detailing its financial performance and operations.</b>

AI Summary

Global Indemnity Group, LLC (GBLI) filed a Annual Report (10-K) with the SEC on March 15, 2024. Global Indemnity Group, LLC filed its 2023 Form 10-K on March 15, 2024. The filing covers the fiscal year ending December 31, 2023. The company is incorporated in Delaware and operates in the Fire, Marine & Casualty Insurance sector. Its principal business address is 3 Bala Plaza East, Suite 300, Bala Cynwyd, PA 19004. The company was formerly known as Global Indemnity Ltd and Global Indemnity plc.

Why It Matters

For investors and stakeholders tracking Global Indemnity Group, LLC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Global Indemnity Group's financial health, operational strategies, and risk factors for the fiscal year 2023, crucial for investors to assess the company's performance and future prospects. Understanding the details within this filing is essential for stakeholders to evaluate the company's position within the insurance industry, its competitive landscape, and its adherence to regulatory requirements.

Risk Assessment

Risk Level: medium — Global Indemnity Group, LLC shows moderate risk based on this filing. The company operates in the highly regulated insurance industry, which presents ongoing compliance challenges and potential for fines or sanctions.

Analyst Insight

Investors should review the detailed financial statements and risk factors in the 10-K to understand Global Indemnity Group's performance and potential challenges in the upcoming fiscal year.

Key Numbers

• 2023-12-31 — Fiscal Year End (Period of report)
• 2024-03-15 — Filing Date (Date of filing)
• 6331 — Standard Industrial Classification (Industry code)
• 001-34809 — SEC File Number (SEC filing identifier)

Key Players & Entities

• Global Indemnity Group, LLC (company) — Filer
• Global Indemnity Ltd (company) — Former company name
• Global Indemnity plc (company) — Former company name
• 3 BALA PLAZA EAST (location) — Business address
• BALA CYNWYD (location) — Business address city
• PA (location) — Business address state
• 19004 (location) — Business address zip
• DE (location) — State of incorporation

FAQ

Risk Factors

• Regulatory Environment [medium — regulatory]: The company operates in a highly regulated insurance industry, subject to various state and federal laws and regulations.
• Investment Risk [medium — financial]: The company's financial results are subject to fluctuations in the value of its investment portfolio.
• Underwriting Risk [medium — operational]: The company faces risks related to the accuracy of its underwriting and pricing of insurance policies.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
• 2024-03-15: Filing Date — Date the 10-K was officially submitted to the SEC.

Key Financial Figures

• $369.7 million — ca's gross premiums written in 2023 was $369.7 million. The other segment is Non-Core Operatio

Filing Documents

• gbli-20231231.htm (10-K) — 8186KB
• gbli-ex4_1.htm (EX-4.1) — 12KB
• gbli-ex10_22.htm (EX-10.22) — 56KB
• gbli-ex21_1.htm (EX-21.1) — 13KB
• gbli-ex23_1.htm (EX-23.1) — 8KB
• gbli-ex31_1.htm (EX-31.1) — 14KB
• gbli-ex31_2.htm (EX-31.2) — 14KB
• gbli-ex32_1.htm (EX-32.1) — 5KB
• gbli-ex32_2.htm (EX-32.2) — 5KB
• gbli-ex97_1.htm (EX-97.1) — 46KB
• img146351187_0.jpg (GRAPHIC) — 39KB
• 0000950170-24-031980.txt (&nbsp;) — 35246KB
• gbli-20231231.xsd (EX-101.SCH) — 3955KB
• gbli-20231231_htm.xml (XML) — 8876KB

BUSINESS

BUSINESS 4 Item 1A.

RISK FACTORS

RISK FACTORS 21 Item 1B. UNRESOLVED STAFF COMMENTS 35 Item 1C. CYBERSECURITY 35 Item 2.

PROPERTIES

PROPERTIES 37 Item 3.

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS 37 Item 4. MINE SAFETY DISCLOSURES 37 PART II Item 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES 38 Item 7.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 40 Item 7A.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 70 Item 8.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA 72 Item 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE 125 Item 9A.

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 125 Item 9B. OTHER INFORMATION 127 Item 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 127 PART III Item 10. DIRECTORS, EXECUTIVE OFFICERS, AND CORPORATE GOVERNANCE 128 Item 11.

EXECUTIVE COMPENSATION

EXECUTIVE COMPENSATION 128 Item 12.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT, AND RELATED STOCKHOLDER MATTERS

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT, AND RELATED STOCKHOLDER MATTERS 128 Item 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE 128 Item 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES 128 PART IV Item 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES 129 Item 16. FORM 10-K SUMMARY 131 3 PART I

B USINESS

Item 1. B USINESS Some of the information contained in this Item 1 or set forth elsewhere in this report, including information with respect to Global Indemnity Group, LLC and its subsidiaries' plans and strategy, constitutes forward-looking statements that involve risks and uncertainties. Please see "Cautionary Note Regarding Forward-Looking Statements" at the end of Item 7 of Part II and "Risk Factors" in Item 1A of Part I for a discussion of important factors that could cause actual results to differ materially from the results described in or implied by the forward-looking statements contained herein. History Global Indemnity Group, LLC ("Global Indemnity" or "GBLI"), a Delaware limited liability company formed on June 23, 2020, replaced Global Indemnity Limited, incorporated in the Cayman Islands as an exempted company with limited liability, as the ultimate parent company of the Global Indemnity group of companies as a result of a redomestication transaction completed on August 28, 2020. This transaction resulted in the redomestication of the Company to the United States. Global Indemnity Group, LLC's class A common shares are publicly traded on the New York Stock Exchange ("NYSE"). Global Indemnity Group, LLC's predecessors have been publicly traded since 2003. Effective August 28, 2020, Global Indemnity Group, LLC became a publicly traded partnership for U.S. federal income tax purposes. Since August 28, 2020, Global Indemnity Group, LLC believes that it has met in previous taxable years, and intends to manage its affairs so that it will continue to meet in the current and subsequent taxable years, the qualifying income exception to maintain partnership status for U.S. federal income tax purposes. As a partnership, Global Indemnity Group, LLC is generally not subject to federal income tax and most state income taxes. For U.S. federal income tax purposes, a holder of Global Indemnity Group, LLC's class A common shares is treated as a partner in a part

Underwriting

Underwriting Penn-America's insurance products are primarily underwritten via specific binding authority in which the Company grants delegated underwriting authority to its wholesale general agents. The Company's wholesale general agents, program administrators and retail agents contract to underwrite submissions received in accordance with the Company's underwriting guidelines. Approximately 90% of Penn-America's policies are fully automated and are processed by the agents utilizing the Company's technology platform to rate, quote and issue policies. The Company's underwriters have defined levels of authority that vary based on experience and performance. Agents have no authority to change forms or underwriting rules and have very limited discretionary pricing authority. The Company and its agents perform additional loss control activities through inspection of insured properties. Premiums audits are performed on the Company's casualty business rated on revenue and payroll exposure. A comprehensive, regularly updated underwriting manual that specifically outlines risk eligibility which is developed based on the type of insured, nature of exposure and overall expected profitability is used for underwriting. This manual also outlines (a) rates, (b) underwriting guidelines, including but not limited to policy forms, terms and conditions, and (c) policy issuance instructions. Training on the Company's underwriting guidelines is done via in person agency visits, marketing calls, agency conferences, or webinars. Risks that are not within the specific binding authority must be submitted to Penn-America's underwriting personnel directly for underwriting review and approval or denial. 7 The Company regularly monitors the underwriting quality of its wholesale general agents and retail agents through a disciplined system of controls, which includes one or more of the following: automated system criteria edits and exception reports; targeted policy reviews to

View Full Filing

View this 10-K filing on SEC EDGAR