UPC Insurance Company Overview and ESG Strategy slide image

UPC Insurance Company Overview and ESG Strategy

Higher Net AOP CAT Pressuring Results Reinsurance programs have responded, but exposure management is the long-term solution Events 1H-2016 1H-2017 1H-2018 16 15 17 1H-2019 24 1H-2020 26 1H-2021 26 Gross CAT Loss $ 32,810 $ 36,696 $ Gross Event Severity $ 2,051 $ 2,446 $ 54,978 $ 3,234 $ 79,039 $ 3,293 $ 97,605 $ 3,754 $ 194,313 7,474 Net CAT Loss $ 18,776 $ 32,410 $ 23,657 $ Net Event Severity $ 1,174 $ 2,161 $ 1,392 $ 27,459 $ 1,144 $ 46,917 $ 64,222 1,805 $ 2,470 Gross CAT Loss Ratio Net CAT Loss Ratio 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 10.5% 8.7% 8.3% 9.7% 12.3% 12.1% 7.0% 7.4% 14.2% 12.4% 27.2% 22.0% 0.0% 1H-2016 1H-2017 1H-2018 1H-2019 1H-2020 1H-2021 Gross CAT Loss Ratio Net CAT Loss Ratio Winter Storm URI and PCS 2125 were the main drivers of the increase in 2021 Losses ceded to our AOP CAT program have helped manage volatility from non-hurricane CAT events, but exposure reduction is the key to mitigating AOP CAT risk going forward 10
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