March 2022 Investor Presentation slide image

March 2022 Investor Presentation

CAPITAL MANAGEMENT & OPERATING LEVERAGE Heritage has been a responsible steward of shareholder capital and currently has $25.0 million remaining on its share repurchase authorization. Since 2015, the Company has returned $125.5 million to shareholders through common share repurchases and dividends. Heritage's ratio of trailing-twelve-month (TTM) net premiums written to 4Q2021 equity is only 1.8x, which is indicative of its conservative balance sheet. Looking ahead, Heritage has adequate capital to fuel its premium growth and multi-state expansion initiatives. DISCIPLINED CAPITAL MANAGEMENT $ in millions March 2022 Investor Presentation $70 $60 $50 35% $40 $32.6 $28.1 $30 18% 27% 23% 22% 40% 35% 30% 26% 25% 20% $23.3 15% $20 25.6 $16.8 21.6 $14.9 10% 16.1 $8.4 10.0 $10 8.2 5% 2.0 $1.6 7.0 6.5 7.1 6.8 6.7 $0 0% 2015 2016 2017 2018 2019 2020 2021 I Dividends Share repurchases Debt-to-capital ratio (right axis) Note: Debt-to-capital calculated as debt principal divided by the sum of debt principal and stockholders' equity 19 H
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