Hagerty, Inc. · NYSE:HGTY

Hagerty — Q2 2026 Earnings Presentation

22 slides from Hagerty's earnings presentation, 2026

  1. Slide 1: Investor Q2 2026 Presentation

    INVESTOR Q2 2026 PRESENTATION Speakers: McKeel Hagerty, Chief Executive Officer and Chairman Patrick McClymont, Chief Financial Officer

  2. Slide 2: Forward Looking Statements / Non-GAAP Financial Measures

    Forward Looking Statements / Non-GAAP Financial Measures This presentation contains statements that constitute “forward- other issues with our technology platforms or use of third-party and foreign laws relating to insurance and rate increases, looking statements” within the meaning of the federal s

  3. Slide 3: Second Quarter YTD 2026 Highlights

    SECOND QUARTER YTD 2026 Highlights Revenue Components Completed strategic evolution to assume 100% of premium post transition to 1. Written Premium growth of 19% to $713 million Markel Fronting Arrangement » Added a record 279,000 new members in the first half of 2026, equating to policy in force gr

  4. Slide 4: 2026 Priorities

    2026 Priorities Grow policies in force to 3.0 million by 2030 INVESTING IN OUR MEMBER-CENTRIC APPROACH TO DELIVER COMPOUNDING PROFIT GROWTH: » Implement Markel Fronting Arrangement with 100% quota share and realize anticipated benefits » Accelerate insurance growth with State Farm rollout » Leverage

  5. Slide 5: Financial Highlights

    SECOND QUARTER YTD 2026 Financial Highlights GROWTH PERSISTENCE PROFITABILITY $667M 40.6% TOTAL REVENUE 1 HAGERTY RE LOSS RATIO 2 $(19)M $(5)M LOSS BEFORE TAXES 1 NET LOSS -6% 88.1% HAGERTY RE COMBINED RATIO 3 $713M $160M $(0.08) 88.2% WRITTEN PREMIUM ADJUSTED EBITDA 4 BASIC LOSS PER SHARE +19% RETE

  6. Slide 6: Revenue Components

    Revenue Components 19% Growth in Written Premium Fueled by PIF Growth TOTAL REVENUE FULL YEAR 2026 HIGHLIGHTS Q2 YTD Earned premium (+42%) Earned premium » Quota share increased to 100% under the Markel Commission and fee revenue 1 6% D6% E CD EA Fronting Arrangement RE CSRE EASE Membership + other

  7. Slide 7: Second Quarter Earnings Analysis

    Second Quarter Earnings Analysis Delivering Underlying Profit Growth SECOND QUARTER NET INCOME1 SECOND QUARTER ADJUSTED EBITDA2 $75 $73 $47 $43 $64 $8 Q2 2024 Q2 2025 Q2 2026 YTDQ2 Q22024 2024 Q2 2025 YTD Q2 2025 Q2YTD 2026 Q2 2026 YTD Q2 2024 YTD Q2 2025 YTD Q2 2026 1 Q2 2024 Net Income includes a

  8. Slide 8: Second Quarter YTD 2026 Earnings Analysis

    Second Quarter YTD 2026 Earnings Analysis Delivering Underlying Profit Growth SECOND QUARTER YTD NET INCOME1 SECOND QUARTER YTD ADJUSTED EBITDA2 $160 $74 $121 $51 $100 $(5) Q2 2024 Q2 2025 Q2 2026 Q2 2024 Q2 2024 Q2 Q22025 2025 Q22026 Q2 2026 Q2 2024 Q2 2025 Q2 2026 1 YTD Q2 2024 Net Income includes

  9. Slide 9: Increased 2026 Outlook

    Increased 2026 Outlook Sustained Compounding Growth IN THOUSANDS 2025 RESULTS PRIOR 2026 OUTLOOK 1 ($) REVISED 2026 OUTLOOK ($) 2026 OUTLOOK (%) LOW END HIGH END LOW END HIGH END LOW END HIGH END Total Written Premium $1,193,548 $1,373,000 $1,385,000 $1,385,000 $1,397,000 16% 17% Total Revenue 2 $1,

  10. Slide 10: Non-GAAP Financial Measures | 2026 Outlook

    NON-GAAP FINANCIAL MEASURES | 2026 OUTLOOK Net Income to Adjusted EBITDA IN THOUSANDS 2026 Low 2026 High Net Income $18,000 $30,000 Interest expense and other, net1 5,000 5,000 Income tax benefit (11,000) (13,000) Depreciation and amortization 40,000 40,000 Share-based compensation expense 19,000 19

  11. Slide 11: Appendix

    Appendix

  12. Slide 12: Revenue Components by Quarter

    REVENUE COMPONENTS BY QUARTER $ in Millions COMMISSION + FEE REVENUE1 EARNED PREMIUM MEMBERSHIP, MARKETPLACE + OTHER REVENUE 252 143 240 137 129 116 193 187 106 178 166 168 169 100 158 89 152 89 61 56 50 48 48 48 42 34 31 27 24 16 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3

  13. Slide 13: Non-GAAP Financial Measures: Adjusted EBITDA

    NON-GAAP FINANCIAL MEASURES Adjusted EBITDA IN THOUSANDS Q2 2025 Q3 2025 - Q1 2026 Q2 2026 TTM Net income $47,202 $61,985 $8,041 $70,026 Interest expense and other, net1 4,946 35,183 28 35,211 Income tax expense (benefit) 6,161 (29,885) (5,809) (35,694) Depreciation and amortization 8,833 28,909 9,7

  14. Slide 14: Non-GAAP Financial Measures: Adjusted Net Income and EPS

    NON-GAAP FINANCIAL MEASURES THREE MONTHS Adjusted Net Income (Loss) and Adjusted Diluted EPS ENDED SIX MONTHS ENDED THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, JUNE 30, JUNE 30, Adjusted Net Income and Adjusted Diluted EPS outstanding THG units and Series A Convertible Preferred Stock, we

  15. Slide 15: Markel Fronting Arrangement

    Markel Fronting Arrangement Evolving the decade-long partnership, with Hagerty controlling 100% of the premium in 2026 PREVIOUS MODEL NEW FRONTING STRUCTURE (1/1/26) » Hagerty earned 42% total » Hagerty Re earns 100% of the commissions as an MGA and retained premium and retains 100% of the risk ~80%

  16. Slide 16: Second Quarter P&L Comparability Bridge

    SECOND QUARTER P&L COMPARABILITY BRIDGE THREE MONTHS ENDED JUNE 30, 2026 Hagerty Re: Essentia Hagerty Re: Essentia Policy Year 2026 & Policy Year 2025 a Other Carriers b Hagerty Re Total MGA+ c Consolidation Entries Insurance Segment REVENUES: in thousands Earned premium, net $157,365 $94,591 $251,9

  17. Slide 17: Second Quarter YTD P&L Comparability Bridge

    SECOND QUARTER YTD P&L COMPARABILITY BRIDGE SIX MONTHS ENDED JUNE 30, 2026 Hagerty Re: Essentia Hagerty Re: Essentia Policy Year 2026 & Policy Year 2025 a Other Carriers b Hagerty Re Total MGA+ C Consolidation Entries Insurance Segment REVENUES: in thousands Earned premium, net $375,638 $115,960 $49

  18. Slide 18: Well-Positioned to Capture Additional Market Share

    WELL-POSITIONED TO CAPTURE ADDITIONAL MARKET SHARE Large and underpenetrated target market TYPE TOTAL ADDRESSABLE HAGERTY TARGET HAGERTY TCM HAGERTY PENETRATION AND U.S. AUTO INSURED VEHICLE COUNT MARKET (M) MARKET (M) PENETRATION Pre 1981 Vehicles 11.1 11.1 15.3% Pre 1981 Vehicle Count Post 1980 Ve

  19. Slide 19: Hagerty's Differentiated Model Delivers High-Quality Growth

    HAGERTY’S DIFFERENTIATED MODEL DELIVERS HIGH-QUALITY GROWTH Consistent low to mid-teens premium growth with low volatility underwriting HAGERTY U.S. AUTO PREMIUM GROWTH VS. INDUSTRY TOP 100 HAGERTY U.S. AUTO LOSS PERFORMANCE VS. INDUSTRY TOP 100 Hagerty U.S. Auto - CAGR 13% Hagerty Loss Ratio - aver

  20. Slide 20: Historical Written Premium Growth

    HISTORICAL WRITTEN PREMIUM GROWTH TOTAL U.S. AUTO WRITTEN PREMIUM U.S. AUTO WRITTEN PREMIUM ANNUAL GROWTH 1,200 20% 18% 1,000 15% 800 13% 600 10% 8% 400 5% 200 3% 0 —% 2012 2011 2010 2009 2008 2007 2006 2025 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2009 2016 2023 2005 2012 2019 20

  21. Slide 21: Written Premium Growth Fueled by New Members

    WRITTEN PREMIUM GROWTH FUELED BY NEW MEMBERS Consistent share gains drive new business count 450,000 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 • New business count accelerated with commencement of State Farm Classic+

  22. Slide 22: Hagerty: Never Stop Driving

    HAGERTY lA NEVER STOP DRIVING

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