Heritage Insurance Holdings, Inc. · NYSE:HRTG
Heritage Insurance — Q2 2026 Earnings Presentation
24 slides from Heritage Insurance's earnings presentation, August 2026
Slide 1: Investor Presentation Second Quarter 2026
Investor Presentation SEC O N D Q U ART ER 2 0 2 6 AU G U ST 2 0 2 6 Heritage Insurance Holdings, Inc. NYSE: HRTG www.heritagepci.com
Slide 2: Safe Harbor
SAFE HARBOR Statements in this presentation that are not historical facts are forward-looking statements that are subject to certain risks and uncertainties that could cause actual events and results to differ materially from those discussed herein. Without limiting the generality of the foregoing,
Slide 3: Heritage Overview
H E R I TA G E O V E R V I E W NYSE: HRTG Super-regional U.S. property and Total Insured Value at 6/30/2026 casualty insurance holding company Total Assets: $2.5bn Market Cap: ~$889mm $1.43 billion of premiums Total Equity: $567.7mm Northeast 47.1% in force, personal residential Southeast 29.9% insu
Slide 4: Investment Highlights
INVESTMENT HIGHLIGHTS Experienced Returning to a Controlled Management Team Growth Strategy Vertically Integrated A Robust Reinsurance Structure Program to Protect Capital Geographic Diversification Technology Augmented U.S. Super-Regional P&C Insurer Insurance Operations Strategic Profitability Ini
Slide 5: Experienced Management Team
EXPERIENCED MANAGEMENT TEAM Ernie Garateix Kirk Lusk Tim Moura Tim Johns Chief Executive Officer Chief Financial Officer President, NBIC President, Zephyr o CEO since 2020 o CFO since 2018 o NBIC President since 2017 o Zephyr President since 2018 o Previously COO since 2014 and EVP o Joined Heritage
Slide 6: Vertically Integrated Structure
V E R T I C A L LY I N T E G R AT E D S T R U C T U R E o Vertically integrated structure includes a preferred provider network, minimizing third-party reliance, reducing costs, and providing a strategic hedge during catastrophe years o Vertically integrated structure reduces our earnings volatility
Slide 7: Geographic Diversification and Intelligent Growth
G E O G R A P H I C D I V E R S I F I C AT I O N A N D INTELLIGENT GROWTH o Strategically diversified portfolio to achieve better risk distribution, claims trends, and lower reinsurance costs o As of Q2 2026, 70.4% of total insured value (TIV) is positioned outside of Florida. Moreover, 70.1% is out
Slide 8: Strategic Profitability Initiatives
S T R AT E G I C P R O F I TA B I L I T Y I N I T I AT I V E S Generate Underwriting Profit o Focus on rate adequacy and selective underwriting o Profit-oriented underwriting criteria while restricting new business in over-concentrated markets or products o Inflation guard to ensure appropriate insu
Slide 9: Heritage Evolution
H E R I TA G E E V O L U T I O N o 2014 -2020: Top-line Focus o Initiate profitability initiatives o 2021- 2025: Bottom-line Focus o Opportunistic growth (Commercial, CA) o Increased analytics o Positions company for managed growth o 2026: Managed Growth with continued o Re-underwrite the entire por
Slide 10: Full Year Net Income Trajectory
FULL YEAR NET INCOME TRAJECTORY 4-Year Trajectory (in thousands) o 2022 includes pre-tax $94 million of goodwill write off and $250,000 $40 million of retained losses from Hurricane Ian $195,595 $200,000 o 2023 includes pre-tax $150,000 $40 million of retained losses from Hurricane Idilia and the $9
Slide 11: Initiating a Controlled Growth Strategy
I N I T I AT I N G A C O N T R O L L E D G R O W T H S T R AT E G Y o As part of our strategic profitability initiatives, we largely ceased underwriting new personal lines in the Northeast and Florida in December 2022, given a tightening reinsurance market combined with an adverse risk-adjusted retu
Slide 12: CAT XOL Reinsurance Program
C AT X O L R E I N S U R A N C E P R O G R A M Fully placed 2026-2027 catastrophe excess-of-loss reinsurance program for statutory insurance subsidiaries in May 2026; having place more multi-year coverage in this treaty year while achieving substantial reinsurance cost savings and providing enhance
Slide 13: Reinsurance Placements
Top10 Reinsurers REINSURANCE PLACEMENTS D.E. Shaw Re (Bermuda) Ltd., Bermuda (Collateralized) Reinsurance rate favorable in 2026 with significant risk adjusted savings. Fidelis Insurance Bermuda Ltd (AM Best A, S&P A-) Swiss Reinsurance America Corporation Noteworthy Reinsurance Placements for 2025
Slide 14: Technology Overview
TECHNOLOGY OVERVIEW Heritage focuses on being a data-driven company with solid traditional insurance operations that are augmented with technology Data Warehouse: A Robust, Mature and Rich Policy Admin, Enterprise Analytics Platform Claims, Billing Contains key performance Implementing a new policy
Slide 15: Investment Highlights
INVESTMENT HIGHLIGHTS o Heritage is a super-regional U.S. P&C insurance holding company positioned for long-term growth and profitability. o Our strategic profitability initiatives are delivering positive results as we remained profitable through challenging Cat season, along with non-hurricane cat
Slide 16: Financial Highlights
FINANCIAL HIGHLIGHTS 2026 Investor Presentation 16
Slide 17: In-Force Metrics
IN-FORCE METRICS In-Force Metrics YE2021 YE2022 YE2023 YE2024 YE2025 1Q2026 2Q2026 Total Premiums-in-force: Premiums-in-force were $1.41 billion in the second quarter Premiums In-Force (Millions) of 2026, down 1.4% from $1.43 billion in the second quarter of 2025, primarily due to Pres $1,052 $1,118
Slide 18: Financial Trajectory
FINANCIAL TRAJECTORY Shareholders Equity (in 000s) Book Value Per Share $600,000 567,728 $20.00 $19.09 $505,251 $520,372 $17.15 $16.39 $500,000 $17.00 $14.00 $400,000 $11.00 $9.50 $300,000 $290,799 $220,278 $8.00 $7.22 $200,000 $5.13 $131,038 $5.00 $100,000 $2.00 $0 ($1.00) 2022 2023 2024 2025 2026
Slide 19: Q2 2026 Operating Performance Summary
Q 2 2 0 2 6 O P E R AT I N G P E R F O R M A N C E S U M M A R Y YoY Financial Results: Earnings before taxes were $82.2 million, an increase of $19.2 million from the previous year. This increase In thousands, except per share amounts 2Q26 Change 2Q25 was primarily driven by lower losses and higher
Slide 20: Capital Management & Operating Leverage
C A P I TA L M A N A G E M E N T & O P E R AT I N G L E V E R A G E Ongoing evaluation of dividend distribution and stock repurchases on a quarterly basis Responsible steward of shareholder capital o Latest Share Repurchase Plan authorized $50.0M through December 31, 2026 The Company has repurchased
Slide 21: Conservative Investment Portfolio
C O N S E R VAT I V E I N V E S T M E N T P O R T F O L I O In Q22026, Heritage delivered investment income of $10.6M, an increase of $700,000 from the prior-year quarter. The investment portfolio is comprised of short duration, high credit quality, fixed income securities with an average credit rat
Slide 22: Corporate Sustainability
CORPORATE SUSTAINABILITY 2026 Investor Presentation 22
Slide 23: Mission, Vision & Values
M I S S I O N , V I S I O N & VA L U E S Mission Mission: To deliver insurance products and services that offer the greatest value in the most challenging markets. Innovation Integrity Claims Mission: Provide We are on constant quest to Doing the right thing even find better ways to do things when n
Slide 24: Additional Information
ADDITIONAL INFORMATION EMAIL: investors@heritagepci.com WEBSITE: investors.heritagepci.com 2026 Investor Presentation 24
Heritage Insurance Holdings — Q2 2026 Earnings Presentation on 6ix