AMERISAFE, Inc.

recorded. At this time, I would like to turn the conference over to Catherine Shirley, Chief Administrator Officer. Please go ahead.

Good morning. Welcome to the AmeriSafe 2024 Second Quarter Investor Call. If you have not received the earnings release, it is available on our website at AmeriSafe.com. This call is being recorded. A replay of today's call will be available. Details on how to access the replay are in the earnings release. During this call, we will be making forward-looking statements. These statements are based on current expectations and assumptions that are subject to various risks and uncertainties. Actual results may differ materially from the results expressed or implied in these statements. If the underlying assumptions prove to be incorrect, or as the results of risk, uncertainties, and other factors, including factors discussed in the earnings release, in the comments made during today's call, and in the risk factor section of our Form 10-K, Form 10-Q, and other reports and filings with the Securities and Exchange Commission. We do not undertake any duty to update any forward-looking statements. I will now turn the call over to Janelle Frost, AmeriSafe's President and CEO.

Thank you, Katherine, and good morning, everyone. The state of the workers' compensation market remains profitable despite continued rate softening. The industry-wide data published by NCCI in May was similar to what we've seen over the last few years, an accident year combined ratio below 100 and redundant reserves driving approved loss cost declines. These conditions translate to a competitive marketplace, one in which AmeriSafe's disciplined underwriting is critical to long-term profitability. For several quarters, we have discussed our investment in profitable growth through greater agent engagement and pipeline efficiency. These actions drove year-over-year gross premiums written growth of 6.6% in the quarter. We saw policy count growth in the quarter, and we continue to see strong retention for policies for which we offer renewal, with 93.3% retention. Audit premiums supported by wage inflation was also a boost to top line. Turning to losses, our accident year loss ratio was in line with the prior year at 71%. Lost cost trends remain in line with previous quarters. We continue to monitor medical inflation. However, medical fee schedules are, in general, containing costs. The company experienced $8.1 million in favorable development on prior accident years, primarily from accident years 2020, 21, and 2022. We attribute our favorable development to lower claim severities and proactive claims handling. Despite challenging market conditions, AmeriSafe's focus on providing protection to small to mid-sized businesses and caring for their workers has a track record of strong retention and delivering robust returns to shareholders throughout the cycle. With that, I'll turn the call over to Andy to discuss the financials.