Bowhead Specialty Holdings Inc.

Hello and welcome to Bowhead Speciality's Q1 2025 earnings call. After the prepared remarks, we will hold a question and answer session. For those in the Q&A room, please click the raise hand button found on the black bar at the bottom of your screen to join the question queue. Also, as a reminder, this conference is being recorded. If you have any objections please disconnect at this time. With that, I would like to turn the call over to Shirley Yap, Head of Investor Relations. Shirley, you may begin.

Thanks, Abigail. Good morning and welcome to Bowhead's first quarter 2025 earnings conference call. I'm Shirley Yap, Bowhead's Chief Accounting Officer and Head of Investor Relations. Joining me today are Stephen Sills, our Chief Executive Officer, and Brad Mulcahy, our Chief Financial Officer. Earlier this morning, we released our financial results for the first quarter of 2025. You can find our earnings release in the investor relations section of our website. Our form 10Q will be also available on our website later this evening. Before we begin, I'd like to remind everyone that this call contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Investors should not place undue reliance on any forward-looking statement. These statements are made only as of the date of this call and are based on management's current expectations and beliefs. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated by these statements. You should review the risks and uncertainties fully described in our SEC filings. We expressly disclaim any duty to update any forward-looking statement except as required by law. Additionally, we will be referencing certain non-GAAP financial measures on this call. Reconciliations of these non-GAAP financial measures to their respective most directly comparable GAAP measure can be found in the earnings release we issued this morning and in the investor relations section of our website. With that, I'll turn the call over to Stephen. Stephen?

Thank you, Shirley. Good morning, everyone, and thank you for taking the time to join our call today. I'm pleased to report that Bo had generated strong discipline premium growth of over 26% in the first quarter compared to the same quarter in 2024, writing $175 million in premium. I'd like to highlight the term disciplined premium growth, as I'm proud of the discipline our underwriters exhibited in both favorable and challenging market conditions that resulted in this growth. Once again, our casualty division drove the largest component of this growth with a 34% increase in premium, while our healthcare liability and professional liability divisions grew 10% and 3% respectively. Additionally, Bailin generated $2.7 million of premiums during its third full quarter of operations, further perfecting our flow underwriting operation. In Casualty, similar to previous quarters, the growth in premiums came mostly from our excess book, reflecting continued favorable underwriting and pricing conditions in the market. In addition to achieving double-digit rate increases, our underwriters continue to improve the profile of the portfolio by deploying lower average limits. Also, in our excess construction business, we continue to diversify away from writing one-off individual project policies to more practice policies which have the benefit of being renewable. In our healthcare liability division, we continue to grow the book responsibly with a concerned eye on emerging regulatory, crime, and abuse risks within the sector. Our continued success has been due to our broker partners and insureds who value our healthcare expertise and analytics. In our professional liability division, the first quarter of each year historically tends to be the smallest quarter with many markets chasing a small inventory of new business opportunities. Nevertheless, we continue to achieve disciplined premium growth in the small and middle market space, which is core to our cross cycle profitability strategy. Turning to Bailein, We generated 2.7 million in premiums during its third full quarter of operations, 131% sequential increase from Q4. The growth during the quarter was driven by the expansion in Bailin's distribution network. While Balien's premiums are small at this time compared to our Kraft underwriting operation, which has been operating for over four years, we're happy with the monthly consistent growth. We look forward to a meaningful ramp up in premiums during the second half of the year, one year after launch. Brad, over to you.