Donegal Group Inc. reported second-quarter financial results for 2025, showing a net premium earned decrease of 1.1% to $231.8 million. Net income was $16.9 million, with an annualized return on average equity of 11.3%. Book value per share was $16.62 at June 30, 2025. Combined ratio improved to 97.7% from 103.0% in 2024.

Net premiums written for Donegal Group Inc. decreased by 5.4% in the second quarter of 2025 compared to the same period in 2024. Commercial lines saw a 1.9% increase, while personal lines decreased by 15.3%. The decrease in net premiums written was primarily due to lower new business writings and planned attrition.

The loss ratio for Donegal Group Inc. decreased to 65.1% in the second quarter of 2025 compared to 70.6% in 2024. Weather-related losses were $25.8 million, large fire losses were $12.1 million, and net favorable development of reserves reduced the loss ratio by 1.3 percentage points. The expense ratio increased to 32.2% from 31.9% in 2024.

Donegal Group Inc. reported net investment income of $12.5 million for the second quarter of 2025, a 13.3% increase from the same period in 2024. Net investment gains were $1.5 million, primarily from unrealized gains in equity securities. Book value per share was $16.62 at June 30, 2025, compared to $15.36 at December 31, 2024.

The statutory combined ratio for Donegal Group Inc. is a non-GAAP measurement of underwriting profitability based on statutory accounting principles. A statutory combined ratio of less than 100% indicates underwriting profitability. Stockholders can expect a regular quarterly cash dividend of $0.1825 per share for Class A common stock and $0.165 per share for Class B common stock, payable on August 15, 2025.

Donegal Group Inc. provides property and casualty insurance in several states. The company focuses on strategies for financial performance, modernization, profitable growth, and customer satisfaction. Stock is traded on NASDAQ under symbols DGICA and DGICB. Forward-looking statements are based on current expectations and involve risks and uncertainties.

Read more at GlobeNewswire: Donegal Group Inc. Announces Second Quarter and First Half