FOR IMMEDIATE RELEASE     CONTACT:    Karen A. Horvath

Vice President - External

Financial Communications

(203) 629-3000

Greenwich, CT, April 23, 2024 - W. R. Berkley Corporation (NYSE: WRB) today reported its first quarter 2024 results.

(1)Operating income is a non-GAAP financial measure defined by the Company as net income excluding after-tax net investment gains and related expenses.

(2)Return on equity and operating return on equity represent net income and operating income, respectively, expressed on an annualized basis as a percentage of beginning of year common stockholders’ equity.

First quarter highlights included:

•Return on equity and operating return on equity of 23.7% and 22.7%, respectively.

•Net investment income grew 43.2% to a record $319.8 million.

•Record net premiums written grew 10.7% to $2.9 billion.

•The current accident year combined ratio before catastrophe losses of 1.1 loss ratio points was 87.7%.

•The reported combined ratio was 88.8%, including current accident year catastrophe losses of $30.5 million.

•Pre-tax underwriting income grew 31.8% to $309.0 million.

•Average rate increases excluding workers' compensation were approximately 7.8%.

•Operating cash flow increased 67.6% to $746.2 million.

The Company commented:

The Company continued to have very strong results in the first quarter 2024, with a 23.7% annualized return on beginning of year common stockholders’ equity.

Growth in first quarter net premiums written accelerated year over year to 10.7%, as market conditions remained favorable in many areas of our business. Our combined ratio was 88.8% even as we continued our prudent view of loss trends. Our flexibility to expand or contract each of our businesses according to specific market conditions continues to be a competitive advantage.

Net investment income increased 43.2% over the prior year first quarter, despite challenges during this quarter with our investment funds. Our total-return investment strategy seeks to maximize risk-adjusted returns over the long-term across all market cycles and economic environments. New money rates remain higher than our book yield, which along with extremely strong operating cash flow, positions us well for future investment income growth.

Our results demonstrate how our persistent focus on risk-adjusted return in all aspects of our business allows us to successfully navigate risks and embrace opportunities. We remain confident that we will continue to deliver outstanding value to shareholders in 2024 and beyond.

Webcast Conference Call

    The Company will hold its quarterly conference call with analysts and investors to discuss its earnings and other information on April 23, 2024, at 9:00 a.m. eastern time. The conference call will be webcast live on the Company's website at https://ir.berkley.com/events-and-presentations/default.aspx. Please log on early to register. A replay of the webcast will be available on the Company's website approximately two hours after the end of the conference call. Additional financial information can be found on the Company's website at https://ir.berkley.com/investor-relations/financial-information/quarterly-results/default.aspx.

About W. R. Berkley Corporation

    Founded in 1967, W. R. Berkley Corporation is an insurance holding company that is among the largest commercial lines writers in the United States and operates worldwide in two segments of the property casualty business: Insurance and Reinsurance & Monoline Excess.

Forward Looking Information

This is a “Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein, including statements related to our outlook for the industry and for our performance for the year 2024 and beyond, are based upon the Company’s historical performance and on current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by us or any other person that the future plans, estimates or expectations contemplated by us will be achieved. They are subject to various risks and uncertainties, including but not limited to: the cyclical nature of the property casualty industry; the impact of significant competition, including new entrants to the industry; the long-tail and potentially volatile nature of the insurance and reinsurance business; product demand and pricing; claims development and the process of estimating reserves; investment risks, including those of our portfolio of fixed maturity securities and investments in equity securities, including investments in financial institutions, municipal bonds, mortgage-backed securities, loans receivable, investment funds, including real estate, merger arbitrage, energy related and private equity investments; the effects of emerging claim and coverage issues; the uncertain nature of damage theories and loss amounts, including claims for cyber security-related risks; natural and man-made catastrophic losses, including as a result of terrorist activities; the ongoing effects of the COVID-19 pandemic, or other epidemics and pandemics; the impact of climate change, which may alter the frequency and increase the severity of catastrophe events; general economic and market activities, including inflation, interest rates, and volatility in the credit and capital markets; the impact of the conditions in the financial markets and the global economy, and the potential effect of legislative, regulatory, accounting or other initiatives taken in response to such conditions, on our results and financial condition; foreign currency and political risks relating to our international operations; our ability to attract and retain key personnel and qualified employees; continued availability of capital and financing; the success of our new ventures or acquisitions and the availability of other opportunities; the availability of reinsurance; our retention under the Terrorism Risk Insurance Program Reauthorization Act of 2019; the ability or willingness of our reinsurers to pay reinsurance recoverables owed to us; other legislative and regulatory developments, including those related to business practices in the insurance industry; credit risk related to our policyholders, independent agents and brokers; changes in the ratings assigned to us or our insurance company subsidiaries by rating agencies; the availability of dividends from our insurance company subsidiaries; cyber security breaches of our information technology systems and the information technology systems of our vendors and other third parties, or related processes and systems; the effectiveness of our controls to ensure compliance with guidelines, policies and legal and regulatory standards; and other risks detailed from time to time in the Company’s filings with the Securities and Exchange Commission. These risks and uncertainties could cause our actual results for the year 2024 and beyond to differ materially from those expressed in any forward-looking statement we make. Any projections of growth in our revenues would not necessarily result in commensurate levels of earnings. Forward-looking statements speak only as of the date on which they are made, and the Company undertakes no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.

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(1)Basic shares outstanding consist of the weighted average number of common shares outstanding during the period (including shares held in a grantor trust). Diluted shares outstanding consist of the weighted average number of basic and common equivalent shares outstanding during the period.

(Amounts in thousands, except ratios) (1) (2)

						First Quarter
						2024						2023
			Insurance:
			Gross premiums written			$	2,921,050					$	2,626,346
			Net premiums written			2,445,715						2,185,421
			Net premiums earned			2,398,768						2,142,924
			Pre-tax income			478,149						352,626
			Loss ratio			61.8		%				62.6		%
			Expense ratio			28.4		%				28.6		%
			GAAP Combined ratio			90.2		%				91.2		%
			Reinsurance & Monoline Excess:
			Gross premiums written			$	441,705					$	422,971
			Net premiums written			405,576						389,403
			Net premiums earned			365,579						348,508
			Pre-tax income			127,624						101,285
			Loss ratio			49.8		%				56.4		%
			Expense ratio			29.8		%				30.2		%
			GAAP Combined ratio			79.6		%				86.6		%
			Corporate and Eliminations:
			Net investment gains			$	25,780					$	23,010
			Interest expense			(31,728)						(31,836)
			Other expenses			(25,754)						(69,014)
			Pre-tax loss			(31,702)						(77,840)
			Consolidated:
			Gross premiums written			$	3,362,755					$	3,049,317
			Net premiums written			2,851,291						2,574,824
			Net premiums earned			2,764,347						2,491,432
			Pre-tax income			574,071						376,071
			Loss ratio			60.2		%				61.8		%
			Expense ratio			28.6		%				28.8		%
			GAAP Combined ratio			88.8		%				90.6		%

(1)Loss ratio is losses and loss expenses incurred expressed as a percentage of premiums earned. Expense ratio is underwriting expenses expressed as a percentage of premiums earned. GAAP combined ratio is the sum of the loss ratio and the expense ratio.

(2)Commencing with the first quarter of 2024, the Company reclassified a program management business from the Insurance segment to the Reinsurance & Monoline Excess segment. The reclassified business is a program management business offering support on a nationwide basis for commercial casualty and property program administrators. Reclassifications have been made to the Company's 2023 financial information to conform with this presentation.

(Amounts in thousands)

						First Quarter
						2024						2023
Net premiums written:
Other liability						$	1,015,614					$	901,293
Short-tail lines (1)						532,341						426,654
Auto						348,582						293,857
Workers' compensation						304,632						309,984
Professional liability						244,546						253,633
Total Insurance						2,445,715						2,185,421
Casualty (2)						190,019						211,291
Monoline excess						116,895						104,518
Property (2)						98,662						73,594
Total Reinsurance & Monoline Excess						405,576						389,403
Total						$	2,851,291					$	2,574,824
Current accident year losses from catastrophes:
Insurance						$	27,451					$	45,242
Reinsurance & Monoline Excess						3,055						2,627
Total						$	30,506					$	47,869
Net Investment income:
Core portfolio (3)						$	331,177					$	202,962
Investment funds						(29,349)						2,180
Arbitrage trading account						18,011						18,256
Total						$	319,839					$	223,398
Net realized and unrealized gains (losses) on investments:
Net realized losses on investments						$	(14,308)					$	(20,793)
Change in unrealized gains on equity securities						25,811						43,404
Total						$	11,503					$	22,611
Other operating costs and expenses:
Policy acquisition and insurance operating expenses						$	791,532					$	718,276
Insurance service expenses						21,439						25,180
Net foreign currency (gains) losses						(13,177)						9,495
Other costs and expenses						68,795						72,624
Total						$	868,589					$	825,575
Cash flow from operations						$	746,235					$	445,323
Reconciliation of net income to operating income:
Net income						$	442,471					$	294,126
Pre-tax investment gains, net of related expenses						(25,780)						(23,010)
Income tax expense						6,633						4,850
Operating income after-tax (4)						$	423,324					$	275,966

(1)Short-tail lines include commercial multi-peril (non-liability), inland marine, accident and health, fidelity and surety, boiler and machinery, high net worth homeowners and other lines.

(2)Includes reinsurance casualty and property and certain program management business.

(3)Core portfolio includes fixed maturity securities, equity securities, cash and cash equivalents, real estate and loans receivable.

(4)Operating income is a non-GAAP financial measure defined by the Company as net income excluding after-tax net investment gains (losses). Net investment gains (losses) are computed net of related expenses, including performance-based compensatory costs associated with realized investment gains. Management believes this measurement provides a useful indicator of trends in the Company’s underlying operations.

(1)Net invested assets include investments, cash and cash equivalents, trading accounts receivable from brokers and clearing organizations, trading account securities sold but not yet purchased and unsettled purchases, net of related liabilities.

(2)As of March 31, 2024, reflected in common stockholders' equity are after-tax unrealized investment losses of $657 million and unrealized currency translation losses of $367 million. As of December 31, 2023, reflected in common stockholders' equity are after-tax unrealized investment losses of $586 million and unrealized currency translation losses of $340 million.

(3)During the three months ended March 31, 2024, the Company did not repurchase any shares of its common stock. The number of shares of common stock outstanding excludes shares held in a grantor trust.

(4)Book value per share is total common stockholders’ equity divided by the number of common shares outstanding. Tangible book value per share is total common stockholders’ equity excluding the after-tax value of goodwill and other intangible assets divided by the number of common shares outstanding.

(Amounts in thousands, except percentages)

(1)Total fixed maturity securities had an average rating of AA- and an average duration of 2.5 years, including cash and cash equivalents.

(2)Cash and cash equivalents includes trading accounts receivable from brokers and clearing organizations, trading account securities sold but not yet purchased and unsettled purchases.