•Annualized return on average common equity of 21.4% and annualized operating return on average common equity of 28.2%.

•Gross premiums written grew by $773.9 million, or 29.2%, from Q2 2023. Property grew by $350.5 million, or 25.0%, and Casualty and Specialty grew by $423.4 million, or 33.9%.

•Combined ratio of 81.1% and adjusted combined ratio of 78.6%.

•Fee income of $84.1 million; up 48.3% from Q2 2023.

•Net investment income of $410.8 million; up 40.4% from Q2 2023.

•Repurchased $108.5 million of common shares in the second quarter and an additional $61.2 million of common shares from July 1, 2024 through July 22, 2024.

Pembroke, Bermuda, July 24, 2024 - RenaissanceRe Holdings Ltd. (NYSE: RNR) (“RenaissanceRe” or the “Company”) today announced its financial results for the second quarter of 2024.

(1)See “Comments on Non-GAAP Financial Measures” for a reconciliation of non-GAAP financial measures.

(2)Represents the percentage change in value during the periods presented.

(1)See “Comments on Non-GAAP Financial Measures” for a reconciliation of non-GAAP financial measures.

•Gross premiums written increased by $350.5 million, or 25.0%, driven by:

–a $262.8 million increase in catastrophe, driven by the renewal of business acquired in the Validus Acquisition, in conjunction with the retention of legacy lines, primarily at the June 1, 2024 renewal.

–a $87.7 million increase in other property, reflecting the renewal of business acquired in the Validus Acquisition and organic growth, in both catastrophe and non-catastrophe exposed business.

•Net premiums written increased by $214.0 million, or 18.7%, driven by the increase in gross premiums written discussed above, partially offset by an increase in ceded premiums written as part of the Company’s gross-to-net strategy.

•Combined ratio improved by 9.1 percentage points, and adjusted combined ratio, which removes the impact of acquisition related purchase accounting adjustments, improved by 11.1 percentage points, each primarily due to growth in net premiums earned, a lower level of current accident year net losses, and higher prior year favorable development.

•Net claims and claim expense ratio - current accident year improved by 4.8 percentage points, due to a lower impact from large loss events as compared to Q2 2023. The Q2 2024 Large Loss Events added 9.6 percentage points to the catastrophe class of business and 5.5 percentage points to the other property class of business.

•Net claims and claim expense ratio - prior accident years reflects net favorable development in the second quarter of 2024, primarily driven by better than expected loss emergence from large catastrophe events across the 2017 to 2023 accident years.

•Underwriting expense ratio increased 0.2 percentage points, primarily due to:

–a 0.6 percentage point increase in the acquisition expense ratio, driven by the increase in acquisition expenses from purchase accounting adjustments primarily related to the Validus Acquisition, which added 1.8 percentage points to the acquisition expense ratio in the second quarter of 2024, partially offset by changes in the mix of business as a result of the continued relative growth in catastrophe, which has a lower acquisition expense ratio than other property; partially offset by

–a 0.4 percentage point decrease in the operating expense ratio primarily due to higher net premiums earned.

(1)See “Comments on Non-GAAP Financial Measures” for a reconciliation of non-GAAP financial measures.

•Gross premiums written increased by $423.4 million, or 33.9%, primarily driven by:

–the renewal of business acquired in the Validus Acquisition, principally in the general casualty and other specialty classes of business, which grew by $255.4 million and $247.8 million, respectively, compared to the second quarter of 2023; and

–organic growth of legacy lines, particularly within other specialty class of business; partially offset by

–a decrease in the professional liability class of business of $94.2 million, driven by changes in premium estimates in the second quarter of 2024 for business underwritten in prior years.

•Net premiums written increased 40.8%, consistent with the drivers discussed for gross premiums written above, in addition to an overall reduction in our retrocessional purchases.

•Combined ratio increased by 5.0 percentage points, and adjusted combined ratio, which removes the impact of acquisition related purchase accounting adjustments, increased by 2.7 percentage points, each primarily due to the increase in the net claims and claim expense ratio - current accident year.

•Net claims and claim expense ratio - current accident year increased by 4.6 percentage points, driven by higher losses in the quarter.

•Net claims and claim expense ratio - prior accident years reflects net favorable development driven by reported losses generally coming in lower than expected on attritional net claims and claim expenses from the other specialty and credit classes of business.

•Underwriting expense ratio increased 1.8 percentage points, driven by a 1.7 percentage point increase in the acquisition expense ratio primarily due to the impact of the purchase accounting adjustments relating to the Validus Acquisition.

(1)Performance fees are based on the performance of the individual vehicles or products, and may be negative in a particular period if, for example, large losses occur, which can potentially result in no performance fees or the reversal of previously accrued performance fees.

•Management fee income increased $11.9 million, reflecting growth in the Company’s joint ventures and managed funds, specifically DaVinciRe Holdings Ltd. (“DaVinci”), and Fontana Holdings L.P. (“Fontana”), as well as the addition of fees earned by AlphaCat Managers Ltd., which was acquired as part of the Validus Acquisition.

•Performance fee income increased $15.5 million, driven by improved underwriting results and prior year favorable development, primarily in DaVinci and certain structured reinsurance products.

•Net investment income increased $118.2 million, due to a combination of higher average invested assets, primarily resulting from the Validus Acquisition, and higher yielding assets in the fixed maturity and short term portfolios.

•Net realized and unrealized losses on investments decreased by $95.2 million, principally driven by:

–lower net realized and unrealized losses on fixed maturity investments trading of $123.3 million, primarily due to generally lower increases in interest rates in the current period as compared to the prior period;

–an increase in net realized and unrealized gains on investment-related derivatives of $75.4 million, primarily as a result of a lower impact from the interest rate movements noted above on interest rate futures, and lower losses on credit default swaps; partially offset by

–an increase in net realized and unrealized losses on catastrophe bonds of $72.3 million, reflective of changes in risk spreads in the wider catastrophe bond market.

•Total investments were $30.5 billion at June 30, 2024 (December 31, 2023 - $29.2 billion). The weighted average yield to maturity and duration on the Company’s investment portfolio (excluding investments that have no final maturity, yield to maturity or duration) was 6.0% and 2.8 years, respectively (December 31, 2023 - 5.8% and 2.6 years, respectively).

•Net income attributable to redeemable noncontrolling interests of $224.7 million was primarily driven by:

–strong underwriting results in DaVinci and Vermeer Reinsurance Ltd.; and

–strong net investment income driven by higher average invested assets and higher yielding assets within the investment portfolios of the Company’s joint ventures and managed funds.

•Raised partner capital of $84.5 million in the second quarter of 2024, primarily in Upsilon RFO Ltd.

•Returned partner capital of $340.8 million during the second quarter of 2024, including $182.0 million from Medici Funds Ltd. following strong earnings over the last few quarters, resulting in investors rebalancing their position, and $75.0 million from Upsilon Diversified Fund, as a result of the release of collateral associated with prior years’ contracts.

•Share Repurchases of 485.1 thousand common shares at an aggregate cost of $108.5 million and an average price of $223.73 per common share in the second quarter of 2024. Repurchased an additional 278.6 thousand of common shares at an aggregate cost of $61.2 million from July 1, 2024 through July 22, 2024.

•    Income tax benefit of $20.8 million in the current quarter, primarily driven by a $33.7 million deferred tax benefit resulting from the merger of RenaissanceRe Europe AG and Validus Reinsurance (Switzerland) Ltd completed in the quarter.

(1)“Q2 2024 Large Loss Events” includes: a series of severe convective storms that impacted the southern and Midwest United States; the Hualien earthquake which impacted Taiwan in April 2024; and certain aggregate loss contracts triggered during 2024.

Please refer to the “Investors - Financial Reports - Financial Supplements” section of the Company’s website at www.renre.com for a copy of the Financial Supplement which includes additional information on the Company’s financial performance.

RenaissanceRe will host a conference call on Thursday, July 25, 2024 at 10:00 a.m. ET to discuss this release. Live broadcast of the conference call will be available through the “Investors - Webcasts & Presentations” section of the Company’s website at www.renre.com.

(1)See Comments on Non-GAAP Financial Measures for a reconciliation of non-GAAP financial measures.

RenaissanceRe Holdings Ltd.
Supplemental Financial Data - Segment Information
(in thousands of United States Dollars, except percentages)
(Unaudited)
			Three months ended June 30, 2024
			Property						Casualty and Specialty						Other						Total
Gross premiums written			$	1,753,098					$	1,672,397					$	—					$	3,425,495
Net premiums written			$	1,358,660					$	1,479,851					$	—					$	2,838,511
Net premiums earned			$	980,834					$	1,560,481					$	—					$	2,541,315
Net claims and claim expenses incurred			273,354						1,036,148						—						1,309,502
Acquisition expenses			188,345						456,093						—						644,438
Operational expenses			67,425						40,614						—						108,039
Underwriting income (loss)			$	451,710					$	27,626					$	—					479,336
Net investment income															410,845						410,845
Net foreign exchange gains (losses)															(8,815)						(8,815)
Equity in earnings of other ventures															12,590						12,590
Other income (loss)															169						169
Net realized and unrealized gains (losses) on investments															(127,584)						(127,584)
Corporate expenses															(35,159)						(35,159)
Interest expense															(23,609)						(23,609)
Income (loss) before taxes and redeemable noncontrolling interests																					707,773
Income tax benefit (expense)															20,848						20,848
Net (income) loss attributable to redeemable noncontrolling interests															(224,731)						(224,731)
Dividends on preference shares															(8,844)						(8,844)
Net income (loss) available (attributable) to RenaissanceRe common shareholders																					$	495,046
Net claims and claim expenses incurred – current accident year			$	357,745					$	1,060,028					$	—					$	1,417,773
Net claims and claim expenses incurred – prior accident years			(84,391)						(23,880)						—						(108,271)
Net claims and claim expenses incurred – total			$	273,354					$	1,036,148					$	—					$	1,309,502
Net claims and claim expense ratio – current accident year			36.5		%				67.9		%										55.8		%
Net claims and claim expense ratio – prior accident years			(8.6)		%				(1.5)		%										(4.3)		%
Net claims and claim expense ratio – calendar year			27.9		%				66.4		%										51.5		%
Underwriting expense ratio			26.0		%				31.8		%										29.6		%
Combined ratio			53.9		%				98.2		%										81.1		%
			Three months ended June 30, 2023
			Property						Casualty and Specialty						Other						Total
Gross premiums written			$	1,402,606					$	1,249,015					$	—					$	2,651,621
Net premiums written			$	1,144,655					$	1,051,148					$	—					$	2,195,803
Net premiums earned			$	758,686					$	1,026,576					$	—					$	1,785,262
Net claims and claim expenses incurred			281,993						649,218						—						931,211
Acquisition expenses			140,606						281,939						—						422,545
Operational expenses			55,077						25,414						—						80,491
Underwriting income (loss)			$	281,010					$	70,005					$	—					351,015
Net investment income															292,662						292,662
Net foreign exchange gains (losses)															(13,488)						(13,488)
Equity in earnings of other ventures															7,700						7,700
Other income (loss)															3,876						3,876
Net realized and unrealized gains (losses) on investments															(222,781)						(222,781)
Corporate expenses															(23,371)						(23,371)
Interest expense															(14,895)						(14,895)
Income (loss) before taxes and redeemable noncontrolling interests																					380,718
Income tax benefit (expense)															(5,942)						(5,942)
Net (income) loss attributable to redeemable noncontrolling interests															(174,907)						(174,907)
Dividends on preference shares															(8,844)						(8,844)
Net income (loss) available (attributable) to RenaissanceRe common shareholders																					$	191,025
Net claims and claim expenses incurred – current accident year			$	313,632					$	649,677					$	—					$	963,309
Net claims and claim expenses incurred – prior accident years			(31,639)						(459)						—						(32,098)
Net claims and claim expenses incurred – total			$	281,993					$	649,218					$	—					$	931,211
Net claims and claim expense ratio – current accident year			41.3		%				63.3		%										54.0		%
Net claims and claim expense ratio – prior accident years			(4.1)		%				(0.1)		%										(1.8)		%
Net claims and claim expense ratio – calendar year			37.2		%				63.2		%										52.2		%
Underwriting expense ratio			25.8		%				30.0		%										28.1		%
Combined ratio			63.0		%				93.2		%										80.3		%

Comments on Non-GAAP Financial Measures

(1)Represents the purchase accounting adjustments related to the amortization of acquisition related intangible assets, amortization (accretion) of VOBA and acquisition costs, and the fair value adjustments to the net reserves for claims and claim expenses for the three and six months ended June 30, 2024 for the acquisitions of Validus - $59.0 million and $115.9 million, respectively (2023 - $Nil and $Nil, respectively); and TMR and Platinum - $3.8 million and $7.5 million respectively (2023 - $4.0 million and $8.0 million respectively).

(2)Represents a net deferred tax benefit recorded during the period in connection with the enactment of the 15% Bermuda corporate income tax on December 27, 2023.

(3)Represents the income tax (expense) benefit associated with the adjustments to net income (loss) available (attributable) to RenaissanceRe common shareholders. The income tax impact is estimated by applying the statutory rates of applicable jurisdictions, after consideration of other relevant factors.

(4)Represents the portion of the adjustments above that are attributable to the Company’s redeemable noncontrolling interests, including the income tax impact of those adjustments.

(1)Represents the acquired goodwill and other intangible assets at June 30, 2024 for the acquisitions of Validus $507.2 million (June 30, 2023 - $Nil), TMR $26.6 million (June 30, 2023 - $27.7 million) and Platinum $203.6 million (June 30, 2023 - $207.5 million).

(2)At June 30, 2024, the adjustment for other goodwill and intangible assets included $17.9 million (June 30, 2023 - $18.3 million) of goodwill and other intangibles included in investments in other ventures, under equity method. Previously reported “adjustment for goodwill and other intangibles” has been bifurcated into “acquisition related goodwill and other intangible assets” and “other goodwill and intangible assets.”

(3)Represents the purchase accounting adjustments related to the unamortized VOBA and acquisition costs, and the fair value adjustments to reserves at June 30, 2024 for the acquisitions of Validus $270.7 million (June 30, 2023 - $Nil), TMR $57.0 million (June 30, 2023 - $67.8 million) and Platinum $(0.7) million (June 30, 2023 - $(0.9) million).