RENAISSANCERE HOLDINGS LTD

SUMMARY OF RESULTS OF OPERATIONS

Results of Operations for 2024 Compared to 2023

Net income available to RenaissanceRe common shareholders was $1.8 billion in 2024, compared to $2.5 billion in 2023. As a result of our net income available to RenaissanceRe common shareholders in 2024, we generated an annualized return on average common equity of 19.3% and our book value per common share increased from $165.20 at December 31, 2023 to $195.77 at December 31, 2024, a 19.4% increase, after considering the change in accumulated dividends paid to our common shareholders.

The most significant items affecting our financial performance during 2024, on a comparative basis to 2023, include:

•Underwriting Results -we generated underwriting income of $1.6 billion and had a combined ratio of 83.9% in the year ended December 31, 2024, compared to underwriting income of $1.6 billion and a combined ratio of 77.9% in the year ended December 31, 2023. Our underwriting income in the year ended December 31, 2024 was comprised of our Property segment, which generated underwriting income of $1.6 billion and had a combined ratio of 57.2%, and our Casualty and Specialty segment, which incurred an underwriting loss of $25.4 million and had a combined ratio of 100.4%. In comparison, our underwriting income in the year ended December 31, 2023 was comprised of our Property segment, which generated underwriting income of $1.4 billion and had a combined ratio of 53.4%, and our Casualty and Specialty segment, which generated underwriting income of $208.1 million and had a combined ratio of 95.2%;

Included in our underwriting results in the year ended December 31, 2024 was the impact of the 2024 Large Loss Events, which resulted in a net negative impact on the underwriting result of $847.4 million and added 8.8 percentage points to the consolidated combined ratio. In comparison, our underwriting results in the year ended December 31, 2023 were impacted by the 2023 Large Loss Events, which resulted in a net negative impact on the underwriting result of $298.6 million and added 4.1 percentage points to the combined ratio, primarily within in our Property segment;

•Gross Premiums Written - our gross premiums written increased by $2.9 billion, or 32.4%, to $11.7 billion, in the year ended December 31, 2024, compared to the year ended December 31, 2023. This was comprised of an increase of $1.6 billion in our Casualty and Specialty segment and an increase of $1.3 billion in our Property segment, both primarily driven by the renewal of business acquired in the Validus Acquisition, in conjunction with organic growth on legacy lines;

•Investment Results - our total investment result, which includes the sum of net investment income and net realized and unrealized gains (losses) on investments, was income of $1.6 billion in the year ended December 31, 2024, compared to $1.7 billion in the year ended December 31, 2023, a decrease of $41.2 million. The primary drivers of the lower total investment result include an increase of $442.4 million in net realized and unrealized losses on investments, which was partially offset by an increase in net investment income of $401.2 million. The change in net realized and unrealized gains (losses) on investments was a result of net realized and unrealized losses on fixed maturity investments of $246.4 million in the year ended December 31, 2024, compared to net realized and unrealized gains of $292.1 million in the year ended December 31, 2023, primarily due to increases in yields on longer duration assets during 2024, compared to decreases in 2023. Offsetting the increase in net unrealized losses on fixed maturity investments was an increase in net realized and unrealized gains on other investments of $159.4 million, driven by an increase in the value of our investment in TWFG as a result of TWFG, Inc.’s initial public offering in 2024. The increase in net investment income was due to a combination of higher average invested assets, primarily resulting from the Validus Acquisition, and higher yielding assets in the fixed maturity investments portfolio;

•Net Income Attributable to Redeemable Noncontrolling Interests- our net income attributable to redeemable noncontrolling interests was $1.1 billion in the year ended December 31, 2024, compared to $1.1 billion in the year ended December 31, 2023, an increase of $31.2 million. The higher net income attributable to redeemable noncontrolling interests in the year ended December 31, 2024 was primarily driven by strong underwriting income generated by DaVinci and Vermeer, partially offset by a decrease in net realized and unrealized gains on investments. The decrease in net realized and unrealized gains on investments was primarily due to the increases in interest rates during 2024 discussed above driving net realized and unrealized losses on the investment portfolios of our joint ventures and managed funds;

•Impact of Large Loss Events - we had a net negative impact on net income (loss) available (attributable) to RenaissanceRe common shareholders of $660.5 million resulting from the 2024 Large Loss Events. This compares to a net negative impact on net income (loss) available (attributable) to RenaissanceRe common shareholders of $213.4 million resulting from the 2023 Large Loss Events.

Net Negative Impact

Net negative impact on underwriting result includes the sum of (1) net claims and claim expenses incurred, (2) assumed and ceded reinstatement premiums earned and (3) earned and lost profit commissions. Net negative impact on net income (loss) available (attributable) to RenaissanceRe common shareholders is the sum of (1) net negative impact on underwriting result and (2) redeemable noncontrolling interest, both before consideration of any related income tax benefit (expense).

Our estimates of net negative impact are based on a review of our potential exposures, preliminary discussions with certain counterparties and actuarial modeling techniques. Our actual net negative impact, both individually and in the aggregate, may vary from these estimates, perhaps materially. Changes in these estimates will be recorded in the period in which they occur.

Meaningful uncertainty remains regarding the estimates and the nature and extent of the losses from these catastrophe events, driven by the magnitude and recent nature of the events, the geographic areas impacted by the events, relatively limited claims data received to date, the contingent nature of business interruption and other exposures, potential uncertainties relating to reinsurance recoveries and other factors inherent in loss estimation, among other things.

2024 Net Negative Impact

The financial data below provides additional information detailing the net negative impact of the 2024 Large Loss Events on our segment underwriting results and consolidated financial statements for the year ended December 31, 2024.

The financial data below provides additional information detailing the net negative impact of the 2024 Large Loss Events on our consolidated financial statements for the year ended December 31, 2024.

(1)“Other 2024 Large Loss Events” includes: the Baltimore Bridge Collapse; a series of severe convective storms that impacted the Southern and Midwest United States; the Hualien earthquake which impacted Taiwan in April 2024; a severe hailstorm which impacted Calgary in August 2024, Hurricane Debby, Hurricane Beryl, and certain aggregate loss contracts triggered during 2024.

(2)“2024 Large Loss Events” includes: Hurricane Milton, Hurricane Helene and the “Other 2024 Large Loss Events.”

2023 Net Negative Impact

The financial data below provides additional information detailing the net negative impact of the 2023 Large Loss Events on our segment underwriting results and consolidated financial statements for the year ended December 31, 2023.

The financial data below provides additional information detailing the net negative impact of the 2023 Large Loss Events on our consolidated financial statements for the year ended December 31, 2023.

(1)“2023 Large Loss Events” includes: Hurricane Otis and Storm Ciaran in October and November 2023, the wildfires in Hawaii in August 2023 and Hurricane Idalia, a series of large, severe weather events in Texas and other southern and central U.S. states in June 2023, the earthquakes in southern and central Turkey in February 2023, Cyclone Gabrielle, the flooding in northern New Zealand in January and February 2023, and various wind and thunderstorm events in both the Southern and Midwest U.S. during March 2023, and certain aggregate loss contracts triggered during 2023.

Underwriting Results by Segment

Below is a summary of the underwriting results and ratios for our Property segment:

Property Gross Premiums Written

In 2024, our Property segment gross premiums written increased by $1.3 billion, or 35.4%, to $4.8 billion, compared to $3.6 billion in 2023.

Gross premiums written in the catastrophe class of business were $3.0 billion in 2024, an increase of $850.6 million, or 39.6%, compared to 2023. This increase was principally driven by the renewal of business acquired in the Validus Acquisition, in conjunction with the retention of legacy lines, during 2024.

Gross premiums written in the other property class of business were $1.8 billion in 2024, an increase of $410.8 million, or 29.0%, compared to 2023. The increase in gross premiums written in the other property class of business was principally due to the renewal of business acquired in the Validus Acquisition and organic growth in both our catastrophe and non-catastrophe exposed business.

Property Ceded Premiums Written

Due to the potential volatility of the reinsurance contracts which we sell, we purchase reinsurance to reduce our exposure to large losses and to help manage our risk portfolio. To the extent that appropriately priced coverage is available, we anticipate continued use of retrocessional reinsurance to reduce the impact of large losses on our financial results and to manage our portfolio of risk; however, the buying of ceded reinsurance in our Property segment is based on market opportunities and is not based on placing a specific reinsurance program each year. In addition, in future periods, we may utilize the growing market for insurance-linked securities to expand our purchases of retrocessional reinsurance if we find the pricing and terms of such coverages attractive.

Ceded premiums written in our Property segment increased 66.4%, to $990.1 million, in 2024, compared to $595.1 million in 2023. The increase in ceded purchases reflects our larger portfolio resulting from the Validus Acquisition and organic growth, as well as increased utilization of Upsilon, as part of our gross-to-net strategy.

Property Net Premiums Written

Net premiums written in our Property segment were $3.8 billion in 2024, an increase of $866.3 million, or 29.2%, compared to 2023, consistent with the changes in gross premiums written discussed above, partially offset by an increase in ceded premiums written as part of our gross-to-net strategy.

Property Underwriting Results

Our Property segment generated underwriting income of $1.6 billion in 2024, compared to $1.4 billion in 2023, an increase in underwriting income of $208.4 million. In 2024, our Property segment generated a net claims and claim expense ratio of 29.7%, an underwriting expense ratio of 27.5% and a combined ratio of 57.2%, compared to 25.9%, 27.5% and 53.4%, respectively, in 2023.

Impacting the Property segment underwriting result and combined ratio in 2024 were the 2024 Large Loss Events, which resulted in a net negative impact on the Property segment underwriting result of $779.8 million and added 23.0 percentage points to its combined ratio. In comparison, 2023 was impacted by the 2023 Large Loss Events, which resulted in a net negative impact on the Property segment underwriting result of $298.1 million and added 10.5 percentage points to its combined ratio.

The net claims and claim expense ratio of 29.7% was comprised of a current accident year net claims and claim expense ratio of 50.9% and 21.2 percentage points of net favorable development on prior accident years. The net favorable development on prior accident years is primarily driven by net favorable development of $622.2 million from the large loss events across the 2017 to 2023 accident years, including $464.4 million from 2021 and 2022 Weather-Related Large Losses, driven by better than expected loss emergence and net favorable development on net attritional losses within the other property class of business. In comparison, 2023 had a net claims and claim expense ratio of 25.9%, comprised of a current accident year net claims and claim expense ratio of 39.1% and 13.2 percentage points of net favorable development on prior accident years.

The underwriting expense ratio of 27.5% was comprised of an acquisition expense ratio of 19.6% and an operational expense ratio of 7.9%. In comparison, 2023 had an underwriting expense ratio of 27.5%, comprised of an acquisition expense ratio of 19.4% and an operational expense ratio of 8.1%. The acquisition ratio of 19.6% in 2024 includes 1.9 percentage points of purchase accounting adjustments relating to the Validus Acquisition, which was offset by lower acquisition expenses due to changes in the mix of business as a result of continued relative growth in the catastrophe class of business, which has a lower acquisition expense ratio than the other property class of business.

In 2024, Property segment underwriting income was reduced by total purchase accounting adjustments of $89.3 million, which added 2.3 percentage points to the Property segment combined ratio.

Refer to “Part II, Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Summary of Critical Accounting Estimates—Claims and Claim Expense Reserves” and “Note 8. Reserve for Claims and Claim Expenses” in our “Notes to the Consolidated Financial Statements” for additional discussion of our reserving techniques and prior year development of net claims and claim expenses.

Below is a summary of the underwriting results and ratios for our Casualty and Specialty segment:

Casualty and Specialty Gross Premiums Written

In 2024, our Casualty and Specialty segment gross premiums written increased by $1.6 billion, or 30.4%, to $6.9 billion, compared to $5.3 billion in 2023. This increase is principally due to the renewal of business acquired in the Validus Acquisition, in conjunction with the retention and organic growth of legacy lines. This growth is primarily reflected in the other specialty, general casualty and credit classes of business, which increased $926.5 million, $550.7 million and $132.4 million, respectively, compared to 2023.

Our relative mix of business between proportional business and excess of loss business has fluctuated in the past and has the potential to change in the future. Proportional business, which represents the majority of our Casualty and Specialty segment business, typically has a higher expense ratio and tends to be exposed to more attritional and frequent losses, while being subject to less expected severity as compared to traditional excess of loss business.

Casualty and Specialty Ceded Premiums Written

We purchase reinsurance to reduce our exposure to large losses and to help manage our risk portfolio. To the extent that appropriately priced coverage is available, we anticipate continued use of retrocessional reinsurance to reduce the impact of large losses on our financial results and to manage our portfolio of risk. As in our Property segment, the buying of ceded reinsurance in our Casualty and Specialty segment is based on market opportunities and is not based on placing a specific reinsurance program each year.

Ceded premiums written in our Casualty and Specialty segment decreased by 1.1%, to $790.8 million, in 2024, compared to $799.4 million in 2023, principally due to a decrease in amount of quota share retrocessional coverage purchased, partially offset by the increase in gross premiums written subject to our retrocessional reinsurance programs.

Casualty and Specialty Net Premiums Written

Net premiums written in our Casualty and Specialty segment increased by $1.6 billion, or 36.0%, consistent with the changes in gross premiums written and quota share retrocessional coverage purchased as discussed above.

Casualty and Specialty Underwriting Results

Our Casualty and Specialty segment incurred an underwriting loss of $25.4 million in 2024, compared to underwriting income of $208.1 million in 2023. In 2024, our Casualty and Specialty segment generated a net claims and claim expense ratio of 67.1%, an underwriting expense ratio of 33.3% and a combined ratio of 100.4%, compared to 63.3%, 31.9% and 95.2%, respectively, in 2023.

The increase in the Casualty and Specialty segment combined ratio in 2024 to 100.4% was principally driven by an increase of 3.8 percentage points in the net claims and claim expense ratio and an increase of 1.4 percentage points in the underwriting expense ratio.

The increase in the net claims and claim expense ratio was driven by higher current accident year losses, mainly as a result of higher attritional losses within certain casualty lines of business, and the impact of event losses on catastrophe exposed lines within the other specialty class of business. The other specialty class of business included losses related to the Baltimore Bridge Collapse, which added approximately 1.0 percentage point of loss in 2024. During 2024 our Casualty and Specialty segment also experienced net favorable development on prior accident years net claims and claim expenses of $32.5 million, or 0.5 percentage points, compared to $41.7 million, or 1.0 percentage point during 2023. The net favorable development during both 2024 and 2023 was primarily driven by reported losses generally coming in lower than expected on attritional net claims and claim expenses from our professional liability, other specialty and credit classes of business, partially offset by higher attritional losses in the general liability line of business.

The increase in the underwriting expense ratio of 1.4 percentage point was primarily driven by a 1.1 percentage point increase in the acquisition expense ratio from the impact of purchase accounting adjustments related to the Validus Acquisition.

In 2024, our Casualty and Specialty segment underwriting loss included expenses related to purchase accounting adjustments of $153.7 million, which added 2.4 percentage points to the Casualty and Specialty segment combined ratio.

Refer to “Part II, Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Summary of Critical Accounting Estimates—Claims and Claim Expense Reserves” and “Note 8. Reserve for Claims and Claim Expenses” in our “Notes to the Consolidated Financial Statements” for additional discussion of our reserving techniques and prior year development of net claims and claim expenses.

The table above shows total fee income earned through third-party capital management activities, including various joint ventures, managed funds and certain structured retrocession agreements to which we are a party. Performance fees are based on the performance of the individual vehicles or products, and may be zero or 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. Joint ventures include DaVinci, Top Layer, Vermeer, and Fontana. Managed funds include Upsilon Fund and Medici. In addition, we manage certain third party capital vehicles through AlphaCat Managers, which were acquired in connection with the Validus Acquisition. Structured reinsurance products and other includes certain reinsurance contracts and certain other vehicles through which we transfer risk to third-party capital.

In 2024, total fee income earned through our third-party capital management activities increased by $90.0 million, to $326.8 million, compared to $236.8 million in 2023, driven by both higher management fee income and performance fee income.

Management fee income increased $43.3 million compared to 2023, driven by increased capital managed at DaVinci and Fontana, as well as the addition of fees earned by AlphaCat Managers.

Performance fee income increased $46.7 million compared to 2023, driven by improved current year underwriting results, primarily in DaVinci, Upsilon RFO and in our structured reinsurance products.

The fees earned through third-party capital management activities are principally recorded through redeemable noncontrolling interest, or as an increase to underwriting income through a decrease in operational expenses or acquisition expenses. Below is a summary of the impact of fee income on the applicable financial statement line items.

(1)Reflects total fee income earned through third-party capital management as well as various joint ventures, managed funds and certain structured retrocession agreements to which we are a party, recorded through underwriting income (loss) as a decrease to operational expenses or acquisition expenses. The $42.9 million includes $51.0 million of management fee income, recorded as a reduction to operational expenses and $(8.1) million of performance fee income recorded as an increase to acquisition expenses (2023 - $34.4 million, $46.4 million and $(12.0) million, respectively).

In addition to the $42.9 million of fee income earned through our third-party capital management activities that was recorded through underwriting income (loss), as detailed above, we also earn additional fee income on certain other underwriting-related activities. These fees, in the aggregate, are recorded as a reduction to operational expenses or acquisition expenses, as applicable. The total fees recorded through underwriting income (loss) are detailed in the table below.

(1)The $112.1 million includes $114.3 million of management fee income, recorded as a reduction to operational expenses and $(2.2) million of performance fee income recorded as an increase to acquisition expenses (2023 - $129.0 million, $125.1 million and reduction of $3.9 million, respectively).

Investment Results

Net Investment Income

The components of net investment income are as follows:

Net investment income was $1.7 billion in 2024, compared to $1.3 billion in 2023, an increase of $401.2 million. This increase was driven by a combination of higher average invested assets, primarily resulting from the Validus Acquisition, and higher yielding assets in the fixed maturity investments portfolio.

Net Realized and Unrealized Gains (Losses) on Investments

Net realized and unrealized gains (losses) on investments are as follows:

(1)Net realized and unrealized gains (losses) on investment-related derivatives includes fixed maturity investments related derivatives, equity investments related derivatives and commodity related derivatives. See “Note 19. Derivative Instruments” in our “Notes to Consolidated Financial Statements” for additional information.

We structure our investment portfolio to emphasize the preservation of capital and the availability of liquidity to meet our claims obligations, to be well diversified across market sectors, and to generate relatively attractive returns on a risk-adjusted basis over time. A large majority of our investments are invested in the fixed income markets and, therefore, our realized and unrealized holding gains and losses on investments are highly correlated to fluctuations in interest rates. As interest rates decline, we will tend to have realized and unrealized gains from our investment portfolio, and as interest rates rise, we will tend to have realized and unrealized losses from our investment portfolio.

Net realized and unrealized losses on investments were $27.8 million in 2024, compared to gains of $414.5 million in 2023. Principally impacting the increase in our net realized and unrealized losses on investments in 2024 were:

•net realized and unrealized losses on our fixed maturity investments trading portfolio of $246.4 million in 2024 compared to net realized and unrealized gains of $292.1 million in 2023, primarily as a result of increases in yields on longer duration assets in 2024 compared to decreases in 2023;

•net realized and unrealized gains on other investments of $202.5 million in 2024 compared to net realized and unrealized gains of $43.1 million in 2023, driven by an increase in the value of our investment in TWFG as a result of TWFG, Inc.’s initial public offering in 2024; and

•net realized and unrealized gains on catastrophe bonds of $62.4 million in 2024, compared to $101.9 million in 2023, a decrease of $39.5 million. The decrease in net realized and unrealized gains were driven by narrowing risk spreads in the catastrophe bond market, which were generally greater in 2023 compared to 2024. The net realized and unrealized gains are primarily reflected in the Medici portfolio, and are predominantly attributable to third-party investors and allocated through net (income) loss attributable to redeemable noncontrolling interest.

Net Foreign Exchange Gains (Losses)

In 2024, net foreign exchange losses were $76.1 million compared to $41.5 million in 2023. The increase in net foreign exchange losses for 2024 compared to 2023 is primarily driven by lower losses attributable to third-party investors in Medici in the current period, which are allocated through net (income) loss attributable to redeemable noncontrolling interest, slightly offset by a higher impact of certain foreign exchange exposures related to our underwriting activities in the current period compared to the prior period.

Our functional currency is the U.S. dollar. We routinely write a portion of our business in currencies other than U.S. dollars and invest a portion of our cash and investment portfolio in those currencies. We are primarily impacted by foreign currency exposures associated with our underwriting operations and our investment portfolio, and may, from time to time, enter into foreign currency forward and option contracts to minimize the effect of fluctuating foreign currencies on the value of non-U.S. dollar denominated assets and liabilities.

Refer to “Part II, Item 7A. Quantitative and Qualitative Disclosures About Market Risk” for additional information related to our exposure to foreign currency risk and “Note 19. Derivative Instruments” in our “Notes to the Consolidated Financial Statements” for additional information related to foreign currency forward and option contracts we have entered into.

Equity in Earnings (Losses) of Other Ventures

Equity in earnings (losses) of other ventures represents our pro-rata share of the net income from our investments in a select group of insurance and insurance-related companies, including the Tower Hill Companies and Top Layer. Except for Top Layer, which is recorded on a current quarter basis, equity in earnings (losses) of other ventures is recorded one quarter in arrears. The carrying value of these investments on our consolidated balance sheets, individually or in the aggregate, may differ from the realized value we may ultimately attain, perhaps significantly so.

Earnings from our investments in other ventures was $47.1 million in 2024, compared to $43.5 million in 2023, an increase of $3.6 million.

Corporate Expenses

Corporate expenses include certain executive, director, legal and consulting expenses, costs for research and development, and other miscellaneous costs, including those associated with operating as a publicly traded company, as well as costs incurred in connection with the acquisition of Validus. From time to time, we may revise the allocation of certain expenses between corporate and operational expenses to better reflect the characteristic of the underlying expense.

Corporate expenses increased $7.1 million to $134.8 million, in 2024, compared to $127.6 million in 2023. The increase was primarily driven by expenses associated with the Validus Acquisition.

Interest Expense and Preference Share Dividends

Interest expense increased $20.6 million to $93.8 million in 2024, compared to $73.2 million in 2023, primarily driven by additional interest expense resulting from the issuance of $750.0 million principal amount in June 2023 of 5.750% Senior Notes due 2033.

Income Tax Benefit (Expense)

We are subject to income taxes in certain jurisdictions in which we operate; however, since the majority of our income is generally earned in Bermuda, which has not had a corporate income tax, the tax impact to our operations has historically been minimal. On December 27, 2023, the Bermuda CIT was enacted. As a result, we expect our profits generated on or after January 1, 2025 in Bermuda (except for profits earned by our joint ventures and managed funds) will be subject to the 15% CIT. Furthermore, we generally expect that the profits generated in Bermuda on or after January 1, 2025 by our joint ventures and managed funds, except to the extent those profits are attributable to redeemable noncontrolling interests, will also be taxed at 15% as a result of the enactment or expected enactment of provisions similar to the GloBE Rules by many of the jurisdictions in which we operate. As a result, we expect our income taxes to increase beginning in 2025.

In 2024, we recognized an income tax expense of $32.6 million, compared to an income tax benefit of $510.1 million in 2023. The income tax expense was primarily driven by income in our taxable jurisdictions, offset by a $33.7 million deferred tax benefit resulting from the merger of RenaissanceRe Europe AG and Validus Switzerland completed in the second quarter of 2024. The 2023 income tax benefit of $510.1 million was primarily driven by a net deferred tax benefit of $593.8 million in connection with the enactment of the Bermuda CIT.

At December 31, 2024, our net deferred tax asset before and after valuation allowance totaled $822.6 million and $675.5 million, respectively. Our operations in Ireland, the U.K. (except RREAG, UK Branch), Switzerland, the RREAG, US Branch, and Luxembourg have historically produced GAAP taxable losses, and we currently do not believe it is more likely than not that we will be able to recover the predominant amount of our net deferred tax assets in these jurisdictions. Accordingly, we have recorded a valuation allowance on the majority of the net deferred tax asset in these jurisdictions.

Our effective income tax rate, which we calculate as income tax benefit (expense) divided by income (loss) before taxes, may fluctuate significantly from period to period depending on the geographic distribution of pre-tax income or loss in any given period between different jurisdictions with comparatively higher tax rates and those with comparatively lower tax rates. Generally, the preponderance of our revenue and pre-tax income or loss is generated by our domestic (i.e., Bermuda) operations, in the form of underwriting income or loss and net investment income or loss, rather than our foreign operations. However, the geographic distribution of pre-tax income or loss can vary significantly between periods for a variety of reasons, including the business mix and geographic location of the balance sheet on which net premiums are written and earned, the size and nature of net claims and claim expenses incurred, the amount and geographic location of operational expenses, net investment income and net realized and unrealized gains (losses) on investments and the amount of specific adjustments to determine the income tax basis in each of our operating jurisdictions. We expect our consolidated effective tax rate will increase in 2025 as a result of the enactment of the CIT in Bermuda and the implementation of the GloBE Rules in certain jurisdictions where we operate. In addition, it is possible we could be adversely affected by other future changes in tax laws, regulation, or enforcement, any of which could increase our effective tax rate more rapidly or steeply than we currently anticipate. In particular, jurisdictions in which we operate may incorporate the OECD’s administrative guidance on Article 9.1 of the GloBE Rules. If they were to do so, starting in 2027, a reduction in cash taxes we pay to Bermuda as a result of reversal of the Bermuda CIT deferred tax asset could be offset by an additional top-up tax in such jurisdictions. Such additional top-up taxes could increase our income tax expense and our consolidated effective tax rate in such years.

Net Income (Loss) Attributable to Redeemable Noncontrolling Interests

Our net income attributable to redeemable noncontrolling interests was $1.1 billion compared to $1.1 billion in 2023, an increase of $31.2 million. The increase was primarily driven by the following:

•DaVinci, which had higher net income in 2024 compared to 2023, primarily resulting from improved underwriting results;

•Vermeer, which had higher net income in 2024 compared to 2023, primarily resulting from improved underwriting results; partially offset by decreases in

•Medici, which had lower net income in 2024 compared to 2023, due to higher foreign exchange losses in the current period and lower net realized and unrealized gains on investments, compared to 2023; and

•Fontana, which had lower net income in 2024, compared to 2023, primarily resulting from an increase in net realized and unrealized losses on investments in 2024.

Refer to “Note 10. Noncontrolling Interests” in our “Notes to Consolidated Financial Statements” for additional information regarding our redeemable noncontrolling interests.