NI Holdings, Inc. (NODK)

Over the past six months, several events have impacted NI Holdings, Inc.'s stock price. In the third quarter of 2025, the company reported a decrease in direct written premiums due to a decline in Non-Standard Auto premiums, which was partially offset by an increase in Home and Farm premiums; the combined ratio improved, and basic loss per share decreased. Cindy Launer was appointed as President and CEO, succeeding Seth Daggett. The Board of Directors approved a share repurchase plan. In the second quarter of 2025, NI Holdings, Inc. reported a reduction in direct written premiums, driven by Non-Standard Auto, partially offset by growth in Home and Farm; the combined ratio increased due to higher unfavorable development of liability loss claims and a significant catastrophe event, and basic loss per share increased. AM Best downgraded the Long-Term Issuer Credit Ratings of Nodak Insurance Group and NI Holdings, Inc., reflecting volatility in operating results. In the fourth quarter and year-end of 2024, the company reported strong net income with a 16.2% return on average equity; full-year direct written premiums were up, driven by Private Passenger Auto and Home and Farm segments, partially offset by Crop and Non-Standard Auto.

Demand for NI Holdings, Inc.'s products and services exhibits seasonality due to the nature of its insurance offerings and exposure to weather events. Crop insurance is tied to agricultural cycles, and extreme weather events correlate with increased demand. Home and farm insurance are significantly impacted by weather-related losses, with increasing frequency and severity of extreme weather events reshaping the insurance market. The insurance industry faces challenges from the increasing frequency and severity of natural disasters, which can cause volatility in financial results.

NI Holdings, Inc. is an insurance holding company that underwrites property and casualty insurance products in the United States, operating within the Financials sector, specifically in the Property & Casualty Insurance industry. Its major products include various insurance policies such as private passenger auto, homeowners, and crop insurance. NI Holdings, Inc. is a subsidiary of Nodak Mutual Group, Inc.

NI Holdings, Inc. writes insurance coverages across five states and holds licenses in an additional seven states for future geographic expansion. Its insurance coverages are marketed through captive agents in North Dakota and through independent insurance agents in other operating areas. Nodak Insurance Company writes policies in North Dakota, while American West Insurance Company is licensed in eight states in the Midwest and Western regions, currently issuing policies in South Dakota, Minnesota, and North Dakota. Primero Insurance Company writes non-standard automobile insurance in Nevada, Arizona, North Dakota, and South Dakota.

In the past year, NI Holdings, Inc.'s brand reputation has been subject to assessment by rating agencies. AM Best affirmed the Financial Strength Rating for the members of Nodak Insurance Group but downgraded the Long-Term Issuer Credit Ratings for both Nodak Insurance Group and NI Holdings, Inc., citing volatility in operating results. The company also received a limited usefulness score based on reviews on ResponsibilityReports.com.

Major owners of NI Holdings, Inc. include Nodak Mutual Group, Inc., which holds a majority of the outstanding common stock, as well as M3F, Inc., Newtyn Management, LLC, BlackRock, Inc., Vanguard Group Inc, Tcw Group Inc, Dimensional Fund Advisors Lp, iShares Russell 2000 ETF, Vanguard Total Stock Market Index Fund Investor Shares, Geode Capital Management, Llc, Philadelphia Financial Management of San Francisco, LLC, and Jeffrey Thorp.