For the three months ended September 30, 2025, net earned property and casualty premiums decreased $1.5 million from $13.7 million a year ago to $12.2 million.
Quarter to Date fee income increased $0.2 million from $5.0 million to $5.2 million and gross written premiums increased $12.8 million, moving from $232.6 million to $245.4 million. Quarter to Date Loss and loss adjustment expenses as a percentage of earned premium decreased from 57.4% to 56.4%.
For the three months ended September 30, 2025, operating expenses increased $0.6 million from $2.5 million to $3.1 million due to a $0.6 million return of funding collateral in the prior year quarter.
As part of its ongoing capital management efforts, the Company will continue to redirect excess capital within the group to debt reduction. In the 3rd quarter of 2025 the Company reduced the outstanding principal balances in its 12% and 9% Senior Secured Notes by $3.0 million and $0.7 million respectively for a total debt reduction of $3.7 million, reducing total outstanding debt from $20.8 million to $17.1 million as of September 30, 2025. Additionally, The Company reduced the outstanding principal balance of its 12% Senior Secured Notes by $1.3 million in 4th quarter of 2025, reducing total outstanding debt to a balance of $15.8 million. The Company expects to take additional steps towards leverage reduction unless other compelling opportunities arise.
Forward-Looking Statements
This release contains statements that may be considered "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, without limitation, the Company's expectations respecting the volatility of its insured portfolio, losses, loss reserves and loss development, the adequacy and availability of its liquidity and capital resources, its current run off strategy, its strategy for writing other reinsurance businesses and its expense reduction measures. These statements are based on current expectations and the current views of the economic and operating environment and are not guarantees of future performance. A number of risks and uncertainties, including economic competitive conditions, could cause actual results to differ materially from those projected in forward-looking statements. The Company's actual results could differ materially from those expressed or implied in the forward-looking statements.
Information About the Company
American Overseas Group Limited is an insurance holding company incorporated in Bermuda and a tax resident of the United Kingdom. Its operating subsidiaries provide specialty property/casualty insurance, reinsurance and insurance management services in the United States. More information can be found at www.aoreltd.com.
American Overseas Group Limited
American Overseas Group Limited
Consolidated Balance Sheets
(unaudited)
As at September 30, 2025 and December 31, 2024
(dollars in thousands)
September 30, 2025
December 31, 2024
Assets
Investments:
Fixed-maturity securities held as available for sale, at fair value
$
154,810
$
143,633
Equity investments held as available for sale, at fair value
1,036
-
Cash and cash equivalents
47,865
46,600
Restricted cash
3,406
4,861
Accrued investment income
1,223
1,029
Premiums receivable
221,841
211,771
Deferred insurance premiums
309,526
267,765
Reinsurance balances receivable, net
446,578
413,541
Deferred policy acquisition costs
10,161
10,215
Intangible assets
4,800
4,800
Goodwill
33,050
33,050
Other assets
7,599
3,972
Total Assets
$
1,241,895
$
1,141,237
Liabilities and Equity
Liabilities:
Loss and loss expense reserve
$
432,543
$
421,018
Deferred commission income
7,140
7,154
Unearned premiums
321,574
281,176
Ceded premium payable
240,930
209,033
Payable to general agents
425
276
