On this page of StockholderLetter.com we present the latest annual shareholder letter from SAFETY INSURANCE GROUP INC — ticker symbol SAFT. Reading current and past SAFT letters to shareholders can bring important insights into the investment thesis.

 •  4/1/2025 Letter Continued (Full PDF)
 •  4/2/2024 SAFT Stockholder Letter
 •  More "Insurance Brokers" Category Stockholder Letters
 •  SAFT Benford's Law Stock Score = 91

SAFT Shareholder/Stockholder Letter Transcript:

2024
ANNUAL
REPORT

Safety Insurance was founded in 1979 with a belief that we would
succeed as a company if customers were given the best possible service.
As we   ve grown and expanded our product line to include a full portfolio of
property and casualty insurance products, staying committed to that belief
has meant even more. At Safety, we do everything possible to make it easy
for our agents and policyholders to do business with us.
Today, Safety is the third largest private passenger automobile carrier,
the second largest commercial automobile carrier, and the third largest
homeowners carrier in Massachusetts. We support our network of
independent agents with state-of-the-art tools that make the ease and
convenience of doing business with Safety second to none.
Together with our agents, Safety Insurance remains a premier provider
of property and casualty insurance in Massachusetts, New Hampshire, and
Maine. We   ll continue this tradition into the future.
The key
to our
success:
SERVICE.
The key
to our
customers   
success:
SAFETY.
We help you manage life   s storms

Dear Fellow Stockholders:
In 2024, Safety Insurance Group FRQWLQXHG WR DFKLHYH VLJQL  FDQW GLUHFW ZULWWHQ 
premium growth, which increased 20.4% over the prior year, driving our top-line revenue above $1 billion for the
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counts and a 10.9% increase in average premium per policy, blended across all lines of business.
Along with the increased policy counts, premium rate actions are earning into our results and contributing to
improvements in our loss ratios. For the year ended December 31, 2024, Safety Insurance posted a 101.1%
combined ratio compared to 107.7% in the prior year. In addition, positive trends in other revenue lines contributed
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The increases to direct written premiums and net written premiums were focused in our key areas of business,
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and Homeowners lines, respectively, compared to the same period in 2023. Average written premium per exposure
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respectively, compared to the same period in 2023.
The long-term commitment to strong underwriting results and enhanced investment returns, remains unchanged.
As always, we focus on pricing our products appropriately for the risks we are insuring while generating the capital
to grow our business. We continue to work with our agency partners toward our goal of maintaining underwriting
discipline, while leveraging investments in our pricing and risk management areas to ensure rate adequacy.
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December 31, 2024. We additionally generated $10.3 million on our partnership investments and $7.7 million in
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as compared to the prior year. We believe that our current portfolio position and strong underlying operating cash
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relationships. In contrast to some of our competitors,
Safety distributes its products exclusively through
our extensive network of agents throughout
Total Direct Written Premiums
Massachusetts, New Hampshire, and Maine. We
1,193,057
support them with a full suite of insurance products
and information technology services, which enables
them to better serve their customers and more easily
991,224
798,712
802,139
823,318
2020
2021
2022
transact business with us.
2023
2024
Safety Insurance 2024 Annual Report
1

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We continue to invest in technology enhancements for our core systems that are aimed at providing our independent
agents and consumers with useful tools to enhance the user experience. During 2024, the Innovation Lab saw two
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system was implemented to allow claim payments to be made
electronically thus reducing cycle times and improving the customer
Direct written premium
experience and the second, a two-way texting system within the
growth   increased 20.4% over
claims department to allow claims adjusters to correspond with
the prior year, driving our
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top-line revenue above $1
our personal property customers. These devices provide real time
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company   s history.
the customers    property.
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has enabled Safety to establish strong relationships with agency partners and to capture a larger share of the total
business written by each agent. We position ourselves as the preferred insurance carrier for those agents and are ranked
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advantage and extensive knowledge of the market to become the second largest commercial automobile carrier, the third
largest private passenger automobile carrier and the third largest homeowners carrier in Massachusetts.
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favorable loss reserve development, our market position as a leading property and casualty insurance writer in the New
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disciplined underwriting approach as important strengths.
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world. Through this program, our senior leadership team oversees the management and risk mitigation process and
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Cash Flows from Operations
Total Assets
(Dollars in Millions)
(Dollars in Billions)
$141.40
$109.50
$44.30
2020
2
2021
2022
Safety Insurance 2024 Annual Report
$128.69
$2.05
$2.12
2024
2020
2021
$1.97
$2.09
$2.27
$52.11
2023
2022
2023
2024

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We believe that Safety Insurance has a responsibility to both its
For the third consecutive
stakeholders and the environment in which it operates. To that end,
year, we were named
Safety Insurance is committed to developing conscious solutions for
to the Ward   s 50 group of
our employees, our community, our investors and our independent
top performing property
agency partners and policyholders.
and casualty insurance
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companies.
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through charitable donations and company-sponsored volunteer
activities. Safety is committed to making a positive impact on the communities where our employees live and work through
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homelessness, arts/culture, food banks, youth programs, healthcare, medical research and disaster relief.
With the support of an experienced, knowledgeable and dedicated senior management team, we continue to achieve
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to our independent agent partners and policyholders. This has resulted in a history of strong returns and enduring value
for our stockholders. We appreciate your long-term participation as a stockholder of Safety Insurance Group.
Sincerely,
George M. Murphy
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Total Revenues
(Excluding Changes in Unrealized Gains on Equity Investments)
(Dollars in Millions)
Total Exposures
$1,116.10
$835.70
$868.80
$842.00
2020
2021
2022
$923.40
2023
2024
675,377
653,584
648,497
2020
2021
2022
728,379
2023
799,537
2024
Safety Insurance 2024 Annual Report
3



 4/1/2025 Letter Continued (Full PDF)