8 unchanged sentences
Interest Rate Risk
−Removed: Interest rate risk is the risk that a company
−Removed: will incur economic losses due to adverse changes in interest rates.
−Removed: Our exposure to interest rate changes primarily results from our
−Removed: significant holdings of fixed income securities.
+Added: Interest rate risk is the risk that a company will
+Added: incur economic losses due to adverse changes in interest rates.
+Added: Our exposure to interest rate changes primarily results from our significant
+Added: holdings of fixed income securities.
Fluctuations in interest rates have a direct impact on the fair value of these securities.
−Removed: We develop our investment strategies based on
−Removed: a number of factors, including estimated duration of reserve liabilities, short and long-term liquidity needs, general economic conditions,
−Removed: expected rates of inflation and regulatory requirements.
−Removed: The portfolio duration of the fixed income securities in our investment portfolio
−Removed: at December 31, 2024 was 4.77 years.
+Added: We develop our investment strategies based on a number
+Added: of factors, including estimated duration of reserve liabilities, short and long-term liquidity needs, general economic conditions, expected
+Added: rates of inflation and regulatory requirements.
+Added: The portfolio duration of the fixed income securities in our investment portfolio at December
+Added: 31, 2025 was 4.53 years.
These fixed income securities include U.S.
−Removed: government bonds, securities issued by government agencies,
−Removed: obligations of state and local governments and governmental authorities, and corporate bonds, most of which are exposed to changes in
−Removed: prevailing interest rates.
−Removed: These fixed income securities may experience significant fluctuations in fair value resulting from changes
−Removed: in interest rates and are carried as available for sale.
−Removed: We manage the exposure to risks associated with interest rate fluctuations through
−Removed: active management and consultation with our outside fixed income portfolio manager.
−Removed: Higher interest rates, oftentimes correlated to
−Removed: inflation, reduce the carrying value of our fixed income and short-term investments, negatively impacting the Company’s book value
−Removed: in the short-term.
−Removed: Over the long-term, however, higher interest rates provide an incremental benefit to our net investment income over
−Removed: time as excess cash and proceeds of maturing bonds are reinvested at higher rates.
−Removed: We manage our exposure to interest rate increases by
−Removed: monitoring the duration within our investment portfolio and maintaining maturities that minimize forced sales within the portfolio.
+Added: government bonds, securities issued by government agencies, obligations
+Added: of state and local governments and governmental authorities, and corporate bonds, most of which are exposed to changes in prevailing interest
+Added: These fixed income securities may experience significant fluctuations in fair value resulting from changes in interest rates and
+Added: are carried as available for sale.
+Added: We manage the exposure to risks associated with interest rate fluctuations through active management
+Added: and consultation with our outside fixed income portfolio manager.
+Added: Higher interest rates, oftentimes correlated to inflation,
+Added: reduce the carrying value of our fixed income and short-term investments, negatively impacting the Company’s book value in the short-term.
+Added: Over the long-term, however, higher interest rates provide an incremental benefit to our net investment income over time as excess cash
+Added: and proceeds of maturing bonds are reinvested at higher rates.
+Added: We manage our exposure to interest rate increases by monitoring the duration
+Added: within our investment portfolio and maintaining maturities that minimize forced sales within the portfolio.
Additionally, we hold certain fixed income securities
5 unchanged sentences
The table below shows the interest rate sensitivity
−Removed: of our fixed income securities (including both continuing and discontinued operations) measured in terms of fair value (which is equal
−Removed: to the carrying value for all of our investment securities that are subject to interest rate changes) at December 31, 2024 and 2023:
+Added: of our fixed income securities measured in terms of fair value (which is equal to the carrying value for all of our investment securities
+Added: that are subject to interest rate changes) at December 31, 2025 and 2024:
As of December 31, 2025
29 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.