Donegal Group Inc. is an insurance holding company whose insurance subsidiaries and affiliates offer personal and commercial property and casualty lines of insurance in 24 Mid-Atlantic, Midwestern, New England, Southern and Southwestern states. Donegal Mutual Insurance Company and the insurance subsidiaries of Donegal Group Inc. conduct business together as the Donegal Insurance Group. The Donegal Insurance Group has an A.M. Best rating of A (Excellent).
The Class A common stock and Class B common stock of Donegal Group Inc. trade on the NASDAQ Global Select Market under the symbols DGICA and DGICB, respectively. We are focused on several primary strategies, including achieving sustained excellent financial performance, strategically modernizing our operations and processes to transform our business, capitalizing on opportunities to grow profitably and delivering a superior experience to our agents and customers.

Company profile
Ticker
DGICA, DGICB
Exchange
Website
CEO
Kevin G. Burke
Employees
Incorporated
Location
Fiscal year end
Industry (SIC)
SEC CIK
Corporate docs
Subsidiaries
Atlantic States Insurance Company • Southern Insurance Company • The Peninsula Insurance Company • Peninsula Indemnity Company • Michigan Insurance Company ...
IRS number
232424711
DGICA stock data
Calendar
5 May 22
29 Jun 22
31 Dec 22
Financial summary
Quarter (USD) | Mar 22 | Dec 21 | Sep 21 | Jun 21 | |
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Annual (USD) | Dec 21 | Dec 20 | Dec 19 | Dec 18 | |
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Diluted EPS |
Cash burn rate (est.) | Burn method: Change in cash | Burn method: Operating income | Burn method: FCF (opex + capex) | Last Q | Avg 4Q | Last Q | Avg 4Q | Last Q | Avg 4Q |
---|---|---|---|---|---|---|
Cash on hand (at last report) | 56.07M | 56.07M | 56.07M | 56.07M | 56.07M | 56.07M |
Cash burn (monthly) | 544.83K | 136.21K | (no burn) | (no burn) | (no burn) | (no burn) |
Cash used (since last report) | 1.62M | 403.81K | n/a | n/a | n/a | n/a |
Cash remaining | 54.46M | 55.67M | n/a | n/a | n/a | n/a |
Runway (months of cash) | 100.0 | 408.7 | n/a | n/a | n/a | n/a |
Recent insider trades
Date | Owner | Security | Transaction | Code | Indirect | 10b5-1 | $Price | #Shares | $Value | #Remaining |
---|---|---|---|---|---|---|---|---|---|---|
14 Jun 22 | William Daniel Delamater | Class A Common Stock | Sell | Dispose S | No | No | 16.06 | 7,089 | 113.85K | 295 |
14 Jun 22 | William Daniel Delamater | Class A Common Stock | Option exercise | Acquire M | No | No | 14.5 | 7,089 | 102.79K | 7,384 |
14 Jun 22 | William Daniel Delamater | Options Class A Common Stock | Option exercise | Dispose M | No | No | 14.5 | 7,089 | 102.79K | 0 |
14 Jun 22 | Kraft Kevin Michael SR | Class A Common Stock | Sell | Dispose S | No | No | 16.1 | 8,500 | 136.85K | 11,936 |
14 Jun 22 | Kraft Kevin Michael SR | Class A Common Stock | Option exercise | Acquire M | No | No | 14.5 | 8,500 | 123.25K | 20,436 |
14 Jun 22 | Kraft Kevin Michael SR | Options Class A Common Stock | Option exercise | Dispose M | No | No | 14.5 | 8,500 | 123.25K | 0 |
14 Jun 22 | Donegal Mutual Insurance | Class A Common Stock | Buy | Acquire P | No | No | 16.11 | 20,295 | 326.95K | 10,909,769 |
13 Jun 22 | Donegal Mutual Insurance | Class A Common Stock | Buy | Acquire P | No | No | 16.03 | 25,317 | 405.83K | 10,889,474 |
10 Jun 22 | Donegal Mutual Insurance | Class A Common Stock | Buy | Acquire P | No | No | 16.27 | 18,700 | 304.25K | 10,864,157 |
10 Jun 22 | William Albert Folmar | Class A Common Stock | Sell | Dispose S | No | No | 16.35 | 4,495 | 73.49K | 816 |
Institutional ownership, Q1 2022
34.6% owned by funds/institutions
13F holders | Current |
---|---|
Total holders | 81 |
Opened positions | 8 |
Closed positions | 9 |
Increased positions | 27 |
Reduced positions | 31 |
13F shares | Current |
---|---|
Total value | 119.81M |
Total shares | 8.93M |
Total puts | 0 |
Total calls | 0 |
Total put/call ratio | – |
Largest owners | Shares | Value |
---|---|---|
Dimensional Fund Advisors | 1.69M | $22.62M |
BLK Blackrock | 1.32M | $17.69M |
Vanguard | 708.94K | $9.51M |
Renaissance Technologies | 558.61K | $7.49M |
ORI Old Republic International | 425.5K | $5.71M |
Kennedy Capital Management | 419.57K | $5.63M |
Philadelphia Trust | 373.35K | $5.01M |
Geode Capital Management | 268.13K | $3.6M |
STT State Street | 256.36K | $3.44M |
Deprince Race & Zollo | 256.03K | $3.43M |
Financial report summary
?Risks
- Industry trends, such as increasing loss severity due to higher rates of litigation against the insurance industry and individual insurers, the willingness of courts to expand covered causes of loss, rising jury awards, escalating medical, automobile and property repair costs and other factors may contribute to increased costs and result in ultimate loss settlements that exceed the reserves of our insurance subsidiaries.
- Our insurance subsidiaries are subject to catastrophe losses and losses from other severe weather events, which are unpredictable and may adversely affect our results of operations, liquidity and financial condition.
- Our insurance subsidiaries must establish premium rates and loss and loss expense reserves from forecasts of the ultimate costs they expect will arise from risks underwritten during the policy period, and the profitability of our insurance subsidiaries could be adversely affected if their premium rates or reserves are insufficient to satisfy their ultimate costs.
- The financial results of our insurance subsidiaries depend primarily on their ability to underwrite risks effectively and to charge adequate rates to policyholders.
- The pace of innovation within the insurance industry is rapidly increasing, and our insurance subsidiaries may be unable to effectively implement new technologies and anticipate changes in customer preferences and insurance needs, which could put our insurance subsidiaries at a competitive disadvantage and adversely affect their future profitability.
- Loss or significant restriction of the use of credit scoring in the pricing and underwriting of the personal lines insurance products by our insurance subsidiaries could adversely affect their future profitability.
- Changes in applicable insurance laws or regulations or changes in the way insurance regulators administer those laws or regulations could adversely affect the operating environment of our insurance subsidiaries and increase their exposure to loss or put them at a competitive disadvantage.
- Insurance companies are subject to assessments, based on their market share in a given line of business, to assist in the payment of unpaid claims and related costs of insolvent insurance companies. Such assessments could adversely affect the financial condition of our insurance subsidiaries.
- The emergence of COVID-19 has affected the business operations of our insurance subsidiaries and Donegal Mutual, and economic disruption related to the COVID-19 pandemic may adversely affect our revenues, profitability, results of operations, cash flows, liquidity and financial condition.
- Donegal Mutual is our controlling stockholder. Donegal Mutual and its directors and executive officers have potential conflicts of interest between the best interests of our stockholders and the best interests of the policyholders of Donegal Mutual.
- Donegal Mutual has sufficient voting power to determine the outcome of substantially all matters submitted to our stockholders for approval.
- Donegal Mutual’s majority voting control of us, certain provisions of our certificate of incorporation and by-laws and certain provisions of Delaware law make it remote that anyone could acquire actual control of us unless Donegal Mutual were in favor of another person’s acquisition of control of us.
- We have authorized preferred stock that we could issue without stockholder approval to make it more difficult for a third party to acquire us.
- Because we are an insurance holding company, no person can acquire or seek to acquire a 10% or greater interest in us without first obtaining approval of the insurance commissioners of the states of domicile of each of our insurance subsidiaries.
- Our insurance subsidiaries and Donegal Mutual currently conduct business in a limited number of states, with a concentration of business in Pennsylvania, Michigan, Maryland, Delaware, Virginia and Georgia. Any single catastrophe occurrence or other condition affecting losses in these states could adversely affect the results of operations of our insurance subsidiaries.
- If the independent agents who market the products of our insurance subsidiaries and Donegal Mutual do not maintain their current levels of premium writing with us and Donegal Mutual, fail to comply with established underwriting guidelines of our insurance subsidiaries and Donegal Mutual or otherwise inappropriately market the products of our insurance subsidiaries and Donegal Mutual, the business, financial condition and results of operations of our insurance subsidiaries could be adversely affected.
- The business of our insurance subsidiaries and Donegal Mutual may not continue to grow and may be materially adversely affected if our insurance subsidiaries and Donegal Mutual cannot retain existing, and attract new, independent agents or if insurance consumers increase their use of insurance distribution channels other than independent agents.
- We are dependent on dividends from our insurance subsidiaries for the payment of our operating expenses and dividends to our stockholders; however, there are regulatory restrictions and business considerations that may limit the amount of dividends our insurance subsidiaries may pay to us.
- If A.M. Best downgrades the rating it has assigned to Donegal Mutual or any of our insurance subsidiaries, it would adversely affect their competitive position.
- The growth and profitability of our insurance subsidiaries depend, in part, on the effective maintenance and ongoing development of Donegal Mutual’s information technology systems, and the allocation of related costs to our insurance subsidiaries may adversely impact their profitability.
- Our strategy to grow in part through acquisitions of other insurance companies exposes us to risks that could adversely affect our results of operations and financial condition.
- If we cannot obtain sufficient capital to fund the organic growth of our insurance subsidiaries and to make acquisitions, we may not be able to expand our business.
- Competition within the property and casualty insurance industry may adversely impact the revenues and profit margins of our insurance subsidiaries.
- The investment portfolios of our insurance subsidiaries consist primarily of fixed-income securities; therefore, the investment income and the fair value of the investment portfolios of our insurance subsidiaries could decrease as a result of a number of factors.
- We and our insurance subsidiaries depend on key personnel. The loss of any member of our executive management or the senior management of our insurance subsidiaries could negatively affect the continuation of our business strategies and achievement of our growth objectives.
- The reinsurance agreements on which our insurance subsidiaries rely do not relieve our insurance subsidiaries from their primary liability to their policyholders, and our insurance subsidiaries face a risk of non-payment from their reinsurers as well as the non-availability of reinsurance in the future.
- The disruption or failure of Donegal Mutual’s information technology systems or the compromise of the security of those systems that results in the theft or misuse of confidential information could materially impact adversely the business of Donegal Mutual and our insurance subsidiaries.
- The price of our common stock may be adversely affected by its low trading volume.
- Donegal Mutual’s majority voting control of our stock, anti-takeover provisions of our certificate of incorporation and by-laws and certain state laws make it unlikely anyone could acquire control of us unless Donegal Mutual were in favor of the acquisition of control.
Management Discussion
- Our insurance subsidiaries’ net premiums earned increased to $776.0 million for 2021, an increase of $34.0 million, or 4.6%, compared to 2020, primarily reflecting the inclusion of the business of the Mountain States Insurance Group in the underwriting pool beginning with policies effective in 2021, as well solid premium retention and renewal premium increases. Our insurance subsidiaries earn premiums and recognize them as income over the terms of the policies they issue. Such terms are generally one year or less in duration. Therefore, increases or decreases in net premiums earned generally reflect increases or decreases in net premiums written in the preceding twelve-month period compared to the same period one year earlier.
Content analysis
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H.S. sophomore Avg
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New words:
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Financial reports
Current reports
8-K
Donegal Group Inc. Announces Release Date for Second Quarter 2022 Results
28 Jun 22
8-K
Donegal Group Inc. Announces First Quarter 2022 Results
28 Apr 22
8-K
Submission of Matters to a Vote of Security Holders
25 Apr 22
8-K
Donegal Group Inc. Announces Increase in Quarterly Dividend
21 Apr 22
8-K
Donegal Insurance Group Names Hudnall as New SVP of Commercial Lines
18 Apr 22
8-K
Donegal Group Inc. Announces Release Date for First Quarter 2022 Results
1 Apr 22
8-K
Donegal Group Inc. Announces 2021 Fourth Quarter and Full Year Results
17 Feb 22
8-K
Donegal Group Inc. Announces Fourth Quarter 2021 Conference Call and Webcast
20 Jan 22
8-K
Departure of Directors or Certain Officers
10 Jan 22
8-K
Departure of Directors or Certain Officers
17 Dec 21
Registration and prospectus
424B3
Prospectus supplement
3 Jun 22
S-8
Registration of securities for employees
17 Dec 21
S-8
Registration of securities for employees
9 Aug 19
S-8
Registration of securities for employees
1 Nov 18
S-8
Registration of securities for employees
27 Jul 16
S-3
Shelf registration
29 Apr 15
S-8
Registration of securities for employees
18 Dec 14
Other
EFFECT
Notice of effectiveness
8 Oct 21
EFFECT
Notice of effectiveness
8 Oct 21
CORRESP
Correspondence with SEC
4 Oct 21
CORRESP
Correspondence with SEC
4 Oct 21
UPLOAD
Letter from SEC
3 Oct 21
UPLOAD
Letter from SEC
3 Oct 21
EFFECT
Notice of effectiveness
27 Aug 18
CORRESP
Correspondence with SEC
26 Aug 18
UPLOAD
Letter from SEC
23 Aug 18
EFFECT
Notice of effectiveness
6 May 15
Ownership
11-K
Annual report of employee stock purchases
29 Jun 22
4
Change in insider ownership
15 Jun 22
4
DONEGAL / KEVIN MICHAEL KRAFT SR ownership change
14 Jun 22
4
DONEGAL / WILLIAM DANIEL DELAMATER ownership change
14 Jun 22
4
DONEGAL / WILLIAM ALBERT FOLMAR ownership change
14 Jun 22
4
Change in insider ownership
14 Jun 22
4
DONEGAL / WILLIAM DANIEL DELAMATER ownership change
13 Jun 22
4
Change in insider ownership
10 Jun 22
4
DONEGAL / DANIEL J WAGNER ownership change
9 Jun 22
4
DONEGAL / SANJAY PANDEY ownership change
9 Jun 22
Transcripts
2022 Q1
Earnings call transcript
28 Apr 22
2021 Q4
Earnings call transcript
18 Feb 22
2021 Q3
Earnings call transcript
31 Oct 21
2021 Q2
Earnings call transcript
28 Jul 21
2021 Q1
Earnings call transcript
27 Apr 21
2020 Q4
Earnings call transcript
24 Feb 21
2020 Q3
Earnings call transcript
30 Oct 20
2020 Q2
Earnings call transcript
28 Jul 20
2020 Q1
Earnings call transcript
2 May 20
2019 Q4
Earnings call transcript
25 Feb 20
Reddit threads
Daily Discussion Thread - April 29th, 2022
29 Apr 22
Daily Discussion Thread - April 28th, 2022
28 Apr 22
Daily Discussion Thread - April 27th, 2022
27 Apr 22
Daily Discussion Thread - April 26th, 2022
26 Apr 22
Daily Discussion Thread - April 25th, 2022
25 Apr 22
Daily Discussion Thread - February 17th, 2022
17 Feb 22
Daily Discussion Thread - February 16th, 2022
16 Feb 22
Daily Discussion Thread - February 15th, 2022
15 Feb 22
Daily Discussion Thread - February 14th, 2022
14 Feb 22
Daily Discussion Thread - January 31st, 2022
31 Jan 22