In the normal course of business, Ark may seek to limit losses that may arise from catastrophes or other events by reinsuring certain risks with third-party reinsurers. Ark remains liable for risks reinsured in the event that the reinsurer does not honor its obligations under reinsurance contracts.

The following table summarizes the effects of reinsurance on written and earned premiums and loss and LAE for the Ark/WM Outrigger segment for the three and six months ended June 30, 2025 and 2024:


Millions	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Written premiums:
Direct	$	356.6	$	339.4	$	773.4	$	624.4
Assumed	458.6		357.6		1,149.4		944.7
Gross written premiums	815.2		697.0		1,922.8		1,569.1
Ceded (1)	(236.6)		(194.2)		(616.5)		(468.3)
Net written premiums	$	578.6	$	502.8	$	1,306.3	$	1,100.8
Earned premiums:
Direct	$	260.1	$	219.5	$	506.4	$	413.9
Assumed	209.0		180.3		423.1		372.7
Gross earned premiums	469.1		399.8		929.5		786.6
Ceded (2)	(104.9)		(81.5)		(207.3)		(165.5)
Net earned premiums	$	364.2	$	318.3	$	722.2	$	621.1
Loss and LAE:
Gross	$	197.0	$	248.7	$	520.2	$	502.0
Ceded (3)	(33.0)		(73.0)		(122.7)		(146.3)
Net loss and LAE	$	164.0	$	175.7	$	397.5	$	355.7

(1) The three months ended June 30, 2025 and 2024 exclude $42.6 and $38.9, and the six months ended June 30, 2025 and 2024 exclude $80.1 and $73.2 ceded by Ark to WM Outrigger Re, which eliminate in White Mountains’s consolidated financial statements.

(2) The three months ended June 30, 2025 and 2024 exclude $7.1 and $7.5, and the six months ended June 30, 2025 and 2024 exclude $19.1 and $17.8 ceded by Ark to WM Outrigger Re, which eliminate in White Mountains’s consolidated financial statements.

(3) The three months ended June 30, 2025 and 2024 exclude $1.7 and $(0.3), and the six months ended June 30, 2025 and 2024 exclude $21.9 and $0.4 ceded by Ark to WM Outrigger Re, which eliminate in White Mountains’s consolidated financial statements.


Millions	June 30, 2025		December 31, 2024
Reinsurance recoverables on unpaid losses (1)	$	468.5	$	434.4
Reinsurance recoverables on paid losses (2)	69.5		57.5
Ceded unearned premiums (3)	506.1		97.1
Reinsurance recoverables	$	1,044.1	$	589.0

(1) The reinsurance recoverables on unpaid losses exclude $33.7 and $31.8 ceded by Ark to WM Outrigger Re as of June 30, 2025 and December 31, 2024, which eliminate in White Mountains’s consolidated financial statements.

(2) The reinsurance recoverables on paid losses exclude $6.6 and $3.1 ceded by Ark to WM Outrigger Re as of June 30, 2025 and December 31, 2024, which eliminate in White Mountains’s consolidated financial statements.

(3) The ceded unearned premiums exclude $65.4and $4.3 ceded by Ark to WM Outrigger Re as of June 30, 2025 and December 31, 2024, which eliminate in White Mountains’s consolidated financial statements.

As reinsurance contracts do not relieve Ark of its obligation to its policyholders, Ark seeks to reduce the credit risk associated with reinsurance balances by avoiding over-reliance on specific reinsurers through the application of concentration limits and thresholds. Ark is selective with its reinsurers, placing reinsurance with only those reinsurers having a strong financial condition. Ark monitors the financial strength of its reinsurers on an ongoing basis.

The following table presents the Ark/WM Outrigger segment’s gross and net reinsurance recoverables by the reinsurers’ A.M. Best Company, Inc (“A.M. Best”) ratings as of June 30, 2025:


$ in Millions	As of June 30, 2025
A.M. Best Rating (1)	Gross		Collateral		Net		% of Total
A+ or better	$	319.1	$	—	$	319.1	70.6	%
A- to A	113.0		—		113.0		25.0
B++ or lower and not rated (2)	105.9		86.1		19.8		4.4
Total	$	538.0	$	86.1	$	451.9	100.0	%

(1) A.M. Best financial strength ratings as detailed above are: “A+ or better” (Superior) “A- to A” (Excellent), “B++” (Good).