Palomar : PLMR August 2023 Investor Presentation

Investor Presentation

August 2023

Disclaimer

This presentation contains forward-looking statements about Palomar Holdings, Inc. (the "Company"). These statements involve known and unknown risks that relate to the Company's future events or future financial performance and the actual results could differ materially from those discussed in this presentation. This presentation also includes financial measures which are not prepared in accordance with generally accepted accounting principles ("GAAP"). For a description of these non-GAAP financial measures and reconciliations of these non-GAAP financial measures to the most directly comparable financial measures prepared in accordance with GAAP, please see the appendix to this present.

Forward-looking statements generally relate to future events or the Company's

future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as ''may'', ''will'', ''should'', ''expects'', ''plans'', ''anticipates'', ''could'', ''intends'', ''target'', ''projects'', ''contemplates'', ''believes'', ''estimates'', ''predicts'', ''would'',

''potential'' or ''continue'' or the negative of these words or other similar terms or expressions that concern the Company's expectations, strategy, plans or intentions. These forward-looking statements include, among others, statements relating to our future financial performance, our business prospects and strategy, anticipated financial position, liquidity and capital needs and other similar matters. These forward-looking statements are based on management's current expectations and assumptions about future events, which are inherently subject

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to uncertainties, risks and changes in circumstances that are difficult to predict. Such risks and uncertainties include, among others, future results of operations; financial position; the impact of the ongoing and global COVID-19 pandemic; general economic, political and other risks, including currency and stock market fluctuations and uncertain economic environment; the volatility of the trading price of our common stock; and our expectations about market trends.

The Company may not actually achieve the plans, intentions or expectations disclosed in its forward-looking statements, and you should not place undue reliance on the Company's forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements the Company makes. While the Company may elect to update these forward-looking statements at some point in the future, the Company has no current intention of doing so except to the extent required by applicable law. You should, therefore, not rely on these forward-looking statements as representing the Company's views as of any date subsequent to the date of this presentation. Additional risks and uncertainties relating to the Company and its business can be found in the "Risk Factors" section of Palomar Holdings, Inc.'s most recent Annual Report on Form 10-K, Quarterly Report on Form 10-Q, and other filings with the United States Securities and Exchange Commission.

Company Profile

TRACK RECORD OF DELIVERING STRONG GROWTH AND CONTINUED PROFITABILITY

Specialty insurer using data analytics, underwriting acumen, and

risk transfer expertise to capitalize on market dislocations

Multi-channel distribution serving residential and commercial clients; products resonate with producers, other insurers and reinsurers

Leading earthquake insurer in the United States

Admitted and E&S offerings with nationwide scope A.M. Best "A- (Excellent)" FSC group rating

Risk transfer strategy limits exposure to major events and reduces earnings volatility

Committed to environmental, social, governance, diversity

and inclusion initiatives

PALOMAR Q2 2023 & SUBSEQUENT HIGHLIGHTS (1)

• Gross written premium (GWP) of $274.3 million; 47% growth excluding run-off and de-emphasized products(2)
• Adjusted net income of $21.8 million
• Adjusted return on equity of 21.3%
• Adjusted combined ratio of 72.2%
• Successful placement of 6/1 reinsurance renewal; ample capacity to support earthquake growth
• Raised full year 2023 adjusted net income guidance to $89 to $93 million
• Continued execution of Palomar 2X strategy
• Received a "positive outlook" from A.M. Best in July
• Hawaii Wildfires Recent Development: Palomar's Hawaii Hurricane product only covers direct losses generated from wind when a hurricane watch or warning is issued

3 1. This slide contains non-GAAP metrics. See GAAP reconciliation in the Appendix.

2. Excludes Commercial All Risk, Specialty Homeowners, Assumed Reinsurance

The Palomar Approach

A REPLICABLE AND MATURE OPERATIONAL PROCESS THAT CONSISTENTLY ASSESSES OUR PRODUCT SUITE TO ENSURE OUR OVERARCHING FINANCIAL OBJECTIVE: PREDICTABLE EARNINGS

LEARNING

EARTHQUAKE

INLAND MARINE

	DIVERSIFY	GROWTH	IDENTIFY
E&S COMMERCIAL ALL	MARKETS
RISK
HAWAII HURRICANE

PLMR-FRONT

PREDICTABLE

RESIDENTIAL FLOOD

GENERAL CASUALTY

EXCESS PROPERTY

PROFESSIONAL

LIABILITY

CROP

NON-TX SPECIALTY

EARNINGS

TX SPECIALTY

HOMEOWNERS	DISTRIBUTION	LEVERAGE
	TALENT

ADMITTED COMMERCIAL

ALL RISK

RISK TRANSFER

SYSTEMS &

ANALYTICS

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HOMEOWNERS

ESTABLISHED

EMERGING

TRANSITIONED

RUN-OFF / EXITED

Palomar 2X Strategy

PHILOSOPHY: AN ORGANIC BUSINESS STRATEGY DESIGNED TO DOUBLE UNDERWRITING INCOME AND

GENERATE AN ADJUSTED ROE IN EXCESS OF 20% IN A PREDICTABLE MANNER OVER AN INTERMEDIATE TIMEFRAME

FUNDAMENTAL PRINCIPLES

• Organic growth
• Anchored by non-attritional loss business
• Entry into new markets driven by replicable, analytics-driven process
• Continued reduction in non-earthquake catastrophe exposure
• Conservative and comprehensive risk transfer strategy
• Fee income as a complementary and diversifying income stream
• Investments in people, processes and systems to effectively scale the business
• Commitment to ESG

2023 STRATEGIC INITIATIVES

SUSTAIN STRONG		DELIVER PREDICTABLE
PROFITABLE GROWTH		EARNINGS

MANAGE DISLOCATION		SCALE THE
	ORGANIZATION

PALOMAR 2X PROGRESS CONVEYED THROUGH FIVE KEY LINES OF BUSINESS THAT DRIVE SHAREHOLDER VALUE

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