EIG

Employers Holdings is a single-line workers' compensation specialist focused on small/mid-sized businesses, with 46% of 2025 gross written premiums from California — a concentration the 10-K flags as a structural risk alongside intense competition from larger multi-line carriers that 'possess greater financial, marketing, and management resources.' The MD&A is unusually candid: 2025 produced an underwriting loss of $(83.2)M versus underwriting income of $15.6M in 2024, driven by losses and LAE rising 27.5% year-over-year. That single line item — not revenue weakness — is why net income collapsed from $118.6M to $10.8M (-90.9%) and diluted EPS fell to $0.46. Net premiums earned actually grew 1.7% and net investment income rose 9.1% to $116.7M, so the underlying franchise is intact; the issue is loss-cost inflation in the core book, which is exactly the 'mispricing' and 'cyclical soft market' risk the filing's Item 1A walks through.