Hagerty, Inc.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 6 May 2026: press release. Guidance figures: 1 new, 3 kept. The quarter’s numbers.

Key takeaways

Written premiums grew over 18%: Management said written premium grew over 18%, driven by record new business across all channels. Source
Nine of top 10 insurers: Management said Hagerty works with nine of the nation's top 10 auto insurers, which rely on its vehicle values and claims expertise. Source
State Farm platform conversion: Management expects more than half of State Farm's 525,000 policies on the Hagerty platform by year-end, letting agents offer agreed-value coverage. Source
Amelia auction set record: Broad Arrow's two-day March sale drew 1,000 bidders from 23 countries; management reported total sales of $111 million, a record. Source
Underwriting and investment income up 25%: Management said that by controlling premiums, the change boosts potential underwriting profits and investment income by 25%. Source
Adjusted EBITDA alongside investment: Management said it is efficiently converting written premium growth into adjusted EBITDA despite investments in Hagerty's future growth. Source

“Trust is earned, not declared, and Hagerty has now earned it across our ecosystem of products.”
McKeel Hagerty, CEO and Chairman

Guidance

Area	Period	Figure	Against last quarter
Written premium growth Source	2026	15-16%	Kept
Policies in force Source	by 2030	3 million policies in force	Kept
State Farm policies on Hagerty platform Source	year-end 2026	more than half of 525,000 policies	New
Liberty/Safeco rollout Source	2027	rollout in 2027	Kept

What changed from last quarter

Guidance kept: Written premium growth for 2026 is now given as 15-16%, after mid-teens in the prior letter. Source
New: Management set a year-end 2026 target for more than half of State Farm's 525,000 policies on the Hagerty platform. Source
New: The company said it has significantly expanded the vehicles it underwrites, including 1990s and 2000s models and new cars such as the Porsche 911. Source
New: Broad Arrow's March sale at Amelia Car Week was reported as a record, with total sales of $111 million. Source
New: Broad Arrow is to serve as official auction partner for Villa d'Este in May, with BMW Group. Source
New: Management said reported 2026 revenue and net income look different from 2025 because of the move to 100% quota share, which it called financial presentation. Source

New business and policy growth

Written premiums grew over 18%: Management said written premium grew over 18%, driven by record new business across all channels. Source
Retention rate of 89%: The company said it attracts new members and retains existing ones at an 89% retention rate. Source
1.8 million policies in force: The company reported 1.8 million policies, which management said is more than anyone else in the market. Source

Carrier partnerships and platforms

Nine of top 10 insurers: Management said Hagerty works with nine of the nation's top 10 auto insurers, which rely on its vehicle values and claims expertise. Source
Carriers gain risk-free revenue: Management said insurers offering Hagerty bundles are paid by Hagerty, which it described as risk-free revenue for them. Source
State Farm platform conversion: Management expects more than half of State Farm's 525,000 policies on the Hagerty platform by year-end, letting agents offer agreed-value coverage. Source

“Although our new contractual arrangements with Markel result in different accounting, they do not change the underlying profit growth trajectory.”
McKeel Hagerty, CEO and Chairman

Agency network and vehicle eligibility

Over 50,000 agencies: Management said more than 50,000 insurance agencies account for over a third of the business and are its frontline connection to customers. Source
Vehicle eligibility widened: The company said it now underwrites 1990s and 2000s vehicles and new models such as the Porsche 911, as it becomes a full risk-taking provider. Source
Straight-through processing for agents: Management listed straight-through processing and comparative raters as investments to make it easier for agencies to do business with the company. Source

Broad Arrow and The Amelia

Amelia auction set record: Broad Arrow's two-day March sale drew 1,000 bidders from 23 countries; management reported total sales of $111 million, a record. Source
Broad Arrow transaction volume: Management said Broad Arrow delivered $624 million in total transactions last year, across live sales, private sales and financing. Source
Amelia Concours anniversary: The Amelia Concours, a four-day event in early March, is in its 31st year, which management described as a crown jewel of the car scene. Source

“The partnership is off to a great start”
McKeel Hagerty, CEO and Chairman

Accounting presentation and profit

Reported figures look different: Management said reported revenue and net income look different in 2026 because of the move to 100% quota share, a change in presentation. Source
Underwriting and investment income up 25%: Management said that by controlling premiums, the change boosts potential underwriting profits and investment income by 25%. Source
Adjusted EBITDA alongside investment: Management said it is efficiently converting written premium growth into adjusted EBITDA despite investments in Hagerty's future growth. Source

Strategy, technology and trust

Technology spending to lift efficiency: Management said technology investments will let it deliver growth efficiently and better serve members, who it described as central to the business. Source
Profit growth through 2030: Management said Hagerty is positioned for sustained profit growth through 2030, citing new business growth, partnerships and underwriting discipline. Source
Trust as organizing principle: Management said the company's organizing principle is trust, from members and carrier partners to the market. Source

Member demand and claims

Spring season lifts claims: Management said warmer weather brings more time on the road, more car events, and more research, buying, selling and insuring activity. Source
Claims as core member promise: Management said members have trusted the company for 42 years when a prized vehicle is damaged or stolen, which it called why it exists. Source
36 million car addressable market: Management estimated 36 million cars in its addressable market in the United States, which it described as large and growing. Source

Coming up, as management said on 6 May 2026

Villa d'Este auction in May: Broad Arrow will be the official auction partner for Villa d'Este in May, with BMW Group, including more than 70 collector cars. Source
Liberty/Safeco rollout in 2027: Management said its team is working toward the Liberty/Safeco rollout in 2027. Source
More integrated partnerships ahead: Management expects to sign additional, more tightly integrated partnerships over the coming quarters. Source

Figures management reported

Figure	Reported
Net premiums written Source	growth of over 18%

Risks management discussed

External: Management noted that the season brings more claims from accidents, hurricanes and wildfires, which it accepts as part of the business. Source
Operational: Management said mishandling a claim on a rare high-value variant can cost an insurer a customer and often its entire portfolio of policies. Source

Earlier plans management reported on

On track: Management said the company is on track to grow written premiums 15-16% in 2026. Source
On track: Management said the company is on target to reach its goal of 3 million policies in force by 2030. Source
Not stated: Management said its team is working toward the Liberty/Safeco rollout in 2027, with no status given. Source

Other quarters

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.

As filed with the SEC

Open the filing on EDGAR

STOCKHOLDER LETTER Q1 2026

Spring has sprung, and with it another driving season. It’s what every car enthusiast dreams of all winter. Warmer weather means more time on the road, more fun with other car fans, and more people researching, buying, selling, and insuring their dream cars.

It also means more claims - but that’s okay. Accidents happen. So do hurricanes, wildfires, and even the occasional garden tool falling onto a car in the garage.

When things go wrong, that’s when we shine our brightest. For 42 years, our members have trusted us to be there for them when a prized vehicle is damaged or stolen. It’s why we exist.

We’re honored by their trust - it fuels visible, durable premium growth by attracting new members and retaining existing ones at an industry-leading 89%. Insurance Acceleration Insurance, of course, remains the engine of our success. Today, we have 1.8 million policies - insuring everything from Model Ts to modern hypercars - more than anyone else in the market.

It’s a strong business, and one we’ve long believed in. As my mother, Louise, who co-founded Hagerty with my father Frank often said, classic car insurance is a smart niche because “people take great care of their toys.” And the niche is large and growing, with an estimated 36 million cars in our addressable market in just the United States. Our Q1 2026 results reflect the enduring wisdom of those words, with written premium growth of over 18% driven by record new business across all channels.

You also see that our reported revenue and net income look different in 2026 Dear Hagerty Stockholders, Members and One Team Hagerty, STOCKHOLDER LETTER Insuring the Future ON THE COVER: The 1969 McLaren M8B, Best of Show - Concours de Sport winner at The Amelia 2026. PHOTOGRAPHER: CAMERON NEVEU HAGERTY Q1 2026 |

HAGERTY Q1 2026 | 3 compared to 2025. This is simply financial presentation, as the strategic rationale, and profit impact from moving to 100% quota share create meaningful value for our shareholders. By controlling premiums from our steady, high-quality insurance operations, this change boosts potential underwriting profits and investment income by 25%.

Although our new contractual arrangements with Markel result in different accounting, they do not change the underlying profit growth trajectory. Importantly, our strong start to the year keeps us well on track to grow written premiums by 15-16%, which we are efficiently converting into adjusted EBITDA despite the meaningful investments we are making in Hagerty’s future growth. As we scale up, we are better able to reinvest back into our members, and we are on target to reach our goal of 3 million policies in force by 2030.

The Power of Partnerships One of the key drivers of our insurance success is our partnership strategy that has resulted in Hagerty working with nine of the nation’s top 10 auto insurers. These companies rely on our proprietary expertise in vehicle values and claims handling. Why do they do that?

The 1969 Camaro is a good example. There are 147 different variants of that special car, with values ranging from about $11,000 to more than $1.1 million. Many of them look nearly identical, so recognizing the difference requires deep knowledge.

The stakes are high. Mishandling a claim on a rare, high-value variant can easily cost an insurer a customer - and often their entire portfolio of policies. Insurers understand the value of bundling, and also the risk, which is why they trust us to handle claims involving their customers’ collectible vehicles.

By partnering with us, they are able to offer a complete bundle without responsibility for the piece of the bundle that we do so well. And in the process, they get paid by us, providing risk-free revenue. By year’s end, we expect more than half of State Farm’s 525,000 policies to be on the Hagerty platform, which will allow State Farm agents to offer our agreed- value coverage and automotive expertise.

The partnership is off to a great start, and our team is working diligently towards the rollout of Liberty/Safeco in 2027 and signing additional, more tightly integrated partnerships over the coming quarters. The Critical Role of Agencies The second leg upon which our insurance business rests is our relationship with more than 50,000 insurance agencies, which account for over a third of our business. These local and regional agencies are the trusted frontline of our business, connecting us with customers.

They take good care of us, so we make sure to take good care of them by continually investing in ways to make it easier to do business with us, including straight-through processing, an automated, end-to-end insurance workflow that processes claims from submission to settlement, and comparative raters. A critical part of our relationship with these valued partners is helping them identify vehicles in their existing book of business that Hagerty can insure - there are often more than they realize. Gone are the days when we focused only on “older” cars.

As we transition to a full risk-taking provider, we’ve significantly expanded the types of vehicles we underwrite to include those from the 1990s and 2000s and even brand-new vehicles like the Porsche 911. We are keeping up with an ever-changing market. It sounds almost impossible, but cars pre-2001 are now 25 years old!

By helping agents uncover these “invisible” opportunities, we can steadily grow our market share and help their customers, which they like quite a lot. In the process, we are positioning Hagerty as a comprehensive partner for modern drivers. The Amelia Concours Hagerty-owned and operated events are ideal ways for us to continually feed our funnel and buttress an already strong Hagerty brand.

Our most recent success was The Amelia Concours, a four-day celebration of the world’s finest and most interesting cars in early March. Now in its 31st year, the concours has become a crown jewel of the international car scene, and the unofficial kickoff to another year of automotive fun. In recent years, the concours has shared the spotlight with another Hagerty entity - Broad Arrow Auctions.

This year, the two-day sale, which took place in March, was the most successful in the history of Amelia Car Week, attracting 1,000 bidders from 23 countries, resulting in a record $111 million in total sales (50% higher than prior sales) and a 92 percent sell-through rate. The top seller was a gorgeous 2003 Ferrari Enzo which went for $15,185,000. As successful as the auction was, we weren’t surprised in the least.

Founded in 2021, Broad Arrow has quickly become one of the world’s leading automotive auction houses, delivering $624 million in total transactions last year, including live sales, private sales, and financing. It has also become an important element of our growth story, attracting shoppers from all over the world. Coming up later in May, Broad Arrow will reprise its role as the official auction partner of the Concorso d’Eleganza Villa d’Este, widely considered the most prestigious and exclusive concours d’elegance.

The sale, in partnership with BMW Group, will include more than 70 of the world’s highest quality collector cars, all within a premium auction experience. The Road Ahead As we approach the summer driving season, we do so with confidence and momentum. With record new business count growth, an expanding network of partnerships, and a disciplined approach to underwriting, Hagerty is well-positioned not just for 2026 and 2027 but for sustained profit growth through 2030.

And our technology investments will enable us to not only deliver this growth efficiently, but better serve our members, as they are at the center of everything we do. Those aren’t just words. Our organizing principle at Hagerty is built around trust.

The trust our members place in us at claims time, the trust carrier partners place in us to serve their customers, and the trust the market is now placing in Broad Arrow. Trust is earned, not declared, and Hagerty has now earned it across our ecosystem of products. To every member of One Team Hagerty, thank you.

Your relentless passion and expertise propel us ever forward. And to our stockholders and partners, thank you for believing in our mission to protect, connect and fuel the automotive world we all love. We are glad to have you on this journey with us.

Onward and upward! McKeel Hagerty CEO and Chairman HAGERTY Q1 2026 |