Global Indemnity (GBLI) 8-K Results of Operations and Financial Condition

Exhibit 99.1

PRESS RELEASE

For release:	March 1, 2016
Contact:	Media
	Stephen Ries
	Senior Corporate Counsel
	(610) 668-3270
	sries@global-indemnity.com

Global Indemnity plc Reports 2015 Financial Results.

Dublin, Ireland (March 1, 2016) – Global Indemnity plc (NASDAQ:GBLI) today reported net income for the year ended December 31, 2015 of $41.5 million or $1.69 per share. Operating income was $44.0 million for the year ended December 31, 2015. Excluding one-time costs associated with the acquisition of American Reliable Insurance Company (“American Reliable”), operating income was $49.4 million at December 31, 2015. As of December 31^st, book value per share was $42.98, an increase of 19.9% compared to book value per share of $35.86 at December 31, 2014.

Selected Operating and Balance Sheet Data(Dollars in millions, except per share data)

	For the Twelve Months Ended December 31,
	2015		2014
Gross Premiums Written	$	590.2	$	291.3
Net Premiums Written	$	501.2	$	273.2
Net income	$	41.5	$	62.9
Net income per share	$	1.69	$	2.48
Operating income	$	44.0	$	43.2
Operating income per share	$	1.80	$	1.71
Combined ratio analysis:
Loss ratio		54.6		51.2
Expense ratio		39.9		40.8
Combined ratio		94.5		92.0

	As of December 31,
	2015		2014
Book value per share	$	42.98	$	35.86
Shareholders’ equity	$	749.9	$	908.3
Cash and invested assets (1)	$	1,516.3	$	1,611.8

(1) Including receivable for securities sold

Cynthia Y. Valko, Chief Executive Officer, commented: “Gross written premiums for the year 2015 doubled compared to 2014 as a result of the acquisition of American Reliable in January 2015, and operating income, excluding acquisition costs related to the acquisition, was $49.4 million compared to $45.3 million for 2014. Both commercial and reinsurance had excellent results for 2015, and although American Reliable property suffered several fire catastrophes, the overall combined ratio was still good at 94.5%. Book value per share also grew 19.9%, aided by the share redemption executed in the fourth quarter. Overall, a very busy but successful year now that the integration of American Reliable is complete.”

About Global Indemnity plc and its subsidiaries

Global Indemnity plc (NASDAQ:GBLI), through its several direct and indirect wholly owned subsidiary insurance and reinsurance companies, provides both admitted and non-admitted specialty property and casualty insurance coverages and individual policyholder coverages in the United States, as well as reinsurance worldwide. Global Indemnity plc’s three primary segments are:

• United States Based Commercial Lines Operations

• United States Based Personal Lines Operations

• Bermuda Based Reinsurance Operations

For more information, visit the Global Indemnity plc website at http://www.globalindemnity.ie.

Forward-Looking Information

The forward-looking statements contained in this press release¹ do not address a number of risks and uncertainties. Investors are cautioned that Global Indemnity’s actual results may be materially different from the estimates expressed in, or implied, or projected by, the forward looking statements. Factors that could cause actual results to differ materially from those contemplated in the forward-looking statements include, but are not limited to, the risk that there may be difficulties in the continued integration of American Reliable business, which could result in a failure to realize the potential benefits of the acquisition, and the risk that American Reliable’ s or Global Indemnity’s prospective insurance premiums, investment yield, or net earnings are less than anticipated (including as a result of unexpected events, competition, costs, charges or outlays whether as a consequence of the transaction or otherwise). The foregoing review of factors that could cause actual financial or operating performance to differ materially from expectations is not exhaustive. Please see Global Indemnity’s filings with the Securities and Exchange Commission for a discussion of additional risks and uncertainties which could impact the company and for a more detailed explication regarding forward-looking statements.

¹ Disseminated pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995.

Global Indemnity plc’s Combined Ratio for the Twelve Months Ended December 31, 2015

The combined ratio is a key measure of insurance profitability. The components comprising the combined ratio, by reportable business segment, for the twelve months ended December 31, 2015 are as follows:

	Commercial Lines		Personal Lines		Reinsurance Operations
Loss Ratio		48.9		64.8		26.8
Expense Ratio		41.7		39.2		36.7
Combined Ratio		90.6		104.0		63.5

Loss Ratio:

Commercial Lines Operations:

The loss ratio for the Company’s Commercial Lines was 48.9% for 2015 compared with 55.7% for 2014. The loss ratio for the twelve months ended December 31, 2015 was lower than the comparable period in 2014 due to lower than expected claims severity experienced across multiple prior accident years in general liability, and better than anticipated claims frequency and severity in professional lines related to prior years. Current accident year results for 2015 were consistent with the same period in 2014.

Personal Lines Operations:

The Personal Lines are a new segment in 2015 resulting from the acquisition of American Reliable Insurance Company. The loss ratio for the Company’s Personal Lines was 64.8% for 2015. Losses for 2015 were higher than anticipated due to wild fires in California.

Reinsurance Operations:

The loss ratio for the Company’s Reinsurance Operations was 26.8% for 2015 compared with 34.8% for 2014. The improvement in the loss ratio for the twelve months ended December 31, 2015 was driven by less than anticipated case incurred emergence on property and legacy contracts related to prior years. Current accident year losses increased slightly compared to 2014 primarily due to slightly higher premium volume in professional lines, which generally has a higher loss ratio than property.

Expense ratio:

For the twelve months ended December 31^st, the expense ratio improved 0.9 points from 40.8 in 2014 to 39.9 in 2015. The improvement in the expense ratio is primarily attributable to synergies realized as a result of the acquisition of American Reliable.

Global Indemnity plc’s Gross and Net Premiums Written Results by Segment

	Twelve Months Ended December 31,
	Gross Premiums Written				Net Premiums Written
	2015		2014		2015		2014
Commercial Lines Operations	$	214,218	$	229,978	$	197,526	$	212,965
Personal Lines Operations		326,282		—		254,035		—
Reinsurance Operations		49,733		61,275		49,683		60,216
Total	$	590,233	$	291,253	$	501,244	$	273,181

Gross premiums written and net premiums written increased 102.7% and 83.5%, respectively, compared to the same period in 2014.

Commercial Lines Operations:For the twelve months ended December 31, 2015, gross premiums written and net premiums written decreased 6.9% and 7.2%, respectively, compared to the same period in 2014. The decline was the result of underwriting actions taken to improve profitability.

Personal Lines Operations:Personal lines is a new segment for the Company resulting from the acquisition of American Reliable during the first quarter of 2015.

Gross premiums written include $55.8 million of business that is currently written by American Reliable and is 100% ceded to insurance entities owned by the former parent. Net premiums written were $254.0 million for the twelve months ended December 31, 2015 compared to $255.2 million for the same period in 2014.

Reinsurance Operations: For the twelve months ended December 31, 2015, gross premiums written and net premiums written decreased 18.8% and 17.5%, respectively, compared to the same period in 2014. The decrease in gross and net premiums written is due to rate pressure experienced in the property catastrophe reinsurance marketplace.

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Note: Tables Follow

GLOBAL INDEMNITY PLC

CONSOLIDATED STATEMENTS OF OPERATIONS

(Dollars and shares in thousands, except per share data)

	For the Three Months Ended December 31,					For the Twelve Months Ended December 31,
	(Unaudited)					(Unaudited)
	2015		2014			2015			2014
Gross premiums written	$	130,701	$	64,053		$	590,233		$	291,253
Net premiums written	$	106,638	$	60,686		$	501,244		$	273,181
Net premiums earned	$	123,222	$	66,930		$	504,143		$	268,519
Net investment income		8,375		6,333			34,609			28,821
Net realized investment gains (losses)		3,842		(4,366	)		(3,374	)		35,860
Other income		992		106			3,400			555
Total revenues		136,431		69,003			538,778			333,755
Net losses and loss adjustment expenses		48,498		24,065			275,368			137,561
Acquisition costs and other underwriting expenses		51,185		28,505			201,303			109,619
Corporate and other operating expenses		5,007		4,945			24,448			14,559
Interest expense		2,278		194			4,913			822
Income before income taxes		29,463		11,294			32,746			71,194
Income tax expense (benefit)		2,159		230			(8,723	)		8,338
Net income	$	27,304	$	11,064		$	41,469		$	62,856
Weighted average shares outstanding–basic		20,695		25,147			24,254			25,132
Weighted average shares outstanding–diluted		20,957		25,353			24,506			25,331
Net income per share – basic	$	1.32	$	0.44		$	1.71		$	2.50
Net income per share – diluted	$	1.30	$	0.44		$	1.69		$	2.48
Combined ratio analysis:
Loss ratio		39.4		36.0			54.6			51.2
Expense ratio		41.5		42.6			39.9			40.8
Combined ratio		80.9		78.6			94.5			92.0

The loss ratio, expense ratio and combined ratio are GAAP financial measures that are generally viewed in the insurance industry as indicators of underwriting profitability. The loss ratio is the ratio of net losses and loss adjustment expenses to net premiums earned. The expense ratio is the ratio of acquisition costs and other underwriting expenses to net premiums earned. The combined ratio is the sum of the loss and expense ratios.

GLOBAL INDEMNITY PLC

CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)

	(Unaudited) December 31, 2015			December 31, 2014
ASSETS
Fixed Maturities:
Available for sale securities, at fair value (amortized cost: 2015 - $1,308,333 and 2014 - $1,272,948)	$	1,306,149		$	1,283,475
Equity securities:
Available for sale, at fair value (cost: 2015 - $100,157 and 2014 - $99,297)		110,315			122,048
Other invested assets:
Available for sale securities, at fair value (cost: 2015 - $30,059 and 2014 - $33,174)		32,592			33,663
Total investments		1,449,056			1,439,186
Cash and cash equivalents		67,037			58,823
Restricted cash		—			113,696
Premiums receivable, net		89,245			56,586
Reinsurance receivables, net		115,594			125,718
Funds held by ceding insurers		16,037			25,176
Deferred federal income taxes		34,687			20,250
Deferred acquisition costs		56,517			25,238
Intangible assets		23,607			17,636
Goodwill		6,521			4,820
Prepaid reinsurance premiums		44,363			4,725
Receivable for securities sold		172			60
Federal income taxes receivable		4,828			3,139
Other assets		49,630			34,980
Total assets	$	1,957,294		$	1,930,033
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities:
Unpaid losses and loss adjustment expenses	$	680,047		$	675,472
Unearned premiums		286,285			120,815
Ceded balances payable		4,589			2,800
Contingent commissions		11,069			12,985
Debt		172,034			174,673
Other liabilities		53,344			34,998
Total liabilities		1,207,368			1,021,743
Shareholders’ equity:
Ordinary shares, $0.0001 par value, 900,000,000 ordinary shares authorized; A ordinary shares issued: 16,424,546 and 16,331,577 respectively; A ordinary shares outstanding: 13,313,751 and 13,266,762, respectively; B ordinary shares issued and outstanding: 4,133,366 and 12,061,370, respectively		3			3
Additional paid-in capital		529,872			519,590
Accumulated other comprehensive income, net of taxes		4,078			23,384
Retained earnings		318,416			466,717
A ordinary shares in treasury, at cost: 3,110,795 and 3,064,815 shares, respectively		(102,443	)		(101,404	)
Total shareholders’ equity		749,926			908,290
Total liabilities and shareholders’ equity	$	1,957,294		$	1,930,033

GLOBAL INDEMNITY PLC

SELECTED INVESTMENT DATA

(Dollars in millions)

	Market Value as of
	(Unaudited) December 31, 2015		December 31, 2014
Fixed maturities	$	1,306.1	$	1,283.5
Cash and cash equivalents		67.0		172.5
Total bonds and cash and cash equivalents		1,373.1		1,456.0
Equities and other invested assets		143.0		155.7
Total cash and invested assets, gross		1,516.1		1,611.7
Receivable for securities sold		0.2		0.1
Total cash and invested assets, net	$	1,516.3	$	1,611.8

	(Unaudited) Twelve Months Ended December 31, 2015 (a)
Net investment income	$	34.6
Net realized investment losses		(3.4	)
Net change in unrealized investment gains and losses		(25.6	)
Net realized and unrealized investment returns		(29.0	)
Total investment return	$	5.6
Average total cash and invested assets	$	1,752.8
Total investment return %		0.3	%

(a) Amounts in this table are shown on a pre-tax basis.

GLOBAL INDEMNITY PLC

SUMMARY OF OPERATING INCOME

(Unaudited)

(Dollars and shares in thousands, except per share data)

	For the Three Months Ended December 31,					For the Twelve Months Ended December 31,
	2015		2014			2015			2014
Operating income	$	24,596	$	14,574		$	44,026	(1)	$	43,194	(2)
Adjustments:
Net realized investment gains/(losses), net of tax		2,708		(3,510	)		(2,557	)		19,662
Net income	$	27,304	$	11,064		$	41,469		$	62,856
Weighted average shares outstanding – basic		20,695		25,147			24,254			25,132
Weighted average shares outstanding – diluted		20,957		25,353			24,506			25,331
Operating income per share – basic	$	1.19	$	0.58		$	1.82		$	1.72
Operating income per share – diluted	$	1.17	$	0.57		$	1.80		$	1.71

(1) Excluding $5.4 million of acquisition expenses related to American Reliable Insurance Company, operating income would have been $49.4 million for the twelve months ended December 31, 2015.

(2) Excluding $2.1 million of acquisition expenses related to American Reliable Insurance Company, operating income would have been $45.3 million for the twelve months ended December 31, 2014.

Note Regarding Operating Income

Operating income, a non-GAAP financial measure, is equal to net income excluding after-tax net realized investment gains (losses). Operating income is not a substitute for net income determined in accordance with GAAP, and investors should not place undue reliance on this measure.