Board Justification

The compensation programs established by the Compensation Committee of NI Holdings, Inc. are intended to encourage and reward performance that is consistent with top tier insurance organizations. As such, the compensation program for NEOs includes both short-term (defined as annual) and long-term (generally defined as three to five years) incentive programs that reward our NEOs for achievement of pre-established objectives. The compensation program is also designed to foster retention of key executives and enhance the alignment of executives’ interest with those of shareholders. Overall, our compensation philosophy is to attract, retain, and motivate our NEOs and other senior leadership throughout the organization.

Board Justification

One-time cash bonus awarded in connection with his appointment as President and Chief Executive Officer effective December 1, 2024.

Board Justification

Includes Company contributions to defined contribution plans, Employee Stock Ownership Plan, Non-Qualified Deferred Compensation Plan, and perquisites such as company car, executive wellness benefits, and country club dues.

Board Justification

These amounts represent the value of RSU awards granted during 2019 through 2023 that, in accordance with the terms of the applicable award agreements, either fully vested or partially vested in 2024.