Palomar Holdings, Inc. - 1792 Exchange

Rating Overview

Palomar Holdings, Inc. is Medium Risk.

Palomar is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. The company implements race and identity-based policies that replace merit, excellence, and integrity with preferential treatment and outcomes. The company occasionally embraces corporate initiatives that redirect its central focus from business goals to partisan policies and divisive issues at times. This approach fails to safeguard free exercise, free speech, and free enterprise.

Rating Criteria

Corporate Weaponization Risk Levels
Criteria	Risk Level
Cancellations	Medium Risk
Discriminatory Philanthropy	N/A
Employment Protection	High Risk

Corporate Weaponization ⓘ

Corporate Governance and Public Policy Risk Levels
Criteria	Risk Level
Advocacy Bias	High Risk
Funding	Medium Risk
Political Actions	No Data

Corporate Governance and Public Policy ⓘ

Rating Criteria Detail

Criteria Risk Level Rationale

Corporate Weaponization

Criteria:

Has canceled customers, suppliers, or vendors due to their political views or religious beliefs OR corporately boycotts, divests, or sanctions regions, people groups, or industries.

Risk Level:

Medium

Rationale:

Palomar Holdings is a signatory of the Principles for Responsible Investment, incorporating ESG issues into investment analysis, decision-making, and other business practices (1)(2)(3). The company integrates ESG into its business practices. From its 2024 Climate-Related Financial Disclosure: “the Chief Executive Officer, Chief Legal Officer, and Chief of Staff lead the company’s sustainability strategy and supervise the implementation of ESG-related initiatives” (4). From its Sustainability and Citizenship Report 2023: “Partnering with ADEC Innovations, we completed our first Scope 3 net-zero strategy analysis. …we are committed to learning and evaluating our mitigation opportunities regularly” (5). However, Palomar Holdings has not canceled customers, suppliers, or vendors based on political views or religious beliefs (6).

Criteria:

Charitable giving (including employee matching programs) policies or practices discriminate against charitable organizations based on views or religious beliefs.

Risk Level:

N/A

Rationale:

Palomar Holdings does not publish charitable giving guidelines (1).

Criteria:

Employment policies fail to protect against viewpoint or other discrimination and/or are ideological in nature.

Risk Level:

High

Rationale:

Palomar appears to prioritize diversity over merit in its recruitment. From its 2020 Annual Report: “D.I.C.E. is a team member-led effort that advises management on diversity and inclusion initiatives and best practices in four areas of the Company: governance, recruitment, internal/external partnerships, and community engagement” (1). The company operates a supplier diversity program. “Palomar is committed to providing opportunities for qualified businesses owned by people of diverse backgrounds to participate as suppliers or subcontractors of products and services to our company” (2). The company does not provide viewpoint protections for its employees (3).

Corporate Governance and Public Policy

Criteria:

Uses corporate reputation to support causes, organizations, or policies hostile to freedom of expression.

Risk Level:

High

Rationale:

Palomar supports DEI within its business practices, hosting a “D.I.C.E. Council” (1). The company supports DEI within its business practices. From its 2023 Sustainability and Citizenship Report: “We are committed to cultivating an inclusive and fair workplace, and we acknowledge the importance of embracing diverse perspectives, experiences, and backgrounds” (2). The company integrates ESG into its business practices. From its Sustainability and Citizenship Report 2023: “I am pleased to share with you our fourth annual Sustainability and Citizenship Report, which outlines our ongoing commitment to executing responsible environmental, social, and governance (ESG) initiatives” (3).

Criteria:

Uses corporate funds to advance ideological causes, organizations, or policies hostile to freedom of expression.

Risk Level:

Medium

Rationale:

Palomar funded the Center for Policing Equity (1). Otherwise, there are no publicly known cases of the company using corporate funds to advance ideological causes, organizations, or policies (1).

Criteria:

Uses corporate political actions and/or financial contributions for ideological, non-business purposes.

Risk Level:

N/A

Rationale:

Palomar does not operate a PAC or engage in lobbying at this time (1)(2)(3).