Form 4: Employers Holdings Director Accrues Additional Dividend Equivalent Rights

Employers Holdings, Inc. Director Alejandro Perez-Tenessa reported the accrual of 32 dividend equivalent rights on May 28, 2025, linked to previously vested restricted stock units.

Summary

• Alejandro Perez-Tenessa, a Director of Employers Holdings, Inc. (EIG), reported the acquisition of 32 Dividend Equivalent Rights (DERs) on May 28, 2025.
• These DERs accrued on vested restricted stock units (RSUs) previously granted to Mr. Perez-Tenessa.
• The delivery of these RSUs has been voluntarily deferred by the reporting person until six months following the termination of his service on the board of directors.
• Each DER is the economic equivalent of one share of Employers Holdings, Inc. common stock, par value $0.01.
• Following this transaction, Mr. Perez-Tenessa beneficially owns 185 derivative securities.

Sentiment

Score: 6

Explanation: The accrual of dividend equivalent rights is a routine event for insiders holding vested equity awards and indicates continued alignment of the director's interests with shareholders, which is mildly positive.

Positives

• The accrual of Dividend Equivalent Rights indicates the reporting person continues to hold vested restricted stock units, aligning their interests with shareholders.
• The voluntary deferral of RSU delivery suggests a long-term commitment to the company by the director.

Future Outlook

The document indicates that the delivery of the underlying restricted stock units (RSUs) and the exercisability of the Dividend Equivalent Rights (DERs) are deferred until six months following the termination of the reporting person's service on the board of directors, implying a future payout event tied to the director's departure.

Management Comments

• "The dividend equivalent rights ("DERs") accrued on vested restricted stock units ("RSUs") previously granted to the reporting person where the reporting person has voluntarily deferred delivery of such RSUs until six months following termination of service on the board of directors."
• "The DERs become exercisable proportionately with the RSUs to which they relate."
• "Each DER is the economic equivalent of one share of common stock of Employers Holdings, Inc."

Industry Context

This Form 4 filing is a routine disclosure of an insider transaction, common across all publicly traded companies, and does not provide specific insights into broader industry trends or competitive dynamics within the insurance or financial services sector.

Related Party Transactions

• The accrual of Dividend Equivalent Rights on vested Restricted Stock Units is a form of equity compensation, representing a routine related-party transaction between the company and its director.

Stakeholder Impact

• Shareholders: The accrual of DERs by a director signifies continued alignment of management's interests with shareholder value, as the director's compensation is tied to the company's equity performance.
• Employees: No direct impact on general employees is indicated by this filing.
• Reporting Person (Alejandro Perez-Tenessa): Increases the director's accrued equity benefits and future potential compensation from the company.

Next Steps

• The Dividend Equivalent Rights (DERs) will become exercisable proportionately with the Restricted Stock Units (RSUs) to which they relate.
• Delivery of the underlying RSUs and associated DERs is deferred until six months following the termination of the reporting person's service on the board of directors.

Key Dates

Recommendation

Keywords

Employers Holdings, EIG, SEC Form 4, Insider Transaction, Dividend Equivalent Rights, Restricted Stock Units, Director, Perez-Tenessa Alejandro, Beneficial Ownership