Form 4: Hagerty Director Sells Over 28,000 Shares Under Pre-Planned Trading Program

Hagerty, Inc. Director and 10% owner Robert I. Kauffman sold 28,728 shares of Class A Common Stock for approximately $309,797 in two transactions in late July 2025, executed under a Rule 10b5-1 trading plan.

Summary

• Robert I. Kauffman, a Director and 10% owner of Hagerty, Inc. (HGTY), directly sold a total of 28,728 shares of Class A Common Stock.
• The sales occurred in two separate transactions: 24,728 shares on July 25, 2025, at a weighted average price of $10.77 per share, and 4,000 shares on July 28, 2025, at a weighted average price of $10.85 per share.
• The total value of the shares sold across both transactions is approximately $309,797.
• These transactions were executed pursuant to a Rule 10b5-1 trading plan adopted by Mr. Kauffman on August 9, 2024.
• Following these transactions, Mr. Kauffman's indirect beneficial ownership through Aldel LLC stands at 3,176,662 shares.

Sentiment

Score: 4

Explanation: The sentiment is slightly negative due to insider selling, even though it's under a 10b5-1 plan. While pre-planned, it still represents a reduction in a significant insider's stake, which can be perceived as a lack of increasing confidence or a move to diversify.

Positives

• The reported sales were conducted under a pre-arranged Rule 10b5-1 trading plan, which indicates a planned disposition rather than an opportunistic sale reacting to recent negative information.

Negatives

• A significant insider, who is also a 10% owner, has reduced their direct holdings in the company, which can sometimes be perceived negatively by the market.

Risks

• Insider selling, even if pre-planned, can be interpreted by the market as a signal of reduced confidence or a desire for diversification, potentially leading to negative investor sentiment.

Future Outlook

The filing does not contain any forward-looking statements or guidance regarding the company's future performance or strategic direction, as it is a disclosure of insider trading activity.

Industry Context

This Form 4 filing is a routine disclosure of insider trading activity and does not provide information directly related to broader industry trends or competitive landscape. Insider sales, even if pre-planned, are typically monitored by investors for potential signals regarding management's confidence or personal financial planning.

Comparison to Industry Standards

• This filing is a standard insider trading disclosure (Form 4) and does not contain information that allows for a direct comparison of company results to industry benchmarks or specific comparable companies/projects. The reported share prices ($10.77 and $10.85) are specific to Hagerty, Inc. and its stock performance at the time of the transactions.

Stakeholder Impact

• Shareholders: May view the insider selling as a negative signal, potentially impacting investor confidence and stock price.

Key Dates

Recommendation

The filing indicates insider selling by a director and 10% owner, Robert I. Kauffman, totaling 28,728 shares. While these sales were executed under a pre-arranged Rule 10b5-1 trading plan, which mitigates the immediate negative signal of opportunistic selling, the reduction in a significant insider's stake can still be interpreted as a lack of strong conviction or a move towards diversification. Given the pre-planned nature, it doesn't suggest immediate negative news, but it also doesn't provide a strong positive catalyst. Therefore, a 'hold' recommendation is appropriate, advising investors to maintain their current positions while monitoring future company developments and insider activity.

Keywords

Hagerty Inc., HGTY, Insider Trading, Form 4, Stock Sale, Director, 10b5-1 Plan, Robert I. Kauffman, Aldel LLC