NEWS + PRESS

Provides New Tools for Independent Agents and Agency Partners to Increase Sales and Reduce Back Office Expenses

LAKEWOOD, N.J., July 11, 2022 — via NewMediaWire – Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, announces the launch of RELI Exchange, a business-to-business (B2B) InsurTech platform and agency partner network for insurance agents and agencies.

Mr. Ezra Beyman, Chairman and CEO of Reliance, commented, “RELI Exchange is a first-in-class technology platform and agency partner network. For agents and agencies that join our network, RELI Exchange is designed to provide instant and competitive insurance quotes from more than thirty insurance carriers nationwide. The platform reduces back-office burden and expenses by eliminating paperwork, thereby providing agents more time to focus on selling policies. RELI Exchange builds on the artificial intelligence and data mining backbone of 5MinuteInsure.com, a platform we designed to target the direct-to-consumer market. At the time we introduced 5MinuteInsure.com, we stated that our longer-term goal was to make the platform more broadly available to independent agents nationwide. The launch of RELI Exchange is the realization of that goal, providing our proven technology to the more than 80 agency partners already within our network. The RELI Exchange partner network, formerly known as Barra & Associates, is now generating more than $10 million in annualized premiums. Unlike a franchise model, we designed RELI Exchange with low barriers to entry and a compelling value proposition that we believe will help us attract many new agency partners-providing them with the tools to make their businesses better.”

Grant Barra, Senior Vice President of Operations, stated, “When Reliance acquired Barra & Associates earlier this year, we immediately recognized that the RELI Exchange InsurTech platform could significantly enhance the competitive advantages we provide our agency partners. We believe the addition of this platform will allow us to significantly expand our agency partner network and, in turn, support the growth of their respective businesses by simplifying the sales process. We have already onboarded multiple agency partners to the platform, such as Larson Insurance, Jay Kim Agency, and DS Insurance Agency LLC, and the initial feedback has been extremely positive. You can see what RELI agents are saying about us here: https://youtu.be/0X6xOlJxSdI.”

Mr. Beyman continued, “We have heard great things from our in-house agents using RELI Exchange, as well our first outside agency partners that have adopted the platform. They are already reporting on the positive results the platform is having on their business. We are not aware of any other offerings with the speed and flexibility of RELI Exchange. Given the versatility of this platform, we look forward to aggressively adding new agency partners to our network and believe this may have a multiplier effect on our business. Using the proprietary software that RELI Exchange has developed, our agency partner network is highly scalable, which we believe provides us the ability to grow this business line significantly at almost no additional cost. By combining the low barriers to entry of our agency network, with our state-of-the-art technology, our goal is to build RELI Exchange into the largest agency partner network in the country.”

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5minuteinsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:
Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

Attachment

• Reliance Global Group, Inc.

LAKEWOOD, NJ, June 23, 2022 — via NewMediaWire – Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, announces the launch of homeowner’s insurance on 5MinuteInsure.com. The Company has also introduced bundled home and auto policies for additional savings.

Mr. Ezra Beyman, Chairman and CEO of Reliance, commented, “In addition to our auto insurance offering on 5MinuteInsure.com, which has been helping clients save money since Q3 2021, we are excited to announce the launch of homeowner’s insurance on the platform. We are concurrently introducing the 5MinuteInsure.com experience for bundled home and auto insurance policies, which should enable clients to receive multi-policy discounts from our carriers. Notably, Reliance agency figures show that retention rates of multi-line clients are significantly improved, thereby increasing the long-term value of new policies.”

“As recently announced, we have grown our network to include more than 30 insurance carriers nationwide,” continued Mr. Beyman. “5MinuteInsure.com enables customers to instantly compare insurance quotes helping to ensure they are getting optimal pricing for policies that are well-matched to their personal needs. Additionally, customers can compare and purchase policies within minutes, while our licensed agents provide the human touch. At the same time, we are leveraging our state-of-the-art, proprietary Insurtech platform designed to empower independent agents to write more insurance policies in less time with reduced paperwork; which we will be unveiling in the coming weeks.”

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5minuteinsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:
Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

LAKEWOOD, NJ, June 21, 2022 — via NewMediaWire – Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, has expanded its network to include more than 30 insurance carriers nationwide. In addition, the Company is now licensed to sell policies in 49 states.

Mr. Ezra Beyman, Chairman and CEO of Reliance, commented, “We are making progress on our strategy to expand our nationwide footprint and are now licensed in 49 states. Despite the current economic challenges and inflationary environment, we believe we are well positioned for growth as consumers increasingly look for ways to save money, and re-evaluate their insurance policies and coverage options. The fact that we can now offer policies through more than 30 insurance carriers empowers our customers to choose from a large selection of policies to meet their unique needs, while helping to ensure they are getting the best possible pricing. Importantly, as an insurance agency, we do not have the same exposure to interest rates or underwriter liability as do carriers.”

Mr. Beyman continued, “Through our state-of-the-art insurtech capabilities, including 5MinuteInsure.com, customers can now compare and purchase policies within minutes, while reducing back-office expense. As a result, we are uniquely positioned within the market, combining both the latest technologies, with the human touch that customers expect. Moreover, following our recent acquisition of Barra & Associates, we are leveraging these capabilities to offer new insurtech solutions for independent agents, which we look forward to unveiling in the near future.”

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5minuteinsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:
Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

LAKEWOOD, NJ, May 31, 2022 — via NewMediaWire — Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, today announces the appointment of Mr. William Lebovics as Chief Financial Officer, effective June 1, 2022. Mr. Blumenfrucht, who previously served as Chief Financial Officer, will continue as a member of the Company’s Board of Directors and will provide support through the transition period.

Among his accomplishments, Mr. Lebovics served as the Finance Manager for IDW Media Holdings, where he was responsible for dealing with financial reporting, financing, and M&A, as well as other finance related operations. Additionally, Mr. Lebovics served as Director of Business Development at IDT Corporation. Mr. Lebovics brings extensive corporate finance experience, including senior roles at PwC and Nippon Life Global Investors. Mr. Lebovics has an MS in Accounting from Fairleigh Dickenson University, an MS in Real Estate with a concentration in Finance and Investment from NYU, and a BS in Business Management from Touro College.

Mr. Ezra Beyman, Chairman and CEO of Reliance, commented, “I am pleased to welcome William to the senior management team. He brings an impressive track record across corporate finance, capital markets, M&A, budgeting, and compliance, including his most recent experience within NYSE listed companies. We believe his strong skill set will be important as we continue to grow Reliance into a leading national insurance enterprise, both organically and through future acquisitions. I would especially like to thank Alex for his significant contributions during the early stages of our development. Importantly, we have established a scalable financial infrastructure and reporting systems, laying the foundation to support our future growth. I look forward to his continued involvement as a member of our board and believe that separating the role of CFO from our board also reinforces our commitment to the highest levels of corporate governance. Moreover, William will be supported by Joel Markovitz who will continue in his current role as Chief Accounting Officer. We could not be more excited about the outlook for the business and believe we have built a first-class organization to help realize the full potential of the Company.”

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5minuteinsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:

Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

Continues Successful Execution of Growth Strategy through Key Acquisitions
and Senior Management Appointments

LAKEWOOD, NJ, May 16, 2022 — via NewMediaWire – Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, provided a business update today and reported financial results for the first quarter ended March 31, 2022.

Ezra Beyman, CEO of Reliance Global Group, commented, “We continue to execute on our business growth strategy, as evidenced by an 82% increase in revenue to $4.2 million for the first quarter of 2022. This growth is a direct result of our successful acquisition strategy, including J.P. Kush last year and the Medigap Health Insurance Company in the first quarter of this year, as well as organic growth within the agencies. Most recently, we completed the acquisition of Barra & Associates, a recognized provider of property and casualty, life and health insurance. This accretive acquisition broadens our national footprint and brings a network of over 60 agents and agency partners, which we plan to rapidly grow. In connection with the acquisitions, we have expanded our senior management team with leading industry talent. We recently announced the appointment of Grant Barra as Senior Vice President of Operations, who will be responsible for the build out of our agency partner network and the launch of new InsurTech offerings to further accelerate the growth and improve the operating efficiency of our agent network. We ended the quarter with $5.9 million of total cash, which should provide sufficient capital to execute on our strategy and build upon our solid foundation.”

Financial Results

• Revenue for the three months ended March 31, 2022 increased 82% to $4.2 million, compared to $2.3 million for the three months ended March 31, 2021. The $1.9 million increase was primarily due to expanded operations, including the additional insurance agencies acquired during 2021 and 2022.
• Operating expenses for the three months ended March 31, 2022 were approximately $6.6 million, compared to approximately $2.8 million for the three months ended March 31, 2021. The increase in operating expenses primarily reflected higher general and administrative and marketing expenses, reflecting operating expenses of the acquired insurance agencies during 2021 and 2022, with the former reporting a full year of expenses as well as increased expenses to support the Company’s planned growth.
• Net income for three months ended March 31, 2022 was approximately $9.3 million, compared to a loss of $614 thousand for the same period last year. Net income for the three months ended March 31, 2022 includes a gross gain on the warrant liability of approximately $15.5 million, partially offset by private placement issuance costs of approximately $3.6 million for a net gain on the warrant liability of approximately $11.8M.

The Company also reports that it believes it has taken the necessary steps to regain compliance with the Nasdaq continued listing requirement and plans to provide further updates shortly.

The complete financial results will be available in the Company’s Form 10-Q, which is expected to be filed with the U.S. Securities & Exchange Commission later today.

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5minuteinsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:

Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

Grant Barra to oversee expansion of the Agency Partner Network and introduction of new InsurTech to accelerate growth

LAKEWOOD, NJ, April 28, 2022 — via NewMediaWire — Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, today announced it has appointed Grant Barra as Senior Vice President of Operations following the recently announced acquisition of Barra & Associates. In addition to overseeing the Barra & Associates subsidiary, Mr. Barra will be responsible for overseeing expansion of the agency partner network and introduction of new InsurTech to accelerate growth.

Mr. Barra brings over 18 years of experience in the insurance industry. In 2008, he founded Barra & Associates, which quickly grew to become a recognized provider of both personal and commercial insurance products, including property and casualty, life, health and other insurance products. Along with founding Barra & Associates, he served in a leadership role for a single life carrier, where he focused on recruitment, development, and motivating independent agents to sell life insurance products. Earlier in his career, he founded Grant Barra Agency, providing all lines of insurance policies under a captive agency agreement. Mr. Barra received a Bachelor of Science in Business Administration from DeVry University, in addition to earning a certificate in contract law with Harvard University (HarvardX). He is a Chartered Leadership Fellow and a member of the Life Underwriting Training Council at The American College of Financial Services.

Ezra Beyman, CEO of Reliance Global Group, commented, “We are delighted to welcome Grant to the senior management team given his impressive track record growing revenues and driving profitability within the insurance industry. We look forward to leveraging his skills, as he has built a successful distribution platform for agents to sell life and health, as well as property and casualty insurance products. He brings deep industry relationships and an ability to capitalize on these networks, which will be particularly valuable as we expand our agency partner network, as well as accelerate our M&A strategy. He is also adept at deploying technologies to enhance sales and improve operating efficiency, which will be highly complementary to our own 5MinuteInsure.com platform, which we are expanding beyond the direct-to consumer market. We look forward to providing further updates on these initiatives in the weeks ahead.”

Grant Barra further noted, “There are numerous barriers to entry within the independent agency channel that have prevented many quality agents from breaking away from single carrier agreements. I look forward to building upon Reliance Global Group’s robust infrastructure, as we introduce a new InsurTech platform that will allow access to multiple carriers, backend support and cutting edge technology. In turn, we believe this will make it significantly easier to drive revenue while minimizing the costs to acquire clients.”

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5MinuteInsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:

Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

Barra operates a growing network with over 60 agents and agency partners

Acquisition expected to be highly synergistic and accretive

LAKEWOOD, NJ, April 27, 2022 — via NewMediaWire — Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, today announced it has acquired Barra & Associates, a recognized provider of both personal and commercial insurance products, including property and casualty insurance, life insurance, health insurance and other insurance products. The Company acquired Barra & Associates for approximately, $7.5 million, comprised of cash and debt. Following the transaction, Grant Barra, founder and CEO of Barra & Associates, will continue to oversee the Barra & Associates subsidiary, as well as other senior responsibilities within the Company.

Ezra Beyman, CEO of Reliance Global Group, commented, “We are very excited to announce this highly strategic acquisition of Barra & Associates, which is complementary to our existing offerings and supports our nationwide expansion plans. This type of transaction, which we have been targeting for some time, adds over 60 agents and agency partners, which we can scale both rapidly and cost-effectively. Moreover, Barra brings an advanced technology infrastructure that is aligned with our acquisition strategy. By combining our own tech stack, including 5MinuteInsure.com, we look forward to creating synergies for growth, including the affiliated-agent business model. Barra & Associates already has a solid track record of growth and profitability. In 2021 alone, we estimate Barra & Associates generated over $700K of EBITDA. The fact we were able to consummate this acquisition for cash and debt, with no equity dilution, reinforces the strength of our balance sheet and the cash flow of our combined portfolio companies. Moreover, we believe this transaction further illustrates our ability to acquire synergistic and accretive businesses at attractive multiples. Combined with our recent acquisition of Medigap in January 2022, we are executing on our strategy, resulting in strong revenue growth and improved profitability.”

Grant Barra, CEO of Barra & Associates, further noted, “I could not be more excited to join Reliance Global Group during this period of rapid nationwide expansion. By leveraging the 5MinuteInsure.com platform, we look forward to introducing new InsurTech offerings to our agents and agency partners that we believe will make it significantly easier to drive revenue. Reliance brings tremendous resources, industry talent and access to capital that we believe will enable us to further accelerate growth.”

Additional details on the transaction will be available in the Company’s Form 8-K, which is expected to be filed with the U.S. Securities & Exchange Commission.

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5MinuteInsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:

Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

Successfully integrates Medigap and actively pursuing additional acquisitions

LAKEWOOD, NJ, March 31, 2022 — via NewMediaWire — Reliance Global Group, Inc. (Nasdaq: RELI; RELIW) (“Reliance”, “we” or the “Company”), which combines artificial intelligence (AI) and cloud-based technologies with the personalized experience of a traditional insurance agency, provided a business update today and reported financial results for the year ended December 31, 2021.

Ezra Beyman, CEO of Reliance Global Group, commented, “2021 was another monumental year for the Company as we achieved solid revenue growth, enhanced our senior management team, launched 5MinuteInsure.com and uplisted to the Nasdaq. Moreover, we have maintained a solid balance sheet with over $4.6 million of cash and restricted cash at the end of the year, and our insurance agencies are collectively generating positive cash flows from operations. As a result, we believe we have built a highly scalable platform poised for continued growth as we forge ahead through 2022. In addition to our focus on organic growth, we have demonstrated a successful acquisition track record, where we’ve acquired profitable cash flow positive businesses with exciting growth strategies at attractive multiples. The following highlights our most current acquisition activity:

• In May 2021, the Company acquired J.P. Kush, which brings an extensive network of over one hundred independent agents across 10 states and expands our expertise in the health insurance marketplace.
• In January 2022, the Company completed the acquisition of Medigap Health Insurance Company, which will expand our capabilities within the Medicare supplement market, which we believe would be a perfect complement and highly synergistic with our existing portfolio companies. In addition to bolstering our revenue going forward by more than 70%, we believe this transaction has the potential to be highly accretive.

The Company has a robust pipeline of exciting prospective agencies under consideration for acquisition during 2022 and looks forward to further enhancing our top and bottom line results, as well as expanding the Company’s overall national footprint. The global insurance brokerage market was valued at $317.9 billion in 2020 and is projected to reach $515.3 billion by 2028 (Research Dive), however, it’s still considered highly fragmented making it ripe for further consolidation. We believe the Company is ideally poised to capture a significant share of the market in the years ahead, whilst concurrently delivering maximum value to our shareholders.”

Fiscal Year 2021 Financial Results

• Revenue for the year ended December 31, 2021 increased 33% to $9.7 million, compared to $7.3 million for the year ended December 31, 2020. The $2.4 million increase was primarily due to organic operational growth, coupled with revenues generated from our insurance agencies acquired during 2020 and 2021.
• Operating expenses for the year ended December 31, 2021 approximated $12.7 million, compared to approximately $10.9 million for the year ended December 31, 2020. Increase is driven by the positive expansion in top-line revenue which requires additional selling and managerial costs to be incurred.
• Loss from operations for 2021 approximated $2.9 million, compared to $3.6 million in 2020, representing an improvement of approximately 20% or $714K year-over-year. Primary drivers for beneficial flux were the increased revenues and decreased general and administrative expenses per operational efficiencies deployed.
• Net loss for 2021 increased due to a non-operating, non-cash unrealized fair value change in our warrant commitment derivative financial instrument of approximately $17.7 million. This was the primary cause for our 2021 net loss of $21.1 million, or $2.09 per share, as compared to $3.7 million, or $0.88 per share in 2020. The warrant commitment derivative financial instrument will be revalued each period on an ongoing basis. Fair value fluctuations are considered non-operating unrealized gains or losses and are non-cash in nature with no adverse impact to the Company’s liquidity or operational results.
• Non-GAAP income (loss)* for the year ended December 31, 2021 resulted in a loss of $556K, as compared to $830K for the year ended December 31, 2020, a 33% decrease.

*Non-GAAP income (loss) excludes the impact of depreciation and amortization, interest expense and service fees related to debt service, stock options expense, change in derivative liability and gain on extinguishment of debt.

The complete financial results will be available in the Company’s Form 10-K, which is expected to be filed with the U.S. Securities & Exchange Commission later today.

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including through 5minuteinsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:
Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

Acquisition grows the Company’s footprint across 47 states and expands offering within the Medicare supplement insurance market

LAKEWOOD, N.J., Jan. 11, 2022 — via NewMediaWire — Reliance Global Group, Inc. (Nasdaq: RELI; RELIW), which combines AI and cloud-based technologies with the personalized experience of a traditional insurance agency, today announced that it has completed the previously announced acquisition of Medigap Health Insurance Company (“Medigap”) in an asset purchase transaction.

Medigap is an insurance brokerage company headquartered in Florida, specializing in Medicare supplement insurance. Medigap generated revenue of approximately $7 million¹ for the trailing twelve months ended September 30, 2021.

Ezra Beyman, CEO of Reliance Global Group, commented, “The acquisition of Medigap is a major milestone for the Company as it immediately increases our revenues by approximately 70%, significantly expands our geographic footprint and broadens our capabilities within the Medicare supplement market. Medigap is one of the nation’s fastest growing providers of Medicare supplemental insurance coverage with licenses and doing business in 47 states. Our goal is to aggressively expand their operations, as well as capitalize on cross-selling opportunities across our existing portfolio companies. Importantly, we believe this acquisition will be highly accretive and we anticipate significant operating synergies to further enhance profitability. This acquisition builds upon our successful track record of acquiring growing, cash flow positive agencies at attractive multiples. I would especially like to thank the Reliance and Medigap teams for their exceptional efforts, which enabled us to close this acquisition ahead of schedule.”

Total consideration for Medigap was $20.1 million, consisting of both cash and restricted common stock of Reliance Global Group.

Additional details on the acquisition will be available in the Company’s Current Report on Form 8-K, to be filed with the Securities and Exchange Commission.

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including 5MinuteInsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

¹ This is an unaudited revenue number provided to the Company by the target, and it has not been independently verified by the Company.

Contact:

Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com

LAKEWOOD, NJ, Dec. 23, 2021 — via NewMediaWire — Reliance Global Group, Inc. (Nasdaq: RELI; RELIW), which combines AI and cloud-based technologies with the personalized experience of a traditional insurance agency, today announced a private placement of preferred stock, common stock and warrants for gross proceeds of $20.0 million before deducting the placement agent’s fees and other estimated offering expenses. The offering is expected to close on or around December 27, 2021.

Under the terms of the securities purchase agreement, the Company sold 9,076 shares of the Company’s newly designated Series B Convertible Preferred Stock, 2,670,892 shares of common stock and warrants to purchase up to 9,779,952 shares of common stock. The Series B Convertible Preferred Stock is convertible immediately into 2,219,084 shares of common stock at a conversion price of $4.09 per share, subject to customary adjustment. The Series B Convertible Preferred Stock receives dividends if and when dividends are paid on the common stock, and is, generally, non-voting. The warrants will be exercisable immediately upon the date of issuance and have an exercise price of $4.09 per share. The warrants will expire five years from the date of issuance. The purchase price for one share of common stock and two corresponding warrants was $4.09. The purchase price for one share of Series B Preferred Stock (convertible into approximately 244.5 shares of common stock), and approximately 489 corresponding warrants, was $1,000 (equal to $4.09 per share of common stock into which it is convertible, and corresponding two warrants).

The Company intends to use the net proceeds from the private placement primarily to fund the recently announced planned acquisition of Medigap, as well as to support expanded marketing activities around 5MinuteInsure.com, and for general working capital and administrative purposes.

EF Hutton, division of Benchmark Investments, LLC, is serving as exclusive placement agent for the offering.

Additional details on the private placement will be available in the Company’s Current Report on Form 8-K, to be filed with the Securities and Exchange Commission.

The shares of common stock and warrants described above have not been registered under the Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission (SEC) or an applicable exemption from such registration requirements. The securities were offered only to accredited investors. Pursuant to a registration rights agreement with the investors, the Company has agreed to file one or more registration statements with the SEC covering the resale of the shares of common stock and the shares issuable upon exercise of the warrants.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any of the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Reliance Global Group, Inc.

Reliance Global Group, Inc. (NASDAQ: RELI, RELIW) is combining advanced technologies, with the personalized experience of a traditional insurance agency model. Reliance Global Group’s growth strategy includes both an organic expansion, including 5MinuteInsure.com, as well as acquiring well managed, undervalued and cash flow positive insurance agencies. Additional information about the Company is available at https://www.relianceglobalgroup.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission and elsewhere. The Company undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.

Contact:

Crescendo Communications, LLC
Tel: +1 (212) 671-1020
Email: RELI@crescendo-ir.com