Allowance for Expected Credit Losses

3 Months Ended

Mar. 31, 2025

Premiums Receivable

The following table provides a roll forward of the allowance for expected credit losses of the Company’s premium receivables:


	Premium Receivables, Net of Allowance		Allowance for Expected Credit Losses
Three Months Ended March 31, 2025
Balance at beginning of period	$	5,634	$	45

Change for provision of expected credit losses (1)			(2)
Balance at end of period	$	6,607	$	43

Three Months Ended March 31, 2024
Balance at beginning of period	$	4,644	$	34

Change for provision of expected credit losses (1)			(2)
Balance at end of period	$	5,765	$	32

(1) Amounts deemed uncollectible are written-off in operating expenses. For the 2025 first quarter and 2024 first quarter, amounts written off were nil.

Reinsurance Recoverables

The following table provides a roll forward of the allowance for expected credit losses of the Company’s reinsurance recoverables:


	Reinsurance Recoverables, Net of Allowance		Allowance for Expected Credit Losses
Three Months Ended March 31, 2025
Balance at beginning of period	$	8,260	$	17
Change for provision of expected credit losses			—
Balance at end of period	$	8,969	$	17

Three Months Ended March 31, 2024
Balance at beginning of period	$	7,064	$	21
Change for provision of expected credit losses			(5)
Balance at end of period	$	7,509	$	16

The following table summarizes the Company’s reinsurance recoverables on paid and unpaid losses (not including ceded unearned premiums):


	March 31,			December 31,
	2025			2024
Reinsurance recoverable on unpaid and paid losses and loss adjustment expenses	$	8,969		$	8,260
% due from carriers with A.M. Best rating of “A-” or better	60.9		%	63.8		%

% due from all other carriers with no A.M. Best rating (1)	39.1		%	36.2		%
Largest balance due from any one carrier as % of total shareholders’ equity	8.0		%	7.8		%

(1) At March 31, 2025 and December 31, 2024 over 95% of such amount were collateralized through reinsurance trusts, funds withheld arrangements, letters of credit or other.

Contractholder Receivables

The following table provides a roll forward of the allowance for expected credit losses of the Company’s contractholder receivables:


	Contract-holder Receivables, Net of Allowance		Allowance for Expected Credit Losses
Three Months Ended March 31, 2025
Balance at beginning of period	$	2,161	$	5
Change for provision of expected credit losses			1
Balance at end of period	$	2,212	$	6

Three Months Ended March 31, 2024
Balance at beginning of period	$	1,814	$	3
Change for provision of expected credit losses			—
Balance at end of period	1,907		$	3