XML 39 R21.htm IDEA: XBRL DOCUMENT v3.25.0.1
Commitments and Contingencies
 12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Legal Matters
The Company is subject, from time to time, to various types of third-party legal claims or litigation that arise in the ordinary course of business, including, but not limited to, property loss claims, personal injury or other damages resulting from contact with the Company's properties. These claims and lawsuits and any resulting damages are generally covered by the Company's insurance policies. The Company accrues for legal costs associated with loss contingencies when these costs are probable and reasonably estimable. While the resolution of these matters cannot be predicted with certainty, based on currently available information, management does not expect that the final outcome of any pending claims or legal proceedings will have a material adverse effect on the financial condition, results of operations or cash flows of the Company.
Captive Insurance Company
In April 2023, the Company formed a wholly-owned captive insurance company (the "Captive") which provides insurance coverage for all losses below the deductibles of the Company’s third party liability insurance policies relating to wind, flood, named windstorm, earthquake, fire, and other property-related perils. The Company formed the Captive as part of its overall risk management program and to stabilize insurance costs, manage exposures, and recoup expenses through the function of the captive program. The Captive is capitalized in accordance with the applicable regulatory requirements.
During the year ended December 31, 2023, the Captive incurred no claims. During the year ended December 31, 2024, the Captive incurred estimated claims of $881, of which $61 has been paid.
Operating Lease Commitments
The Company is the lessee under various operating leases for corporate office space for which the Company recognizes right-of-use ("ROU") assets and related lease liabilities.
The following table summarizes the Company's operating lease arrangements:
As of
Balance Sheet CaptionDecember 31, 2024December 31, 2023
Operating lease ROU assetsDeferred costs and other assets, net$3,012 $3,220 
Operating lease ROU accumulated amortizationDeferred costs and other assets, net$(1,163)$(967)
Operating lease liabilitiesOther liabilities$2,528 $3,023 
Weighted-average remaining lease term5.2 years6.0 years
Weighted-average discount rate4.49 %4.47 %
The following table summarizes the Company's operating lease arrangements:
Statement of Operations and
Comprehensive Income (Loss) Caption		Year ended December 31
20242023
Minimum lease paymentsGeneral and administrative$559 $570 
Variable lease paymentsGeneral and administrative300 298 
Short-term lease paymentsGeneral and administrative200 114 
Total lease cost$1,059 $982 

The following table summarizes the Company's future minimum operating lease obligations as of December 31, 2024:
Scheduled minimum payments by year:Future Minimum Lease Payments
2025$511 
2026517 
2027529 
2028522 
2029493 
Thereafter293 
Total expected minimum lease obligation2,865 
Less: Amount representing interest (a)(337)
Present value of net minimum lease payments$2,528 
(a)Interest includes the amount necessary to reduce the total expected minimum lease obligations to present value calculated at the Company's incremental borrowing rate.