Intangible Assets and Goodwill

9 Months Ended

Sep. 30, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

5. Intangible Assets and Goodwill


		September 30, 2023						December 31, 2022
	Weighted- Average Useful Life Remaining (in years)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
		(in millions)						(in millions)
Agency and carrier relationships	5.2	$	13.5	$	(4.7)	$	8.8	$	13.5	$	(3.4)	$	10.1
State licenses and domain name	Indefinite	10.5		—		10.5		10.5		—		10.5
Customer relationships	1.6	13.7		(10.3)		3.4		13.7		(8.5)		5.2


Other	5.8	1.7		(0.8)		0.9		1.7		(0.6)		1.1
Total intangible assets, net		$	39.4	$	(15.8)	$	23.6	$	39.4	$	(12.5)	$	26.9

Amortization expense related to intangible assets for the three months ended September 30, 2023 and 2022 was $1.1 million and $1.1 million, respectively, and for the nine months ended September 30, 2023 and 2022 was $3.3 million and $4.2 million, respectively. The amortization expense is included in sales and marketing expenses for customer relationships, agency and carrier relationships, and other on the consolidated statements of operations and comprehensive loss.

For the three months ended September 30, 2022, management identified quantitative and qualitative factors that indicated a triggering event to test goodwill for impairment, mainly due to the sustained decrease in stock price and continued deterioration of general macroeconomic conditions. The Company performed a valuation at the reporting unit level using the income-based approach. These forecasts and assumptions were highly subjective. Given the results of the Company’s quantitative assessment, the Company determined that all the reporting units’ goodwill were impaired and the Company recorded impairment charges of $53.5 million, which are included in impairment and restructuring charges in the accompanying consolidated statements of operations and comprehensive loss.