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Segment Reporting
 3 Months Ended
Mar. 31, 2024
Segment Reporting [Abstract]  
Segment Reporting Disclosure )    SEGMENT REPORTING
Commercial Lines Business
Our commercial lines business primarily provides commercial multi-peril property insurance for residential condominium associations and apartments in Florida, through our subsidiary AmCoastal. We include coverage to policyholders for loss or damage to buildings, inventory or equipment caused by covered causes of loss such as fire, wind, hail, water, theft and vandalism.

All of our commercial lines business is administered by an outside managing general underwriter, AmRisc. This includes handling the underwriting, claims processing and premium collection related to our commercial business. In return, AmRisc is reimbursed through monthly management fees.

Personal Lines Business

Our personal lines business provides structure, content and liability coverage for standard single-family homeowners, renters and condominium unit owners, through our subsidiary IIC. Personal residential products are offered in New York. We include coverage to policyholders for loss or damage to dwellings, detached structures or equipment caused by covered causes of loss such as fire, wind, hail, water, theft and vandalism.

Please note the following similarities pertaining to the accounting and transactions of our operating segments for the three months ended March 31, 2024 and 2023:

•Both operating segments follow the accounting policies as reported in our Annual Report on Form 10-K for the year ended December 31, 2023;
•Neither operating segment experienced significant non-cash transactions outside of depreciation and amortization for the three months ended March 31, 2024 and 2023.

The tables below present the information for each of the reportable segment's profit or loss for the three months ended March 31, 2024 and 2023.
Three Months Ended March 31, 2024
Commercial
Personal (1)
AdjustmentsConsolidated
REVENUE:
Gross premiums written$184,601 $12,857 $— $197,458 
Change in gross unearned premiums(24,331)(4,305)— (28,636)
Gross premiums earned160,270 8,552 — 168,822 
Ceded premiums earned(97,639)(2,453)— (100,092)
Net premiums earned62,631 6,099 — 68,730 
Net investment income3,468 772 268 4,508 
Net realized investment losses— — — — 
Net unrealized losses on equity securities(50)— — (50)
Other revenue— 16 — 16 
Total revenues66,049 6,887 268 73,204 
EXPENSES:
Losses and loss adjustment expenses11,553 4,353 — 15,906 
Policy acquisition costs12,181 (388)— 11,793 
Operating expenses2,187 536 86 2,809 
General and administrative expenses7,333 2,090 150 9,573 
Interest expense— — 2,719 2,719 
Total expenses33,254 6,591 2,955 42,800 
Income (loss) before other income 32,795 296 (2,687)30,404 
Other income (loss)— 810 — 810 
Income (loss) before income taxes$32,795 $1,106 (2,687)31,214 
Provision for income taxes7,615 7,615 
Net income (loss)$(10,302)$23,599 
Loss ratio, net (2) (3)
18.4 %71.4 %23.1 %
Expense ratio (2) (4)
34.6 %36.7 %35.2 %
Combined ratio (2) (5)
53.0 %108.1 %58.3 %
(1) Our personal lines income statement also includes amounts related to subsidiaries outside of our insurance companies. We have included these items as these subsidiaries directly support our personal lines operations.
(2) As these are calculated ratios, the addition of the ratios will not result in the same value as the consolidated ratio. To calculate the consolidated ratio please see the corresponding footnote below.
(3) Loss ratio, net is calculated as losses and LAE net of losses ceded to reinsurers, relative to net premiums earned. Management uses this operating metric to analyze our loss trends and believes it is useful for investors to evaluate this component separately from our other operating expenses.
(4) Expense ratio is calculated as the sum of all operating expenses less interest expense relative to net premiums earned. Management uses this operating metric to analyze our expense trends and believes it is useful for investors to evaluate these components separately from our loss expenses.
(5) Combined ratio is the sum of the loss ratio, net and expense ratio. Management uses this operating metric to analyze our total expense trends and believes it is a key indicator for investors when evaluating the overall profitability of our business.
Three Months Ended March 31, 2023
Commercial
Personal (1)
AdjustmentsConsolidated
REVENUE:
Gross premiums written$176,641 $10,482 $— $187,123 
Change in gross unearned premiums(44,607)1,960 — (42,647)
Gross premiums earned132,034 12,442 — 144,476 
Ceded premiums earned(53,374)(3,778)— (57,152)
Net premiums earned78,660 8,664 — 87,324 
Net investment income1,786 782 21 2,589 
Net realized investment losses(83)— — (83)
Net unrealized losses on equity securities473 — 1 474 
Other revenue— 16 — 16 
Total revenues80,836 9,462 22 90,320 
EXPENSES:
Losses and loss adjustment expenses13,901 2,511 — 16,412 
Policy acquisition costs25,166 1,806 — 26,972 
Operating expenses96 1,948 124 2,168 
General and administrative expenses2,754 5,907 132 8,793 
Interest expense— — 2,719 2,719 
Total expenses41,917 12,172 2,975 57,064 
Income (loss) before other income 38,919 (2,710)(2,953)33,256 
Other income— 803 (215)588 
Income (loss) before income taxes$38,919 $(1,907)(3,168)33,844 
Provision for income taxes3,477 3,477 
Net income (loss)$(6,645)$30,367 
Loss ratio, net (2) (3)
17.7 %29.0 %18.9 %
Expense ratio (2) (4)
35.6 %111.5 %43.4 %
Combined ratio (2) (5)
53.3 %140.5 %62.3 %
(1) Our personal lines income statement also includes amounts related to subsidiaries outside of our insurance companies. We have included these items as these subsidiaries directly support our personal lines operations.
(2) As these are calculated ratios, the addition of the ratios will not result in the same value as the consolidated ratio. To calculate the consolidated ratio please see the corresponding footnote below.
(3) Loss ratio, net is calculated as losses and LAE net of losses ceded to reinsurers, relative to net premiums earned. Management uses this operating metric to analyze our loss trends and believes it is useful for investors to evaluate this component separately from our other operating expenses.
(4) Expense ratio is calculated as the sum of all operating expenses less interest expense relative to net premiums earned. Management uses this operating metric to analyze our expense trends and believes it is useful for investors to evaluate these components separately from our loss expenses.
(5) Combined ratio is the sum of the loss ratio, net and expense ratio. Management uses this operating metric to analyze our total expense trends and believes it is a key indicator for investors when evaluating the overall profitability of our business.

Depreciation and amortization related to our commercial lines operating segment totaled $812,000 and $812,000 for the three months ended March 31, 2024 and 2023, respectively.

Depreciation and amortization related to our personal lines operating segment totaled $1,273,000 and $1,007,000 for the three months ended March 31, 2024 and 2023, respectively.
The tables below present the segment assets as of March 31, 2024 and December 31, 2023.

Assets by Segment as of
CommercialPersonalAdjustmentsTotal
March 31, 2024$903,446 $103,947 $69,918 $1,077,311 
December 31, 2023896,159 85,099 71,030 1,052,288