XML 40 R27.htm IDEA: XBRL DOCUMENT
v3.25.3

Fair Value Measurements (Tables) | 9 Months Ended
--- | ---
Sep. 30, 2025
Fair Value Disclosures [Abstract] |
Summary of Carrying Amount and Fair Value of Ambac's Financial Assets and Liabilities | The following table sets forth the carrying amount and fair value of Ambac’s financial assets and liabilities as of September 30, 2025, and December 31, 2024, including the level within the fair value hierarchy at which fair value measurements are categorized. As required by the Fair Value Measurement Topic of the ASC, financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.
|  | September 30, 2025 |  | December 31, 2024
|  | Carrying Amount |  | Total Fair Value |  | Fair Value Measurements Categorized as: |  | Carrying Amount |  | Total Fair Value |  | Fair Value Measurements Categorized as:
|  | Level 1 |  | Level 2 |  | Level 3 |  | Level 1 |  | Level 2 |  | Level 3
Financial assets: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Municipal obligations |  | $ | 11,510 |  |  | $ | 11,510 |  |  | $ | — |  |  | $ | 11,510 |  |  | $ | — |  |  | $ | 14,083 |  |  | $ | 14,083 |  |  | $ | — |  |  | $ | 14,083 |  |  | $ | — |
Corporate obligations |  | 70,690 |  |  | 70,690 |  |  | — |  |  | 70,690 |  |  | — |  |  | 89,192 |  |  | 89,192 |  |  | — |  |  | 89,192 |  |  | — |
U.S. government obligations |  | 39,171 |  |  | 39,171 |  |  | 39,171 |  |  | — |  |  | — |  |  | 40,995 |  |  | 40,995 |  |  | 40,995 |  |  | — |  |  | — |
Residential mortgage-backed securities |  | 3,294 |  |  | 3,294 |  |  | — |  |  | 3,294 |  |  | — |  |  | 2,446 |  |  | 2,446 |  |  | — |  |  | 2,446 |  |  | — |
Commercial mortgage-backed securities |  | 1,819 |  |  | 1,819 |  |  | — |  |  | 1,819 |  |  | — |  |  | 2,101 |  |  | 2,101 |  |  | — |  |  | 2,101 |  |  | — |
Collateralized debt obligations |  | 2,319 |  |  | 2,319 |  |  | — |  |  | 2,319 |  |  | — |  |  | 3,142 |  |  | 3,142 |  |  | — |  |  | 3,142 |  |  | — |
Other asset-backed securities |  | 2,298 |  |  | 2,298 |  |  | — |  |  | 2,298 |  |  | — |  |  | 5,061 |  |  | 5,061 |  |  | — |  |  | 5,061 |  |  | — |
Short term investments |  | 295,825 |  |  | 295,825 |  |  | 295,825 |  |  | — |  |  | — |  |  | 127,601 |  |  | 127,601 |  |  | 127,601 |  |  | — |  |  | — |
Other investments (1) |  | 28,302 |  |  | 7,685 |  |  | — |  |  | — |  |  | — |  |  | 28,294 |  |  | 7,499 |  |  | — |  |  | — |  |  | — |
Cash, cash equivalents and restricted cash |  | 51,767 |  |  | 51,767 |  |  | 51,767 |  |  | — |  |  | — |  |  | 47,275 |  |  | 47,275 |  |  | 47,275 |  |  | — |  |  | — |
Other assets-loans |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 3,434 |  |  | 3,434 |  |  | — |  |  | — |  |  | 3,434 |
Other assets - Derivatives: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
FX forward contracts |  | 378 |  |  | 378 |  |  | — |  |  | 378 |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
Total financial assets |  | $ | 507,373 |  |  | $ | 486,756 |  |  | $ | 386,763 |  |  | $ | 92,308 |  |  | $ | — |  |  | $ | 363,624 |  |  | $ | 342,829 |  |  | $ | 215,871 |  |  | $ | 116,025 |  |  | $ | 3,434 |
Financial liabilities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Short-term debt, including accrued interest |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 152,560 |  |  | $ | 152,560 |  |  | $ | — |  |  | $ | — |  |  | $ | 152,560 |
Other liabilities - Derivatives: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
FX forward contracts |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 317 |  |  | 317 |  |  | — |  |  | 317 |  |  | — |
Total financial liabilities |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 152,877 |  |  | $ | 152,877 |  |  | $ | — |  |  | $ | 317 |  |  | $ | 152,560 |
(1)Excluded from the fair value measurement categories in the table above are investment funds of $7,684 and $7,499 as of September 30, 2025, and December 31, 2024, respectively, which are measured using NAV as a practical expedient. Also excluded from the fair value amounts in the table above are equity securities with a carrying value of $20,618 and $20,618 as of September 30, 2025, and December 31, 2024, respectively, that do not have readily determinable fair values and have carrying amounts determined using the measurement alternative, and an equity method investment of $— and $177 as of September 30, 2025, and December 31, 2024.
Summary of Changes in Level 3 Fair Value Category | The following tables present the changes in the Level 3 fair value category for the periods presented in 2025 and 2024. Ambac classifies financial instruments in Level 3 of the fair value hierarchy when there is reliance on at least one significant unobservable input to the valuation model. In addition to these unobservable inputs, the valuation models for Level 3 financial instruments typically also rely on a number of inputs that are readily observable either directly or indirectly. Thus, the gains and losses presented below include changes in the fair value related to both observable and unobservable inputs.
Level 3 - Financial Assets and Liabilities Accounted for at Fair Value
|  | Investments |  | Derivatives |  | Total
Three Months Ended September 30, 2025: |  |  |  |
Balance, beginning of period |  | $ | — |  |  | $ | — |  |  | $ | — |
Total gains/(losses) realized and unrealized: |  |  |  |  |  |
Included in earnings |  | — |  |  | — |  |  | — |
Included in other comprehensive income |  | — |  |  | — |  |  | — |
Purchases |  | — |  |  | — |  |  | — |
Settlements |  | — |  |  | — |  |  | — |
Balance, end of period |  | $ | — |  |  | $ | — |  |  | $ | — |
The amount of total gains/(losses) included in earnings attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | — |  |  | $ | — |  |  | $ | — |
The amount of total gains/(losses) included in other comprehensive income attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | — |  |  | $ | — |  |  | $ | — |
Three Months Ended September 30, 2024: |  |  |  |
Balance, beginning of period |  | $ | — |  |  | $ | 548 |  |  | $ | 548 |
Total gains/(losses) realized and unrealized: |  |  |  |  |  |
Included in earnings |  | — |  |  | — |  |  | — |
Included in other comprehensive income |  | — |  |  | — |  |  | — |
Purchases |  | — |  |  | — |  |  | — |
Settlements |  | — |  |  | — |  |  | — |
Balance, end of period |  | $ | — |  |  | $ | 548 |  |  | $ | 548 |
The amount of total gains/(losses) included in earnings attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | — |  |  | $ | — |  |  | $ | — |
The amount of total gains/(losses) included in other comprehensive income attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | — |  | $ | — |  | $ | —
Level 3 - Financial Assets and Liabilities Accounted for at Fair Value |
|  | Investments |  | Derivatives |  | Total
Nine Months Ended September 30, 2025: |  |  |  |  |  |
Balance, beginning of period |  | $ | — |  |  | $ | — |  |  | $ | — |
Total gains/(losses) realized and unrealized: |  |  |  |  |  |
Included in earnings |  | — |  |  | — |  |  | — |
Included in other comprehensive income |  | — |  |  | — |  |  | — |
Settlements |  | — |  |  | — |  |  | — |
Balance, end of period |  | $ | — |  |  | $ | — |  |  | $ | — |
The amount of total gains/(losses) included in earnings attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | — |  |  | $ | — |  |  | $ | — |
The amount of total gains/(losses) included in other comprehensive income attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | — |  |  | $ | — |  |  | $ | — |
Nine Months Ended September 30, 2024: |  |  |  |  |  |
Balance, beginning of period |  | $ | 13,920 |  |  | $ | 656 |  |  | $ | 14,576 |
Total gains/(losses) realized and unrealized: |  |  |  |  |  |
Included in earnings |  | 6,016 |  |  | (108) |  |  | 5,908 |
Included in other comprehensive income |  | 125 |  |  | — |  |  | 125 |
Settlements |  | (20,061) |  |  | — |  |  | (20,061) |
Balance, end of period |  | $ | — |  |  | $ | 548 |  |  | $ | 548 |
The amount of total gains/(losses) included in earnings attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | 6,016 |  |  | $ | (108) |  |  | $ | 5,908 |
The amount of total gains/(losses) included in other comprehensive income attributable to the change in unrealized gains or losses relating to assets and liabilities still held at the reporting date |  | $ | — |  |  | $ | — |  |  | $ | — |
Summary of Gains and Losses (Realized and Unrealized) Relating to Level 3 Assets and Liabilities Included in Earnings | Gains and losses (realized and unrealized) relating to Level 3 assets and liabilities included in earnings for the affected periods are reported as follows:
|  | Three Months Ended September 30, 2025 |  | Three Months Ended September 30, 2024
|  | Net Investment Income |  | Net Gains (Losses) on Derivative Contracts |  | Other Income or (Expense) |  | Net Investment Income |  | Net Gains (Losses) on Derivative Contracts |  | Other Income or (Expense)
Total gains (losses) included in earnings for the period |  | $ | — |  | $ | — |  | $ | — |  | $ | — |  | $ | — |  | $ | —
Changes in unrealized gains (losses) relating to financial instruments still held at the reporting date |  | — |  | — |  | — |  | — |  | — |  | —
|  | Nine Months Ended September 30, 2025 |  | Nine Months Ended September 30, 2024
|  | Net Investment Income |  | Net Gains (Losses) on Derivative Contracts |  | Other Income or (Expense) |  | Net Investment Income |  | Net Gains (Losses) on Derivative Contracts |  | Other Income or (Expense)
Total gains or losses included in earnings for the period |  | $ | — |  | $ | — |  | $ | — |  | $ | — |  | $ | (108) |  | $ | 6,016
Changes in unrealized gains or losses included in earnings relating to the assets and liabilities still held at the reporting date |  | — |  | — |  | — |  | — |  | (108) |  | —

X
- Definition Tabular presentation of Fair value assets and liabilities measured on recurring basis unobservable input reconciliation. + References No definition available. + Details
Name: | ambc_FairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisUnobservableInputReconciliationTableTextBlock
Namespace Prefix: | ambc_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the amount of gains or losses for the period included in earnings or resulted in a change to net assets, have arisen from the use of significant unobservable inputs (level 3) to measure the fair value of assets, liabilities, and financial instruments classified in shareholders' equity. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 2: http://www.xbrl.org/2003/role/exampleRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 102 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482078/820-10-55-102 + Details
Name: | us-gaap_FairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisGainLossIncludedInEarningsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Name Accounting Standards Codification -Section 55 -Paragraph 10 -SubTopic 10 -Topic 825 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482881/825-10-55-10 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 825 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482907/825-10-50-13 Reference 3: http://www.xbrl.org/2003/role/exampleRef -Topic 825 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 12 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482881/825-10-55-12 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 825 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482907/825-10-50-12 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 825 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 11 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482907/825-10-50-11 + Details
Name: | us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_FairValueDisclosuresAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration