Deferred Policy Acquisition Costs, Net of Ceding Commissions

12 Months Ended

Dec. 31, 2025

The tables below show the activity regarding deferred policy acquisition costs (“DPAC”) for the years ended

December 31, 2025 and December 31, 2024. The ending DPAC balance is included in Other Liabilities in the

consolidated balance sheets. The unearned ceding commission income is amortized over the effective period of the

related insurance policies. For the year ended December 31, 2025 and December 31, 2024, the Company allocated

earned ceding commission income of $72,105 and $57,975 to policy acquisition costs, respectively, and $92,611 and

$56,906 to general and administrative expenses, respectively.


	Year Ended December 31, 2025
	DPAC, excluding unearned ceding commission	Unearned ceding commission	Total
DPAC, beginning of year	$38,803	$(70,734)	$(31,931)
Policy acquisition costs deferred during the year:
Producer commissions	91,871	—	91,871
Premium taxes	13,828	—	13,828
Other acquisition costs	10,024	—	10,024
Ceding commissions	—	(165,695)	(165,695)
Total policy acquisition costs	115,723	(165,695)	(49,972)
Amortization	(95,716)	164,717	69,001
DPAC, end of year	$58,810	$(71,712)	$(12,902)


	Year Ended December 31, 2024
	DPAC, excluding unearned ceding commission	Unearned ceding commission	Total
DPAC, beginning of year	$43,080	$(48,217)	$(5,137)
Policy acquisition costs deferred during the year:
Producer commissions	70,953	—	70,953
Premium taxes	6,977	—	6,977
Other acquisition costs	7,996	—	7,996
Ceding commissions	—	(128,420)	(128,420)
Total policy acquisition costs	85,926	(128,420)	(42,494)
Amortization	(90,203)	105,903	15,700
DPAC, end of year	$38,803	$(70,734)	$(31,931)