Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2024 | May 02, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2024 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | Heritage Insurance Holdings, Inc. | |
Entity Central Index Key | 0001598665 | |
Entity Current Reporting Status | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 30,636,496 | |
Entity File Number | 001-36462 | |
Entity Tax Identification Number | 45-5338504 | |
Entity Address, Address Line One | 1401 N. Westshore Blvd | |
Entity Address, City or Town | Tampa | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33607 | |
City Area Code | 727 | |
Local Phone Number | 362-7200 | |
Entity Interactive Data Current | Yes | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Title of each class | Common Stock, par value $0.0001 per share | |
Trading Symbol(s) | HRTG | |
Name of each exchange on which registered | NYSE |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 |
ASSETS | |||
Fixed maturities, available-for-sale, at fair value (amortized cost of $690,345 and $606,646) | $ 644,113 | $ 560,682 | |
Equity securities, at fair value, (cost $1,936 and $1,666) | 1,936 | 1,666 | |
Other investments, net | 6,886 | 7,067 | |
Total investments | 652,935 | 569,415 | |
Cash and cash equivalents | 386,100 | 463,640 | |
Restricted cash | 11,365 | 9,699 | |
Accrued investment income | 4,583 | 4,068 | |
Premiums receivable, net | 94,326 | 89,490 | |
Reinsurance recoverable on paid and unpaid claims, net of allowance for credit losses of $197 | 565,694 | 482,429 | |
Prepaid reinsurance premiums | 176,726 | 294,222 | |
Income tax receivable | 3,375 | 13,354 | |
Deferred income tax asset, net | 15,509 | 11,111 | |
Deferred policy acquisition costs, net | 104,217 | 102,884 | $ 99,617 |
Property and equipment, net | 32,767 | 33,218 | |
Right-of-use lease asset, finance | 16,971 | 17,606 | |
Right-of-use lease asset, operating | 6,662 | 6,835 | |
Intangibles, net | 41,009 | 42,555 | |
Other assets | 17,895 | 12,674 | |
Total Assets | 2,130,134 | 2,153,200 | |
LIABILITIES AND STOCKHOLDERS' EQUITY | |||
Unpaid losses and loss adjustment expenses | 843,687 | 845,955 | 1,131,807 |
Unearned premiums | 691,174 | 675,921 | |
Reinsurance payable | 102,538 | 159,823 | |
Long-term debt, net | 123,007 | 119,732 | |
Advance premiums | 37,019 | 23,900 | |
Accrued compensation | 3,876 | 9,461 | |
Lease liability, finance | 19,830 | 20,386 | |
Lease liability, operating | 7,868 | 8,076 | |
Accounts payable and other liabilities | 66,200 | 69,666 | |
Total Liabilities | 1,895,199 | 1,932,920 | |
Commitments and contingencies (Note 17) | |||
Stockholders’ Equity: | |||
Common stock, $0.0001 par value, 50,000,000 shares authorized, 42,868,170 shares issued and 30,636,496 outstanding at March 31, 2024 and 42,450,612 shares issued and 30,218,938 outstanding at December 31, 2023 | 3 | 3 | |
Additional paid-in capital | 360,956 | 360,310 | |
Accumulated other comprehensive loss, net of taxes | (35,466) | (35,250) | |
Treasury stock, at cost, 12,231,674 shares at each March 31, 2024 and December 31, 2023 | (130,900) | (130,900) | |
Retained earnings | 40,342 | 26,117 | |
Total Stockholders' Equity | 234,935 | 220,280 | $ 131,039 |
Total Liabilities and Stockholders' Equity | $ 2,130,134 | $ 2,153,200 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Fixed maturities, at amortized cost | $ 690,345 | $ 606,646 |
Equity securities, cost | 1,936 | 1,666 |
Reinsurance recoverable net of allowance for credit losses | $ 197 | $ 197 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares issued | 42,868,170 | 42,450,612 |
Common stock, shares outstanding | 30,636,496 | 30,218,938 |
Treasury stock, shares | 12,231,674 | 12,231,674 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Other Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
REVENUES: | |||
Gross premiums written | $ 356,684 | $ 310,309 | |
Change in gross unearned premiums | (15,295) | 6,713 | |
Gross premiums earned | 341,389 | 317,022 | |
Ceded premiums | (161,963) | (150,993) | |
Net premiums earned | 179,426 | 166,029 | |
Net investment income | 8,551 | 5,582 | |
Net realized (losses) gains | (1) | 1,898 | |
Other revenue | 3,326 | 3,412 | |
Total revenues | 191,302 | 176,921 | |
EXPENSES: | |||
Losses and loss adjustment expenses | 102,035 | 97,452 | |
Policy acquisition costs, net of ceding commission income | [1] | 46,929 | 40,324 |
General and administrative expenses, net of ceding commission income | [2] | 19,634 | 19,054 |
Total expenses | 168,598 | 156,830 | |
Operating income | 22,704 | 20,091 | |
Interest expense, net | 2,830 | 2,881 | |
Income before income taxes | 19,874 | 17,210 | |
Provision for income taxes | 5,649 | 3,202 | |
Net income (loss) | 14,225 | 14,008 | |
OTHER COMPREHENSIVE INCOME | |||
Change in net unrealized (losses) gains on investments | (284) | 12,143 | |
Reclassification adjustment for net realized investment losses | 1 | 2 | |
Income tax benefit (expense) related to items of other comprehensive income (loss) | 67 | (2,855) | |
Total comprehensive income | $ 14,009 | $ 23,298 | |
Weighted average shares outstanding | |||
Basic | 30,376,682 | 25,558,305 | |
Diluted | 30,435,945 | 25,617,568 | |
Earnings per share | |||
Basic | $ 0.47 | $ 0.55 | |
Diluted | $ 0.47 | $ 0.55 | |
[1] Policy acquisition costs includes $ 9.3 million and $ 12.9 million of ceding commission income for the three months ended March 31, 2024 and 2023, respectively. General and administration includes $ 3.0 million and $ 4.3 million of ceding commission income for the three months ended March 31, 2024 and 2023, respectively. |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations and Other Comprehensive Loss (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Ceding commission income | $ 12,380 | $ 17,089 |
Policy Acquisition Costs [Member] | ||
Ceding commission income | 9,300 | 12,900 |
General and Administrative Expenses [Member] | ||
Ceding commission income | $ 3,000 | $ 4,300 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Treasury Shares [Member] | Accumulated Other Comprehensive Income (Losses) [Member] |
Beginning Balance at Dec. 31, 2022 | $ 131,039 | $ 3 | $ 334,711 | $ (19,190) | $ (130,900) | $ (53,585) |
Beginning Balance, Shares at Dec. 31, 2022 | 25,539,433 | |||||
Net unrealized change in investments, net of tax | 9,290 | 9,290 | ||||
Shares tendered for income taxes withholding | (8) | (8) | ||||
Shares tendered for income taxes withholding, Shares | (4,200) | |||||
Restricted stock vested, Shares | 25,000 | |||||
Forfeiture on restricted stock, Shares | (1,482) | |||||
Stock-based compensation on restricted stock | 395 | 395 | ||||
Net Income (Loss) | 14,008 | 14,008 | ||||
Ending balance at Mar. 31, 2023 | 154,724 | $ 3 | 335,098 | (5,182) | (130,900) | (44,295) |
Ending balance, Shares at Mar. 31, 2023 | 25,558,751 | |||||
Beginning Balance at Dec. 31, 2023 | 220,280 | $ 3 | 360,310 | 26,117 | (130,900) | (35,250) |
Beginning Balance, Shares at Dec. 31, 2023 | 30,218,938 | |||||
Net unrealized change in investments, net of tax | (216) | (216) | ||||
Issuance of restricted stock, Shares | 417,558 | |||||
Stock-based compensation on restricted stock | 595 | 595 | ||||
Additional costs associated to public offering | (3) | (3) | ||||
Unallocated dividends on restricted stock forfeitures | 54 | 54 | ||||
Net Income (Loss) | 14,225 | 14,225 | ||||
Ending balance at Mar. 31, 2024 | $ 234,935 | $ 3 | $ 360,956 | $ 40,342 | $ (130,900) | $ (35,466) |
Ending balance, Shares at Mar. 31, 2024 | 30,636,496 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
OPERATING ACTIVITIES | ||
Net income | $ 14,225 | $ 14,008 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Stock-based compensation | 595 | 395 |
Bond amortization and accretion | (739) | (279) |
Amortization of original issuance discount on debt | 213 | 117 |
Depreciation and amortization | 2,226 | 2,127 |
Allowance for bad debt (recovery) | (798) | 27 |
Expected credit allowance on reinsurance | 0 | 152 |
Net realized losses (gains) | 1 | (1,898) |
Deferred income taxes | (4,330) | (3,976) |
Changes in operating assets and liabilities: | ||
Accrued investment income | (515) | 281 |
Premiums receivable, net | (4,038) | 11,947 |
Prepaid reinsurance premiums | 117,496 | 118,217 |
Reinsurance recoverable on paid and unpaid claims | (83,265) | 123,063 |
Income taxes receivable | 9,979 | 7,854 |
Deferred policy acquisition costs, net | (1,333) | 1,582 |
Right of use leased asset, net | 808 | 414 |
Other assets | (5,221) | (3,835) |
Unpaid losses and loss adjustment expenses | (2,268) | (150,815) |
Unearned premiums | 15,253 | (6,777) |
Reinsurance payable | (57,285) | (103,903) |
Accrued interest | (479) | (87) |
Accrued compensation | (5,585) | (1,245) |
Advance premiums | 13,119 | 13,126 |
Leased liabilities, net | (764) | (345) |
Other liabilities | (2,987) | (5,204) |
Net cash provided by operating activities | 4,308 | 14,946 |
INVESTING ACTIVITIES | ||
Fixed maturity securities sales, maturities and paydowns | 29,770 | 145,070 |
Fixed maturity securities purchases | (112,746) | (110,251) |
Sale on other investments | 0 | 4,000 |
Return on other investments | 180 | 119 |
Equity securities reinvestments of dividends | (270) | 0 |
Cost of property and equipment acquired | (229) | (2,413) |
Net cash (used in) provided by investing activities | (83,295) | 36,525 |
FINANCING ACTIVITIES | ||
Repayment of term note | (2,375) | (2,375) |
Mortgage loan (payments) adjustments | (63) | 15 |
Proceeds from loan agreement | 5,500 | 0 |
Tax withholdings on share-based compensation awards | 0 | (8) |
Additional costs associated with public offering | (3) | 0 |
DividendsForfeitedPaid | 54 | (11) |
Net cash provided by (used in) financing activities | 3,113 | (2,379) |
(Decrease) increase in cash, cash equivalents, and restricted cash | (75,874) | 49,092 |
Cash, cash equivalents and restricted cash, beginning of period | 473,339 | 287,572 |
Cash, cash equivalents and restricted cash, end of period | 397,465 | 336,664 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Income taxes paid (refund) | 0 | (676) |
Interest paid | $ 2,400 | $ 2,376 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows (Parenthetical) (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Statement of Cash Flows [Abstract] | ||||
Cash and cash equivalents | $ 386,100 | $ 463,640 | ||
Restricted cash | 11,365 | 9,699 | $ 11,365 | |
Total | $ 397,465 | $ 473,339 | $ 336,664 | $ 287,572 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) | $ 14,225 | $ 14,008 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Apr. 30, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Significant Accounting Policies | NOTE 1. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The condensed consolidated financial statements include the accounts of Heritage Insurance Holdings, Inc. (together with its subsidiaries, the “Company”). These statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Certain financial information that is normally included in annual consolidated financial statements prepared in accordance with GAAP, but that is not required for interim reporting purposes, has been omitted. In the opinion of the Company’s management, all material intercompany transactions and balances have been eliminated and all adjustments consisting of normal recurring accruals which are necessary for a fair statement of the financial condition and results of operations for the interim periods have been reflected. The accompanying interim condensed consolidated financial statements and related footnotes should be read in conjunction with the Company’s audited consolidated financial statements and related footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 filed on March 13, 2024 (the “2023 Form 10-K”). Significant accounting policies The accounting policies of the Company are set forth in Note 1 to the condensed consolidated financial statements contained in the Company’s 2023 Form 10-K. Reclassification The Company reclassified certain amounts in the 2023 consolidated statement of cash flows and to conform to the 2024 presentation, relating to amounts specific to investing activities. Accounting Pronouncements not yet adopted The Company has documented the summary of its significant accounting policies in its Notes to the Audited Consolidated Financial Statements contained in the Company’s 2023 Form 10-K. There have been no material changes to the Company’s accounting policies since the filing of that report. No other new accounting pronouncements issued, but not yet adopted, have had, or are expected to have, a material impact on the Company’s results of operations or financial position. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | NOTE 2. INVESTMENTS Securities Available-for-Sale The amortized cost, gross unrealized gains and losses, and fair value of the Company’s debt securities available-for-sale are as follows for the periods presented: March 31, 2024 Cost or Adjusted / Gross Unrealized Gross Unrealized Fair Value Debt Securities Available-for-sale (In thousands) U.S. government and agency securities (1) $ 114,288 $ 242 $ 1,276 $ 113,254 States, municipalities and political subdivisions 319,595 33 30,795 288,833 Corporate bonds 230,139 570 12,002 218,707 Mortgage-backed securities (1) 19,275 — 2,853 16,422 Asset-backed securities 2,993 — 151 2,842 Other 4,055 — — 4,055 Total $ 690,345 $ 845 $ 47,077 $ 644,113 (1) Includes securities at March 31, 2024 with a carrying amount of $ 23.6 million and $ 19.8 million that were pledged as collateral for the advance agreements entered into with a financial institution in 2018 and 2024, respectively. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. December 31, 2023 Cost or Adjusted / Gross Unrealized Gross Unrealized Fair Value (in thousands) Debt Securities Available-for-sale U.S. government and agency securities (1) $ 81,540 $ 417 $ 1,295 $ 80,662 States, municipalities and political subdivisions 319,896 104 31,018 288,982 Corporate bonds 178,213 475 11,858 166,830 Mortgage-backed securities 22,695 — 2,769 19,926 Asset-backed securities 247 — 20 227 Other 4,055 — — 4,055 Total $ 606,646 $ 996 $ 46,960 $ 560,682 (1) Includes securities at December 31, 2023 with a carrying amount of $ 26.3 million that were pledged as collateral for the advance agreement entered into with a financial institution in 2018. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. The Company evaluated the available for sale investments that were in an unrealized loss position at March 31, 2024 and determined that the unrealized losses were caused by rising interest rates in previous periods, resulting in no credit loss allowance recorded for the quarter ended March 31, 2024. Net Realized (Losses) Gains The following table presents net realized losses on the Company’s debt securities available-for-sale for the three months ended March 31, 2024 and 2023, respectively : 2024 2023 Three Months Ended March 31, Gains Fair Value at Sale Gains Fair Value at Sale (In thousands) Debt Securities Available-for-Sale Total realized gains $ — $ — $ — $ — Total realized losses ( 1 ) 46 ( 2 ) 356 Net realized losses $ ( 1 ) $ 46 $ ( 2 ) $ 356 The following table presents the reconciliation of net realized (losses) gains on the Company’s investments reported for the three months ended March 31, 2024 and 2023, respectively: As of March 31, 2024 2023 Gross realized gains on sales of available-for-sale securities $ — $ — Gross realized losses on sales of available-for-sale securities ( 1 ) ( 2 ) Gross realized gains on sale of other investments — 1,900 Net realized (losses) gains $ ( 1 ) $ 1,898 The table below summarizes the Company’s debt securities at March 31, 2024 by contractual maturity periods. Actual results may differ as issuers may have the right to call or prepay obligations, with or without penalties, prior to the contractual maturity of those obligations. At March 31, 2024 Cost or Amortized Cost Percent of Total Fair Value Percent of Total Maturity dates: (In thousands) (In thousands) Due in one year or less $ 95,446 13.9 % $ 94,240 14.6 % Due after one year through five years 391,043 56.6 % 368,877 57.3 % Due after five years through ten years 175,371 25.4 % 155,892 24.2 % Due after ten years 28,485 4.1 % 25,104 3.9 % Total $ 690,345 100.0 % $ 644,113 100.0 % Net Investment Income The following table summarizes the Company’s net investment income by major investment category for the three months ended March 31, 2024 and 2023, respectively: Three Months Ended March 31, 2024 2023 (In thousands) Debt securities $ 4,556 $ 3,023 Equity securities 296 33 Cash and cash equivalents 4,218 2,204 Other investments 151 730 Net investment income 9,221 5,990 Less: Investment expenses 670 408 Net investment income, less investment expenses $ 8,551 $ 5,582 The following tables present, for all debt securities available-for-sale in an unrealized loss position (including securities pledged) and for which no credit loss allowance has been established to date, the aggregate fair value and gross unrealized loss by length of time the security has continuously been in an unrealized loss position at March 31, 2024 and December 31, 2023, respectively: Less Than Twelve Months Twelve Months or More March 31, 2024 Number of Gross Fair Value Number of Gross Fair Value Debt Securities Available-for-sale U.S. government and agency securities 13 $ 55 $ 35,215 25 $ 1,221 $ 30,386 States, municipalities and political subdivisions 7 34 5,789 382 30,761 274,766 Corporate bonds 26 50 18,677 184 11,952 125,818 Mortgage-backed securities 8 — 5 124 2,853 16,416 Asset-backed securities — — — 26 151 2,806 Other — — — — — — Total 54 $ 139 $ 59,686 741 $ 46,938 $ 450,192 Less Than Twelve Months Twelve Months or More December 31, 2023 Number of Gross Fair Value Number of Gross Fair Value Debt Securities Available-for-sale U.S. government and agency securities 3 $ 14 $ 2,962 32 $ 1,281 $ 42,305 States, municipalities and political subdivisions 5 21 3,875 382 30,997 274,876 Corporate bonds 10 24 6,398 188 11,834 128,771 Mortgage-backed securities 10 — 7 138 2,769 19,810 Asset-backed securities — — — 24 20 373 Other — — — — — — Total 28 $ 59 $ 13,242 764 $ 46,901 $ 466,135 The Company’s unrealized losses on debt securities have not been recognized because the securities are of a high credit quality with investment grade ratings. After reviewing the Company's portfolio, if (i) the Company does not have the intent to sell, or (ii) it is more likely than not it will not be required to sell the security before its anticipated recovery, then the Company's intent is to hold the investment securities to recovery, or maturity if necessary to recover the decline in valuation as prices accrete to par. However, the Company's intent may change prior to maturity due to certain types of events, which include, but are not limited to, changes in the financial markets, the Company's analysis of an issuer’s credit metrics and prospects, changes in tax laws or the regulatory environment, or as a result of significant unforeseen changes in liquidity needs. As such, the Company may, from time to time, sell invested assets subsequent to the balance sheet date that it did not intend to sell at the balance sheet date. Conversely, the Company may not sell invested assets that the Company asserted it intended to sell at the balance sheet date. Such changes in intent are due to unforeseen events occurring subsequent to the balance sheet date. Other Investments Non-Consolidated Variable Interest Entities (“VIEs”) The Company makes passive investments in limited partnerships (“LPs”), which are accounted for using the equity method, with income reported in earnings through net realized and unrealized gains and losses. The Company also holds a passive investment in a Real Estate Investment Trust (“REIT”), which is accounted for using the measurement alternative method, and reported at cost less impairment (if any), plus or minus changes from observable price changes. The following table summarizes the carrying value and maximum loss exposure of the Company’s non-consolidated VIEs at March 31, 2024 and December 31, 2023, respectively: As of March 31, 2024 As of December 31, 2023 Carrying Value Maximum Loss Exposure Carrying Value Maximum Loss Exposure Investments in non-consolidated VIEs - Equity method $ 1,738 $ 1,738 $ 1,819 $ 1,819 Investments in non-consolidated VIEs - Measurement alternative $ 5,148 $ 5,148 $ 5,248 $ 5,248 Total non-consolidated VIEs $ 6,886 $ 6,886 $ 7,067 $ 7,067 No agreements exist requiring the Company to provide additional funding to any of the non-consolidated VIEs in excess of the Company’s initial investment. |
Fair Value of Financial Measure
Fair Value of Financial Measurements | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Measurements | NOTE 3. FAIR VALUE OF FINANCIAL MEASUREMENTS Fair value is determined based on the exchange price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. The Company is required to use an established hierarchy for fair value measurements based upon the inputs to the valuation and degree to which they are observable or not observable in the market. The three levels in the hierarchy are as follows: • Level 1 – Unadjusted quoted prices are available in active markets for identical assets/liabilities as of the reporting date. • Level 2 – Valuations based on observable inputs, such as quoted prices for similar assets or liabilities at the measurement date; quoted prices in the markets that are not active; or other inputs that are observable, either directly or indirectly. • Level 3 – Pricing inputs are unobservable and significant to the overall fair value measurement, and the determination of fair value requires significant management judgment or estimation. The highest priority is assigned to Level 1 inputs and the lowest priority to Level 3 inputs. At March 31, 2024 and December 31, 2023, there were no transfers in or out of Level 1, 2, and 3. The following table presents information about the Company’s assets measured at fair value on a recurring basis. The Company assesses the levels for the investments at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfer in accordance with the Company’s accounting policy regarding the recognitions of transfers between levels of the fair value hierarchy. The tables below present the balances of the Company’s invested assets measured at fair value on a recurring basis: March 31, 2024 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: (in thousands) Cash and cash equivalents $ 386,100 $ 386,100 $ — $ — Restricted cash $ 11,365 $ 11,365 $ — $ — Debt Securities Available-for-sale U.S. government and agency securities $ 113,254 $ — $ 113,254 $ — States, municipalities and political subdivisions 288,833 — 288,833 — Corporate bonds 218,707 — 218,707 — Mortgage-backed securities 16,422 — 16,422 — Asset-backed securities 2,842 — 2,842 — Other 4,055 — 4,055 — Total debt securities $ 644,113 $ — $ 644,113 $ — Equity Securities Common stock 1,936 1,936 — — Total debt securities and equity securities $ 646,049 $ 1,936 $ 644,113 $ — December 31, 2023 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: (in thousands) Cash and cash equivalents $ 463,640 $ 463,640 $ — $ — Restricted cash $ 9,699 $ 9,699 $ — $ — Debt Securities Available-for-sale U.S. government and agency securities $ 80,662 $ — $ 80,662 $ — States, municipalities and political subdivisions 288,982 — 288,982 — Corporate bonds 166,830 — 166,830 — Mortgage-backed securities 19,926 — 19,926 — Asset-backed securities 227 — 227 — Other 4,055 — 4,055 — Total debt securities $ 560,682 $ — $ 560,682 $ — Equity Securities Common stock 1,666 1,666 — — Total debt securities and equity securities $ 562,348 $ 1,666 $ 560,682 $ — Financial Instruments excluded from the fair value hierarchy The carrying value of premium receivables, accounts payable, accrued expense, revolving loans and borrowings under the Company’s senior secured credit facility approximate their fair value. The rate at which revolving loans and borrowings under the Company’s senior secured credit facility bear interest resets periodically at market interest rates. Non-recurring fair value measurements Assets and liabilities that are measured at fair value on a non-recurring basis include intangible assets which are recognized at fair value during the period in which an acquisition is completed, from updated estimates and assumptions during the measurement period, or when they are considered to be impaired. For the three months ended March 31, 2024, there were no assets or liabilities that were measured at fair value on a non-recurring basis. Certain of the Company's investments, in accordance with GAAP for the type of investment, are measured using methodologies other than fair value. |
Other Comprehensive Income
Other Comprehensive Income | 3 Months Ended |
Mar. 31, 2024 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |
Other Comprehensive Income | NOTE 4. OTHER COMPREHENSIVE INCOME The following table summarizes other comprehensive income and discloses the tax impact of each component of other comprehensive (loss) gains for the three months ended March 31, 2024 and 2023, respectively: For the Three Months Ended March 31, 2024 2023 Pre-tax Tax After-tax Pre-tax Tax After-tax (in thousands) Other comprehensive income Change in unrealized (losses) gains on investments, net $ ( 284 ) $ 67 $ ( 217 ) $ 12,143 $ ( 2,855 ) $ 9,288 Reclassification adjustment of realized losses included in net income 1 — 1 2 — 2 Effect on other comprehensive income $ ( 283 ) $ 67 $ ( 216 ) $ 12,145 $ ( 2,855 ) $ 9,290 |
Leases
Leases | 3 Months Ended |
Mar. 31, 2024 | |
Leases [Abstract] | |
Leases | NOTE 5. LEASES The Company has entered into operating and financing leases primarily for real estate and vehicles. The Company will determine whether an arrangement is a lease at inception of the agreement. The operating leases have terms of one to ten years , and often include one or more options to renew . These renewal terms can extend the lease term from two to ten years and are included in the lease term when it is reasonably certain that the Company will exercise the option. The Company considers these options in determining the lease term used in establishing the Company’s right-of-use assets and lease obligations. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. Because the rate implicit in each operating lease is not readily determinable, the Company uses its incremental borrowing rate to determine present value of the lease payments. The Company used the implicit rates within the finance leases. Components of the Company’s lease costs were as follows (in thousands): For The Three Months Ended March 31, 2024 2023 Operating lease cost, included in General & Administrative expenses on the Consolidated Statements of Operations $ 403 $ 393 Finance lease cost: Amortization of assets, included in General & Administrative expenses on the Consolidated Statements of Operations 635 645 Interest on lease liabilities, included in Interest expense on the Consolidated Statements of Operations 206 227 Total finance lease cost $ 841 $ 872 Variable lease cost, included in General & Administrative expenses on the Consolidated Statements of Operations $ 368 $ 409 Short-term lease cost, included in General & Administrative expenses on the Consolidated Statements of Operations $ 24 $ 30 Supplemental balance sheet information related to the Company’s operating and financing leases were as follows (in thousands): Operating Leases March 31, 2024 December 31, 2023 Right of use assets $ 6,662 $ 6,835 Lease liability $ 7,868 $ 8,076 Finance Leases Right of use assets $ 16,971 $ 17,606 Lease liability $ 19,830 $ 20,386 Weighted-average remaining lease term and discount rate for the Company’s operating and financing leases for the periods presented below were as follows: Weighted-average remaining lease term March 31, 2024 December 31, 2023 Operating lease 5.31 yrs. 5.57 yrs. Finance lease 6.92 yrs. 7.16 yrs. Weighted-average discount rate Operating lease 5.44 % 5.17 % Finance lease 4.14 % 4.15 % Maturities of lease liabilities by fiscal year for the Company’s operating and financing leases were as follows (in thousands): Financing Lease Operating Lease 2024 - remaining $ 2,346 $ 1,319 2025 3,173 1,655 2026 3,216 1,636 2027 3,190 1,599 2028 3,270 1,633 2029 and thereafter 7,651 1,213 Total lease payments 22,846 9,055 Less: imputed interest ( 3,016 ) ( 1,187 ) Present value of lease liabilities $ 19,830 $ 7,868 Supplemental cash flow information related to the Company's operating and financing leases were as follows (in thousands): Operating Leases March 31, 2024 March 31, 2023 Lease liability payments $ 560 $ 541 Finance Leases Lease liability payments $ 211 $ 261 Total lease liability payments $ 771 $ 802 |
Property and Equipment, Net
Property and Equipment, Net | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | NOTE 6. PROPERTY AND EQUIPMENT, NET Property and equipment, net consisted of the following at March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 (In thousands) Land $ 2,582 $ 2,582 Building 9,599 9,599 Software in progress 14,667 14,450 Computer hardware and software 10,729 10,717 Office furniture and equipment 1,484 1,484 Tenant and leasehold improvements 10,876 10,876 Vehicle fleet 515 515 Total, at cost 50,452 50,223 Less: accumulated depreciation and amortization ( 17,685 ) ( 17,005 ) Property and equipment, net $ 32,767 $ 33,218 The Company has capitalized certain costs related to a new policy, billing and claims system which is anticipated to be placed into service in early 2025. Depreciation and amortization expense for property and equipment was approximately $ 680,200 and $ 539,000 for the three months ended March 31, 2024 and 2023, respectively. The Company owns real estate consisting of 13 acres of land, two buildings with a gross area of 88,378 square feet and a parking garage. The carrying value of the property is approximately $ 9.6 million with accumulated depreciation of approximately $ 2.6 million at March 31, 2024. |
Intangible Assets, Net
Intangible Assets, Net | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets, Net | NOTE 7. INTANGIBLE ASSETS, NET At March 31, 2024 and December 31, 2023, intangible assets were $ 41.0 million and $ 42.6 million, respectively. The Company has determined the useful life of its intangible assets to range between 2.5 - 15 years . Intangible assets include $ 1.3 million relating to insurance licenses which is classified as an indefinite lived intangible and is subject to annual impairment testing. The Company’s intangible assets consist of brand, agent relationships, renewal rights, customer relations, trade names and insurance licenses. Amortization expense of the Company’s intangible assets for each of the respective three month periods ended March 31, 2024 and 2023 was $ 1.5 million and $ 1.6 million, respectively. No impairment in the value of amortizing or non-amortizing intangible assets was recognized during the three months ended March 31, 2024 or 2023. Estimated annual pretax amortization of intangible assets for each of the next five years and thereafter is as follows (in thousands): Year Amount 2024 − remaining $ 4,638 2025 $ 6,183 2026 $ 6,033 2027 $ 5,836 2028 $ 3,913 Thereafter $ 13,090 Total $ 39,694 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 8. EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share (“EPS”) for the periods indicated. Three Months Ended March 31, 2024 2023 Basic and Diluted Net income available to common shareholders — basic and diluted $ 14,225 $ 14,008 Common Shares Basic Weighted average shares outstanding 30,376,682 25,558,305 Diluted Weighted average shares outstanding 30,376,682 25,558,305 5.875 % Convertible Notes 59,263 59,263 Total 30,435,945 25,617,568 Net income per common share Basic $ 0.47 $ 0.55 Diluted $ 0.47 $ 0.55 |
Deferred Reinsurance Ceding Com
Deferred Reinsurance Ceding Commission | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
Deferred Reinsurance Ceding Commission | NOTE 9. DEFERRED REINSURANCE CEDING COMMISSION The Company defers reinsurance ceding commission income, which is amortized over the effective period of the related insurance policies. For the three months ended March 31, 2024 and 2023, the Company allocated ceding commission income of $ 9.3 million and $ 12.9 million to policy acquisition costs, respectively, and $ 3.0 million and $ 4.3 million to general and administrative expense, respectively. The table below depicts the activity regarding deferred reinsurance ceding commission during the three months ended March 31, 2024 and 2023. Three Months Ended March 31, 2024 2023 (In thousands) Beginning balance of deferred ceding commission income $ 33,627 $ 42,757 Ceding commission deferred 10,302 15,021 Less: ceding commission earned ( 12,380 ) ( 17,089 ) Ending balance of deferred ceding commission income $ 31,549 $ 40,689 Deferred ceding commission income is classified in “Accounts payable and other liabilities” on the Company’s condensed consolidated balance sheet. |
Deferred Policy Acquisition Cos
Deferred Policy Acquisition Costs | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
Deferred Policy Acquisition Costs | NOTE 10. DEFERRED POLICY ACQUISITION COSTS The Company defers certain costs in connection with written policies, called deferred policy acquisition costs (“DPAC”), which are amortized over the effective period of the related insurance policies. The Company anticipates that its DPAC will be fully recoverable in the near term. The table below depicts the activity regarding DPAC for the three months ended March 31, 2024 and 2023. Three Months Ended March 31, 2024 2023 (In thousands) Beginning Balance $ 102,884 $ 99,617 Policy acquisition costs deferred 56,257 53,180 Amortization ( 54,924 ) ( 54,762 ) Ending Balance $ 104,217 $ 98,035 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 11. INCOME TAXES For the three months ended March 31, 2024 and 2023, the Company recorded income tax provision of $ 5.6 million and $ 3.2 million, respectively. The reduction is driven primarily by a change in the effective tax rate. The effective tax rate was 28.4 % compared to 18.6 % in the prior year quarter . The effective tax rate for the prior year quarter includes the benefit from a downward reduction of $ 1.7 million to the valuation allowance related to Osprey Re, which lowered the effective tax rate for that period. There was no benefit nor detriment associated with a valuation allowance in the current year quarter. The valuation allowance related to certain tax elections made by Osprey Re, the Company’s captive reinsurer domiciled in Bermuda. The Company calculates the provision for income taxes during interim reporting periods by applying an estimate of the effective tax rate for the full year. Additionally, the effective tax rate can fluctuate throughout the year as estimates used in the quarterly tax provision are updated with additional information. The table below summarizes the significant components of the Company’s net deferred tax assets: March 31, 2024 December 31, 2023 Deferred tax assets: (in thousands) Unearned premiums $ 25,816 $ 18,507 Unearned commission 7,472 7,964 Net operating loss 1 436 Tax-related discount on loss reserve 4,530 5,162 Stock-based compensation 478 331 Accrued expenses 579 1,677 Leases 941 940 Unrealized losses 11,722 11,655 Other 257 473 Total deferred tax asset 51,796 47,145 Deferred tax liabilities: Deferred acquisition costs $ 24,681 $ 24,366 Prepaid expenses 380 189 Property and equipment 10 359 Note discount 112 152 Basis in purchased investments 8 8 Basis in purchased intangibles 8,993 9,327 Other 2,103 1,633 Total deferred tax liabilities 36,287 36,034 Net deferred tax assets $ 15,509 $ 11,111 The statute of limitations related to the Company’s federal and state income tax returns remains open from the Company’s filings for 2020 through 2023. There are currently no tax years under examination. At March 31, 2024 and December 31, 2023, the Company had no significant uncertain tax positions or unrecognized tax benefits that, if recognized, would impact the effective income tax rate. |
Reinsurance
Reinsurance | 3 Months Ended |
Mar. 31, 2023 | |
Insurance [Abstract] | |
Reinsurance | NOTE 12. REINSURANCE Overview In order to limit the Company’s potential exposure to individual risks and catastrophic events, the Company purchases significant reinsurance from third party reinsurers. Purchasing reinsurance is an important part of the Company’s risk strategy, and premiums ceded to reinsurers is one of the Company’s largest costs. The Company has strong relationships with reinsurers, which it attributes to its management’s industry experience, disciplined underwriting, and claims management capabilities. For each of the twelve months beginning June 1, 2023 and 2022, the Company purchased reinsurance from the following sources: (i) the Florida Hurricane Catastrophe Fund, a state-mandated catastrophe fund (“FHCF”) which provides reinsurance for Florida admitted policies only, (ii) private reinsurers, all of which were rated “A-” or higher by A.M. Best Company, Inc. (“A.M. Best”) or Standard & Poor’s Financial Services LLC (“S&P”) or were fully collateralized, and (iii) the Company’s wholly-owned reinsurance subsidiary, Osprey Re Ltd. (“Osprey”). The Company also sponsored catastrophe bonds in 2023 and 2022 through Citrus Re Ltd. For the 2023 hurricane season, the Company also obtained reinsurance from the Florida State Board of Administration’s Reinsurance to assist Policyholders (“RAP”) program which provided reinsurance for Florida admitted policies only. The RAP component of the Company's reinsurance program was provided at no cost to the Company and is a non-recurring reinsurance program. In addition to purchasing excess of loss catastrophe reinsurance, the Company also purchases quota share, property per risk and facultative reinsurance. The Company’s quota share program limits its exposure on catastrophe and non-catastrophe losses and provides ceding commission income. The Company’s per risk programs limit its net exposure in the event of a severe non-catastrophe loss impacting a single location or risk. The Company also utilizes facultative reinsurance to supplement its per risk reinsurance program where the Company capacity needs dictate. Purchasing a sufficient amount of reinsurance to cover catastrophic losses from single or multiple events or significant non-catastrophe losses is an important part of the Company’s risk strategy. Reinsurance involves transferring, or “ceding”, a portion of the risk exposure on policies the Company writes to another insurer, known as a reinsurer. To the extent that the Company’s reinsurers are unable to meet the obligations they assume under the Company’s reinsurance agreements, the Company remains liable for the entire insured loss. The Company’s insurance regulators require all insurance companies, like us, to have a certain amount of capital and reinsurance coverage in order to cover losses and loss adjustment expenses upon the occurrence of a catastrophic event. The Company’s reinsurance program provides reinsurance in excess of its state regulator requirements, which are based on the probable maximum loss that it would incur from an individual catastrophic event estimated to occur once in every 100 years based on its portfolio of insured risks. The nature, severity and location of the event giving rise to such a probable maximum loss differs for each insurer depending on the insurer’s portfolio of insured risks, including, among other things, the geographic concentration of insured value within such portfolio. As a result, a particular catastrophic event could be a one-in-100-year loss event for one insurance company while having a greater or lesser probability of occurrence for another insurance company. The Company also purchases reinsurance coverage to protect against the potential for multiple catastrophic events occurring in the same year. The Company shares portions of its reinsurance program coverage among its insurance company affiliates. For a detailed discussion of the Company’s 2023-2024 Reinsurance Program please Refer to Part II, Item 8, “Financial Statements and Supplementary Data” and “ Note 12. Reinsurance ” in the Company’s 2023 Form 10-K. Effect of Reinsurance The Company’s reinsurance arrangements had the following effect on certain items in the condensed consolidated statement of income for the three months ended March 31, 2024 and 2023: Three Months Ended March 31, 2024 2023 (In thousands) Premium written: Direct $ 356,684 $ 310,309 Ceded ( 44,468 ) ( 32,776 ) Net $ 312,216 $ 277,533 Premiums earned: Direct $ 341,389 $ 317,022 Ceded ( 161,963 ) ( 150,993 ) Net $ 179,426 $ 166,029 Loss and Loss Adjustment Expenses Direct $ 291,362 $ 162,817 Ceded ( 189,327 ) ( 65,365 ) Net $ 102,035 $ 97,452 |
Reserve For Unpaid Losses
Reserve For Unpaid Losses | 3 Months Ended |
Mar. 31, 2023 | |
Insurance [Abstract] | |
Reserve for Unpaid Losses | NOTE 13. RESERVE FOR UNPAID LOSSES The Company determines the reserve for unpaid losses on an individual-case basis for all incidents reported. The liability also includes amounts which are commonly referred to as incurred but not reported, or “IBNR”, claims as of the balance sheet date. The Company estimates its IBNR reserves by projecting its ultimate losses using industry accepted actuarial methods and then deducting actual loss payments and case reserves from the projected ultimate losses. The table below summarizes the activity related to the Company’s reserve for unpaid losses: Three Months Ended March 31, 2024 2023 (In thousands) Balance, beginning of period $ 845,955 $ 1,131,807 Less: reinsurance recoverable on unpaid losses 421,798 759,682 Net balance, beginning of period 424,157 372,125 Incurred related to: Current year 95,372 98,914 Prior years 6,663 ( 1,462 ) Total incurred 102,035 97,452 Paid related to: Current year 30,182 30,374 Prior years 130,199 78,429 Total paid 160,381 108,803 Net balance, end of period 365,811 360,774 Plus: reinsurance recoverable on unpaid losses 477,876 620,218 Balance, end of period $ 843,687 $ 980,992 The Company believes that the reserve for unpaid losses reasonably represents the amount necessary to pay all claims and related expenses which may arise from incidents that have occurred as of the balance sheet date. As of March 31, 2024, the Company reported $ 365.8 million in unpaid losses and loss adjustment expenses, net of reinsurance which included $ 237.0 million attributable to IBNR net of reinsurance recoverable, or 64.8 % of net reserves for unpaid losses and loss adjustment expenses. Reinsurance recoverable on unpaid losses includes expected reinsurance recoveries associated with reinsurance contracts the Company has in place. The amount may include recoveries from catastrophe excess of loss reinsurance, net quota share reinsurance, per risk reinsurance, and facultative reinsurance contracts. |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | NOTE 14. LONG-TERM DEBT Convertible Senior Notes In August 2017 and September 2017, the Company issued in aggregate $ 136.8 million of 5.875 % Convertible Senior Notes (“Convertible Notes”) maturing on August 1, 2037 , unless earlier repurchased, redeemed or converted. Interest is payable semi-annually in arrears, on February 1, and August 1 of each year . In January 2022, the Company reacquired and retired $ 11.7 million of its outstanding Convertible Senior Notes. Payment was made in cash and the Convertible Notes were retired at the time of repurchase. In addition, the Company expensed $ 242,700 which was the proportionate amount of the unamortized issuance and debt discount costs associated with this repurchase. As of December 31, 2023 and at March 31, 2024, the Company had approximately $ 885,000 of the Convertible Notes outstanding, net of $ 21.1 million of Convertible Notes held by an insurance company subsidiary. For each of the three-month periods ended March 31, 2024 and 2023, the Company made interest payments, net of affiliated Convertible Notes, of approximately $ 25,115 , on the outstanding Convertible Notes. Senior Secured Credit Facility The Company is party to a credit agreement dated as of December 14, 2018 (as amended from time to time, the “Credit Agreement”) with a syndicate of lenders. The Credit Agreement, as amended, provides for (1) a five-year senior secured term loan facility in an aggregate principal amount of $ 100 million (the “Term Loan Facility”) and (2) a five-year senior secured revolving credit facility in an aggregate principal amount of $ 50 million (inclusive of a sublimit for the issuance of letters of credit equal to the unused amount of the revolving credit facility and a sublimit for swingline loans equal to the lesser of $ 25 million and the unused amount of the revolving credit facility) (the “Revolving Credit Facility” and together with the Term Loan Facility, the “Credit Facilities”). Term Loan Facility. The principal amount of the Term Loan Facility amortizes in quarterly installments, which began with the close of the fiscal quarter ending March 31, 2019, in an amount equal to $ 1.9 million per quarter, payable quarterly, decreasing to $ 875,000 per quarter commencing with the quarter ending December 31, 2021, and increasing to $ 2.4 million per quarter commencing with the quarter ending December 31, 2022, with the remaining balance payable at maturity. The Term Loan Facility matures on July 28, 2026. As of December 31, 2023 and March 31, 2024, there was $ 79.6 million and $ 77.3 million in aggregate principal outstanding under the Term Loan Facility, respectively, and after giving effect to the additional term loan advance that was used to refinance amounts outstanding under the Revolving Credit Facility and to pay fees, costs and expenses related thereto, there was $ 10 million in aggregate principal outstanding under the Revolving Credit Facility. For the three months ended March 31, 2024 and 2023, the Company made principal payments of approximately $ 2.4 million and $ 2.4 million and interest payments of $ 1.7 million and $ 1.7 million, respectively, on the Term Loan Facility. Revolving Credit Facility. The Revolving Credit Facility allows for borrowings of up to $ 50 million inclusive of a sublimit for the issuance of letters of credit equal to the unused amount of the Revolving Credit Facility and a sublimit for swingline loans equal to the lesser of $ 25 million and the unused amount of the Revolving Credit Facility. At March 31, 2024 and December 31, 2023, the Company had $ 10.0 million in borrowings under the Revolving Credit Facility. At March 31, 2024 and 2023, there were no outstanding letters of credit issued under the Revolving Credit Facility. For the three months ended March 31, 2023, the Company made interest payments in aggregate of approximately $ 188,670 on the Revolving Credit Facility. For the three months ended March 31, 2024, the Company made interest payments in aggregate of approximately $ 204,750 on the Revolving Credit Facility and $ 33,674 relating to unused availability commitment fees. At the Company's option, borrowings under the Credit Facilities bear interest at rates equal to either (1) a rate determined by reference to SOFR, plus an applicable margin and a credit adjustment spread equal to 0.10 % or (2) a base rate determined by reference to the highest of (a) the “prime rate” of Regions Bank, (b) the federal funds rate plus 0.50 %, and (c) the adjusted term SOFR in effect on such day for an interest period of one month plus 1.00 %, plus an applicable margin. At March 31, 2024, the effective interest rate for the Term Loan Facility and Revolving Credit Facility was 8.171 % and 8.176 %, respectively. The Company monitors the rates prior to the reset date which allows it to establish if the payment is monthly or quarterly payment based on the most beneficial rate used to calculate the interest payment. Mortgage Loan In October 2017, the Company and its subsidiary, Skye Lane Properties LLC, jointly obtained a commercial real estate mortgage loan in the amount of $ 12.7 million, bearing interest of 4.95 % per annum and maturing on October 30, 2027. Pursuant to the terms of the mortgage loan, on October 30, 2022, the interest rate adjusted to an interest rate equal to the annualized interest rate of the United States 5-year Treasury Notes as reported by Federal Reserve on a weekly average basis plus 3.10 %, which resulted in an increase of the rate from 4.95 % to 7.42 % per annum, paid monthly. For the three months ended March 31, 2024 and 2023, the Company made principal and interest payments of $ 182,710 and $ 223,212 on the mortgage loan, respectively. FHLB Loan Agreements In December 2018, a subsidiary of the Company received a 3.094 % fixed interest rate cash loan of $ 19.2 million from the Federal Home Loan Bank (“FHLB”) Atlanta. On September 29, 2023, the Company restructured the December 2018 agreement to extend the maturity date to March 28, 2025 , with a 5.109 % fixed interest rate payable quarterly commencing on December 28, 2023. In connection with the initial loan agreement, the subsidiary became a member of the FHLB. Membership in the FHLB required an investment in FHLB’s common stock which was purchased in December 2018 and valued at $ 1.4 million. Additionally, the transaction required the acquired FHLB common stock and certain other investments to be pledged as collateral. As of March 31, 2024, the fair value of the collateralized securities was $ 23.6 million and the equity investment in FHLB common stock was $ 1.5 million. For the three months ended March 31, 2024, and 2023, the Company made quarterly interest payments as per the terms of the loan agreement of approximately $ 248,050 and $ 148,500 , respectively. As of March 31, 2024 and at December 31, 2023, the Company also holds other common stock from FHLB Boston for a value of $ 177,197 , classified as equity securities and reported at fair value on the condensed consolidated financial statements. In December 2018, our insurance subsidiary became a member of the FHLB-DM. Membership in the FHLB-DM required an investment in FHLB-DM’s common stock which was purchased in December 2018 and valued at $ 133,200 . In January 2024 , the insurance subsidiary of the Company received a 4.23 % fixed interest rate cash loan of $ 5.5 million from the Federal Home Loan Bank (“FHLB-DM”) Des Moines. Additionally, the transaction required the acquired FHLB-DM common stock and certain other investments to be pledged as collateral. As of March 31, 2024, the fair value of the collateralized securities was $ 19.8 million and the equity investment in FHLB common stock was $ 295,500 . For the three months ended March 31, 2024, the Company made monthly interest payments as per the terms of the loan agreement of approximately $ 58,294 . The following table summarizes the Company’s long-term debt and credit facilities as of March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 (in thousands) Convertible debt $ 885 $ 885 Mortgage loan 10,955 11,019 Term loan facility 77,250 79,625 Revolving credit facility 10,000 10,000 FHLB loan agreement 24,700 19,200 Total principal amount $ 123,790 $ 120,729 Deferred finance costs $ 783 $ 997 Total long-term debt $ 123,007 $ 119,732 As of the date of this report, the Company was in compliance with the applicable terms of all its covenants and other requirements under the Credit Agreement, Convertible Notes, cash borrowings and other loans. The Company’s ability to secure future debt financing depends, in part, on its ability to remain in such compliance. The covenants in the Credit Agreement may limit the Company’s flexibility in connection with future financing transactions and in the allocation of capital in the future, including the Company’s ability to pay dividends and make stock repurchases, and contribute capital to its insurance subsidiaries that are not parties to the Credit Agreement. The schedule of principal payments on long-term debt as of March 31, 2024 is as follows: Year Amount (In thousands) 2024 remaining $ 7,416 2025 29,074 2026 71,018 2027 9,897 2028 — Thereafter 6,385 Total $ 123,790 |
Accounts Payable and Other Liab
Accounts Payable and Other Liabilities | 3 Months Ended |
Mar. 31, 2024 | |
Other Liabilities Disclosure [Abstract] | |
Accounts Payable and Other Liabilities | NOTE 15. ACCOUNTS PAYABLE AND OTHER LIABILITIES Accounts payable and other liabilities consist of the following: Description March 31, 2024 December 31, 2023 (In thousands) Deferred ceding commission $ 31,549 33,627 Accounts payable and other payables 16,141 16,185 Accrued dividends — 54 Accrued interest and issuance costs 256 325 Other liabilities 213 275 Premium tax 1,507 1,486 Commission payables 16,534 17,714 Total other liabilities $ 66,200 $ 69,666 |
Statutory Accounting and Regula
Statutory Accounting and Regulations | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
Statutory Accounting and Regulations | NOTE 16. STATUTORY ACCOUNTING AND REGULATIONS State laws and regulations, as well as national regulatory agency requirements, govern the operations of all insurers such as the Company’s insurance subsidiaries. The various laws and regulations require that insurers maintain minimum amounts of statutory surplus and risk-based capital, restrict insurers’ ability to pay dividends, restrict the allowable investment types and investment mixes, and subject the Company’s insurers to assessments. The Company’s insurance subsidiaries Heritage Property & Casualty Insurance Company (“Heritage P&C)”, Narragansett Bay Insurance Company (“NBIC”), Zephyr Insurance Company (“Zephyr”), and Pawtucket Insurance Company (“PIC”) must maintain capital and surplus ratios or balances as determined by the regulatory authority of the states in which they are domiciled. Heritage P&C is required to maintain capital and surplus equal to the greater of $ 15.0 million or 10 % of its respective liabilities . Zephyr is required to maintain a deposit of $ 750,000 in a federally insured financial institution. NBIC is required to maintain capital and surplus of $ 3.0 million. The combined statutory surplus for Heritage P&C, Zephyr, and NBIC was $ 254.3 million at March 31, 2024 and $ 259.6 million at December 31, 2023. State law also requires the Company’s insurance subsidiaries to adhere to prescribed premium-to-capital surplus ratios, and risk-based capital requirements with which the Company's insurance subsidiaries are in compliance. At March 31, 2024, the Company’s insurance subsidiaries met the financial and regulatory requirements of each of the states in which they conduct business. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 17. COMMITMENTS AND CONTINGENCIES The Company is involved in claims-related legal actions arising in the ordinary course of business. The Company accrues amounts resulting from claims-related legal actions in unpaid losses and loss adjustment expenses during the period that it determines an unfavorable outcome becomes probable and it can estimate the amounts. Management makes revisions to its estimates based on its analysis of subsequent information that the Company receives regarding various factors, including: (i) per claim information; (ii) company and industry historical loss experience; (iii) judicial decisions and legal developments in the awarding of damages; and (iv) trends in general economic conditions, including the effects of inflation. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 18. RELATED PARTY TRANSACTIONS From time to time the Company has been party to various related party transactions involving certain of its officers, directors and significant stockholders, including as set forth below. The Company has entered into each of these arrangements without obligation to continue its effect in the future and the associated expense was immaterial to its results of operations or financial position as of March 31, 2024 and 2023. • In July 2019, the Board of Directors appointed Mark Berset to the Board of Directors of the Company. Mr. Berset is also the Chief Executive Officer of Comegys Insurance Agency, Inc. (“Comegys”), an independent insurance agency that writes policies for the Company. The Company pays commission to Comegys based upon standard industry rates consistent with those provided to the Company’s other insurance agencies. There are no arrangements or understandings between Mr. Berset and any other persons with respect to his appointment as a director. For the three months ended March 31, 2024 and 2023, the Company paid agency commission to Comegys of approximately $ 40,808 and $ 36,625 , respectively. |
Employee Benefit Plans
Employee Benefit Plans | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | NOTE 19. EMPLOYEE BENEFIT PLANS The Company provides a 401(k) plan for all qualifying employees. The Company provides a matching contribution of 100 % on the first 3% of employees’ contribution and 50 % on the next 2% of the employees’ contribution to the plan. The maximum match is 4 %. For the three months ended March 31, 2024 and 2023, the contributions made to the plan on behalf of the participating employees were approximately $ 453,200 and $ 399,200 , respectively. The Company's offers employee's a flex healthcare plan which allows employees the choice of three medical plans with a range of coverage levels and costs. For the three months ended March 31, 2024 and 2023, the Company incurred medical premium costs including healthcare premiums of $ 1.2 million and $ 1.5 million, respectively. |
Equity
Equity | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Equity | NOTE 20. EQUITY The total amount of authorized capital stock consists of 50,000,000 shares of common stock and 5,000,000 shares of preferred stock. As of March 31, 2024, the Company had 30,636,496 shares of common stock outstanding, 12,231,674 treasury shares of common stock and 1,579,369 unvested restricted common stock reflecting additional paid-in capital of $ 361.0 million as of such date. As more fully disclosed in the Company’s audited consolidated financial statements for the year ended December 31, 2023, as of December 31, 2023, there were 30,218,938 shares of common stock outstanding, 12,231,674 treasury shares of common stock and 1,161,811 unvested shares of restricted common stock, representing $ 360.3 million of additional paid-in capital. Common Stock Holders of common stock are entitled to one vote for each share held on all matters subject to a vote of stockholders, subject to the rights of holders of any outstanding preferred stock. Accordingly, holders of a majority of the shares of common stock entitled to vote in any election of directors may elect all of the directors standing for election, subject to the rights of holders of any outstanding preferred stock. Holders of common stock will be entitled to receive ratably any dividends that the board of directors may declare out of funds legally available therefor, subject to any preferential dividend rights of outstanding preferred stock. Upon the Company’s liquidation, dissolution or winding up, the holders of common stock will be entitled to receive ratably its net assets available after the payment of all debts and other liabilities and subject to the prior rights of holders of any outstanding preferred stock. Holders of common stock have no preemptive, subscription, redemption or conversion rights. There is no redemption or sinking fund provisions applicable to the common stock. All outstanding shares of the Company’s capital stock (excluding restricted stock) are fully paid and nonassessable. Stock Repurchase Program On December 15, 2022, the Board of Directors established a new share repurchase program plan to commence upon December 31, 2022 , for the purpose of repurchasing up to an aggregate of $ 10.0 million of common stock, through the open market or in such other manner as will comply with the terms of applicable federal and state securities laws and regulations, including without limitation, Rule 10b-18 under the Securities Act at any time or from time to time on or prior to December 31, 2023 (the "Prior Share Repurchase Plan"). There were no shares repurchased for the year ended December 31, 2023. On March 11, 2024, the Board of Directors established a new share repurchase program plan which commenced upon the expiration of the Prior Share Repurchase Plan on December 31, 2023 , for the purpose of repurchasing up to an aggregate of $ 10.0 million of common stock, through the open market or in such other manner as will comply with the terms of applicable federal and state securities laws and regulations, including without limitation, Rule 10b-18 under the Securities Act at any time or from time to time on or prior to December 31, 2024 (the "New Share Repurchase Plan"). There were no shares repurchased for the quarter ended March 31, 2024. Dividends The declaration and payment of any future dividends will be subject to the discretion of the Board of Directors and will depend on a variety of factors including the Company’s financial condition and results of operations. The Board of Directors elected not to declare any dividends during the three months ended March 31, 2024 or for the 2023 calendar year. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | NOTE 21. STOCK-BASED COMPENSATION Restricted Stock The Company has adopted the Heritage Insurance Holdings, Inc., 2023 Omnibus Incentive Plan (the “2023 Plan”), which became effective on June 7, 2023. The 2023 Plan authorized 2,125,000 shares of common stock for issuance under the Plan for future grants. Upon effectiveness of the 2023 Plan, no new awards may be granted under the prior Omnibus Incentive Plan, which will continue to govern the terms of awards previously made under such plan. At March 31, 2024, there were 902,559 shares available for grant under the Plan. The Company recognizes compensation expense under ASC 718 for its stock-based payments based on the fair value of the awards. On February 26, 2024, the Company awarded 163,640 time-based restricted stock and 253,918 performance-based restricted stock, with a fair value at the time of grant of $ 7.02 per share under the Company’s 2023 Omnibus Incentive Plan to certain employees. The time-based restricted stock shall vest annually in three equal installments commencing on December 15, 2024. The performance based restricted stock has a three-year performance period beginning on January 1, 2024 and ending on December 31, 2026 and will vest following the end of the performance period but no later than March 30, 2027. For the performance-based restricted stock, the number of shares that will be earned at the end of the performance period is subject to increase or decrease based on the results of the performance condition. The Plan authorizes the Company to grant stock options at exercise prices equal to the fair market value of the Company’s stock on the dates the options are granted. The Company has not granted any stock options since 2015 and all unexercised stock options have since been forfeited. Restricted stock activity for the three months ended March 31, 2024 is as follows: Weighted-Average Grant-Date Fair Number of shares Value per Share Non-vested, at December 31, 2023 1,161,811 $ 4.25 Granted - Performance-based restricted stock 253,918 $ 7.02 Granted - Time-based restricted stock 163,640 $ 7.02 Vested — — Canceled and surrendered — — Non-vested, at March 31, 2024 1,579,369 $ 4.98 Awards are being amortized to expense over the one to three-year vesting period. The Company recognized $ 594,888 and $ 394,624 of compensation expense for the three months ended March 31, 2024 and 2023, respectively. For the three months ended March 31, 2024 no shares vested or were cancelled. For the comparable period of 2023, 25,000 shares of restricted stock were vested and released. Of the shares released to employees 4,200 shares were withheld by the Company to cover withholding taxes of $ 7,560 . At March 31, 2024, there was approximately $ 2.0 million unrecognized expense related to time-based non-vested restricted stock and an additional $ 3.7 million for performance-based restricted stock, net of expected forfeitures which is expected to be recognized over the remaining restriction periods as described in the table below. For the comparable period in 2023, there was in aggregate $ 1.6 million of unrecognized expense. Additional information regarding the Company’s outstanding non-vested time-based restricted stock and performance-based restricted stock at March 31, 2023 is as follows: Grant date Restricted shares unvested Share Value at Grant Date Per Share Remaining Restriction Period (Years) March 16, 2022 37,947 6.72 0.9 June 19, 2023 77,296 4.14 0.3 July 11, 2023 1,046,568 4.08 1.6 February 26, 2024 163,640 7.02 2.8 February 26, 2024 253,918 7.02 2.8 1,579,369 |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 22. SUBSEQUENT EVENTS The Company performed an evaluation of subsequent events through the date the condensed consolidated financial statements were issued and determined there were no recognized or unrecognized subsequent events that would require an adjustment or additional disclosure in the condensed consolidated financial statements as of March 31, 2024. |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The condensed consolidated financial statements include the accounts of Heritage Insurance Holdings, Inc. (together with its subsidiaries, the “Company”). These statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Certain financial information that is normally included in annual consolidated financial statements prepared in accordance with GAAP, but that is not required for interim reporting purposes, has been omitted. In the opinion of the Company’s management, all material intercompany transactions and balances have been eliminated and all adjustments consisting of normal recurring accruals which are necessary for a fair statement of the financial condition and results of operations for the interim periods have been reflected. The accompanying interim condensed consolidated financial statements and related footnotes should be read in conjunction with the Company’s audited consolidated financial statements and related footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 filed on March 13, 2024 (the “2023 Form 10-K”). |
Significant Accounting Policies | Significant accounting policies The accounting policies of the Company are set forth in Note 1 to the condensed consolidated financial statements contained in the Company’s 2023 Form 10-K. |
Reclassification | Reclassification The Company reclassified certain amounts in the 2023 consolidated statement of cash flows and to conform to the 2024 presentation, relating to amounts specific to investing activities. |
Accounting Pronouncements Not Yet Adopted | Accounting Pronouncements not yet adopted The Company has documented the summary of its significant accounting policies in its Notes to the Audited Consolidated Financial Statements contained in the Company’s 2023 Form 10-K. There have been no material changes to the Company’s accounting policies since the filing of that report. No other new accounting pronouncements issued, but not yet adopted, have had, or are expected to have, a material impact on the Company’s results of operations or financial position. |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Debt Securities Available-for-Sale | The amortized cost, gross unrealized gains and losses, and fair value of the Company’s debt securities available-for-sale are as follows for the periods presented: March 31, 2024 Cost or Adjusted / Gross Unrealized Gross Unrealized Fair Value Debt Securities Available-for-sale (In thousands) U.S. government and agency securities (1) $ 114,288 $ 242 $ 1,276 $ 113,254 States, municipalities and political subdivisions 319,595 33 30,795 288,833 Corporate bonds 230,139 570 12,002 218,707 Mortgage-backed securities (1) 19,275 — 2,853 16,422 Asset-backed securities 2,993 — 151 2,842 Other 4,055 — — 4,055 Total $ 690,345 $ 845 $ 47,077 $ 644,113 (1) Includes securities at March 31, 2024 with a carrying amount of $ 23.6 million and $ 19.8 million that were pledged as collateral for the advance agreements entered into with a financial institution in 2018 and 2024, respectively. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. December 31, 2023 Cost or Adjusted / Gross Unrealized Gross Unrealized Fair Value (in thousands) Debt Securities Available-for-sale U.S. government and agency securities (1) $ 81,540 $ 417 $ 1,295 $ 80,662 States, municipalities and political subdivisions 319,896 104 31,018 288,982 Corporate bonds 178,213 475 11,858 166,830 Mortgage-backed securities 22,695 — 2,769 19,926 Asset-backed securities 247 — 20 227 Other 4,055 — — 4,055 Total $ 606,646 $ 996 $ 46,960 $ 560,682 (1) Includes securities at December 31, 2023 with a carrying amount of $ 26.3 million that were pledged as collateral for the advance agreement entered into with a financial institution in 2018. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. |
Schedule of Net Realized Gains (Losses) on Debt Securities Available-for-sale | The following table presents net realized losses on the Company’s debt securities available-for-sale for the three months ended March 31, 2024 and 2023, respectively : 2024 2023 Three Months Ended March 31, Gains Fair Value at Sale Gains Fair Value at Sale (In thousands) Debt Securities Available-for-Sale Total realized gains $ — $ — $ — $ — Total realized losses ( 1 ) 46 ( 2 ) 356 Net realized losses $ ( 1 ) $ 46 $ ( 2 ) $ 356 |
Schedule of Reconciliation of Net Realized Gains (Losses) on Investments | The following table presents the reconciliation of net realized (losses) gains on the Company’s investments reported for the three months ended March 31, 2024 and 2023, respectively: As of March 31, 2024 2023 Gross realized gains on sales of available-for-sale securities $ — $ — Gross realized losses on sales of available-for-sale securities ( 1 ) ( 2 ) Gross realized gains on sale of other investments — 1,900 Net realized (losses) gains $ ( 1 ) $ 1,898 |
Summary of Debt Securities by Contractual Maturity Periods | The table below summarizes the Company’s debt securities at March 31, 2024 by contractual maturity periods. Actual results may differ as issuers may have the right to call or prepay obligations, with or without penalties, prior to the contractual maturity of those obligations. At March 31, 2024 Cost or Amortized Cost Percent of Total Fair Value Percent of Total Maturity dates: (In thousands) (In thousands) Due in one year or less $ 95,446 13.9 % $ 94,240 14.6 % Due after one year through five years 391,043 56.6 % 368,877 57.3 % Due after five years through ten years 175,371 25.4 % 155,892 24.2 % Due after ten years 28,485 4.1 % 25,104 3.9 % Total $ 690,345 100.0 % $ 644,113 100.0 % |
Summary of Net Investment Income | The following table summarizes the Company’s net investment income by major investment category for the three months ended March 31, 2024 and 2023, respectively: Three Months Ended March 31, 2024 2023 (In thousands) Debt securities $ 4,556 $ 3,023 Equity securities 296 33 Cash and cash equivalents 4,218 2,204 Other investments 151 730 Net investment income 9,221 5,990 Less: Investment expenses 670 408 Net investment income, less investment expenses $ 8,551 $ 5,582 |
Schedule of Debt Securities Available-for-Sale in an Unrealized Loss Position, Aggregate Fair Value | The following tables present, for all debt securities available-for-sale in an unrealized loss position (including securities pledged) and for which no credit loss allowance has been established to date, the aggregate fair value and gross unrealized loss by length of time the security has continuously been in an unrealized loss position at March 31, 2024 and December 31, 2023, respectively: Less Than Twelve Months Twelve Months or More March 31, 2024 Number of Gross Fair Value Number of Gross Fair Value Debt Securities Available-for-sale U.S. government and agency securities 13 $ 55 $ 35,215 25 $ 1,221 $ 30,386 States, municipalities and political subdivisions 7 34 5,789 382 30,761 274,766 Corporate bonds 26 50 18,677 184 11,952 125,818 Mortgage-backed securities 8 — 5 124 2,853 16,416 Asset-backed securities — — — 26 151 2,806 Other — — — — — — Total 54 $ 139 $ 59,686 741 $ 46,938 $ 450,192 Less Than Twelve Months Twelve Months or More December 31, 2023 Number of Gross Fair Value Number of Gross Fair Value Debt Securities Available-for-sale U.S. government and agency securities 3 $ 14 $ 2,962 32 $ 1,281 $ 42,305 States, municipalities and political subdivisions 5 21 3,875 382 30,997 274,876 Corporate bonds 10 24 6,398 188 11,834 128,771 Mortgage-backed securities 10 — 7 138 2,769 19,810 Asset-backed securities — — — 24 20 373 Other — — — — — — Total 28 $ 59 $ 13,242 764 $ 46,901 $ 466,135 |
Summary of Carrying Value and Maximum Loss Exposure of Company's Non-consolidated VIEs | The following table summarizes the carrying value and maximum loss exposure of the Company’s non-consolidated VIEs at March 31, 2024 and December 31, 2023, respectively: As of March 31, 2024 As of December 31, 2023 Carrying Value Maximum Loss Exposure Carrying Value Maximum Loss Exposure Investments in non-consolidated VIEs - Equity method $ 1,738 $ 1,738 $ 1,819 $ 1,819 Investments in non-consolidated VIEs - Measurement alternative $ 5,148 $ 5,148 $ 5,248 $ 5,248 Total non-consolidated VIEs $ 6,886 $ 6,886 $ 7,067 $ 7,067 |
Fair Value of Financial Measu_2
Fair Value of Financial Measurements (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Measurements | The following table presents information about the Company’s assets measured at fair value on a recurring basis. The Company assesses the levels for the investments at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfer in accordance with the Company’s accounting policy regarding the recognitions of transfers between levels of the fair value hierarchy. The tables below present the balances of the Company’s invested assets measured at fair value on a recurring basis: March 31, 2024 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: (in thousands) Cash and cash equivalents $ 386,100 $ 386,100 $ — $ — Restricted cash $ 11,365 $ 11,365 $ — $ — Debt Securities Available-for-sale U.S. government and agency securities $ 113,254 $ — $ 113,254 $ — States, municipalities and political subdivisions 288,833 — 288,833 — Corporate bonds 218,707 — 218,707 — Mortgage-backed securities 16,422 — 16,422 — Asset-backed securities 2,842 — 2,842 — Other 4,055 — 4,055 — Total debt securities $ 644,113 $ — $ 644,113 $ — Equity Securities Common stock 1,936 1,936 — — Total debt securities and equity securities $ 646,049 $ 1,936 $ 644,113 $ — December 31, 2023 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Financial assets: (in thousands) Cash and cash equivalents $ 463,640 $ 463,640 $ — $ — Restricted cash $ 9,699 $ 9,699 $ — $ — Debt Securities Available-for-sale U.S. government and agency securities $ 80,662 $ — $ 80,662 $ — States, municipalities and political subdivisions 288,982 — 288,982 — Corporate bonds 166,830 — 166,830 — Mortgage-backed securities 19,926 — 19,926 — Asset-backed securities 227 — 227 — Other 4,055 — 4,055 — Total debt securities $ 560,682 $ — $ 560,682 $ — Equity Securities Common stock 1,666 1,666 — — Total debt securities and equity securities $ 562,348 $ 1,666 $ 560,682 $ — |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |
Summary of Other Comprehensive Income and Tax Impact of Each Component of Other Comprehensive (Loss) Gains | The following table summarizes other comprehensive income and discloses the tax impact of each component of other comprehensive (loss) gains for the three months ended March 31, 2024 and 2023, respectively: For the Three Months Ended March 31, 2024 2023 Pre-tax Tax After-tax Pre-tax Tax After-tax (in thousands) Other comprehensive income Change in unrealized (losses) gains on investments, net $ ( 284 ) $ 67 $ ( 217 ) $ 12,143 $ ( 2,855 ) $ 9,288 Reclassification adjustment of realized losses included in net income 1 — 1 2 — 2 Effect on other comprehensive income $ ( 283 ) $ 67 $ ( 216 ) $ 12,145 $ ( 2,855 ) $ 9,290 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Leases [Abstract] | |
Components of Lease Costs | Components of the Company’s lease costs were as follows (in thousands): For The Three Months Ended March 31, 2024 2023 Operating lease cost, included in General & Administrative expenses on the Consolidated Statements of Operations $ 403 $ 393 Finance lease cost: Amortization of assets, included in General & Administrative expenses on the Consolidated Statements of Operations 635 645 Interest on lease liabilities, included in Interest expense on the Consolidated Statements of Operations 206 227 Total finance lease cost $ 841 $ 872 Variable lease cost, included in General & Administrative expenses on the Consolidated Statements of Operations $ 368 $ 409 Short-term lease cost, included in General & Administrative expenses on the Consolidated Statements of Operations $ 24 $ 30 |
Supplemental Balance Sheet Information Related to Operating and Financing Leases | Supplemental balance sheet information related to the Company’s operating and financing leases were as follows (in thousands): Operating Leases March 31, 2024 December 31, 2023 Right of use assets $ 6,662 $ 6,835 Lease liability $ 7,868 $ 8,076 Finance Leases Right of use assets $ 16,971 $ 17,606 Lease liability $ 19,830 $ 20,386 |
Weighted-Average Remaining Lease Term and Discount Rate for Operating and Financing Leases | Weighted-average remaining lease term and discount rate for the Company’s operating and financing leases for the periods presented below were as follows: Weighted-average remaining lease term March 31, 2024 December 31, 2023 Operating lease 5.31 yrs. 5.57 yrs. Finance lease 6.92 yrs. 7.16 yrs. Weighted-average discount rate Operating lease 5.44 % 5.17 % Finance lease 4.14 % 4.15 % |
Maturities of Lease Liabilities by Fiscal Year for Operating and Financing Leases | Maturities of lease liabilities by fiscal year for the Company’s operating and financing leases were as follows (in thousands): Financing Lease Operating Lease 2024 - remaining $ 2,346 $ 1,319 2025 3,173 1,655 2026 3,216 1,636 2027 3,190 1,599 2028 3,270 1,633 2029 and thereafter 7,651 1,213 Total lease payments 22,846 9,055 Less: imputed interest ( 3,016 ) ( 1,187 ) Present value of lease liabilities $ 19,830 $ 7,868 |
Schedule Of Supplemental Cash Flow Information Related To Operating And Financing Leases [Table Text Block] | Supplemental cash flow information related to the Company's operating and financing leases were as follows (in thousands): Operating Leases March 31, 2024 March 31, 2023 Lease liability payments $ 560 $ 541 Finance Leases Lease liability payments $ 211 $ 261 Total lease liability payments $ 771 $ 802 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment, Net | Property and equipment, net consisted of the following at March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 (In thousands) Land $ 2,582 $ 2,582 Building 9,599 9,599 Software in progress 14,667 14,450 Computer hardware and software 10,729 10,717 Office furniture and equipment 1,484 1,484 Tenant and leasehold improvements 10,876 10,876 Vehicle fleet 515 515 Total, at cost 50,452 50,223 Less: accumulated depreciation and amortization ( 17,685 ) ( 17,005 ) Property and equipment, net $ 32,767 $ 33,218 |
Intangible Assets, Net (Tables)
Intangible Assets, Net (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Estimated Amortization of Intangible Assets | Estimated annual pretax amortization of intangible assets for each of the next five years and thereafter is as follows (in thousands): Year Amount 2024 − remaining $ 4,638 2025 $ 6,183 2026 $ 6,033 2027 $ 5,836 2028 $ 3,913 Thereafter $ 13,090 Total $ 39,694 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings (Loss) Per Share (EPS) | The following table sets forth the computation of basic and diluted earnings per share (“EPS”) for the periods indicated. Three Months Ended March 31, 2024 2023 Basic and Diluted Net income available to common shareholders — basic and diluted $ 14,225 $ 14,008 Common Shares Basic Weighted average shares outstanding 30,376,682 25,558,305 Diluted Weighted average shares outstanding 30,376,682 25,558,305 5.875 % Convertible Notes 59,263 59,263 Total 30,435,945 25,617,568 Net income per common share Basic $ 0.47 $ 0.55 Diluted $ 0.47 $ 0.55 |
Deferred Reinsurance Ceding C_2
Deferred Reinsurance Ceding Commission (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
Schedule of Activity with Regard to Deferred Reinsurance Ceding Commission | The table below depicts the activity regarding deferred reinsurance ceding commission during the three months ended March 31, 2024 and 2023. Three Months Ended March 31, 2024 2023 (In thousands) Beginning balance of deferred ceding commission income $ 33,627 $ 42,757 Ceding commission deferred 10,302 15,021 Less: ceding commission earned ( 12,380 ) ( 17,089 ) Ending balance of deferred ceding commission income $ 31,549 $ 40,689 |
Deferred Policy Acquisition C_2
Deferred Policy Acquisition Costs (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
Summary of Activity in Deferred Policy Acquisition Costs (DPAC) | The Company anticipates that its DPAC will be fully recoverable in the near term. The table below depicts the activity regarding DPAC for the three months ended March 31, 2024 and 2023. Three Months Ended March 31, 2024 2023 (In thousands) Beginning Balance $ 102,884 $ 99,617 Policy acquisition costs deferred 56,257 53,180 Amortization ( 54,924 ) ( 54,762 ) Ending Balance $ 104,217 $ 98,035 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Components of Net Deferred Tax Assets | The table below summarizes the significant components of the Company’s net deferred tax assets: March 31, 2024 December 31, 2023 Deferred tax assets: (in thousands) Unearned premiums $ 25,816 $ 18,507 Unearned commission 7,472 7,964 Net operating loss 1 436 Tax-related discount on loss reserve 4,530 5,162 Stock-based compensation 478 331 Accrued expenses 579 1,677 Leases 941 940 Unrealized losses 11,722 11,655 Other 257 473 Total deferred tax asset 51,796 47,145 Deferred tax liabilities: Deferred acquisition costs $ 24,681 $ 24,366 Prepaid expenses 380 189 Property and equipment 10 359 Note discount 112 152 Basis in purchased investments 8 8 Basis in purchased intangibles 8,993 9,327 Other 2,103 1,633 Total deferred tax liabilities 36,287 36,034 Net deferred tax assets $ 15,509 $ 11,111 |
Reinsurance (Tables)
Reinsurance (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
Schedule of Effect of Reinsurance Arrangements in Consolidated Statement of Income | The Company’s reinsurance arrangements had the following effect on certain items in the condensed consolidated statement of income for the three months ended March 31, 2024 and 2023: Three Months Ended March 31, 2024 2023 (In thousands) Premium written: Direct $ 356,684 $ 310,309 Ceded ( 44,468 ) ( 32,776 ) Net $ 312,216 $ 277,533 Premiums earned: Direct $ 341,389 $ 317,022 Ceded ( 161,963 ) ( 150,993 ) Net $ 179,426 $ 166,029 Loss and Loss Adjustment Expenses Direct $ 291,362 $ 162,817 Ceded ( 189,327 ) ( 65,365 ) Net $ 102,035 $ 97,452 |
Reserve for Unpaid Losses (Tabl
Reserve for Unpaid Losses (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Insurance [Abstract] | |
Summary of Reserve for Unpaid Losses | The table below summarizes the activity related to the Company’s reserve for unpaid losses: Three Months Ended March 31, 2024 2023 (In thousands) Balance, beginning of period $ 845,955 $ 1,131,807 Less: reinsurance recoverable on unpaid losses 421,798 759,682 Net balance, beginning of period 424,157 372,125 Incurred related to: Current year 95,372 98,914 Prior years 6,663 ( 1,462 ) Total incurred 102,035 97,452 Paid related to: Current year 30,182 30,374 Prior years 130,199 78,429 Total paid 160,381 108,803 Net balance, end of period 365,811 360,774 Plus: reinsurance recoverable on unpaid losses 477,876 620,218 Balance, end of period $ 843,687 $ 980,992 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Company's Long Term Debt and Credit Facilities | The following table summarizes the Company’s long-term debt and credit facilities as of March 31, 2024 and December 31, 2023: March 31, 2024 December 31, 2023 (in thousands) Convertible debt $ 885 $ 885 Mortgage loan 10,955 11,019 Term loan facility 77,250 79,625 Revolving credit facility 10,000 10,000 FHLB loan agreement 24,700 19,200 Total principal amount $ 123,790 $ 120,729 Deferred finance costs $ 783 $ 997 Total long-term debt $ 123,007 $ 119,732 |
Schedule of Principal Payments on Long-Term Debt | The schedule of principal payments on long-term debt as of March 31, 2024 is as follows: Year Amount (In thousands) 2024 remaining $ 7,416 2025 29,074 2026 71,018 2027 9,897 2028 — Thereafter 6,385 Total $ 123,790 |
Accounts Payable and Other Li_2
Accounts Payable and Other Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Accounts Payable and Other Liabilities | Accounts payable and other liabilities consist of the following: Description March 31, 2024 December 31, 2023 (In thousands) Deferred ceding commission $ 31,549 33,627 Accounts payable and other payables 16,141 16,185 Accrued dividends — 54 Accrued interest and issuance costs 256 325 Other liabilities 213 275 Premium tax 1,507 1,486 Commission payables 16,534 17,714 Total other liabilities $ 66,200 $ 69,666 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Restricted Stock Activity | Restricted stock activity for the three months ended March 31, 2024 is as follows: Weighted-Average Grant-Date Fair Number of shares Value per Share Non-vested, at December 31, 2023 1,161,811 $ 4.25 Granted - Performance-based restricted stock 253,918 $ 7.02 Granted - Time-based restricted stock 163,640 $ 7.02 Vested — — Canceled and surrendered — — Non-vested, at March 31, 2024 1,579,369 $ 4.98 |
Additional Information Regarding Outstanding Non-vested Time-based Restricted Stock and Performance-based Restricted Stock | Additional information regarding the Company’s outstanding non-vested time-based restricted stock and performance-based restricted stock at March 31, 2023 is as follows: Grant date Restricted shares unvested Share Value at Grant Date Per Share Remaining Restriction Period (Years) March 16, 2022 37,947 6.72 0.9 June 19, 2023 77,296 4.14 0.3 July 11, 2023 1,046,568 4.08 1.6 February 26, 2024 163,640 7.02 2.8 February 26, 2024 253,918 7.02 2.8 1,579,369 |
Investments - Schedule of Amort
Investments - Schedule of Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Debt Securities Available-for-Sale (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | ||
Schedule of Available-for-sale Securities [Line Items] | ||||
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | $ 690,345 | $ 606,646 | ||
Debt Securities Available-for-sale, Gross Unrealized Gains | 845 | 996 | ||
Debt Securities Available-for-sale, Gross Unrealized Losses | 47,077 | 46,960 | ||
Debt Securities, Available-for-Sale | 644,113 | 560,682 | ||
U.S. government and agency securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | 114,288 | [1] | 81,540 | [2] |
Debt Securities Available-for-sale, Gross Unrealized Gains | 242 | [1] | 417 | [2] |
Debt Securities Available-for-sale, Gross Unrealized Losses | 1,276 | [1] | 1,295 | [2] |
Debt Securities, Available-for-Sale | 113,254 | [1] | 80,662 | [2] |
States, Municipalities and Political Subdivisions [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | 319,595 | 319,896 | ||
Debt Securities Available-for-sale, Gross Unrealized Gains | 33 | 104 | ||
Debt Securities Available-for-sale, Gross Unrealized Losses | 30,795 | 31,018 | ||
Debt Securities, Available-for-Sale | 288,833 | 288,982 | ||
Corporate bonds [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | 230,139 | 178,213 | ||
Debt Securities Available-for-sale, Gross Unrealized Gains | 570 | 475 | ||
Debt Securities Available-for-sale, Gross Unrealized Losses | 12,002 | 11,858 | ||
Debt Securities, Available-for-Sale | 218,707 | 166,830 | ||
Mortgage-backed securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | 19,275 | [1] | 22,695 | |
Debt Securities Available-for-sale, Gross Unrealized Gains | 0 | [1] | 0 | |
Debt Securities Available-for-sale, Gross Unrealized Losses | 2,853 | [1] | 2,769 | |
Debt Securities, Available-for-Sale | 16,422 | [1] | 19,926 | |
Asset-backed securities [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | 2,993 | 247 | ||
Debt Securities Available-for-sale, Gross Unrealized Gains | 0 | 0 | ||
Debt Securities Available-for-sale, Gross Unrealized Losses | 151 | 20 | ||
Debt Securities, Available-for-Sale | 2,842 | 227 | ||
Other [Member] | ||||
Schedule of Available-for-sale Securities [Line Items] | ||||
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | 4,055 | 4,055 | ||
Debt Securities Available-for-sale, Gross Unrealized Gains | 0 | 0 | ||
Debt Securities Available-for-sale, Gross Unrealized Losses | 0 | 0 | ||
Debt Securities, Available-for-Sale | $ 4,055 | $ 4,055 | ||
[1] Includes securities at March 31, 2024 with a carrying amount of $ 23.6 million and $ 19.8 million that were pledged as collateral for the advance agreements entered into with a financial institution in 2018 and 2024, respectively. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. Includes securities at December 31, 2023 with a carrying amount of $ 26.3 million that were pledged as collateral for the advance agreement entered into with a financial institution in 2018. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. |
Investments - Schedule of Amo_2
Investments - Schedule of Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Debt Securities Available-for-Sale (Parenthetical) (Detail) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Two Thousand And Eighteen Advance Agreement [Member] | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Carrying amount | $ 23.6 | $ 26.3 |
Two Thousand And Twenty Four Advance Agreement [Member] | ||
Debt Securities, Available-for-Sale [Line Items] | ||
Carrying amount | $ 19.8 |
Investments - Schedule of Net R
Investments - Schedule of Net Realized (Losses) Gains on Debt Securities Available-for-sale (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Debt Securities Available-for-Sale | ||
Total realized gains | $ 0 | $ 0 |
Total realized losses | (1) | (2) |
Net realized losses | (1) | (2) |
Debt Securities Available-for-sale, Fair Value at Sale | ||
Total realized gains, Fair Value at Sale | 0 | 0 |
Total realized losses, Fair Value at Sale | 46 | 356 |
Net realized gains (losses), Fair Value at Sale | $ 46 | $ 356 |
Investments - Schedule of Recon
Investments - Schedule of Reconciliation of Net Realized (Losses) Gains on Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||
Gross realized gains on sales of available-for-sale securities | $ 0 | $ 0 |
Gross realized losses on sales of available-for-sale securities | (1) | (2) |
Gross realized gains on sale of other investments | 0 | 1,900 |
Net realized (losses) gains | $ (1) | $ 1,898 |
Investments - Additional Inform
Investments - Additional Information (Detail) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Investments, Debt and Equity Securities [Abstract] | ||
Credit allowance for securities | $ 0 | $ 0 |
Investments - Summary of Debt S
Investments - Summary of Debt Securities by Contractual Maturity Periods (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||
Maturity date Due in one year or less, Cost or Amortized Cost | $ 95,446 | |
Maturity date Due after one year through five years, Cost or Amortized Cost | 391,043 | |
Maturity date Due after five years through ten years, Cost or Amortized Cost | 175,371 | |
Maturity date Due after ten years, Cost or Amortized Cost | 28,485 | |
Debt Securities Available-for-sale, Cost or Adjusted /Amortized Cost | $ 690,345 | $ 606,646 |
Maturity date Due in one year or less, Percentage of Total | 14.60% | |
Maturity date Due after one year through five years, Percentage of Total | 57.30% | |
Maturity date Due after five years through ten years, Percentage of Total | 24.20% | |
Maturity date Due after ten years, Percentage of Total | 3.90% | |
Maturity date Total, Percentage | 100% | |
Maturity date Due in one year or less, Fair Value | $ 94,240 | |
Maturity date Due after one year through five years, Fair Value | 368,877 | |
Maturity date Due after five years through ten years, Fair Value | 155,892 | |
Maturity date Due after ten years, Fair Value | 25,104 | |
Maturity date Total, Fair Value | $ 644,113 | $ 560,682 |
Maturity date Due in one year or less, Percentage of Total | 13.90% | |
Maturity date Due after one year through five years, Percentage of Total | 56.60% | |
Maturity date Due after five years through ten years, Percentage of Total | 25.40% | |
Maturity date Due after ten years, Percentage of Total | 4.10% | |
Maturity date Total, Percentage | 100% |
Investments - Summary of Net In
Investments - Summary of Net Investment Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Gross investment income (loss) | $ 9,221 | $ 5,990 |
Less: Investment expenses | 670 | 408 |
Net investment income, less investment expenses | 8,551 | 5,582 |
Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross investment income (loss) | 4,556 | 3,023 |
Equity Securities[Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross investment income (loss) | 296 | 33 |
Cash and Cash Equivalents [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross investment income (loss) | 4,218 | 2,204 |
Other Investments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Gross investment income (loss) | $ 151 | $ 730 |
Investments - Schedule of Debt
Investments - Schedule of Debt Securities Available-for-Sale in an Unrealized Loss Position, Aggregate Fair Value (Detail) $ in Thousands | Mar. 31, 2024 USD ($) Security | Dec. 31, 2023 USD ($) Security |
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities Available-for-sale Less Than Twelve Months, Number of Securities | Security | 54 | 28 |
Debt Securities Available-for-sale Less Than Twelve Months, Gross Unrealized Losses | $ 139 | $ 59 |
Debt Securities Available-for-sale Less Than Twelve Months, Fair Value | $ 59,686 | $ 13,242 |
Debt Securities Available-for-sale Twelve Months or More, Number of Securities | Security | 741 | 764 |
Debt Securities Available-for-sale Twelve Months or More, Gross Unrealized Losses | $ 46,938 | $ 46,901 |
Debt Securities Available-for-sale Twelve Months or More, Fair Value | $ 450,192 | $ 466,135 |
U.S. government and agency securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities Available-for-sale Less Than Twelve Months, Number of Securities | Security | 13 | 3 |
Debt Securities Available-for-sale Less Than Twelve Months, Gross Unrealized Losses | $ 55 | $ 14 |
Debt Securities Available-for-sale Less Than Twelve Months, Fair Value | $ 35,215 | $ 2,962 |
Debt Securities Available-for-sale Twelve Months or More, Number of Securities | Security | 25 | 32 |
Debt Securities Available-for-sale Twelve Months or More, Gross Unrealized Losses | $ 1,221 | $ 1,281 |
Debt Securities Available-for-sale Twelve Months or More, Fair Value | $ 30,386 | $ 42,305 |
States, Municipalities and Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities Available-for-sale Less Than Twelve Months, Number of Securities | Security | 7 | 5 |
Debt Securities Available-for-sale Less Than Twelve Months, Gross Unrealized Losses | $ 34 | $ 21 |
Debt Securities Available-for-sale Less Than Twelve Months, Fair Value | $ 5,789 | $ 3,875 |
Debt Securities Available-for-sale Twelve Months or More, Number of Securities | Security | 382 | 382 |
Debt Securities Available-for-sale Twelve Months or More, Gross Unrealized Losses | $ 30,761 | $ 30,997 |
Debt Securities Available-for-sale Twelve Months or More, Fair Value | $ 274,766 | $ 274,876 |
Corporate bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities Available-for-sale Less Than Twelve Months, Number of Securities | Security | 26 | 10 |
Debt Securities Available-for-sale Less Than Twelve Months, Gross Unrealized Losses | $ 50 | $ 24 |
Debt Securities Available-for-sale Less Than Twelve Months, Fair Value | $ 18,677 | $ 6,398 |
Debt Securities Available-for-sale Twelve Months or More, Number of Securities | Security | 184 | 188 |
Debt Securities Available-for-sale Twelve Months or More, Gross Unrealized Losses | $ 11,952 | $ 11,834 |
Debt Securities Available-for-sale Twelve Months or More, Fair Value | $ 125,818 | $ 128,771 |
Mortgage-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities Available-for-sale Less Than Twelve Months, Number of Securities | Security | 8 | 10 |
Debt Securities Available-for-sale Less Than Twelve Months, Gross Unrealized Losses | $ 0 | $ 0 |
Debt Securities Available-for-sale Less Than Twelve Months, Fair Value | $ 5 | $ 7 |
Debt Securities Available-for-sale Twelve Months or More, Number of Securities | Security | 124 | 138 |
Debt Securities Available-for-sale Twelve Months or More, Gross Unrealized Losses | $ 2,853 | $ 2,769 |
Debt Securities Available-for-sale Twelve Months or More, Fair Value | $ 16,416 | $ 19,810 |
Asset-backed securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities Available-for-sale Less Than Twelve Months, Number of Securities | Security | 0 | 0 |
Debt Securities Available-for-sale Less Than Twelve Months, Gross Unrealized Losses | $ 0 | $ 0 |
Debt Securities Available-for-sale Less Than Twelve Months, Fair Value | $ 0 | $ 0 |
Debt Securities Available-for-sale Twelve Months or More, Number of Securities | Security | 26 | 24 |
Debt Securities Available-for-sale Twelve Months or More, Gross Unrealized Losses | $ 151 | $ 20 |
Debt Securities Available-for-sale Twelve Months or More, Fair Value | $ 2,806 | $ 373 |
Other [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Debt Securities Available-for-sale Less Than Twelve Months, Number of Securities | Security | 0 | 0 |
Debt Securities Available-for-sale Less Than Twelve Months, Gross Unrealized Losses | $ 0 | $ 0 |
Debt Securities Available-for-sale Less Than Twelve Months, Fair Value | $ 0 | $ 0 |
Debt Securities Available-for-sale Twelve Months or More, Number of Securities | Security | 0 | 0 |
Debt Securities Available-for-sale Twelve Months or More, Gross Unrealized Losses | $ 0 | $ 0 |
Debt Securities Available-for-sale Twelve Months or More, Fair Value | $ 0 | $ 0 |
Investments - Summary of Carryi
Investments - Summary of Carrying Value and Maximum Loss Exposure of Company's Non-consolidated VIEs (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Variable Interest Entity [Line Items] | ||
Carrying Value | $ 6,886 | $ 7,067 |
Non-Consolidating Variable Interest Entities [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Value | 6,886 | 7,067 |
Maximum Loss Exposure | 6,886 | 7,067 |
Non-Consolidating Variable Interest Entities [Member] | Investments in Non-consolidated VIEs - Equity Method [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Value | 1,738 | 1,819 |
Maximum Loss Exposure | 1,738 | 1,819 |
Non-Consolidating Variable Interest Entities [Member] | Investments in Non-consolidated VIEs - Measurement alternative [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Value | 5,148 | 5,248 |
Maximum Loss Exposure | $ 5,148 | $ 5,248 |
Fair Value of Financial Measu_3
Fair Value of Financial Measurements - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets transfer between levels | $ 0 | $ 0 |
Fair Value, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets measured at fair value | 0 | |
Liabilities measured at fair value | $ 0 |
Fair Value of Financial Measu_4
Fair Value of Financial Measurements - Schedule of Fair Value of Measurements (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | $ 644,113 | $ 560,682 | ||
Equity Securities | 1,936 | 1,666 | ||
Total debt securities and equity securities | 646,049 | 562,348 | ||
Common Stock [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Equity Securities | 1,936 | 1,666 | ||
Cash and Cash Equivalents [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 386,100 | 463,640 | ||
Restricted Cash [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 11,365 | 9,699 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Total debt securities and equity securities | 1,936 | 1,666 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Common Stock [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Equity Securities | 1,936 | 1,666 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Cash and Cash Equivalents [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 386,100 | 463,640 | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Restricted Cash [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 11,365 | 9,699 | ||
Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 644,113 | 560,682 | ||
Total debt securities and equity securities | 644,113 | 560,682 | ||
Significant Other Observable Inputs (Level 2) [Member] | Common Stock [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Equity Securities | 0 | 0 | ||
Significant Other Observable Inputs (Level 2) [Member] | Cash and Cash Equivalents [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 | ||
Significant Other Observable Inputs (Level 2) [Member] | Restricted Cash [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 | ||
Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Total debt securities and equity securities | 0 | 0 | ||
Significant Unobservable Inputs (Level 3) [Member] | Common Stock [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Equity Securities | 0 | 0 | ||
Significant Unobservable Inputs (Level 3) [Member] | Cash and Cash Equivalents [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 | ||
Significant Unobservable Inputs (Level 3) [Member] | Restricted Cash [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 | ||
U.S. government and agency securities [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 113,254 | [1] | 80,662 | [2] |
U.S. government and agency securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
U.S. government and agency securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 113,254 | 80,662 | ||
U.S. government and agency securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
States, Municipalities and Political Subdivisions [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 288,833 | 288,982 | ||
States, Municipalities and Political Subdivisions [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
States, Municipalities and Political Subdivisions [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 288,833 | 288,982 | ||
States, Municipalities and Political Subdivisions [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Corporate bonds [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 218,707 | 166,830 | ||
Corporate bonds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Corporate bonds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 218,707 | 166,830 | ||
Corporate bonds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Mortgage-backed securities [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 16,422 | [1] | 19,926 | |
Mortgage-backed securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Mortgage-backed securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 16,422 | 19,926 | ||
Mortgage-backed securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Asset-backed securities [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 2,842 | 227 | ||
Asset-backed securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Asset-backed securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 2,842 | 227 | ||
Asset-backed securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Other [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 4,055 | 4,055 | ||
Other [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 0 | 0 | ||
Other [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | 4,055 | 4,055 | ||
Other [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt securities, available-for-sale | $ 0 | $ 0 | ||
[1] Includes securities at March 31, 2024 with a carrying amount of $ 23.6 million and $ 19.8 million that were pledged as collateral for the advance agreements entered into with a financial institution in 2018 and 2024, respectively. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. Includes securities at December 31, 2023 with a carrying amount of $ 26.3 million that were pledged as collateral for the advance agreement entered into with a financial institution in 2018. The Company is permitted to withdraw or exchange any portion of the pledged collateral over the minimum requirement at any time. |
Other Comprehensive Income - Su
Other Comprehensive Income - Summary of Other Comprehensive Income and Tax Impact of Each Component of Other Comprehensive (Loss) Gains (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Other comprehensive income | ||
Change in unrealized (losses) gains on investments, net | $ (284) | $ 12,143 |
Reclassification adjustment of realized losses included in net income (loss) | 1 | 2 |
Effect on other comprehensive income, Pre-tax | (283) | 12,145 |
Change in unrealized (losses) gains on investments, net, Tax | 67 | (2,855) |
Reclassification adjustment of realized losses included in net income (loss), Tax | 0 | 0 |
Effect on other comprehensive income, Tax | 67 | (2,855) |
Change in unrealized (losses) gains on investments, net, After-tax | (217) | 9,288 |
Reclassification adjustment of realized losses included in net income (loss), After-tax | 1 | 2 |
Effect on other comprehensive income, After-tax | $ (216) | $ 9,290 |
Leases - Additional Information
Leases - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2024 | |
Lessee Lease Description [Line Items] | |
Lease renewal, Description | one or more options to renew |
Minimum [Member] | |
Lessee Lease Description [Line Items] | |
Lease terms | 1 year |
Renewal terms of lease | 2 years |
Maximum [Member] | |
Lessee Lease Description [Line Items] | |
Lease terms | 10 years |
Renewal terms of lease | 10 years |
Leases - Components of Lease Co
Leases - Components of Lease Costs (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Lessee, Lease, Description [Line Items] | ||
Total finance lease cost | $ 841 | $ 872 |
General and Administrative Expenses [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease cost (cost resulting from lease payments) | 403 | 393 |
Amortization of assets | 635 | 645 |
Variable lease cost | 368 | 409 |
Short-Term Lease, Cost | 24 | 30 |
Interest Expense [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Interest on lease liabilities | $ 206 | $ 227 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information Related to Operating and Financing Leases (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Leases [Abstract] | ||
Right-of-use lease asset, operating | $ 6,662 | $ 6,835 |
Right-of-use lease asset, finance | 16,971 | 17,606 |
Lease liability, operating | 7,868 | 8,076 |
Lease liability, finance | $ 19,830 | $ 20,386 |
Leases - Weighted-Average Remai
Leases - Weighted-Average Remaining Lease Term and Discount Rate for Operating and Financing Leases (Detail) | Mar. 31, 2024 | Dec. 31, 2023 |
Leases [Abstract] | ||
Weighted average lease term - Operating leases | 5 years 3 months 21 days | 5 years 6 months 25 days |
Weighted average lease term - Finance leases | 6 years 11 months 1 day | 7 years 1 month 28 days |
Weighted average discount rate - Operating leases | 5.44% | 5.17% |
Weighted average discount rate - Finance leases | 4.14% | 4.15% |
Leases - Maturities of Lease Li
Leases - Maturities of Lease Liabilities by Fiscal Year for Operating and Financing Leases (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Financing Lease | ||
2024 - remaining | $ 2,346 | |
2025 | 3,173 | |
2026 | 3,216 | |
2027 | 3,190 | |
2028 | 3,270 | |
2029 and thereafter | 7,651 | |
Total lease payments | 22,846 | |
Less: imputed interest | (3,016) | |
Present value of lease liabilities | 19,830 | $ 20,386 |
Operating Lease | ||
2024 - remaining | 1,319 | |
2025 | 1,655 | |
2026 | 1,636 | |
2027 | 1,599 | |
2028 | 1,633 | |
2029 and thereafter | 1,213 | |
Total lease payments | 9,055 | |
Less: imputed interest | (1,187) | |
Present value of lease liabilities | $ 7,868 | $ 8,076 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Statement Information Related to Operating and Financing Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Leases [Abstract] | ||
Lease liability payments | $ 560 | $ 541 |
Lease liability payments | 211 | 261 |
Total lease liability payments | $ 771 | $ 802 |
Property and Equipment, Net - S
Property and Equipment, Net - Schedule of Property and Equipment, Net (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Total, at cost | $ 50,452 | $ 50,223 |
Less: accumulated depreciation and amortization | (17,685) | (17,005) |
Property and equipment, net | 32,767 | 33,218 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total, at cost | 2,582 | 2,582 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total, at cost | 9,599 | 9,599 |
Software in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total, at cost | 14,667 | 14,450 |
Computer Hardware and Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total, at cost | 10,729 | 10,717 |
Office Furniture and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total, at cost | 1,484 | 1,484 |
Tenant and Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total, at cost | 10,876 | 10,876 |
Vehicle Fleet [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total, at cost | $ 515 | $ 515 |
Property and Equipment, Net - A
Property and Equipment, Net - Additional Information (Detail) | 3 Months Ended | ||
Mar. 31, 2024 USD ($) a ft² Building | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | |
Property, Plant and Equipment [Line Items] | |||
Depreciation and amortization expense | $ 680,200 | $ 539,000 | |
Number of acres of land purchased | a | 13 | ||
Number of buildings | Building | 2 | ||
Gross area of acquired property | ft² | 88,378 | ||
Carrying value | $ 32,767,000 | $ 33,218,000 | |
Accumulated depreciation | 17,685,000 | $ 17,005,000 | |
Real Estate Property [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Carrying value | 9,600,000 | ||
Accumulated depreciation | $ 2,600,000 |
Intangible Assets, Net - Additi
Intangible Assets, Net - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Finite Lived Intangible Assets [Line Items] | |||
Other intangible assets | $ 41,000 | $ 42,600 | |
Indefinite lived intangible, insurance licenses | 1,300 | ||
Amortization of intangible assets | 1,500 | $ 1,600 | |
Impairment of intangible assets | $ 0 | $ 0 | |
Maximum [Member] | |||
Finite Lived Intangible Assets [Line Items] | |||
Useful life of intangible asset | 15 years | ||
Minimum [Member] | |||
Finite Lived Intangible Assets [Line Items] | |||
Useful life of intangible asset | 2 years 6 months |
Intangible Assets, Net - Schedu
Intangible Assets, Net - Schedule of Estimated Amortization of Intangible Assets (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2024 - remaining | $ 4,638 |
2025 | 6,183 |
2026 | 6,033 |
2027 | 5,836 |
2028 | 3,913 |
Thereafter | 13,090 |
Total | $ 39,694 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Computation of Basic and Diluted Earnings (Loss) Per Share (EPS) (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Basic and Diluted | ||
Net income available to common shareholders - basic | $ 14,225 | $ 14,008 |
Net income available to common shareholders - diluted | $ 14,225 | $ 14,008 |
Weighted average shares outstanding | 30,376,682 | 25,558,305 |
Diluted | ||
Weighted average shares outstanding | 30,376,682 | 25,558,305 |
5.875% Convertible Notes | 59,263 | 59,263 |
Weighted average shares outstanding, Total | 30,435,945 | 25,617,568 |
Basic | $ 0.47 | $ 0.55 |
Diluted | $ 0.47 | $ 0.55 |
Earnings Per Share - Schedule_2
Earnings Per Share - Schedule of Computation of Basic and Diluted Earnings (Loss) Per Share (EPS) (Parenthetical) (Detail) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Convertible Notes [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Convertible Notes, interest rate | 5.875% | 5.875% |
Deferred Reinsurance Ceding C_3
Deferred Reinsurance Ceding Commission - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Policy Acquisition Costs [Member] | ||
Deferred Reinsurance Ceding Commission [Line Items] | ||
Ceding commission income | $ 9.3 | $ 12.9 |
General and Administrative Expenses [Member] | ||
Deferred Reinsurance Ceding Commission [Line Items] | ||
Ceding commission income | $ 3 | $ 4.3 |
Deferred Reinsurance Ceding C_4
Deferred Reinsurance Ceding Commission - Schedule of Activity with Regard to Deferred Reinsurance Ceding Commission (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Insurance [Abstract] | ||
Beginning balance of deferred ceding commission income | $ 33,627 | $ 42,757 |
Ceding commission deferred | 10,302 | 15,021 |
Less: ceding commission earned | (12,380) | (17,089) |
Ending balance of deferred ceding commission income | $ 31,549 | $ 40,689 |
Deferred Policy Acquisition C_3
Deferred Policy Acquisition Costs - Summary of Activity in Deferred Policy Acquisition Costs (DPAC) (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Insurance [Abstract] | ||
Beginning Balance | $ 102,884 | $ 99,617 |
Policy acquisition costs deferred | 56,257 | 53,180 |
Amortization | (54,924) | (54,762) |
Ending Balance | $ 104,217 | $ 98,035 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Income Tax [Line Items] | |||
Provision for income taxes | $ 5,649,000 | $ 3,202,000 | |
Annual effective tax rate | 28.40% | 18.60% | |
Uncertain tax positions | $ 0 | $ 0 | |
Osprey [Member] | |||
Income Tax [Line Items] | |||
Valuation allowance | $ 1,700,000 |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Liability (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Deferred tax assets: | ||
Unearned premiums | $ 25,816 | $ 18,507 |
Unearned commission | 7,472 | 7,964 |
Net operating loss | 1 | 436 |
Tax-related discount on loss reserve | 4,530 | 5,162 |
Stock-based compensation | 478 | 331 |
Accrued expenses | 579 | 1,677 |
Leases | 941 | 940 |
Unrealized losses | 11,722 | 11,655 |
Other | 257 | 473 |
Total deferred tax asset | 51,796 | 47,145 |
Deferred tax liabilities: | ||
Deferred acquisition costs | 24,681 | 24,366 |
Prepaid expenses | 380 | 189 |
Property and equipment | 10 | 359 |
Note discount | 112 | 152 |
Basis in purchased investments | 8 | 8 |
Basis in purchased intangibles | 8,993 | 9,327 |
Other | 2,103 | 1,633 |
Total deferred tax liabilities | 36,287 | 36,034 |
Net deferred tax assets | $ 15,509 | $ 11,111 |
Income Taxes - Summary of U.S.
Income Taxes - Summary of U.S. Federal Income Tax Rate to Pretax Income (Details) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Reported income tax expense | 28.40% | 18.60% |
Reinsurance - Schedule of Effec
Reinsurance - Schedule of Effect of Reinsurance Arrangements in Consolidated Statement of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Premiums Written | ||
Premiums Written, Direct | $ 356,684 | $ 310,309 |
Premiums Written, Ceded | (44,468) | (32,776) |
Premiums Written, Net | 312,216 | 277,533 |
Premiums Earned | ||
Premiums Earned, Direct | 341,389 | 317,022 |
Premiums Earned, Ceded | (161,963) | (150,993) |
Net premiums earned | 179,426 | 166,029 |
Losses and Loss Adjustment Expenses | ||
Losses and Loss Adjustment Expenses, Direct | 291,362 | 162,817 |
Losses and Loss Adjustment Expenses, Ceded | (189,327) | (65,365) |
Losses and Loss Adjustment Expenses, Net | $ 102,035 | $ 97,452 |
Reserve for Unpaid Losses - Sum
Reserve for Unpaid Losses - Summary of Reserve for Unpaid Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Insurance [Abstract] | ||
Balance, beginning of period | $ 845,955 | $ 1,131,807 |
Less: reinsurance recoverable on unpaid losses | 421,798 | 759,682 |
Net balance, beginning of period | 424,157 | 372,125 |
Incurred related to: | ||
Current year | 95,372 | 98,914 |
Prior years | 6,663 | (1,462) |
Total incurred | 102,035 | 97,452 |
Paid related to: | ||
Current year | 30,182 | 30,374 |
Prior years | 130,199 | 78,429 |
Total paid | 160,381 | 108,803 |
Net balance, end of period | 365,811 | 360,774 |
Plus: reinsurance recoverable on unpaid losses | 477,876 | 620,218 |
Balance, end of period | $ 843,687 | $ 980,992 |
Reserve for Unpaid Losses - Add
Reserve for Unpaid Losses - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Insurance [Abstract] | ||||
Unpaid losses and loss adjustment expenses | $ 365,811 | $ 424,157 | $ 360,774 | $ 372,125 |
Unpaid losses and loss adjustment expenses attributable to IBNR net of reinsurance recoverable, net reserves and looses and loss adjustment expenses | $ 237,000 | |||
Net reserves for unpaid losses and loss adjustment expenses, percentage | 64.80% |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||
Sep. 29, 2023 | Oct. 31, 2017 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 31, 2024 | Nov. 07, 2022 | Jan. 31, 2022 | Dec. 31, 2018 | Sep. 30, 2017 | |
Debt Instrument [Line Items] | ||||||||||||
Long-term debt, net | $ 123,007,000 | $ 119,732,000 | ||||||||||
Interest rate terms | borrowings under the Credit Facilities bear interest at rates equal to either (1) a rate determined by reference to SOFR, plus an applicable margin and a credit adjustment spread equal to 0.10% or (2) a base rate determined by reference to the highest of (a) the “prime rate” of Regions Bank, (b) the federal funds rate plus 0.50%, and (c) the adjusted term SOFR in effect on such day for an interest period of one month plus 1.00%, plus an applicable margin. | |||||||||||
Unamortized issuance and debt discount costs | $ 242,700 | |||||||||||
Federal Home Loan Bank Of Atlanta [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest rate | 5.109% | |||||||||||
Notes maturity date | Mar. 28, 2025 | |||||||||||
Interest paid | $ 248,050 | $ 148,500 | ||||||||||
Loan or advance maturity date | Mar. 28, 2025 | |||||||||||
FHLB advance Interest rate | 3.094% | |||||||||||
Cash loan received under advance from FHLB | $ 19,200,000 | |||||||||||
Required fair value of reinvestment in FHLB common stock. | 1,500,000 | $ 1,400,000 | ||||||||||
Estimated fair value of collateral with FHLB | 23,600,000 | |||||||||||
Federal Home Loan Bank Des Moines [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest paid | 58,294 | |||||||||||
FHLB advance Interest rate | 4.23% | |||||||||||
Cash loan received under advance from FHLB | $ 5,500,000 | |||||||||||
Required fair value of reinvestment in FHLB common stock. | 295,500 | $ 133,200 | ||||||||||
Estimated fair value of collateral with FHLB | 19,800,000 | |||||||||||
Federal Home Loan Bank Boston [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest paid | $ 177,197 | 177,197 | ||||||||||
Convertible Senior Notes [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate principal amount | $ 136,800,000 | |||||||||||
Interest rate | 5.875% | |||||||||||
Notes maturity date | Aug. 01, 2037 | |||||||||||
Interest payments term | Interest is payable semi-annually in arrears, on February 1, and August 1 of each year | |||||||||||
Long-term debt, net | $ 885,000 | 885,000 | ||||||||||
Interest paid | $ 25,115 | 25,115 | ||||||||||
Loan or advance maturity date | Aug. 01, 2037 | |||||||||||
Convertible Senior Notes [Member] | Subsidiaries Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Repurchase of convertible notes | $ 21,100,000 | |||||||||||
Convertible Debt [Member] | Parent company member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Repurchase of convertible notes | $ 11,700,000 | |||||||||||
Senior Secured Credit Facility [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument, basis spread on variable rate | 1% | |||||||||||
Senior Secured Credit Facility [Member] | Amended Credit Agreement Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument, basis spread on variable rate | 0.10% | |||||||||||
Senior Secured Credit Facility [Member] | Amended Credit Agreement Member | Federal funds effective swap rate member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument, basis spread on variable rate | 0.50% | |||||||||||
Senior Secured Credit Facility [Member] | Term Loan Facility [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest paid | $ 1,700,000 | 1,700,000 | ||||||||||
Term loan, Quarterly principal payments | $ 2,400,000 | 2,400,000 | ||||||||||
Effective interest rate | 8.171% | |||||||||||
Senior Secured Credit Facility [Member] | Term Loan Facility [Member] | Amended Credit Agreement Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate principal amount | $ 77,300,000 | $ 79,600,000 | ||||||||||
Notes maturity date | Jul. 28, 2026 | |||||||||||
Notes maturity period | 5 years | |||||||||||
Maximum borrowing capacity | $ 100,000,000 | |||||||||||
Loan or advance maturity date | Jul. 28, 2026 | |||||||||||
Senior Secured Credit Facility [Member] | Term Loan Facility [Member] | Term Loan Payable Prior to July 29, 2021 [Member] | Amended Credit Agreement Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Term loan, Quarterly principal payments | $ 1,900,000 | |||||||||||
Senior Secured Credit Facility [Member] | Term Loan Facility [Member] | Term Loan Payable in December 2021 [Member] | Amended Credit Agreement Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Term loan, Quarterly principal payments | $ 875,000,000,000 | |||||||||||
Senior Secured Credit Facility [Member] | Term Loan Facility [Member] | Term Loan Payable After December 2021 [Member] | Amended Credit Agreement Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Term loan, Quarterly principal payments | $ 2,400,000 | |||||||||||
Senior Secured Credit Facility [Member] | Revolving Credit Facility [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest paid | $ 204,750 | 188,670,000 | ||||||||||
Effective interest rate | 8.176% | |||||||||||
Senior Secured Credit Facility [Member] | Revolving Credit Facility [Member] | Amended Credit Agreement Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate principal amount | $ 10,000,000 | |||||||||||
Notes maturity period | 5 years | |||||||||||
Maximum borrowing capacity | $ 50,000,000 | |||||||||||
Letters of credit outstanding amount | 0 | 0 | ||||||||||
Senior Secured Credit Facility [Member] | Revolving Credit Facility [Member] | Seventh Amendment [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Outstanding borrowing capacity amount | 10,000,000 | 10,000,000 | ||||||||||
Senior Secured Credit Facility [Member] | Letter of Credit [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest paid | 33,674 | |||||||||||
Senior Secured Credit Facility [Member] | Swingline Loan [Member] | Amended Credit Agreement Member | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Maximum borrowing capacity | 25,000,000 | |||||||||||
Collateral Financial Arrangement [Member] | Skye Lane Properties LLC [Member] | Mortgage Loan [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate principal amount | $ 12,700,000 | |||||||||||
Interest rate | 4.95% | |||||||||||
Payment of principal and interest | $ 182,710 | $ 223,212 | ||||||||||
Collateral Financial Arrangement [Member] | Skye Lane Properties LLC [Member] | Mortgage Loan [Member] | Maximum [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest rate | 7.42% | |||||||||||
Collateral Financial Arrangement [Member] | Skye Lane Properties LLC [Member] | Mortgage Loan [Member] | Minimum [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Interest rate | 4.95% | |||||||||||
Collateral Financial Arrangement [Member] | Skye Lane Properties LLC [Member] | Mortgage Loan [Member] | 5-year Treasury Security [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument, basis spread on variable rate | 3.10% |
Long-Term Debt - Schedule of Co
Long-Term Debt - Schedule of Company's Long Term Debt and Credit Facilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
Principal amount | $ 123,790 | $ 120,729 |
Deferred finance costs | 783 | 997 |
Total long-term debt | 123,007 | 119,732 |
Term Loan Facility [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | 77,250 | 79,625 |
Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | 10,000 | 10,000 |
Convertible Debt [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | 885 | 885 |
FHLB Loan Agreement [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | 24,700 | 19,200 |
Mortgage Loan [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | $ 10,955 | $ 11,019 |
Long-Term Debt - Schedule of Pr
Long-Term Debt - Schedule of Principal Payments on Long-Term Debt (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Debt Disclosure [Abstract] | ||
2024 remaining | $ 7,416 | |
2025 | 29,074 | |
2026 | 71,018 | |
2027 | 9,897 | |
2028 | 0 | |
Thereafter | 6,385 | |
Total | $ 123,790 | $ 120,729 |
Accounts Payable and Other Li_3
Accounts Payable and Other Liabilities - Schedule of Accounts Payable and Other Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Other Liabilities Disclosure [Abstract] | ||
Deferred ceding commission | $ 31,549 | $ 33,627 |
Accounts payable and other payables | 16,141 | 16,185 |
Accrued dividends | 0 | 54 |
Accrued interest and issuance costs | 256 | 325 |
Other liabilities | 213 | 275 |
Premium tax | 1,507 | 1,486 |
Commission payables | 16,534 | 17,714 |
Total other liabilities | $ 66,200 | $ 69,666 |
Statutory Accounting and Regu_2
Statutory Accounting and Regulations - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Heritage P&C [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Statutory accounting practices, capital and surplus requirements of insurance subsidiary | greater of $15.0 million or 10% of its respective liabilities | |
Minimum required amount of capital and surplus maintained by the insurance subsidiary | $ 15,000,000 | |
Statutory capital and surplus requirements, percentage | 10% | |
Zephyr [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Deposits held | $ 750,000 | |
NBIC [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Statutory capital and surplus | 3,000,000 | |
Heritage P&C, NBIC, and Zephyr [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Statutory capital and surplus | $ 254,300,000 | $ 259,600,000 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Comegys Insurance Agency, Inc. [Member] | ||
Related Party Transaction [Line Items] | ||
Agency commission | $ 40,808 | $ 36,625 |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Defined Contribution Plan Disclosure [Line Items] | ||
Contribution for participating employees | $ 453,200 | $ 399,200 |
Defined contribution plan, plan name | 401(k) | |
Medical premium cost | $ 1,200 | $ 1,500 |
Maximum [Member] | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Percentage of contribution on employee salary | 4% | |
First 3% of Employees [Member] | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Percentage of contribution on employee salary | 100% | |
Next 2% of the Employees [Member] | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Percentage of contribution on employee salary | 50% |
Equity - Additional Information
Equity - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 11, 2024 | Dec. 15, 2022 | Mar. 31, 2024 | Dec. 31, 2023 | |
Class Of Stock [Line Items] | ||||
Common stock, shares authorized | 50,000,000 | 50,000,000 | ||
Preferred stock, shares authorized | 5,000,000 | |||
Common stock, shares outstanding | 30,636,496 | 30,218,938 | ||
Treasury stock, shares | 12,231,674 | 12,231,674 | ||
Unvested restricted common stock issued | 1,579,369 | 1,161,811 | ||
Additional paid-in capital | $ 360,956 | $ 360,310 | ||
Common stock voting rights | one vote | |||
Stock repurchase program, expiration date | Dec. 31, 2023 | Dec. 31, 2022 | ||
Shares repurchase | 0 | 0 | ||
New Share Repurchase Plan [Member] | ||||
Class Of Stock [Line Items] | ||||
Stock repurchase program, authorized amount | $ 10,000 | $ 10,000 | ||
Stock repurchase program, expiration date | Dec. 31, 2024 | |||
Prior Share Repurchase Plan [Member] | ||||
Class Of Stock [Line Items] | ||||
Stock repurchase program, expiration date | Dec. 31, 2023 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Feb. 26, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Jun. 07, 2023 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Stock-based compensation expense | $ 594,888 | $ 394,624 | |||
Shares withheld to cover withholding taxes | 4,200 | ||||
Shares withheld to cover withholding taxes, value | $ 7,560 | ||||
Unrecognized expense related to non-vested stock | $ 1,600 | ||||
Restricted Stock [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Restricted stock vested and released | 25,000 | ||||
Restricted Stock [Member] | Minimum [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Vesting period | 1 year | ||||
Restricted Stock [Member] | Maximum [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Vesting period | 3 years | ||||
Performance-Based Restricted Stock [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Unrecognized expense related to non-vested stock | $ 3,700 | ||||
Time-Based Non-Vested Restricted Stock [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Unrecognized expense related to non-vested stock | $ 2,000 | ||||
2023 Omnibus Incentive Plan [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Common stock reserved for issuance | 2,125,000 | ||||
Shares available for grant | 902,559 | ||||
2023 Omnibus Incentive Plan [Member] | Time-Based Restricted Stock [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Unvested restricted shares issued | 163,640 | ||||
Grant date fair value per share | $ 7.02 | ||||
2023 Omnibus Incentive Plan [Member] | Performance-Based Restricted Stock [Member] | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Unvested restricted shares issued | 253,918 |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Restricted Stock Activity (Detail) - $ / shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Beginning balance, Number of shares | 1,161,811 | |
Ending balance, Number of shares | 1,579,369 | |
Restricted Stock [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Beginning balance, Number of shares | 1,161,811 | |
Vested, Number of shares | 0 | |
Canceled and surrendered, Number of shares | 0 | |
Ending balance, Number of shares | 1,579,369 | 1,579,369 |
Beginning balance, Weighted-Average Grant-Date Fair Value per Share | $ 4.25 | |
Vested, Weighted-Average Grant-Date Fair Value per Share | 0 | |
Canceled and surrendered, Weighted-Average Grant-Date Fair Value per Share | 0 | |
Ending balance, Weighted-Average Grant-Date Fair Value per Share | $ 4.98 | |
Restricted Stock [Member] | Performance-Based Restricted Stock [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Granted, Number of shares | 253,918 | |
Granted, Weighted-Average Grant-Date Fair Value per Share | $ 7.02 | |
Restricted Stock [Member] | Time-Based Restricted Stock [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Granted, Number of shares | 163,640 | |
Granted, Weighted-Average Grant-Date Fair Value per Share | $ 7.02 |
Stock-Based Compensation - Ad_2
Stock-Based Compensation - Additional Information Regarding Outstanding Non-vested Time-based Restricted Stock and Performance-based Restricted Stock (Details) - $ / shares | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2024 | Dec. 31, 2023 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unvested restricted common stock issued | 1,579,369 | 1,161,811 | |
Restricted Stock [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unvested restricted common stock issued | 1,579,369 | 1,579,369 | 1,161,811 |
Restricted Stock [Member] | March 16, 2022 member | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Grant date | Mar. 16, 2022 | ||
Unvested restricted common stock issued | 37,947 | ||
Share Value at Grant Date Per Share | $ 6.72 | ||
Remaining Restriction Period (Years) | 10 months 24 days | ||
Restricted Stock [Member] | June 19, 2023 [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Grant date | Jun. 19, 2023 | ||
Unvested restricted common stock issued | 77,296 | ||
Share Value at Grant Date Per Share | $ 4.14 | ||
Remaining Restriction Period (Years) | 3 months 18 days | ||
Restricted Stock [Member] | July 11, 2023 [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Grant date | Jul. 11, 2023 | ||
Unvested restricted common stock issued | 1,046,568 | ||
Share Value at Grant Date Per Share | $ 4.08 | ||
Remaining Restriction Period (Years) | 1 year 7 months 6 days | ||
Restricted Stock [Member] | February 26, 2024 [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Grant date | Feb. 26, 2024 | ||
Unvested restricted common stock issued | 163,640 | ||
Share Value at Grant Date Per Share | $ 7.02 | ||
Remaining Restriction Period (Years) | 2 years 9 months 18 days | ||
Restricted Stock [Member] | February 26, 2024 One [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Grant date | Feb. 26, 2024 | ||
Unvested restricted common stock issued | 253,918 | ||
Share Value at Grant Date Per Share | $ 7.02 | ||
Remaining Restriction Period (Years) | 2 years 9 months 18 days |