Cover Page
Cover Page | 6 Months Ended |
Jun. 30, 2022 shares | |
Document Information [Line Items] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Jun. 30, 2022 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | Q2 |
Trading Symbol | EVER |
Entity Registrant Name | EverQuote, Inc. |
Entity Central Index Key | 0001640428 |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Shell Company | false |
Document Quarterly Report | true |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | true |
Entity Emerging Growth Company | false |
Title of 12(b) Security | Class A Common Stock |
Entity Address, State or Province | MA |
Security Exchange Name | NASDAQ |
Entity Interactive Data Current | Yes |
Document Transition Report | false |
Entity File Number | 001-38549 |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 26-3101161 |
Entity Address, Address Line One | 210 Broadway |
Entity Address, City or Town | Cambridge |
Entity Address, Postal Zip Code | 02139 |
City Area Code | 855 |
Local Phone Number | 522-3444 |
Common Class A [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 25,536,473 |
Common Class B [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 6,169,774 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 41,269 | $ 34,851 |
Accounts receivable, net | 36,581 | 35,659 |
Prepaid expenses and other current assets | 14,428 | 14,184 |
Total current assets | 92,278 | 84,694 |
Property and equipment, net | 5,923 | 5,796 |
Goodwill | 21,501 | 21,501 |
Acquired intangible assets, net | 9,093 | 10,229 |
Operating lease right-of-use assets | 7,096 | 7,291 |
Other assets | 25,098 | 14,096 |
Total assets | 160,989 | 143,607 |
Current liabilities: | ||
Accounts payable | 32,937 | 29,599 |
Accrued expenses and other current liabilities | 10,941 | 13,015 |
Deferred revenue | 1,974 | 2,096 |
Operating lease liabilities | 3,011 | 2,696 |
Total current liabilities | 48,863 | 47,406 |
Operating lease liabilities, net of current portion | 4,955 | 5,531 |
Other long-term liabilities | 919 | 5,545 |
Total liabilities | 54,737 | 58,482 |
Commitments and contingencies (Note 9) | ||
Stockholders' equity: | ||
Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued and outstanding | ||
Additional paid-in capital | 253,345 | 222,730 |
Accumulated other comprehensive income (loss) | (9) | 10 |
Accumulated deficit | (147,116) | (137,645) |
Total stockholders' equity | 106,252 | 85,125 |
Total liabilities and stockholders' equity | 160,989 | 143,607 |
Class A Common Stock [Member] | ||
Stockholders' equity: | ||
Common stock | 26 | 24 |
Class B Common Stock [Member] | ||
Stockholders' equity: | ||
Common stock | $ 6 | $ 6 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2022 | Dec. 31, 2021 |
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Preferred stock, authorized | 10,000,000 | 10,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Class A Common Stock [Member] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 220,000,000 | 220,000,000 |
Common stock, shares issued | 25,536,473 | 23,544,995 |
Common stock, shares outstanding | 25,536,473 | 23,544,995 |
Class B Common Stock [Member] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 6,169,774 | 6,407,678 |
Common stock, shares outstanding | 6,169,774 | 6,407,678 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Revenue | $ 101,915 | $ 105,063 | $ 212,596 | $ 208,885 |
Cost and operating expenses: | ||||
Cost of revenue | 6,059 | 5,811 | 12,043 | 11,764 |
Sales and marketing | 87,854 | 85,610 | 184,004 | 173,179 |
Research and development | 8,245 | 9,053 | 16,441 | 17,626 |
General and administrative | 7,357 | 6,200 | 14,298 | 11,796 |
Acquisition-related | (3,779) | 265 | (4,671) | 186 |
Total cost and operating expenses | 105,736 | 106,939 | 222,115 | 214,551 |
Loss from operations | (3,821) | (1,876) | (9,519) | (5,666) |
Other income (expense): | ||||
Interest income | 37 | 10 | 45 | 24 |
Other income (expense), net | 28 | (15) | 3 | (40) |
Total other income (expense), net | 65 | (5) | 48 | (16) |
Net loss | $ (3,756) | $ (1,881) | $ (9,471) | $ (5,682) |
Net loss per share, basic | $ 0.12 | $ 0.07 | $ 0.31 | $ 0.2 |
Net loss per share, diluted | $ 0.12 | $ 0.07 | $ 0.31 | $ 0.2 |
Weighted average common shares outstanding, basic | 31,519 | 28,895 | 31,027 | 28,665 |
Weighted average common shares outstanding, diluted | 31,519 | 28,895 | 31,027 | 28,665 |
Net loss | $ (3,756) | $ (1,881) | $ (9,471) | $ (5,682) |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustment | (29) | 7 | (19) | 22 |
Comprehensive loss | $ (3,785) | $ (1,874) | $ (9,490) | $ (5,660) |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Private Placement [Member] | Common Stock [Member] Class A Common Stock [Member] | Common Stock [Member] Class A Common Stock [Member] Private Placement [Member] | Common Stock [Member] Class B Common Stock [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member] Private Placement [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Deficit [Member] |
Beginning balance at Dec. 31, 2020 | $ 70,982 | $ 21 | $ 7 | $ 189,172 | $ (7) | $ (118,211) | |||
Beginning balance, shares at Dec. 31, 2020 | 20,784,065 | 7,429,502 | |||||||
Issuance of common stock upon exercise of stock options | 1,272 | 1,272 | |||||||
Issuance of common stock upon exercise of stock options, shares | 213,317 | ||||||||
Issuance of common stock upon vesting of restricted stock units, shares | 332,311 | ||||||||
Stock-based compensation expense | 7,520 | 7,520 | |||||||
Transfer of Class B common stock to Class A common stock | $ 1 | $ (1) | |||||||
Transfer of Class B common stock to Class A common stock, shares | 1,021,824 | (1,021,824) | |||||||
Foreign currency translation adjustment | 15 | 15 | |||||||
Net loss | (3,801) | (3,801) | |||||||
Ending balance at Mar. 31, 2021 | 75,988 | $ 22 | $ 6 | 197,964 | 8 | (122,012) | |||
Ending balance, shares at Mar. 31, 2021 | 22,351,517 | 6,407,678 | |||||||
Beginning balance at Dec. 31, 2020 | 70,982 | $ 21 | $ 7 | 189,172 | (7) | (118,211) | |||
Beginning balance, shares at Dec. 31, 2020 | 20,784,065 | 7,429,502 | |||||||
Net loss | (5,682) | ||||||||
Ending balance at Jun. 30, 2021 | 81,655 | $ 23 | $ 6 | 205,504 | 15 | (123,893) | |||
Ending balance, shares at Jun. 30, 2021 | 22,668,643 | 6,407,678 | |||||||
Beginning balance at Dec. 31, 2020 | 70,982 | $ 21 | $ 7 | 189,172 | (7) | (118,211) | |||
Beginning balance, shares at Dec. 31, 2020 | 20,784,065 | 7,429,502 | |||||||
Net loss | (19,400) | ||||||||
Ending balance at Dec. 31, 2021 | 85,125 | $ 24 | $ 6 | 222,730 | 10 | (137,645) | |||
Ending balance, shares at Dec. 31, 2021 | 23,544,995 | 6,407,678 | |||||||
Beginning balance at Mar. 31, 2021 | 75,988 | $ 22 | $ 6 | 197,964 | 8 | (122,012) | |||
Beginning balance, shares at Mar. 31, 2021 | 22,351,517 | 6,407,678 | |||||||
Issuance of common stock upon exercise of stock options | 452 | 452 | |||||||
Issuance of common stock upon exercise of stock options, shares | 56,786 | ||||||||
Issuance of common stock upon vesting of restricted stock units | $ 1 | (1) | |||||||
Issuance of common stock upon vesting of restricted stock units, shares | 260,340 | ||||||||
Stock-based compensation expense | 7,089 | 7,089 | |||||||
Foreign currency translation adjustment | 7 | 7 | |||||||
Net loss | (1,881) | (1,881) | |||||||
Ending balance at Jun. 30, 2021 | 81,655 | $ 23 | $ 6 | 205,504 | 15 | (123,893) | |||
Ending balance, shares at Jun. 30, 2021 | 22,668,643 | 6,407,678 | |||||||
Beginning balance at Dec. 31, 2021 | 85,125 | $ 24 | $ 6 | 222,730 | 10 | (137,645) | |||
Beginning balance, shares at Dec. 31, 2021 | 23,544,995 | 6,407,678 | |||||||
Issuance of common stock upon exercise of stock options | 558 | 558 | |||||||
Issuance of common stock upon exercise of stock options, shares | 92,975 | ||||||||
Issuance of common stock upon vesting of restricted stock units, shares | 307,953 | ||||||||
Stock-based compensation expense | 7,464 | 7,464 | |||||||
Private placement of common stock | $ 15,000 | $ 1 | $ 14,999 | ||||||
Private placement of common stock, shares | 1,004,016 | ||||||||
Foreign currency translation adjustment | 10 | 10 | |||||||
Net loss | (5,715) | (5,715) | |||||||
Ending balance at Mar. 31, 2022 | 102,442 | $ 25 | $ 6 | 245,751 | 20 | (143,360) | |||
Ending balance, shares at Mar. 31, 2022 | 24,949,939 | 6,407,678 | |||||||
Beginning balance at Dec. 31, 2021 | 85,125 | $ 24 | $ 6 | 222,730 | 10 | (137,645) | |||
Beginning balance, shares at Dec. 31, 2021 | 23,544,995 | 6,407,678 | |||||||
Net loss | (9,471) | ||||||||
Ending balance at Jun. 30, 2022 | 106,252 | $ 26 | $ 6 | 253,345 | (9) | (147,116) | |||
Ending balance, shares at Jun. 30, 2022 | 25,536,473 | 6,169,774 | |||||||
Beginning balance at Mar. 31, 2022 | 102,442 | $ 25 | $ 6 | 245,751 | 20 | (143,360) | |||
Beginning balance, shares at Mar. 31, 2022 | 24,949,939 | 6,407,678 | |||||||
Issuance of common stock upon exercise of stock options | 50 | $ 1 | 49 | ||||||
Issuance of common stock upon exercise of stock options, shares | 6,602 | ||||||||
Net issuance of common stock upon vesting of restricted stock units | (51) | (51) | |||||||
Net issuance of common stock upon vesting of restricted stock units, shares | 342,028 | ||||||||
Stock-based compensation expense | 7,596 | 7,596 | |||||||
Transfer of Class B common stock to Class A common stock, shares | 237,904 | (237,904) | |||||||
Foreign currency translation adjustment | (29) | (29) | |||||||
Net loss | (3,756) | (3,756) | |||||||
Ending balance at Jun. 30, 2022 | $ 106,252 | $ 26 | $ 6 | $ 253,345 | $ (9) | $ (147,116) | |||
Ending balance, shares at Jun. 30, 2022 | 25,536,473 | 6,169,774 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities: | ||
Net loss | $ (9,471) | $ (5,682) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization expense | 2,916 | 2,310 |
Stock-based compensation expense | 15,130 | 14,609 |
Change in fair value of contingent consideration liabilities | (4,672) | (289) |
Provision for (recovery of) bad debt | 77 | (50) |
Unrealized foreign currency transaction (gains) losses | (16) | 23 |
Changes in operating assets and liabilities, net of effects from acquisitions: | ||
Accounts receivable | (999) | 297 |
Prepaid expenses and other current assets | (250) | (92) |
Operating lease right-of-use assets | 1,287 | 1,400 |
Other assets | (11,252) | (340) |
Accounts payable | 3,413 | (7,123) |
Accrued expenses and other current liabilities | (2,059) | 7,538 |
Deferred revenue | (122) | (33) |
Operating lease liabilities | (1,355) | (1,337) |
Other long-term liabilities | 4 | |
Net cash provided by (used in) operating activities | (7,373) | 11,235 |
Cash flows from investing activities: | ||
Acquisition of property and equipment, including costs capitalized for development of internal-use software | (1,989) | (1,310) |
Net cash used in investing activities | (1,989) | (1,310) |
Cash flows from financing activities: | ||
Proceeds from exercise of stock options | 608 | 1,724 |
Proceeds from private placement of common stock | 15,000 | |
Tax withholding payments related to net share settlement | (51) | |
Net cash provided by financing activities | 15,557 | 1,724 |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (27) | 1 |
Net increase in cash, cash equivalents and restricted cash | 6,168 | 11,650 |
Cash, cash equivalents and restricted cash at beginning of period | 35,101 | 43,120 |
Cash, cash equivalents and restricted cash at end of period | 41,269 | 54,770 |
Supplemental disclosure of non-cash investing and financing information: | ||
Acquisition of property and equipment included in accounts payable | 32 | 114 |
Operating lease liabilities arising from obtaining right-of-use assets | 1,096 | 240 |
Reconciliation of cash, cash equivalents and restricted cash: | ||
Cash and cash equivalents | 41,269 | 54,520 |
Restricted cash (included in other assets) | 250 | |
Cash, cash equivalents and restricted cash at end of period | $ 41,269 | $ 54,770 |
Nature of the Business and Basi
Nature of the Business and Basis of Presentation | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of the Business and Basis of Presentation | 1. Nature of the Business and Basis of Presentation EverQuote, Inc. (the “Company”) was incorporated in the state of Delaware in 2008. Through its internet websites, the Company operates an online marketplace for consumers shopping for auto, home and renters, life and health insurance. The Company generates revenue primarily by selling consumer referrals to insurance provider customers, consisting of carriers and agents, and indirect distributors in the United States. The Company also generates revenue from commission fees paid by insurance provider customers for insurance policies it sells to consumers. The Company is subject to a number of risks and uncertainties common to companies in similar industries and stages of development including, but not limited to, rapid technological changes, competition from substitute products and services from larger companies, protection of proprietary technology, customer concentration, patent litigation, the need to obtain additional financing to support growth and dependence on third parties and key individuals. In addition, the Company is subject to risks and uncertainties relating to the ongoing coronavirus (“COVID-19”) COVID-19 shelter-in-place COVID-19, COVID-19 The accompanying condensed consolidated financial statements have been prepared on the basis of continuity of operations, realization of assets and the satisfaction of liabilities and commitments in the ordinary course of business. Since inception, the Company has incurred operating losses, including net losses of $9.5 million for the six months ended June 30, 2022 and $19.4 million for the year ended December 31, 2021. As of June 30, 2022, the Company had an accumulated deficit of $147.1 million. As of the issuance date of these condensed consolidated financial statements, the Company expects that its cash and cash equivalents will be sufficient to fund its operating expenses and capital expenditure requirements for at least the next 12 months from the issuance date of the condensed consolidated financial statements, without considering borrowing availability under the Company’s credit facility. The Company’s condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative GAAP as found in the Accounting Standards Codification (“ASC”) and Accounting Standards Update (“ASU”) of the Financial Accounting Standards Board (“FASB”). The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Unaudited Interim Financial Information The condensed consolidated balance sheet at December 31, 2021 was derived from audited consolidated financial statements but does not include all disclosures required by GAAP. The accompanying unaudited condensed consolidated financial statements as of June 30, 2022 and for the three and six months ended June 30, 2022 and 2021 have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto for the year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K for Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant estimates and assumptions reflected in these consolidated financial statements include, but are not limited to, revenue recognition and collectability of accounts receivable, the expensing and capitalization of website and software development costs, goodwill and acquired intangible assets, commissions receivable, the contingent consideration liabilities, the valuation of stock-based awards and income taxes. The Company bases its estimates on historical experience, known trends and other market-specific or relevant factors that it believes to be reasonable under the circumstances. On an ongoing basis, management evaluates its estimates, as there are changes in circumstances, facts and experience. Changes in estimates are recorded in periods in which they become known. Actual results may differ from those estimates or assumptions. Due to the COVID-19 Concentrations of Credit Risk and of Significant Customers Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts and commissions receivable. The Company maintains its cash and cash equivalents at accredited financial institutions. The Company does not believe that it is subject to unusual credit risk beyond the normal credit risk associated with commercial banking relationships. The Company sells its consumer referrals to insurance provider customers, consisting of carriers and agents, and indirect distributors in the United States and receives commissions from insurance provider customers for insurance policies sold. For the three months ended June 30, 2022, two customers represented 20% and 10%, respectively, of total revenue. For the six months ended June 30, 2022, two customers represented 17% and 11%, respectively, of total revenue. For the three months ended June 30, 2021, two customers represented 18% and 11% of total revenue, respectively. For the six months ended June 30, 2021, one customer represented 19% of total revenue. As of June 30, 2022, two customers accounted for 23% and 10%, respectively, of the accounts receivable and commissions receivable balance. As of December 31, 2021, one customer accounted for 12% of the total accounts and commissions receivable balance. Fair Value Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. Financial assets and liabilities carried at fair value are to be classified and disclosed in one of the following three levels of the fair value hierarchy, of which the first two are considered observable and the last is considered unobservable: • Level 1—Quoted prices in active markets for identical assets or liabilities. • Level 2—Observable inputs (other than Level 1 quoted prices), such as quoted prices in active markets for similar assets or liabilities, quoted prices in markets that are not active for identical or similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data. • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques. The Company’s cash equivalents and contingent consideration liabilities are carried at fair value, determined according to the fair value hierarchy described above (see Note 4). The carrying values of the Company’s accounts receivable, accounts payable and accrued expenses and other current liabilities approximate their fair values due to the short-term nature of these assets and liabilities. Commissions receivable are recorded at constrained lifetime values. Restricted Cash As of December 31, 2021, restricted cash consisted of $0.3 million deposited in a separate restricted bank account as a security deposit for the Company’s corporate credit cards. Restricted cash was classified within other assets. The restricted cash was released to the Company in January 2022 and as a result, as of June 30, 2022, the Company longer maintains a restricted cash balance. Accounts Receivable The Company provides credit to customers in the ordinary course of business and believes its credit policies are prudent and reflect industry practices and business risk. The Company monitors economic conditions to identify facts or circumstances that may indicate that its receivables are at risk of collection. The Company provides reserves against accounts receivable for estimated losses, if any, that may result from a customer’s inability to pay based on the composition of its accounts receivable, current economic conditions, and historical credit loss activity. Amounts determined to be uncollectible are charged or written-off Revenue Recognition The Company derives its revenue primarily by selling consumer referrals to its insurance provider customers, including insurance carriers, agents and indirect distributors. The Company also generates revenue from commission fees for the sale of policies, primarily in its health and automotive verticals. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies a performance obligation. The Company only applies the five-step model to contracts when collectability of the consideration to which the Company is entitled in exchange for the goods or services it transfers to the customer is determined to be probable. Amounts are recorded as accounts receivable when the Company’s right to consideration is unconditional. The Company does not assess whether a contract has a significant financing component if the expectation at contract inception is that the period between payment by the customer and the transfer of the promised goods or services to the customer will be one year or less. Referral Revenue The Company recognizes referral revenue when it satisfies its performance obligations by delivering the referrals to its customers in an amount that reflects the consideration to which it expects to be entitled in exchange for those referrals. Commission Revenue The Company’s commission revenue is primarily comprised of commissions from health insurance carriers and auto insurance carriers. Commission revenue consists of the estimated constrained lifetime values (the “constrained LTVs”) of commission payments the Company expects to receive for selling an insurance policy. Commission revenue is recognized upon satisfaction of the Company’s performance obligation. The Company considers its performance obligation to be satisfied upon submission of the policy application. Commission revenue represented approximately 13% of total revenue in the three and six months ended June 30, 2022, and less than 10% of total revenue in the three and six months ended June 30, 2021. The Company estimates commission revenue for each health insurance product by using a portfolio approach to a group of policies by product type and the application submission date of the relevant policy, which are referred to as “cohorts.” The Company’s estimate of constrained LTVs is based on an analysis of historical commission payment trends for relevant policies to establish an expected lifetime value and incorporates management’s judgment in interpreting those trends to calculate LTVs and to apply constraints to such LTVs. Significant factors impacting historical trends include carrier mix, average policy duration and conversion rates of paying policies. Commission revenue from auto insurance carriers consists of constrained LTVs of commission payments the Company expects to receive for selling an insurance policy based on the effective date of the policy. The Company’s estimate of constrained LTVs is based on an analysis of historical commission payment trends for relevant policies to establish an expected lifetime value and incorporates management’s judgment in interpreting those trends to calculate LTVs and to apply constraints to such LTVs. The most significant factor impacting historical trends is average policy duration. The Company applies a constraint to its estimated LTVs to only recognize the amount of variable consideration that it believes is probable that it will be entitled to receive and will not be subject to a significant revenue reversal in the future. To the extent that commission payment trends change or the underlying factors impacting commission payments change, the Company’s estimate of constrained LTVs could be materially impacted. To the extent the Company makes changes to its estimates of constrained LTVs, it recognizes any material impact of the change to commission revenue in the reporting period in which the change is made, including revisions of estimated lifetime commissions either below or in excess of previously estimated constrained LTVs recognized as an adjustment to revenue and the related contract asset. The Company recognizes revenue for new policies by applying the latest estimated constrained LTV for that product. Disaggregated Revenue The Company presents disaggregated revenue from contracts with customers by distribution channel, as the distribution channel impacts the nature and amount of the Company’s revenue, and by vertical market segment. Total revenue is comprised of revenue from the following distribution channels: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Direct channels 86 % 91 % 87 % 90 % Indirect channels 14 % 9 % 13 % 10 % 100 % 100 % 100 % 100 % Total revenue is comprised of revenue from the following insurance verticals (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Automotive $ 81,375 $ 86,358 $ 169,050 $ 170,839 Other 20,540 18,705 43,546 38,046 Total Revenue $ 101,915 $ 105,063 $ 212,596 $ 208,885 The Company has elected to apply the practical expedient in ASC 606 to expense incremental direct costs of obtaining a contract, consisting of sales commissions, as incurred as the expected period of benefit of the sales commissions is one year or less. As of June 30, 2022 and December 31, 2021, the Company had not capitalized any costs to obtain any of its contracts. Deferred Revenue Amounts received for referrals prior to satisfying the revenue recognition criteria are recorded as deferred revenue in the accompanying balance sheets. Amounts expected to be recognized as revenue within 12 months of the balance sheet date are classified as current deferred revenue. Deferred revenue was $2.1 million as of December 31, 2021. During the six months ended June 30, 2022, the Company recognized revenue of $1.5 million that was included in the contract liability balance (deferred revenue) at December 31, 2021. The Company recognizes deferred revenue by first allocating from the beginning deferred revenue balance to the extent that the beginning deferred revenue balance exceeds the revenue to be recognized. Billings during the period are added to the deferred revenue balance to be recognized in future periods. Commissions Receivable Commissions receivable are contract assets that represent estimated variable consideration for commissions to be received from insurance carriers for performance obligations that have been satisfied. The current portion of commissions receivable (included within prepaid expenses and other current assets) are estimated commissions expected to be received within one year, while the non-current (non-current)) The current and non-current June 30, December 31, 2022 2021 Commissions receivable, current portion (included in prepaid expenses and other current assets) $ 9,488 $ 9,285 Commissions receivable, non-current portion (included in other assets) 24,637 13,415 $ 34,125 $ 22,700 A portion of the Company’s commissions receivable contract asset was recorded as part of the purchase price allocation for the Company’s two acquisitions (see Note 3). The Company assesses impairment for uncollectible consideration when information available indicates it is probable that an asset has been impaired. There were no impairments recorded during the three and six months ended June 30, 2022 or 2021. While the Company is exposed to credit losses due to the non-payment Advertising Expense Advertising expense consists of variable costs that are related to attracting consumers to the Company’s marketplace and generating consumer quote requests, including through its verified partner network, and promoting its marketplace to insurance carriers and agents. The Company expenses advertising costs as incurred and such costs are included in sales and marketing expense in the accompanying statements of operations and comprehensive loss. During the three months ended June 30, 2022 and 2021, advertising expense totaled $68.8 million and $72.2 million, respectively. During the six months ended June 30, 2022 and 2021, advertising expense totaled $145.2 million and $144.6 million, respectively. Net Income (Loss) per Share Basic net income (loss) per common share is computed by dividing the net income (loss) by the weighted average number of shares of common stock outstanding for the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of common shares outstanding for the period, including potential dilutive common shares assuming the dilutive effect of outstanding stock options and unvested restricted stock units. For periods in which the Company reported a net loss, diluted net loss per common share is the same as basic net loss per common share, since dilutive common shares are not assumed to have been issued if their effect is anti-dilutive. The Company has two classes of common stock outstanding: Class A common stock and Class B common stock. The rights of the holders of Class A and Class B common stock are identical, except with respect to voting and conversion. Each share of Class B common stock is convertible into one share of Class A common stock at the option of the holder at any time. The Company allocates undistributed earnings attributable to common stock between the common stock classes on a one-to-one The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted net loss per share attributable to common stockholders for the periods indicated because including them would have had an anti-dilutive effect: June 30, 2022 2021 Options to purchase common stock 2,003,197 1,903,499 Unvested restricted stock units 3,483,873 2,737,475 5,487,070 4,640,974 The table above does not include shares issuable upon settlement of contingent consideration for the Company’s two acquisitions (see Note 3). Such shares are also not included in the Company’s calculation of basic or diluted net loss per common share. Recently Issued Accounting Pronouncements In October 2021, the FASB issued ASU No. 2021-08, Revenue from Contracts with Customers In June 2022, the FASB issued ASU No. 2022-03, Restrictions on |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2022 | |
Business Combinations [Abstract] | |
Acquisitions | 3. Acquisitions PolicyFuel On August 13, 2021, the Company completed the acquisition of Policy Fuel, LLC and its affiliated entities (“PolicyFuel”), a policy-sales-as-a-service direct-to-consumer The PolicyFuel acquisition was accounted for as a purchase of a business under ASC Topic 805, Business Combinations. Under the acquisition method of accounting, the assets and liabilities of PolicyFuel were recorded at their respective fair values as of the acquisition date. The purchase consideration of $20.0 million reflected a cash payment of $16.0 million, net of cash acquired, settlement of an outstanding receivable from PolicyFuel of $0.2 million and contingent consideration of $3.8 million, representing the estimated fair value as of the acquisition date of Class A common stock issuable to the former owners of PolicyFuel upon achievement of certain revenue targets over the next three years. The former owners of PolicyFuel are eligible to receive shares of Class A common stock upon the achievement (at varying levels) of each of three twelve-month revenue targets. The number of shares that may be issued at maximum performance is based on a total dollar value of $12.9 million; 50% of which would be calculated at the time of issuance by dividing the applicable dollar value by a volume weighted average price per share for a 20-day e number of shares issued multiplied by the market value of the Company’s Class A common stock on the date of issuance. The remaining 50%, or $6.5 million at maximum performance, may be issued as shares of Class A common stock calculated by dividing the applicable dollar value earned by the volume weighted average price per share for a 20-day period preceding each revenue target determination date. These shares are referred to as the “Fixed Dollar Shares” and there is no maximum to the number of shares that may be issued as Fixed Dollar Shares. The fair value of such shares to be recorded upon issuance will be based on the number of shares issued multiplied by the market value of the Company’s Class A common stock on the date o The Fixed Shares described above include 17,030 performance-based restricted stock units issued as an Inducement Award and the Fixed Dollar Shares described above include $0.6 million of performance-based restricted stock units issued as an Inducement Award (see Note 8). As achievement of each of the three twelve-month targets will result in the issuance of a variable number of shares of Class A common stock, the Company recorded the fair value of this contingent consideration within accrued expense and other current liabilities (first annual target) and within other long-term liabilities (second and third annual targets). The Company estimated the fair value of the contingent consideration as of the acquisition date using a Monte Carlo simulation model. The most significant assumptions and estimates utilized in the model include forecasted revenue (an acquisition specific input) and the market value of the Company’s Class A common stock (an observable input). Other assumptions utilized in the model include equity volatility, revenue volatility and discount rate. The Company remeasures the fair value of the contingent consideration at each subsequent The following tables summarize the purchase price for PolicyFuel and the allocation of the purchase price (in thousands): Cash paid, net of cash acquired $ 15,955 Fair value of contingent consideration to be settled in stock 3,784 Settlement of existing relationship 233 Total purchase price consideration, net of cash acquired $ 19,972 Assets Acquired and Liabilities Assumed: Accounts receivable $ 283 Commissions receivable (current and long-term) 2,761 Prepaid expenses and other current assets 12 Customer relationships 6,600 Developed technology 1,700 Other identifiable intangible assets 300 Goodwill 11,532 Total assets acquired 23,188 Accounts payable and accrued expenses (current) (706 ) Deferred tax liability (2,510 ) Total allocation of purchase price consideration, net of cash acquired $ 19,972 Customer relationships were valued using the income approach and are being amortized to sales and marketing expense over their estimated useful life of nine years. Significant assumptions and estimates utilized in the model include revenue and earnings growth rates, royalty rates and the discount rate. Developed technology was valued using the relief from royalty method and is being amortized to cost of revenue over its estimated useful life of three years. Significant assumptions and estimates utilized in this model include the royalty rate, the discount rate and the obsolescence curve. Commissions receivable were recorded at constrained LTVs and are included in prepaid expenses and other current assets and other assets on the Company’s consolidated balance sheet. Goodwill was recognized for the excess purchase price over the fair value of the net assets acquired. Goodwill is primarily attributable to the workforce of the acquired business (which is not eligible for separate recognition as an identifiable intangible asset) and future growth. Goodwill resulting from the acquisition of PolicyFuel is not deductible for tax purposes. The Company incurred costs of $0.9 million for the year ended December 31, 2021, for third-party professional services utilized for the acquisition, which were expensed as incurred within acquisition-related costs on the Company’s consolidated statements of operations and comprehensive loss. The operating results of the acquired entity have been included in the consolidated financial statements beginning on the acquisition date but have not been disclosed as the Company does not account for the results of the acquired entity separate from its own results. Pro forma results of operations for the acquisition have not been presented as they are not material to the Company’s consolidated results of operations. The Company recorded an income tax benefit for the year ended December 31, 2021 of $2.5 million related to the release of a portion of its valuation allowance as a result of the acquisition of PolicyFuel. The net deferred tax liability recorded for PolicyFuel relates to the intangible assets recognized in purchase accounting, which are non-deductible Eversurance On September 1, 2020, the Company completed the acquisition of Crosspointe Insurance & Financial Services, LLC, a health insurance agency headquartered in Evansville, Indiana. In the third quarter of 2021, the Company changed the name of Crosspointe Insurance & Financial Services, LLC to Eversurance, LLC (“Eversurance”). Eversurance is a sales and decision support contact center that connects consumers to high quality health insurance in a customer-centric environment and serves the individual and family health, Medicare, and ancillary health product markets. This acquisition enables the Company to accelerate and expand its opportunity in the health insurance market, by providing insurance shoppers with a broader range of health insurance products through access to a greater number of carrier partners, and an improved and more personalized customer buying experience. The Eversurance acquisition was accounted for as a purchase of a business under ASC Topic 805, Business Combinations. Under the acquisition method of accounting, the assets and liabilities of Eversurance were recorded as of the acquisition date, at their respective fair values. The purchase consideration of $16.7 million reflected a cash payment of $14.9 million and contingent consideration of $1.8 million representing the fair value of Class A common stock issuable to the former owners of Eversurance upon achievement of certain revenue targets over three years. The former owners of Eversurance were eligible to receive up to 97,922 shares of Class A common stock upon achievement of certain revenue targets measured in annual intervals. Shares of Class A common stock issuable upon achievement of the first two annual targets were for a fixed number of shares of Class A common stock of 39,168 shares and, as such, the Company recorded the fair value of these shares within stockholders’ equity based on the number of shares issuable and the market value of Class A common stock on the acquisition date. These shares were issued to the former owners of Eversurance during 2021. Achievement of the third annual target will result in the issuance of a variable number of shares of Class A common stock of up to 58,754 shares and, as such, the Company recorded the fair value of these shares as a long-term liability. The Company remeasures the fair value of the shares of Class A common stock issuable upon the estimated achievement levels of the third annual target at each subsequent reporting date until the liability is fully settled (see Note 4). |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 4. Fair Value of Financial Instruments The following tables present the Company’s fair value hierarchy for its assets and liabilities which are measured at fair value on a recurring basis as of June 30, 2022 and December 31, 2021 (in thousands): Fair Value Measurements at June 30, 2022 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 20,537 $ — $ — $ 20,537 Liabilities: Contingent consideration liability associated with acquisition of Eversurance included in other long-term liabilities $ — $ — $ 519 $ 519 Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities — — 583 583 Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities — — 400 400 $ — $ — $ 1,502 $ 1,502 Fair Value Measurements at December 31, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 20,502 $ — $ — $ 20,502 Liabilities: Contingent consideration liability associated with acquisition of Eversurance included in other long-term liabilities $ — $ — $ 920 $ 920 Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities — — 629 629 Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities — — 4,625 4,625 $ — $ — $ 6,174 $ 6,174 There were no transfers into or out of Level 3 during the three and six months ended June 30, 2022 or 2021. Money market funds were valued by the Company based on quoted market prices, which represent a Level 1 measurement within the fair value hierarchy. Contingent consideration liabilities are valued by the Company using significant inputs not observable in the market, which represents a Level 3 measurement within the fair value hierarchy. The valuation of contingent consideration uses assumptions and estimates to forecast a range of outcomes for the contingent consideration. The Company assesses these assumptions and estimates on a quarterly basis as additional data impacting the assumptions is obtained. Changes in the fair value of contingent consideration related to updated assumptions and estimates are recognized as acquisition-related costs within the consolidated statements of operations and comprehensive loss. The Company estimates the fair value of the maximum 58,754 shares of Class A common stock issuable as contingent consideration upon achievement of certain Eversurance revenue targets (see Note 3) using probability of achievement of the revenue target (acquisition specific input) and the market value of the Company’s Class A common stock (observable input). The change in fair value of the contingent consideration liability for the three and six months ended June 30, 2022 was due to the decrease in market value of the Company’s Class A common stock. The Company uses a Monte Carlo simulation model in its estimates of the fair value of the contingent consideration related to the PolicyFuel acquisition. The most significant assumptions and estimates utilized in the model include forecasted revenue (an acquisition specific input) and the market value of the Company’s Class A common stock (an observable input). Other assumptions utilized in the model include equity volatility, revenue volatility and discount rate. The decrease in fair value of contingent consideration related to the Class A common stock issuable upon achievement of revenue targets was primarily due to a change in estimate of forecasted revenue and the decrease in market value of the Company’s Class A common stock. The following table provides a roll-forward of the aggregate fair values of the Company’s contingent consideration liabilities for which fair value is determined by Level 3 inputs (in thousands): Contingent Fair value at December 31, 2021 $ 6,174 Change in fair value of contingent consideration related to Eversurance acquisition (401 ) Change in fair value of contingent consideration related to PolicyFuel acquisition (4,271 ) Fair value at June 30, 2022 $ 1,502 |
Goodwill and Acquired Intangibl
Goodwill and Acquired Intangible Assets | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Acquired Intangible Assets | 5. Goodwill and Acquired Intangible Assets Goodwill is not amortized, but instead is reviewed for impairment at least annually or more frequently when events and circumstances occur indicating that the recorded goodwill may be impaired. The Company considers its business to be one reporting unit for purposes of performing its goodwill impairment analysis. To date, the Company has had no impairments to goodwill. There were no changes to goodwill for the three and six months ended June 30, 2022. Acquired intangible assets consisted of the following (in thousands): Weighted June 30, 2022 Gross Accumulated Amortization Carrying (in years) Customer relationships 7.6 $ 10,200 $ (2,592 ) $ 7,608 Developed technology 3 1,700 (501 ) 1,199 Other identifiable intangible assets 2.8 570 (284 ) 286 $ 12,470 $ (3,377 ) $ 9,093 Weighted December 31, 2021 Gross Accumulated Carrying (in years) Customer relationships 7.6 $ 10,200 $ (1,830 ) $ 8,370 Developed technology 3 1,700 (217 ) 1,483 Other identifiable intangible assets 2.8 570 (194 ) 376 $ 12,470 $ (2,241 ) $ 10,229 Future amortization expense of intangible assets as of June 30, 2022 is expected to be as follows (in thousands): Year Ending December 31, 2022 (remaining six months) $ 1,141 2023 2,001 2024 1,715 2025 960 2026 685 Thereafter 2,591 $ 9,093 |
Balance Sheet Detail
Balance Sheet Detail | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Balance Sheet Detail | 6. Balance Sheet Detail Prepaid expenses and other current assets consisted of the following (in thousands): June 30, December 31, 2022 2021 Commissions receivable, current portion $ 9,488 $ 9,285 Prepaid expenses and other current assets 4,940 4,899 $ 14,428 $ 14,184 Other assets consisted of the following (in thousands): June 30, December 31, 2022 2021 Commissions receivable, non-current $ 24,637 $ 13,415 Other assets 461 681 $ 25,098 $ 14,096 Accrued expenses and other current liabilities consisted of the f ollowing June 30, December 31, 2022 2021 Accrued employee compensation and benefits $ 4,845 $ 4,115 Accrued advertising expenses 2,817 5,669 Other current liabilities 3,279 3,231 $ 10,941 $ 13,015 |
Loan and Security Agreement
Loan and Security Agreement | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Loan and Security Agreement | 7. Loan and Security Agreement As of June 30, 2022, the Company had available borrowings of $25.0 million under its amended Loan and Security Agreement (the “2020 Loan Agreement”) with Western Alliance Bank (“Lender”). Pursuant to the 2020 Loan Agreement, borrowings under the revolving line of credit could not exceed 80% of eligible accounts receivable balances, bore interest at the greater of 3.25% or the prime rate and were scheduled to mature Under the 2020 Loan Agreement, the Company was subject to specified affirmative and negative covenants until maturity. These covenants included limitations on the Company’s ability to incur additional indebtedness and engage in certain fundamental business transactions, such as mergers or acquisitions. In addition, the Company was required to maintain a financial performance covenant: a minimum asset coverage ratio of 1.5 to 1, calculated as the sum of unrestricted cash and qualified accounts receivable divided by borrowings outstanding under the revolving line of credit. As of June 30, 2022, the Company was in compliance with these covenants. Events which would meet the criteria of a default under the 2020 Loan Agreement included failure to make payments when due, insolvency events, failure to comply with covenants or material adverse events with respect to the Company. As of June 30, 2022, the Company had no amounts outstanding on the revolving line of credit. On July 15, 2022, the Company amended the 2020 Loan Agreement to extend the maturity date, increase the line of credit amount and add a term loan component (See Note 12). |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | 8. Stock-Based Compensation 2008 and 2018 Plans The Company has outstanding awards under its 2008 Stock Incentive Plan, as amended (the “2008 Plan”), but is no longer granting awards under this plan. Shares of common stock issued upon exercise of stock options granted prior to September 8, 2017 will be issued as either Class A common stock or Class B common stock. Shares of common stock issued upon exercise of stock options granted after September 8, 2017 will be issued as Class A common stock. The Company’s 2018 Equity Incentive Plan (the “2018 Plan” and, together with the 2008 Plan, the “Plans”) provides for the grant of incentive stock options, non-qualified stock day of each fiscal year until, and Options and restricted stock units (“RSU”s) granted under the Plans vest over periods determined by the board of directors. Options granted under the Plans expire no longer than ten years from the date of the grant. The exercise price for stock options granted is not less than the fair value of common shares based on quoted market prices. Certain of the Company’s RSUs are net settled by withholding shares of the Company’s Class A common stock to cover statutory income taxes. During the six months ended June 30, 2022, the Company granted 565,300 service-based options under the 2018 Plan with an aggregate grant date fair value of $6.1 million. During the six months ended June 30, 2022, the Company granted 1,332,414 service-based RSUs under the 2018 Plan with an aggregate grant date fair value of $18.4 million. Inducement Grants In connection with the acquisition of PolicyFuel in 2021, the Company granted service- and service- and performance-based RSUs to newly hired employees. The RSUs were approved by the Company’s board of directors and were granted as an inducement material to the new employees entering into employment with the Company in accordance with Nasdaq Rule 5635(c)(4) (the “Inducement Awards”). The Inducement Awards were granted outside of the 2018 Plan. The Company also has outstanding service- and performance-based RSUs granted as Inducement Awards in 2021 that will vest for a variable number of shares of the Company’s Class A common stock upon the achievement (at varying levels) of certain revenue targets measured at twelve-month intervals over the next three years. The number of shares to be issued upon achievement of each of the revenue targets will be based on a fixed dollar value divided by the volume weighted average price per share of the Company’s Class A common stock for a 20-day 20-day Stock-Based Compensation The Company recorded stock-based compensation expense in the following expense categories of its statements of operations and comprehensive loss (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Cost of revenue $ 95 $ 83 $ 154 $ 174 Sales and marketing 2,964 2,459 6,174 5,850 Research and development 2,650 2,321 5,061 4,648 General and administrative 1,891 2,226 3,741 3,937 $ 7,600 $ 7,089 $ 15,130 $ 14,609 Stock-based compensation expense for the three and six months ended June 30, 2022 included a total of $0.2 million and $0.6 million, respectively, related to unvested RSUs and option awards with performance-based vesting conditions, including options with performance- and market-based probable |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 9. Commitments and Contingencies Leases The Company leases office space under various non-cancelable Leases, 10-K Indemnification Agreements In the normal course of business, the Company may provide indemnification of varying scope and terms to third parties and enters into commitments and guarantees (“Agreements”) under which it may be required to make payments. The duration of these Agreements varies, and in certain cases, is indefinite. Furthermore, many of these Agreements do not limit the Company’s maximum potential payment exposure. In addition, the Company has entered into indemnification agreements with members of its board of directors and executive officers that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers. Through June 30, 2022, the Company has not incurred any material costs as a result of such indemnifications. The Company does not believe that the outcome of any claims under indemnification arrangements will have a material effect on its financial position, results of operations or cash flows, and it has not accrued any liabilities related to such obligations in its financial statements as of June 30, 2022 and December 31, 2021. Legal Proceedings and Other Contingencies The Company was contacted by a representative from a state tax assessor’s office requesting remittance of uncollected sales taxes. The Company does not believe its services are taxable in the state in question and is investigating this request and intends to vigorously defend this position. If the Company does not prevail in its position, uncollected sales taxes due for the period could amount to approximately The Company is from time to time subject to various other legal proceedings and claims, either asserted or unasserted, which arise in the ordinary course of its business. While the outcome of these other claims cannot be predicted with certainty, management does not believe that the outcome of any of these other legal matters will have a material adverse effect on the Company’s results of operations or financial condition. |
Retirement Plan
Retirement Plan | 6 Months Ended |
Jun. 30, 2022 | |
Retirement Benefits [Abstract] | |
Retirement Plan | 10. Retirement Plan The Company has established a defined-contribution plan under Section 401(k) of the Internal Revenue Code (the “401(k) Plan”). The 401(k) Plan covers all employees who meet defined minimum age and service requirements, and allows participants to defer a portion of their annual compensation on a pre-tax during |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2022 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 11. Related Party Transactions The Company has, in the ordinary course of business, entered into arrangements with other companies who have shareholders in common with the Company. Pursuant to these arrangements, related-party affiliates receive payments for providing website visitor referrals. During the three months ended June 30, 2022 and 2021, the Company recorded expense of $2.2 million and $0.9 million, respectively, related to these arrangements. During the three months ended June 30, 2022 and 2021, the Company paid $1.4 million and $1.0 million, respectively, related to these arrangements. During the six months ended June 30, 2022 and 2021, the Company recorded expense of $3.4 million and $1.9 million, respectively, related to these arrangements. During the six months ended June 30, 2022 and 2021, the Company paid $2.1 million and $1.8 million, respectively, related to these arrangements. As of June 30, 2022, and December 31, 2021, amounts due On February 23, 2022, the Company sold 1,004,016 shares of Class A common stock at a purchase price of $14.94 per share for gross proceeds of $15.0 million in a private placement to Recognition Capital, LLC, an entity which is owned and controlled by David Blundin, Chairman of the board of directors and co-founder |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | 12. Subsequent Events On July 15, 2022, the Company executed a Loan and Security Modification Agreement to amend the 2020 Loan Agreement, to increase the revolving line of credit from million. The 2020 Loan Agreement, as amended by the Loan and Security Modification Agreement, is referred to as the Amended Loan Agreement. Pursuant to the Amended Loan Agreement, borrowings under the revolving line of credit cannot exceed % of eligible accounts receivable balances, as published in the Wall Street Journal and mature on . The term loan may be drawn through December 31, 2023 and borrowings Borrowings under the term loan of the Amended Loan Agreement are repayable in monthly interest-only payments through December 31, 2023. Commencing on January 1, 2024, the term loan is payable in 42 equal monthly installments of the then outstanding principal and accrued interest through June 2027. The Company may prepay all, but not less than all, of any outstanding principal with respect to advances made under the term loan provided that such outstanding principal is paid in full along with any accrued but unpaid interest to date plus any fees that become payable under the Amended Loan Agreement. In an event of default, as defined in the Amended Loan Agreement, and until such event is no longer continuing, the annual interest rate to be charged would be the annual rate otherwise applicable to borrowings under the Amended Loan Agreement plus %. Borrowings are collateralized by substantially all of the Company’s assets and property. Under the Amended Loan Agreement, |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The condensed consolidated balance sheet at December 31, 2021 was derived from audited consolidated financial statements but does not include all disclosures required by GAAP. The accompanying unaudited condensed consolidated financial statements as of June 30, 2022 and for the three and six months ended June 30, 2022 and 2021 have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial statements. Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Therefore, these condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto for the year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K for |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant estimates and assumptions reflected in these consolidated financial statements include, but are not limited to, revenue recognition and collectability of accounts receivable, the expensing and capitalization of website and software development costs, goodwill and acquired intangible assets, commissions receivable, the contingent consideration liabilities, the valuation of stock-based awards and income taxes. The Company bases its estimates on historical experience, known trends and other market-specific or relevant factors that it believes to be reasonable under the circumstances. On an ongoing basis, management evaluates its estimates, as there are changes in circumstances, facts and experience. Changes in estimates are recorded in periods in which they become known. Actual results may differ from those estimates or assumptions. Due to the COVID-19 |
Concentrations of Credit Risk and of Significant Customers | Concentrations of Credit Risk and of Significant Customers Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts and commissions receivable. The Company maintains its cash and cash equivalents at accredited financial institutions. The Company does not believe that it is subject to unusual credit risk beyond the normal credit risk associated with commercial banking relationships. The Company sells its consumer referrals to insurance provider customers, consisting of carriers and agents, and indirect distributors in the United States and receives commissions from insurance provider customers for insurance policies sold. For the three months ended June 30, 2022, two customers represented 20% and 10%, respectively, of total revenue. For the six months ended June 30, 2022, two customers represented 17% and 11%, respectively, of total revenue. For the three months ended June 30, 2021, two customers represented 18% and 11% of total revenue, respectively. For the six months ended June 30, 2021, one customer represented 19% of total revenue. As of June 30, 2022, two customers accounted for 23% and 10%, respectively, of the accounts receivable and commissions receivable balance. As of December 31, 2021, one customer accounted for 12% of the total accounts and commissions receivable balance. |
Fair Value Measurements | Fair Value Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. Financial assets and liabilities carried at fair value are to be classified and disclosed in one of the following three levels of the fair value hierarchy, of which the first two are considered observable and the last is considered unobservable: • Level 1—Quoted prices in active markets for identical assets or liabilities. • Level 2—Observable inputs (other than Level 1 quoted prices), such as quoted prices in active markets for similar assets or liabilities, quoted prices in markets that are not active for identical or similar assets or liabilities, or other inputs that are observable or can be corroborated by observable market data. • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to determining the fair value of the assets or liabilities, including pricing models, discounted cash flow methodologies and similar techniques. The Company’s cash equivalents and contingent consideration liabilities are carried at fair value, determined according to the fair value hierarchy described above (see Note 4). The carrying values of the Company’s accounts receivable, accounts payable and accrued expenses and other current liabilities approximate their fair values due to the short-term nature of these assets and liabilities. Commissions receivable are recorded at constrained lifetime values. |
Restricted Cash | Restricted Cash As of December 31, 2021, restricted cash consisted of $0.3 million deposited in a separate restricted bank account as a security deposit for the Company’s corporate credit cards. Restricted cash was classified within other assets. The restricted cash was released to the Company in January 2022 and as a result, as of June 30, 2022, the Company longer maintains a restricted cash balance. |
Accounts Receivable | Accounts Receivable The Company provides credit to customers in the ordinary course of business and believes its credit policies are prudent and reflect industry practices and business risk. The Company monitors economic conditions to identify facts or circumstances that may indicate that its receivables are at risk of collection. The Company provides reserves against accounts receivable for estimated losses, if any, that may result from a customer’s inability to pay based on the composition of its accounts receivable, current economic conditions, and historical credit loss activity. Amounts determined to be uncollectible are charged or written-off |
Revenue Recognition | Revenue Recognition The Company derives its revenue primarily by selling consumer referrals to its insurance provider customers, including insurance carriers, agents and indirect distributors. The Company also generates revenue from commission fees for the sale of policies, primarily in its health and automotive verticals. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies a performance obligation. The Company only applies the five-step model to contracts when collectability of the consideration to which the Company is entitled in exchange for the goods or services it transfers to the customer is determined to be probable. Amounts are recorded as accounts receivable when the Company’s right to consideration is unconditional. The Company does not assess whether a contract has a significant financing component if the expectation at contract inception is that the period between payment by the customer and the transfer of the promised goods or services to the customer will be one year or less. Referral Revenue The Company recognizes referral revenue when it satisfies its performance obligations by delivering the referrals to its customers in an amount that reflects the consideration to which it expects to be entitled in exchange for those referrals. Disaggregated Revenue The Company presents disaggregated revenue from contracts with customers by distribution channel, as the distribution channel impacts the nature and amount of the Company’s revenue, and by vertical market segment. Total revenue is comprised of revenue from the following distribution channels: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Direct channels 86 % 91 % 87 % 90 % Indirect channels 14 % 9 % 13 % 10 % 100 % 100 % 100 % 100 % Total revenue is comprised of revenue from the following insurance verticals (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Automotive $ 81,375 $ 86,358 $ 169,050 $ 170,839 Other 20,540 18,705 43,546 38,046 Total Revenue $ 101,915 $ 105,063 $ 212,596 $ 208,885 The Company has elected to apply the practical expedient in ASC 606 to expense incremental direct costs of obtaining a contract, consisting of sales commissions, as incurred as the expected period of benefit of the sales commissions is one year or less. As of June 30, 2022 and December 31, 2021, the Company had not capitalized any costs to obtain any of its contracts. Deferred Revenue Amounts received for referrals prior to satisfying the revenue recognition criteria are recorded as deferred revenue in the accompanying balance sheets. Amounts expected to be recognized as revenue within 12 months of the balance sheet date are classified as current deferred revenue. Deferred revenue was $2.1 million as of December 31, 2021. During the six months ended June 30, 2022, the Company recognized revenue of $1.5 million that was included in the contract liability balance (deferred revenue) at December 31, 2021. The Company recognizes deferred revenue by first allocating from the beginning deferred revenue balance to the extent that the beginning deferred revenue balance exceeds the revenue to be recognized. Billings during the period are added to the deferred revenue balance to be recognized in future periods. |
Commissions Receivable | Commission Revenue The Company’s commission revenue is primarily comprised of commissions from health insurance carriers and auto insurance carriers. Commission revenue consists of the estimated constrained lifetime values (the “constrained LTVs”) of commission payments the Company expects to receive for selling an insurance policy. Commission revenue is recognized upon satisfaction of the Company’s performance obligation. The Company considers its performance obligation to be satisfied upon submission of the policy application. Commission revenue represented approximately 13% of total revenue in the three and six months ended June 30, 2022, and less than 10% of total revenue in the three and six months ended June 30, 2021. The Company estimates commission revenue for each health insurance product by using a portfolio approach to a group of policies by product type and the application submission date of the relevant policy, which are referred to as “cohorts.” The Company’s estimate of constrained LTVs is based on an analysis of historical commission payment trends for relevant policies to establish an expected lifetime value and incorporates management’s judgment in interpreting those trends to calculate LTVs and to apply constraints to such LTVs. Significant factors impacting historical trends include carrier mix, average policy duration and conversion rates of paying policies. Commission revenue from auto insurance carriers consists of constrained LTVs of commission payments the Company expects to receive for selling an insurance policy based on the effective date of the policy. The Company’s estimate of constrained LTVs is based on an analysis of historical commission payment trends for relevant policies to establish an expected lifetime value and incorporates management’s judgment in interpreting those trends to calculate LTVs and to apply constraints to such LTVs. The most significant factor impacting historical trends is average policy duration. The Company applies a constraint to its estimated LTVs to only recognize the amount of variable consideration that it believes is probable that it will be entitled to receive and will not be subject to a significant revenue reversal in the future. To the extent that commission payment trends change or the underlying factors impacting commission payments change, the Company’s estimate of constrained LTVs could be materially impacted. To the extent the Company makes changes to its estimates of constrained LTVs, it recognizes any material impact of the change to commission revenue in the reporting period in which the change is made, including revisions of estimated lifetime commissions either below or in excess of previously estimated constrained LTVs recognized as an adjustment to revenue and the related contract asset. The Company recognizes revenue for new policies by applying the latest estimated constrained LTV for that product. Commissions Receivable Commissions receivable are contract assets that represent estimated variable consideration for commissions to be received from insurance carriers for performance obligations that have been satisfied. The current portion of commissions receivable (included within prepaid expenses and other current assets) are estimated commissions expected to be received within one year, while the non-current (non-current)) The current and non-current June 30, December 31, 2022 2021 Commissions receivable, current portion (included in prepaid expenses and other current assets) $ 9,488 $ 9,285 Commissions receivable, non-current portion (included in other assets) 24,637 13,415 $ 34,125 $ 22,700 A portion of the Company’s commissions receivable contract asset was recorded as part of the purchase price allocation for the Company’s two acquisitions (see Note 3). The Company assesses impairment for uncollectible consideration when information available indicates it is probable that an asset has been impaired. There were no impairments recorded during the three and six months ended June 30, 2022 or 2021. While the Company is exposed to credit losses due to the non-payment |
Advertising Expense | Advertising Expense Advertising expense consists of variable costs that are related to attracting consumers to the Company’s marketplace and generating consumer quote requests, including through its verified partner network, and promoting its marketplace to insurance carriers and agents. The Company expenses advertising costs as incurred and such costs are included in sales and marketing expense in the accompanying statements of operations and comprehensive loss. During the three months ended June 30, 2022 and 2021, advertising expense totaled $68.8 million and $72.2 million, respectively. During the six months ended June 30, 2022 and 2021, advertising expense totaled $145.2 million and $144.6 million, respectively. |
Net Income (Loss) per Share | Net Income (Loss) per Share Basic net income (loss) per common share is computed by dividing the net income (loss) by the weighted average number of shares of common stock outstanding for the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of common shares outstanding for the period, including potential dilutive common shares assuming the dilutive effect of outstanding stock options and unvested restricted stock units. For periods in which the Company reported a net loss, diluted net loss per common share is the same as basic net loss per common share, since dilutive common shares are not assumed to have been issued if their effect is anti-dilutive. The Company has two classes of common stock outstanding: Class A common stock and Class B common stock. The rights of the holders of Class A and Class B common stock are identical, except with respect to voting and conversion. Each share of Class B common stock is convertible into one share of Class A common stock at the option of the holder at any time. The Company allocates undistributed earnings attributable to common stock between the common stock classes on a one-to-one The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted net loss per share attributable to common stockholders for the periods indicated because including them would have had an anti-dilutive effect: June 30, 2022 2021 Options to purchase common stock 2,003,197 1,903,499 Unvested restricted stock units 3,483,873 2,737,475 5,487,070 4,640,974 The table above does not include shares issuable upon settlement of contingent consideration for the Company’s two acquisitions (see Note 3). Such shares are also not included in the Company’s calculation of basic or diluted net loss per common share. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In October 2021, the FASB issued ASU No. 2021-08, Revenue from Contracts with Customers In June 2022, the FASB issued ASU No. 2022-03, Restrictions on |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Disaggregation of Revenue | Total revenue is comprised of revenue from the following distribution channels: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Direct channels 86 % 91 % 87 % 90 % Indirect channels 14 % 9 % 13 % 10 % 100 % 100 % 100 % 100 % Total revenue is comprised of revenue from the following insurance verticals (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Automotive $ 81,375 $ 86,358 $ 169,050 $ 170,839 Other 20,540 18,705 43,546 38,046 Total Revenue $ 101,915 $ 105,063 $ 212,596 $ 208,885 |
Summary Of Current And Non-Current Portions Of Commissions Receivable | The current and non-current June 30, December 31, 2022 2021 Commissions receivable, current portion (included in prepaid expenses and other current assets) $ 9,488 $ 9,285 Commissions receivable, non-current portion (included in other assets) 24,637 13,415 $ 34,125 $ 22,700 |
Summary of Diluted Net Loss Per Share Attributable to Common Stockholders | The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted net loss per share attributable to common stockholders for the periods indicated because including them would have had an anti-dilutive effect: June 30, 2022 2021 Options to purchase common stock 2,003,197 1,903,499 Unvested restricted stock units 3,483,873 2,737,475 5,487,070 4,640,974 |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Business Acquisition [Line Items] | |
Summary of Purchase Price and Allocation of Purchase Price for Business Acquisition | The following tables summarize the purchase price for PolicyFuel and the allocation of the purchase price (in thousands): Cash paid, net of cash acquired $ 15,955 Fair value of contingent consideration to be settled in stock 3,784 Settlement of existing relationship 233 Total purchase price consideration, net of cash acquired $ 19,972 Assets Acquired and Liabilities Assumed: Accounts receivable $ 283 Commissions receivable (current and long-term) 2,761 Prepaid expenses and other current assets 12 Customer relationships 6,600 Developed technology 1,700 Other identifiable intangible assets 300 Goodwill 11,532 Total assets acquired 23,188 Accounts payable and accrued expenses (current) (706 ) Deferred tax liability (2,510 ) Total allocation of purchase price consideration, net of cash acquired $ 19,972 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of Fair Value Measurements, Recurring and Nonrecurring | The following tables present the Company’s fair value hierarchy for its assets and liabilities which are measured at fair value on a recurring basis as of June 30, 2022 and December 31, 2021 (in thousands): Fair Value Measurements at June 30, 2022 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 20,537 $ — $ — $ 20,537 Liabilities: Contingent consideration liability associated with acquisition of Eversurance included in other long-term liabilities $ — $ — $ 519 $ 519 Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities — — 583 583 Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities — — 400 400 $ — $ — $ 1,502 $ 1,502 Fair Value Measurements at December 31, 2021 Using: Level 1 Level 2 Level 3 Total Assets: Cash equivalents: Money market funds $ 20,502 $ — $ — $ 20,502 Liabilities: Contingent consideration liability associated with acquisition of Eversurance included in other long-term liabilities $ — $ — $ 920 $ 920 Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities — — 629 629 Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities — — 4,625 4,625 $ — $ — $ 6,174 $ 6,174 |
Summary of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | Contingent Fair value at December 31, 2021 $ 6,174 Change in fair value of contingent consideration related to Eversurance acquisition (401 ) Change in fair value of contingent consideration related to PolicyFuel acquisition (4,271 ) Fair value at June 30, 2022 $ 1,502 |
Goodwill and Acquired Intangi_2
Goodwill and Acquired Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Acquired Intangible Assets | Acquired intangible assets consisted of the following (in thousands): Weighted June 30, 2022 Gross Accumulated Amortization Carrying (in years) Customer relationships 7.6 $ 10,200 $ (2,592 ) $ 7,608 Developed technology 3 1,700 (501 ) 1,199 Other identifiable intangible assets 2.8 570 (284 ) 286 $ 12,470 $ (3,377 ) $ 9,093 Weighted December 31, 2021 Gross Accumulated Carrying (in years) Customer relationships 7.6 $ 10,200 $ (1,830 ) $ 8,370 Developed technology 3 1,700 (217 ) 1,483 Other identifiable intangible assets 2.8 570 (194 ) 376 $ 12,470 $ (2,241 ) $ 10,229 |
Summary of Future Amortization Expense of the Intangible Assets | Future amortization expense of intangible assets as of June 30, 2022 is expected to be as follows (in thousands): Year Ending December 31, 2022 (remaining six months) $ 1,141 2023 2,001 2024 1,715 2025 960 2026 685 Thereafter 2,591 $ 9,093 |
Balance Sheet Detail (Tables)
Balance Sheet Detail (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consisted of the following (in thousands): June 30, December 31, 2022 2021 Commissions receivable, current portion $ 9,488 $ 9,285 Prepaid expenses and other current assets 4,940 4,899 $ 14,428 $ 14,184 |
Summary of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the f ollowing June 30, December 31, 2022 2021 Accrued employee compensation and benefits $ 4,845 $ 4,115 Accrued advertising expenses 2,817 5,669 Other current liabilities 3,279 3,231 $ 10,941 $ 13,015 |
Other assets | Other assets consisted of the following (in thousands): June 30, December 31, 2022 2021 Commissions receivable, non-current $ 24,637 $ 13,415 Other assets 461 681 $ 25,098 $ 14,096 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Stock-Based Compensation Expense of Statements of Operations and Comprehensive Loss | The Company recorded stock-based compensation expense in the following expense categories of its statements of operations and comprehensive loss (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Cost of revenue $ 95 $ 83 $ 154 $ 174 Sales and marketing 2,964 2,459 6,174 5,850 Research and development 2,650 2,321 5,061 4,648 General and administrative 1,891 2,226 3,741 3,937 $ 7,600 $ 7,089 $ 15,130 $ 14,609 |
Nature of the Business and Ba_2
Nature of the Business and Basis of Presentation - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Subsidiary, Sale of Stock [Line Items] | |||||||
Net losses | $ 3,756 | $ 5,715 | $ 1,881 | $ 3,801 | $ 9,471 | $ 5,682 | $ 19,400 |
Accumulated deficit | $ 147,116 | $ 147,116 | $ 137,645 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 USD ($) Customers | Jun. 30, 2021 USD ($) Customers | Jun. 30, 2022 USD ($) Customers | Jun. 30, 2021 USD ($) Customers | Dec. 31, 2021 USD ($) Customers | |
Significant Accounting Policies [Line Items] | |||||
Restricted Cash | $ 0 | $ 0 | $ 300 | ||
Deferred revenue | 2,100 | ||||
Contract with customer, liability, revenue recognized | 1,500 | ||||
Advertising expenses | 68,800 | $ 72,200 | 145,200 | $ 144,600 | |
Allowance for doubtful accounts | 100 | 100 | |||
Asset impairment charges | $ 0 | $ 0 | $ 0 | $ 0 | |
Common stock, conversion features | Each share of Class B common stock is convertible into one share of Class A common stock at the option of the holder at any time. | ||||
Maximum [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Allowance for doubtful accounts | $ 100 | ||||
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Number of major customers | Customers | 2 | 2 | 2 | 1 | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customers A [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Concentration risk percentage | 20% | 18% | 17% | 19% | |
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Customers B [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Concentration risk percentage | 10% | 11% | 11% | ||
Accounts Receivable [Member] | Credit Concentration Risk [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Number of major customers | Customers | 2 | 1 | |||
Accounts Receivable [Member] | Credit Concentration Risk [Member] | Customers A [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Concentration risk percentage | 23% | 12% | |||
Accounts Receivable [Member] | Credit Concentration Risk [Member] | Customers B [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Concentration risk percentage | 10% | ||||
Commission Fees [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Revenue percentage | 13% | 13% | |||
Commission Fees [Member] | Maximum [Member] | |||||
Significant Accounting Policies [Line Items] | |||||
Revenue percentage | 10% | 10% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of Revenue by Distribution Chanel (Detail) - Sales Revenue, Net [Member] | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Product Information [Line Items] | ||||
Revenue from Contract with Customer Percentage | 100% | 100% | 100% | 100% |
Direct channels [Member] | ||||
Product Information [Line Items] | ||||
Revenue from Contract with Customer Percentage | 86% | 91% | 87% | 90% |
Indirect channels [Member] | ||||
Product Information [Line Items] | ||||
Revenue from Contract with Customer Percentage | 14% | 9% | 13% | 10% |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Disaggregation Of Revenue (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Product Information [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 101,915 | $ 105,063 | $ 212,596 | $ 208,885 |
Automotive [Member] | ||||
Product Information [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 81,375 | 86,358 | 169,050 | 170,839 |
Other [Member] | ||||
Product Information [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 20,540 | $ 18,705 | $ 43,546 | $ 38,046 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Summary Of Current And Non-Current Portions Of Commissions Receivable (Detail) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Commission receivable,Current portion | $ 9,488 | $ 9,285 |
Commission receivable,nonCurrent portion | 24,637 | 13,415 |
Contract Assets Commission Receivable | $ 34,125 | $ 22,700 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Summary of Diluted Net Loss Per Share Attributable to Common Stockholders (Detail) - shares | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 5,487,070 | 4,640,974 |
Employee Stock Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 2,003,197 | 1,903,499 |
Restricted Stock Units (RSUs) [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share, amount | 3,483,873 | 2,737,475 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Aug. 13, 2021 | Sep. 01, 2020 | Jun. 30, 2022 | Jun. 30, 2021 | Sep. 30, 2020 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Business Acquisition [Line Items] | ||||||||
Business combination acquisition related costs | $ (3,779) | $ 265 | $ (4,671) | $ 186 | ||||
Eversurance, LLC [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Total Business purchase consideration | $ 16,700 | |||||||
Business consideration, cash paid | $ 14,900 | |||||||
Business combination contingent consideration period of achievement | 3 years | |||||||
Eversurance, LLC [Member] | Class A Common Stock [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business consideration, shares issued or issuable | $ 1,800 | |||||||
Eversurance, LLC [Member] | Class A Common Stock [Member] | Achievement Of First Two Annual Targets [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination equity interest issuable or issued, Number of shares | 39,168 | |||||||
Eversurance, LLC [Member] | Maximum [Member] | Class A Common Stock [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination equity interest issuable or issued, Number of shares | 97,922 | |||||||
Eversurance, LLC [Member] | Maximum [Member] | Class A Common Stock [Member] | Achievement of Third Annual Target [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination equity interest issuable or issued, Number of shares | 58,754 | |||||||
Policy Fuel LLC [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Total Business purchase consideration | $ 19,972 | |||||||
Business consideration, cash paid | 15,955 | |||||||
Business consideration, shares issued or issuable | $ 3,784 | |||||||
Business combination contingent consideration period of achievement | 3 years | |||||||
Business combination acquisition related costs | $ 900 | |||||||
Income tax benefit | $ 2,500 | |||||||
Business Combination, Consideration Transferred, Liabilities Incurred | $ 233 | |||||||
Policy Fuel LLC [Member] | Fixed Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Percentage of the maximum equity interest issuable | 50% | |||||||
Policy Fuel LLC [Member] | Performance Based Rsus Under Inducement Award [Member] | Fixed Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination equity interest issuable or issued, Number of shares | 17,030 | |||||||
Policy Fuel LLC [Member] | Performance Based Rsus Under Inducement Award [Member] | Fixed Dollar Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned | $ 600 | |||||||
Policy Fuel LLC [Member] | Days Preceding Acquisition [Member] | Fixed Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
The number of trading days used to determine the volume weighted average price per share | 20 days | |||||||
Policy Fuel LLC [Member] | Customer Relationships [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets, useful life | 9 years | |||||||
Policy Fuel LLC [Member] | Developed Technology Rights [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets, useful life | 3 years | |||||||
Policy Fuel LLC [Member] | Class A Common Stock [Member] | Fixed Dollar Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Percentage of the maximum equity interest issuable | 50% | |||||||
Policy Fuel LLC [Member] | Class A Common Stock [Member] | Days Preceding Revenue Target Date [Member] | Fixed Dollar Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
The number of trading days used to determine the volume weighted average price per share | 20 days | |||||||
Policy Fuel LLC [Member] | Maximum [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned | $ 12,900 | |||||||
Policy Fuel LLC [Member] | Maximum [Member] | Fixed Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business combination equity interest issuable or issued, Number of shares | 199,311 | |||||||
Policy Fuel LLC [Member] | Maximum [Member] | Class A Common Stock [Member] | Fixed Dollar Shares [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Business Acquisition, Equity Interest Issued or Issuable, Value Assigned | $ 6,500 |
Acquisitions - Summary of Preli
Acquisitions - Summary of Preliminary Purchase Price for Crosspointe and Preliminary Allocation of Purchase Price (Detail) - USD ($) $ in Thousands | Aug. 13, 2021 | Jun. 30, 2022 | Dec. 31, 2021 |
Assets acquired and liabilities assumed: | |||
Goodwill | $ 21,501 | $ 21,501 | |
Policy Fuel LLC [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Cash paid | $ 15,955 | ||
Fair value of contingent consideration to be settled in stock | 3,784 | ||
Settlement of existing relationship | 233 | ||
Total purchase price consideration | 19,972 | ||
Assets acquired and liabilities assumed: | |||
Accounts receivable | 283 | ||
Commissions receivable (current and long-term) | 2,761 | ||
Prepaid expenses and other current assets | 12 | ||
Goodwill | 11,532 | ||
Total assets acquired | 23,188 | ||
Accounts payable and accrued expenses (current) | (706) | ||
Deferred tax liability | (2,510) | ||
Total allocation of purchase price consideration | 19,972 | ||
Customer relationships [Member] | Policy Fuel LLC [Member] | |||
Assets acquired and liabilities assumed: | |||
Business Combination, Intangible Assets Acquired | 6,600 | ||
Developed Technology Rights [Member] | Policy Fuel LLC [Member] | |||
Assets acquired and liabilities assumed: | |||
Business Combination, Intangible Assets Acquired | 1,700 | ||
Other identifiable intangible assets [Member] | Policy Fuel LLC [Member] | |||
Assets acquired and liabilities assumed: | |||
Business Combination, Intangible Assets Acquired | $ 300 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Summary of Fair Value Measurements, Recurring and Nonrecurring (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | $ 1,502 | $ 6,174 |
Fair Value, Inputs, Level 1 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 1,502 | 6,174 |
Contingent consideration liability associated with acquisition of Eversurance included in other longterm liabilities [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 519 | 920 |
Contingent consideration liability associated with acquisition of Eversurance included in other longterm liabilities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Contingent consideration liability associated with acquisition of Eversurance included in other longterm liabilities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Contingent consideration liability associated with acquisition of Eversurance included in other longterm liabilities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 519 | 920 |
Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 583 | 629 |
Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Contingent consideration liability associated with acquisition of PolicyFuel included in accrued expenses and other current liabilities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 583 | 629 |
Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 400 | 4,625 |
Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 0 | 0 |
Contingent consideration liability associated with acquisition of PolicyFuel included in other long-term liabilities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Liabilities, Fair Value Disclosure [Abstract] | ||
Business consideration, shares issued or issuable | 400 | 4,625 |
Money Market Funds [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Money market funds | 20,537 | 20,502 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Money market funds | 20,537 | 20,502 |
Money Market Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Money market funds | 0 | 0 |
Money Market Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Money market funds | $ 0 | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Summary of Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation (Details) - Fair Value, Inputs, Level 3 [Member] $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Fair value at December 31, 2021 | $ 6,174 |
Fair value at June 30, 2022 | 1,502 |
Eversurance [Member] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Change in fair value of contingent consideration | (401) |
Policy Fuel LLC [Member] | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |
Change in fair value of contingent consideration | $ (4,271) |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments - Additional Information (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) shares | |
Eversurance [Member] | Common Class A [Member] | Achievement of Third Annual Target [Member] | Maximum [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | shares | 58,754 |
Fair Value, Inputs, Level 3 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Transfers, Net | $ | $ 0 |
Goodwill and Acquired Intangi_3
Goodwill and Acquired Intangible Assets - Summary of Acquired Intangible Assets (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | $ 12,470 | $ 12,470 |
Accumulated Amortization | (3,377) | (2,241) |
Carrying Value | $ 9,093 | $ 10,229 |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Useful Life | 7 years 7 months 6 days | 7 years 7 months 6 days |
Gross Amount | $ 10,200 | $ 10,200 |
Accumulated Amortization | (2,592) | (1,830) |
Carrying Value | $ 7,608 | $ 8,370 |
Developed Technology Rights [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Useful Life | 3 years | 3 years |
Gross Amount | $ 1,700 | $ 1,700 |
Accumulated Amortization | (501) | (217) |
Carrying Value | $ 1,199 | $ 1,483 |
Other identifiable intangible assets [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Useful Life | 2 years 9 months 18 days | 2 years 9 months 18 days |
Gross Amount | $ 570 | $ 570 |
Accumulated Amortization | (284) | (194) |
Carrying Value | $ 286 | $ 376 |
Goodwill and Acquired Intangi_4
Goodwill and Acquired Intangible Assets - Summary Of Future Amortization Expense Of The Intangible Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2022 (remaining six months) | $ 1,141 | |
2023 | 2,001 | |
2024 | 1,715 | |
2025 | 960 | |
2026 | 685 | |
Thereafter | 2,591 | |
Total | $ 9,093 | $ 10,229 |
Goodwill and Acquired Intangi_5
Goodwill and Acquired Intangible Assets - Additional Information (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2022 USD ($) | Jun. 30, 2022 USD ($) Units | |
Indefinite-lived Intangible Assets [Line Items] | ||
Impairment loss | $ 0 | |
Number of Reporting Units | Units | 1 | |
Good will Period Increase Decrease | $ 0 | $ 0 |
Balance Sheet Detail - Summary
Balance Sheet Detail - Summary of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Commissions receivable, current portion | $ 9,488 | $ 9,285 |
Prepaid expenses and other current assets | 4,940 | 4,899 |
Total | $ 14,428 | $ 14,184 |
Balance Sheet Detail - Summar_2
Balance Sheet Detail - Summary of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Accrued employee compensation and benefits | $ 4,845 | $ 4,115 |
Accrued advertising expenses | 2,817 | 5,669 |
Other current liabilities | 3,279 | 3,231 |
Accrued expenses and other current liabilities | $ 10,941 | $ 13,015 |
Balance Sheet Detail - Summar_3
Balance Sheet Detail - Summary of Other Assets Consisted (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Commission receivable,nonCurrent portion | $ 24,637 | $ 13,415 |
Other assets | 461 | 681 |
Total | $ 25,098 | $ 14,096 |
Loan and Security Agreement - A
Loan and Security Agreement - Additional Information (Detail) - Loan and Security Agreement [Member] - USD ($) | 1 Months Ended | 6 Months Ended |
Aug. 31, 2021 | Jun. 30, 2022 | |
Debt Instrument [Line Items] | ||
Revolving line of credit outstanding amount | $ 0 | |
Revolving Credit Facility [Member] | 2020 Loan Agreement [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility borrowing capacity | $ 25,000,000 | |
Maximum percentage borrowings of eligible accounts receivable | 80% | |
Debt instrument, interest rate description | bore interest at the greater of 3.25% or the prime rate | |
Debt instrument interest rate during period minimum stated percentage | 3.25% | |
Debt Instrument, Covenant Description | the Company was required to maintain a financial performance covenant: a minimum asset coverage ratio of 1.5 to 1, calculated as the sum of unrestricted cash and qualified accounts receivable divided by borrowings outstanding under the revolving line of credit. As of June 30, 2022, the Company was in compliance with these covenants. Events which would meet the criteria of a default under the 2020 Loan Agreement included failure to make payments when due, insolvency events, failure to comply with covenants or material adverse events with respect to the Company. | |
Maturity date | 2022-08 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jan. 01, 2022 | Aug. 13, 2021 | Jun. 27, 2018 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based Payment Arrangement, Expense | $ 7,600 | $ 7,089 | $ 15,130 | $ 14,609 | |||
Policy Fuel LLC [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business combination contingent consideration period of achievement | 3 years | ||||||
Probable Performance Based [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based Payment Arrangement, Expense | 200 | 600 | |||||
Non Probable Performance Based [Member] | Fixed Dollar Shares [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation expense related to unvested options | 2,100 | 2,100 | |||||
Performance Based [Member] | Probable Performance Based And Service Based [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation expense related to unvested options | 47,800 | $ 47,800 | |||||
Compensation expense, expected recognition period | 2 years 9 months 18 days | ||||||
Performance Based [Member] | Non Probable Performance Based [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation expense related to unvested options | 1,400 | $ 1,400 | |||||
Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Options expiration period | 10 years | ||||||
Service And Performance Based Inducement Award [Member] | Policy Fuel LLC [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Business combination contingent consideration period of achievement | 3 years | ||||||
Service And Performance Based Inducement Award [Member] | Maximum [Member] | Accrued Liabilities And Other Liabilities [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Obligation To Issue Shares Current | $ 100 | $ 100 | |||||
Service And Performance Based Inducement Award [Member] | Maximum [Member] | Policy Fuel LLC [Member] | Common Stock [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Employee Service Share Based Compensation Shares Used To Settle Awards | 173,042 | ||||||
Performance Based Inducement Award [Member] | Policy Fuel LLC [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Granted, shares | 17,030 | ||||||
Business combination contingent consideration period of achievement | 3 years | ||||||
Performance Based Inducement Award [Member] | Maximum [Member] | Policy Fuel LLC [Member] | Common Stock [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Employee Service Share Based Compensation Shares Used To Settle Awards | 34,060 | ||||||
Class A Common Stock [Member] | Days Preceding Revenue Target Date [Member] | Policy Fuel LLC [Member] | Fixed Dollar Shares [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
The number of trading days used to determine the volume weighted average price per share | 20 days | ||||||
Class A Common Stock [Member] | Days Preceding Revenue Target Date [Member] | Performance Based and Service Based RSUs [Member] | Policy Fuel LLC [Member] | Fixed Dollar Shares [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
The number of trading days used to determine the volume weighted average price per share | 20 days | ||||||
Class A Common Stock [Member] | Days Preceding Revenue Target Date [Member] | Performance Based RSUs [Member] | Policy Fuel LLC [Member] | Fixed Dollar Shares [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
The number of trading days used to determine the volume weighted average price per share | 20 days | ||||||
2018 Equity Incentive Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares available for grant | 1,641,768 | 1,641,768 | |||||
Number of Shares Authorized | 2,149,480 | ||||||
Share-based Compensation, number of additional shares available for issuance | 1,497,633 | ||||||
2018 Equity Incentive Plan [Member] | Service Based Restricted Stock Units (RSUs) [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Granted, shares | 1,332,414 | ||||||
Aggregate grant date fair value | $ 18,400 | $ 18,400 | |||||
2018 Equity Incentive Plan [Member] | From 2008 Plan [Member] | Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of Shares Authorized | 5,028,832 | ||||||
2018 Equity Incentive Plan [Member] | Service Based Options [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Aggregate grant date fair value | $ 6,100 | $ 6,100 | |||||
Options Granted | 565,300 | ||||||
2018 Equity Incentive Plan [Member] | Class A Common Stock [Member] | Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Annual increase in shares authorized | 2,500,000 | ||||||
2018 Equity Incentive Plan [Member] | Class A Common Stock and Class B Common Stock [Member] | Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Annual percentage increase in shares authorized | 5% | ||||||
2018 Equity Incentive Plan [Member] | Class A Common Stock and Class B Common Stock [Member] | From 2008 Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of Shares Authorized | 583,056 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock-Based Compensation Expense of Statements of Operations and Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 7,600 | $ 7,089 | $ 15,130 | $ 14,609 |
Cost of Revenue [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | 95 | 83 | 154 | 174 |
Sales and Marketing [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | 2,964 | 2,459 | 6,174 | 5,850 |
Research and Development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | 2,650 | 2,321 | 5,061 | 4,648 |
General and Administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 1,891 | $ 2,226 | $ 3,741 | $ 3,937 |
Commitments and Contingencies -
Commitments and Contingencies -Additional Information (Detail) $ in Millions | Jun. 30, 2022 USD ($) |
Operating Leased Assets [Line Items] | |
Nonprobable Sales Tax Due | $ 1.5 |
Retirement Plan - Additional In
Retirement Plan - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Retirement Benefits [Abstract] | ||||
Contribution to defined contribution savings plan | $ 0.3 | $ 0.3 | $ 0.5 | $ 0.5 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Feb. 23, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Related Party Transaction [Line Items] | ||||||
Expense from transactions with related party | $ 2.2 | $ 0.9 | $ 3.4 | $ 1.9 | ||
Payment to related party | 1.4 | $ 1 | 2.1 | $ 1.8 | ||
Due to affiliate | $ 1.6 | $ 1.6 | $ 0.3 | |||
Private Placement [Member] | Common Class A [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Stock Issued During Period, Shares, New Issues | 1,004,016 | |||||
Shares Issued, Price Per Share | $ 14.94 | |||||
Proceeds from Issuance of Common Stock | $ 15 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - Subsequent Event [Member] - USD ($) $ in Millions | Jul. 15, 2022 | Jul. 14, 2022 |
Amended Loan Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Debt Instrument, Covenant Description | the Company has agreed to affirmative and negative covenants to which the Company will remain subject until maturity. The covenants include limitations on the Company’s ability to incur additional indebtedness and engage in certain fundamental business transactions, such as mergers or acquisitions of other businesses. In addition, under the Amended Loan Agreement and through December 31, 2023, the Company is required to maintain a minimum asset coverage ratio of 1.5 to 1 calculated as the sum of unrestricted cash held at the Lender and eligible accounts receivable divided by all borrowings outstanding under the Amended Loan Agreement. Commencing December 31, 2023, the company is required to maintain, and test on a quarterly basis, a fixed charge coverage ratio and a leverage ratio. The fixed charge coverage ratio is measured as the Company’s ratio of (i) trailing twelve-month adjusted “EBITDA” (as defined in the Amended Loan Agreement) less capital expenditures, less cash taxes, to (ii) trailing twelve-month interest and principal payments to the Lender, of at least 1.25 to 1.00. The leverage ratio is measured as the ratio of (i) the Company’s outstanding obligations owing to the Lender, to (ii) the Company’s trailing twelve-month adjusted EBITDA (as defined in the Amended Loan Agreement), of not more than 3.00 to 1.00. | |
Amended Loan Agreement [Member] | In Event of Default [Member] | ||
Subsequent Event [Line Items] | ||
Debt Instrument, Interest Rate, Increase (Decrease) | 5% | |
Amended Loan Agreement [Member] | Term Loan [Member] | ||
Subsequent Event [Line Items] | ||
Debt instrument, interest rate description | bear interest at 0.25% plus the greater of 4.25% or the prime rate as published in the Wall Street Journal. | |
Amended Loan Agreement [Member] | Maximum [Member] | Term Loan [Member] | ||
Subsequent Event [Line Items] | ||
Debt Instrument, Carrying Amount | $ 10 | |
Amended Loan Agreement [Member] | Minimum [Member] | Term Loan [Member] | ||
Subsequent Event [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.25% | |
Debt instrument, basis spread on variable rate | 4.25% | |
Revolving Credit Facility [Member] | 2020 Loan Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Maturity date | 2022-08 | |
Credit facility borrowing capacity | $ 25 | |
Revolving Credit Facility [Member] | Amended Loan Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Maturity date | 2025-07 | |
Credit facility borrowing capacity | $ 35 | |
Maximum percentage borrowings of eligible accounts receivable | 85% | |
Debt instrument, interest rate description | bear interest at the greater of 4.25% or the prime rate | |
Debt Instrument, Maturity Date | Jul. 15, 2025 | |
Revolving Credit Facility [Member] | Amended Loan Agreement [Member] | Minimum [Member] | ||
Subsequent Event [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 4.25% |