v3.26.1
Commission and Fee Income and Underwriting Fee Income
 3 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
Commission and Fee Income and Underwriting Fee Income Commission and Fee Income and Underwriting Fee Income
Skyward Underwriters Agency, Inc. (“SUA”), a subsidiary of the Company, is a managing general insurance agent and reinsurance broker for property and casualty and accident and health risks in specialty niche markets. Commission and fee income is primarily generated from SUA for the placement of insurance policies on either a third-party insurance or reinsurance company.
The following table sets forth the Company’s disaggregated revenues from contracts with customers for the three months ended March 31, 2026 and 2025:
Three months ended March 31,
($ in thousands)20262025
SUA commission revenue$2,281 $1,837 
SUA fee income455 1,177 
Other593 10 
Total commission and fee revenue3,329 3,024 
Commission and fee expenses(1,802)(1,048)
Net commission and fee income$1,527 $1,976 
The Company’s contract assets from commission and fee income as of March 31, 2026 and December 31, 2025 were $0.7 million and $1.0 million, respectively.
Through its Apollo subsidiary ASML, the Company earns revenue for services performed in its capacity as managing agent to both its wholly owned and third‑party capitalized Lloyd’s syndicates. These revenues primarily consist of managing agency fees, which compensate the Company for underwriting oversight, operational administration, and regulatory and compliance support, as well as profit commission, which is contingent upon the underwriting performance of certain syndicates. ASML receives managing agency fees from managed syndicates, including 1969, 1971 and 1972 (collectively the “Managed Syndicates”) at a rate of 0.9% of the managed stamp capacity and for SPA1925 at 1.0%, which is fully recognized over the period the services are rendered. ASML receives profit commission at a rate of 17.5% for Syndicate 1969 and 20.0% for Syndicate 1971, subject to a two-year deficit clause. No profit commission has been recognized for SPA1925 or Syndicate 1972. ASML also receives a share of the leader’s fee for managing consortium arrangements. Managing agency fees and services revenue are recognized over time as services are rendered, while profit commission is recognized only when it becomes probable that no significant reversal will occur. This revenue is disclosed in underwriting fee income.
The following table sets forth the Apollo’s revenues from contracts with customers for the three months ended March 31, 2026:
Three months ended March 31,
($ in thousands)2026
Managing agents fees$3,527 
Profit commission & consortium overrider charged to Managed Syndicates6,551 
Underwriting fee income$10,078