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SEGMENT REPORTING
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
SEGMENT REPORTING

NOTE 11. SEGMENT REPORTING

 

The Company’s Chief Executive Officer serves as the Chief Operating Decision Maker (“CODM”). The CODM evaluates the performance of the Company’s operations and makes decisions regarding the allocation of resources based on the operating results of the Company’s insurance business.

 

During the second quarter of 2026, management reassessed the information regularly reviewed by the CODM for purposes of assessing performance and allocating resources. As a result of changes in the Company’s strategic focus and internal reporting, management determined that the Company operates as a 1single reportable segment beginning in the second quarter of 2026. Prior period information has been recast to conform to the current period presentation.

 

Segment profit or loss is measured based on segment net income (loss), which reflects the operating results of the Company’s insurance business. Corporate overhead, and depreciation and amortization are excluded from the measure of segment profit or loss regularly reviewed by the CODM and are presented as reconciling items to consolidated results. Corporate overhead includes cash and non-cash executive compensation, public company costs, professional fees, SEC reporting costs, equity method investment related costs, and other corporate expenses not included in the measure of segment profit or loss reviewed by the CODM.

 

The CODM regularly reviews commission revenue and the following significant expense categories in evaluating segment performance:

 

●Commission expense
●Salaries and wages
●General and administrative expenses
●Marketing and advertising
●Interest expense

 

The Company does not provide the CODM with information regarding segment assets, and accordingly, such information is not regularly reviewed for purposes of assessing performance or allocating resources.

 

 

The following tables present financial information for the Company’s reportable segment.

 

   Insurance    Insurance 
   Three Months Ended June 30,
   2026  2025
   Insurance    Insurance 
          
Commission income  $2,110,815    $3,086,677 
Total Revenue   2,110,815     3,086,677 
Total operating expenses           
Commission expense   826,991     988,774 
Salaries and wages   729,610     1,199,907 
General and administrative expenses   244,259     345,703 
Marketing and advertising   4,930     17,207 
Interest expense   119,388     292,344 
Interest (expense) related parties   -     21,176 
Segment net income   $185,636   $221,566

 

   Insurance    Insurance  
   Six Months Ended June 30, 
   2026  2025 
   Insurance    Insurance  
           
Commission income  $5,937,607    $7,322,897  
Total Revenue   5,937,607     7,322,897  
Total operating expenses            
Commission expense   2,408,808     2,458,202  
Salaries and wages   1,524,261     2,367,215  
General and administrative expenses   525,548     712,538  
Marketing and advertising   6,855     33,991  
Interest expense   241,421     588,599  
Interest (expense) related parties   -     45,887  
Segment net income  $1,230,713    $1,116,466  

 

 

Reconciliation of total segment revenue and net income to consolidated results:

 

    Three Months Ended     Three Months Ended  
    June 30, 2026     June 30, 2025  
Total insurance segment revenue   $ 2,110,815     $ 3,086,677  
Consolidated revenue   2,110,815     3,086,677  
                 
Total insurance segment net income   185,636   221,566
Corporate overhead     (1,926,944 )     (2,586,315 )
Depreciation and amortization   (252,976)   (346,151)
Net loss   $ (1,994,284 )   $ (2,710,901 )

 

    Six Months Ended     Six Months Ended  
    June 30, 2026     June 30, 2025  
Total segment revenue   $ 5,937,607     $ 7,322,897  
Consolidated revenue   5,937,607     7,322,897  
                 
Total segment net income   1,230,713   1,116,466  
Corporate overhead     (4,138,746 )     (4,857,506 )
Depreciation and amortization   (557,420)   (706,746)
Net loss   $ (3,465,452 )   $ (4,447,786 )