v3.26.1
Allowance for Expected Credit Losses - Premium Receivables and Reinsurance Receivables
 6 Months Ended
Jun. 30, 2026
Allowance for Credit Loss [Abstract]  
Allowance for Expected Credit Losses - Premium Receivables and Reinsurance Receivables

4. Allowance for Expected Credit Losses - Premium Receivables and Reinsurance Receivables

For premium receivables, the allowance is based upon the Company’s ongoing review of key aspects of amounts outstanding, including but not limited to, length of collection periods, direct placement with collection agencies, solvency of insured, agents, or reinsurers on assumed reinsurance, terminated agents, and other relevant factors.

 

The following table is an analysis of the allowance for expected credit losses related to the Company's premium receivables for the quarters and six months ended June 30, 2026 and 2025:

 

 

 

Quarters Ended June 30,

 

 

Six Months Ended June 30,

 

(Dollars in thousands)

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Beginning balance

 

$

3,687

 

 

$

3,475

 

 

$

3,640

 

 

$

3,530

 

Current period provision for expected credit losses

 

 

178

 

 

 

(66

)

 

 

271

 

 

 

(79

)

Write-offs

 

 

(4

)

 

 

(38

)

 

 

(50

)

 

 

(80

)

Ending balance

 

$

3,861

 

 

$

3,371

 

 

$

3,861

 

 

$

3,371

 

For reinsurance receivables, the allowance is based upon the Company’s ongoing review of key aspects of amounts outstanding, including but not limited to, length of collection periods, disputes, applicable coverage defenses, insolvent reinsurers, financial strength of solvent reinsurers based on AM Best Ratings and other relevant factors.

The allowance for expected credit losses related to the Company's reinsurance receivables was $1.5 million at June 30, 2026 and December 31, 2025.