v3.26.3
Stockholders’ Equity
 9 Months Ended
Sep. 30, 2026
Equity [Abstract]  
Stockholders’ Equity
13. Stockholders’ Equity
Common Stock
The Company’s common stock trades on the New York Stock Exchange (“NYSE”) under the ticker symbol “HIPO”. Pursuant to its Certificate of Incorporation, the Company is authorized to issue 80 million shares of common stock, with a par value of $0.0001 per share. Each share of common stock is entitled to one vote. The holders of the common stock are also entitled to receive dividends whenever funds are legally available and when declared by the board of directors. No dividends have been declared or paid since inception.
Stock-Based Compensation Plans
The Company maintains equity compensation plans adopted in 2019 and 2021 (the “plans”). The material terms of the plans were previously disclosed in the Company’s Annual Report on Form 10-K. There have been no material changes to the plans during the current fiscal year.
Stock Options
The following table summarizes option activity under the plans:
Options OutstandingWeighted-Average Remaining Contract Term
(in Years)		Aggregate Intrinsic Value
(in Millions)
Number of SharesWeighted Average Exercise Price
Outstanding as of December 31, 2025
614,849$15.44 5.0$9.0 
Granted—— — 
Exercised(99,018)15.06 1.2 
Canceled/Expired(5)15.88 — 
Outstanding as of September 30, 2026515,82615.51 4.8$7.9 
Vested and exercisable as of September 30, 2026515,826$15.51 4.8$7.9 
The aggregate intrinsic value of options exercised during the nine months ended September 30, 2026 and 2025 was $1.2 million and $4.6 million, respectively, and is calculated based on the difference between the exercise price and the fair value of the Company’s common stock as of the exercise date. There is no unrecognized compensation cost as of September 30, 2026 related to stock options.
Restricted Stock Units and Performance Stock Units
The Company grants service-based RSUs and performance-based RSUs (“PSUs”) as part of the Company’s equity compensation plans. The Company measures RSU and PSU expense for awards granted based on the estimated fair value of those awards at the grant date. To estimate the fair value of PSUs containing a market condition, the Company used the Monte Carlo valuation model. The fair value of all other awards is based on the closing price of the Company’s common stock as reported on the NYSE on the date of grant. The RSUs generally vest over a period of two to four years. The PSUs vest based on the level of achievement of the performance goals and continued employment with the Company over a one- to four-year performance period.
During the nine months ended September 30, 2026, the Company granted PSUs to certain executives of the Company where vesting is based on the Company’s internal financial measures over a three-year period. Between 0% and 100% of the granted amount may vest based on the level of achievement of the performance goals and continued employment with the Company. Total compensation expense at the grant date assuming 100% achievement is $3.2 million.
During the nine months ended September 30, 2026, the Company also granted PSUs to certain executives of the Company where vesting is based on the Company’s total shareholder return (“TSR”) relative to a peer group over a three-year period. Between 0% and 100% of the target shares may vest based on performance. The awards are classified as equity and were valued on the grant date using the Monte Carlo simulation. Expense is recognized over the service period regardless of TSR outcome, provided continued employment. The weighted-average grant-date fair values ranged between $20.21 and $26.66 per unit, depending on the grant date. Total compensation expense at the grant date is $2.5 million.
During the nine months ended September 30, 2025, the Company granted PSUs to its CEO. Vesting is based on the Company’s TSR relative to a peer group over a three-year period. Between 0% and 100% of the target shares may vest based on performance. The awards are classified as equity and were valued on the grant date using the Monte Carlo simulation. Expense is recognized over the service period regardless of TSR outcome, provided continued employment. The weighted-average grant-date fair value was $24.08 per unit. Total compensation expense at the grant date is $1.0 million.
Stock-based compensation expense for RSUs is recognized based on a straight-line basis over the employee requisite service period. Stock-based compensation expense for PSUs is recognized on a graded accelerated basis over the employee requisite service period. The Company accounts for forfeitures as they occur.
The following table summarizes the RSU and PSU activity for the nine months ended September 30, 2026:
Number of SharesWeighted Average Grant-Date Fair Value per Share
Unvested and outstanding as of December 31, 2025
1,328,658$27.62 
Granted1,201,80927.69 
Released(776,813)26.52 
Canceled and forfeited(319,421)29.01 
Unvested and outstanding as of September 30, 2026
1,434,233 $27.96 
Total unrecognized compensation cost related to unvested RSUs and PSUs is $34.2 million as of September 30, 2026, and it is expected to be recognized over a weighted-average period of 2 years.
2021 Employee Stock Purchase Plan
The Company adopted the 2021 Employee Stock Purchase Plan (the “2021 ESPP”), which is designed to allow eligible employees of the Company to purchase shares of the Company’s common stock with their accumulated payroll deductions at a price equal to 85% of the lesser of the fair market value on the first business day of the offering period or on the designated purchase date of the offering period, up to a maximum purchase amount of $25,000 during the calendar year. The 2021 ESPP offers a six-month look-back feature as well as an automatic reset feature that provides for an offering period to be reset to a new lower-priced offering if the offering price of the new offering period is less than that of the current offering period. During the nine months ended September 30, 2026 and 2025, 45,861 and 88,878 shares were issued under the 2021 ESPP, respectively. In addition, the number of shares available for issuance under the 2021 ESPP is increased annually on January 1 of each calendar year ending in 2031, by an amount equal to the lesser of (i) one percent of the shares outstanding (on a converted basis) on the last day of the immediately preceding fiscal year and (ii) such number of shares as may be determined by the board of directors.
Stock-Based Compensation
Total stock-based compensation expense, classified in the accompanying unaudited interim condensed consolidated statements of operations and comprehensive income (loss) was as follows:
Three Months Ended September 30,Nine Months Ended September 30,
2026202520262025
(in millions)
Losses and loss adjustment expenses$0.2 $0.3 $0.6 $0.9 
Insurance related expenses0.8 1.0 2.4 3.5 
Technology and development expenses1.2 1.3 3.9 4.3 
Sales and marketing expenses0.8 1.0 2.2 2.9 
General and administrative expenses3.3 3.4 10.3 11.0 
Total stock-based compensation expense$6.3 $7.0 $19.4 $22.6 
Share Repurchases
As of September 30, 2026, $18.1 million of common stock remains available for repurchase. Shares repurchased by the Company are accounted for when the transaction is settled. During the nine months ended September 30, 2026, there were no share repurchases.
Warrants
The Company’s warrants (the “Warrants”), issued in November 2020 and delisted from the New York Stock Exchange in September 2024, expired on August 2, 2026. The material terms of the Warrants were previously disclosed in the Company’s Annual Report on Form 10-K.