American Integrity Insurance Group, Inc. Reports Third Quarter 2026 Results
American Integrity Insurance Group, Inc. (AII) filed an SEC Form 8-K — Results of Operations and Financial Condition. 1 Adjusted net income, adjusted earnings per share and adjusted return on equity are non-GAAP financial measures. Please see the discussion below under the heading “Reconciliation of Non-GAAP Financial Measures” for additional information concerning these and other non-GAAP finan
How this was made
The 30-second read
Why it matters
The earnings beat and strong profitability metrics could trigger a short‑term rally.
Market read
First report of a sizable earnings beat for a mid‑cap insurer; likely moves the stock.
What to watch
Impact of reduced quota share reinsurance and loss ratio improvements on future profitability.
Q3 2026: total revenues up 83.0% to $113,492 thousand and GAAP net income up 115.4% to $28,354 thousand, with the combined ratio at 70.6%
Revenue, net premiums earned, net income, book value per share and policies in-force all grew sharply year over year, and the combined ratio improved from 78.9% to 70.6%. The expense ratio rose from 24.8% to 34.0%, and the effective tax rate was 28.4% against 29.9% a year earlier, so the margin gain came from a lower loss ratio rather than lower expenses.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Gross premiums written, Q3 2026GAAP | $293.3M | – | 22.7% |
| Change in gross unearned premiums, Q3 2026GAAP | −$38.29M | – | 123.2% |
| Gross premiums earned, Q3 2026GAAP | $255.0M | – | 14.9% |
| Ceded premiums earned, Q3 2026GAAP | −$153.9M | – | (9.5)% |
| Net premiums earned, Q3 2026GAAP | $101.2M | – | 94.5% |
| Policy fees, Q3 2026GAAP | $3.54M | – | 26.0% |
| Net investment income, Q3 2026GAAP | $8.41M | – | 21.9% |
| Net realized gains on investments, Q3 2026GAAP | $13K | – | (68.3)% |
| Other income, Q3 2026GAAP | $368K | – | 33.8% |
| Total revenues, Q3 2026GAAP | $113.5M | – | 83.0% |
| Losses and loss adjustment expenses, net, Q3 2026GAAP | $38.27M | – | 29.1% |
| Policy acquisition expenses, Q3 2026GAAP | $18.04M | – | 188.5% |
| General and administrative expenses, Q3 2026GAAP | $17.56M | – | 139.1% |
| Total expenses, Q3 2026GAAP | $73.87M | – | 70.8% |
| Income before income taxes, Q3 2026GAAP | $39.62M | – | 111.0% |
| Income tax expense, Q3 2026GAAP | $11.26M | – | 100.8% |
| Net income, Q3 2026GAAP | $28.35M | – | 115.4% |
| Diluted earnings per share, Q3 2026GAAP | $1.44 | – | – |
| Basic earnings per share, Q3 2026GAAP | $1.45 | – | – |
| Adjusted net income, Q3 2026non-GAAP | $28.34M | – | 102.6% |
| Adjusted diluted earnings per share, Q3 2026non-GAAP | $1.44 | – | – |
| Book value per share, September 30, 2026other | $19.96 | – | 23.7% |
| Loss ratio, Q3 2026GAAP | 36.6% | – | – |
| Expense ratio, Q3 2026other | 34.0% | – | – |
| Combined ratio, Q3 2026other | 70.6% | – | – |
| Return on equity, Q3 2026 (annualized)GAAP | 29.8% | – | – |
| Adjusted return on equity, Q3 2026 (annualized)non-GAAP | 29.8% | – | – |
| Net underlying loss and LAE ratio, Q3 2026non-GAAP | 31.7% | – | – |
| Gross underlying loss and LAE ratio, Q3 2026non-GAAP | 18.9% | – | – |
| Policies in-force, September 30, 2026other | 481,446 | 4.3% | 18.6% |
| In-force premium, September 30, 2026other | $1.07B | – | 17.4% |
| Gross premiums written, nine months 2026GAAP | $839.9M | – | 13.8% |
| Change in gross unearned premiums, nine months 2026GAAP | −$111.9M | – | 35.7% |
| Gross premiums earned, nine months 2026GAAP | $728.0M | – | 11.0% |
| Ceded premiums earned, nine months 2026GAAP | −$440.0M | – | (6.8)% |
| Net premiums earned, nine months 2026GAAP | $288.1M | – | 56.9% |
| Policy fees, nine months 2026GAAP | $9.99M | – | 25.3% |
| Net investment income, nine months 2026GAAP | $20.32M | – | 28.7% |
| Net realized gains on investments, nine months 2026GAAP | $64K | – | (88.2)% |
| Other income, nine months 2026GAAP | $1.16M | – | 115.5% |
| Total revenues, nine months 2026GAAP | $319.6M | – | 53.3% |
| Losses and loss adjustment expenses, net, nine months 2026GAAP | $103.1M | – | 43.8% |
| Policy acquisition expenses, nine months 2026GAAP | $51.44M | – | 228.8% |
| General and administrative expenses, nine months 2026GAAP | $51.72M | – | 46.6% |
| Total expenses, nine months 2026GAAP | $206.3M | – | 68.2% |
| Income before income taxes, nine months 2026GAAP | $113.3M | – | 32.1% |
| Income tax expense, nine months 2026GAAP | $30.89M | – | 339.5% |
| Net income, nine months 2026GAAP | $82.41M | – | 4.6% |
| Diluted earnings per share, nine months 2026GAAP | $4.20 | – | – |
| Adjusted net income, nine months 2026non-GAAP | $83.06M | – | – |
| Adjusted diluted earnings per share, nine months 2026non-GAAP | $4.24 | – | – |
| Loss ratio, nine months 2026GAAP | 34.6% | – | – |
| Expense ratio, nine months 2026other | 34.6% | – | – |
| Combined ratio, nine months 2026other | 69.2% | – | – |
| Return on equity, nine months 2026 (annualized)GAAP | 30.2% | – | – |
| Adjusted return on equity, nine months 2026 (annualized)non-GAAP | 30.4% | – | – |
| Net underlying loss and LAE ratio, nine months 2026non-GAAP | 32.9% | – | – |
| Gross underlying loss and LAE ratio, nine months 2026non-GAAP | 18.7% | – | – |
| Net cash provided by operating activities, nine months 2026GAAP | $247.7M | – | – |
Capital returns
- Cash dividends paid of $(19,971) thousand in the nine months ended September 30, 2026, against no dividend payment printed for the nine months ended September 30, 2025 (shown as a dash).
- No share repurchase program or repurchase amount is printed in the filing.
What drove it
- Gross premiums written rose by $54,199 thousand to $293,299 thousand, which the company says was primarily driven by growth in its voluntary market writings.
- Ceded premiums earned fell by $16,098 thousand to $(153,852) thousand, which the company says was primarily due to the reduction in its non-catastrophe quota share reinsurance arrangement.
- The company states that the non-catastrophe quota share reinsurance arrangement was reduced from 40% to 25% on January 1, 2026.
- Policy acquisition expenses and general and administrative expenses rose to $18,043 thousand and $17,564 thousand. The company attributes the period over period changes to new business production in the third quarter of 2026, the reduction in its quota share reinsurance arrangement and the benefit of Citizens take-outs in 2025.
- Q3 2026 current year net catastrophe losses were $5,064 thousand, against no current year net catastrophe losses printed for Q3 2025 (shown as a dash).
- Q3 2025 prior year net reserve development was $2,312 thousand, against no prior year net reserve development printed for Q3 2026 (shown as a dash).
- Net investment income increased by $1,509 thousand to $8,415 thousand, which the company says was primarily due to the increase in its invested assets driven by the increased in-force premiums.
- Policies in-force grew to 481,446, which the company says was primarily due to new policies written through the voluntary market and the 2025 Citizens take-outs.
- The company reports 117,814 new and renewal policies written in the voluntary market in Q3 2026, an increase of 28.6% against Q3 2025, and 41,000 voluntary new business policies (rounded in the release), an increase of 57% year over year.
- The company reports 8,003 voluntary new residential business policies in the Tri-County region of Florida, against 233 in Q3 2025, and 8,561 voluntary new business policies in its Florida middle-aged home category (excluding Tri-County), against 568 in Q3 2025.
- The company states it assumed no policies from Citizens Property Insurance Corporation because no Citizens policies met its underwriting and targeted profitability standards.
- Net underlying loss and LAE ratio was 31.7% in Q3 2026, against 49.9% in Q3 2025. The release does not state a reason for the change beyond the catastrophe and reserve development items printed in the reconciliation.
Concerns
- The expense ratio rose from 24.8% to 34.0% in Q3 2026. Policy acquisition expenses increased 188.5% and general and administrative expenses increased 139.1%, against net premiums earned growth of 94.5%.
- Income tax expense grew 100.8% to $11,264 thousand. The effective tax rate was 28.4% for Q3 2026 and 29.9% for Q3 2025, as printed in the reconciliation footnote.
- Nine-month income tax expense was $30,885 thousand, up 339.5%, and the nine-month effective tax rate was 27.3% against 8.2% a year earlier, as printed in the reconciliation footnote. The prior-year nine-month rate is affected by the change in tax status disclosed in the non-GAAP reconciliation.
- Nine-month GAAP net income grew only 4.6% to $82,410 thousand, and nine-month GAAP diluted EPS fell to $4.20 from $4.66. Share count rose after the IPO, with nine-month weighted average diluted shares of 19,611,643 against 16,446,038.
- Other comprehensive loss in Q3 2026 was $(7,361) thousand, reducing comprehensive income to $20,993 thousand against net income of $28,354 thousand. Accumulated other comprehensive income moved from $1,928 thousand at December 31, 2025 to $(7,781) thousand at September 30, 2026.
- Ceded premiums earned fell 9.5% in Q3 and 6.8% in the nine months while gross premiums earned rose, so the company's net retention rose materially. The company's own quota share explanation is the reduction from 40% to 25%.
- Q3 2026 total revenues include a 14.9% rise in gross premiums earned, but the change in gross unearned premiums rose 123.2% to $(38,286) thousand, which reduces the amount recognized as earned in the quarter.
What to watch
- Whether the expense ratio, currently 34.0%, moderates as new business production matures, as the company links the expense increase to new business production.
- Net underlying loss and LAE ratio of 31.7% against 49.9% a year earlier, measured against future catastrophe losses, since Q3 2026 current year net catastrophe losses were $5,064 thousand.
- Effect of the quota share reduction from 40% to 25% on net premiums earned and ceded premiums, and whether further changes are made to the reinsurance program.
- Growth in policies in-force toward the milestone the CEO refers to as half a million customers, from 481,446 at September 30, 2026.
- Future Citizens take-out opportunities. The company states it assumed no Citizens policies in Q3 2026 because none met its standards.
- Reserve development, given that the company reported prior year net reserve development of $2,312 thousand in Q3 2025 and none in Q3 2026.
- The reported effective tax rate, since the Q3 2026 rate of 28.4% sits well above the 21% federal statutory rate the company uses for its adjustment tax effect.
- Cash dividend payments, which were $(19,971) thousand in the nine months ended September 30, 2026, and any future capital return policy, since the filing does not describe one.
Balance sheet and cash flow
- Total assets were $1,623,682 thousand at September 30, 2026, against $1,230,201 thousand at December 31, 2025.
- Cash and cash equivalents were $247,354 thousand at September 30, 2026, against $203,902 thousand at December 31, 2025.
- Total shareholders' equity was $391,158 thousand at September 30, 2026, against $337,022 thousand at December 31, 2025.
- Long-term debt was nil at September 30, 2026 (printed as a dash), against $618 thousand at December 31, 2025, and the cash flow statement prints a repayment of long-term debt of $(618) thousand in the nine months ended September 30, 2026.
- Prepaid reinsurance premiums were $414,559 thousand at September 30, 2026, against $275,093 thousand at December 31, 2025.
- Reinsurance payable was $266,695 thousand at September 30, 2026, against $96,555 thousand at December 31, 2025.
- Unearned premiums were $593,416 thousand at September 30, 2026, against $481,557 thousand at December 31, 2025.
- Net cash used in investing activities was $(198,254) thousand in the nine months ended September 30, 2026, against $(144,788) thousand in the nine months ended September 30, 2025.
- Net cash used in financing activities was $(20,709) thousand in the nine months ended September 30, 2026, against $61,837 thousand provided in the nine months ended September 30, 2025.
- Cash, cash equivalents and restricted cash at end of period was $272,848 thousand, against $184,324 thousand a year earlier.
Analysis
American Integrity reported third quarter 2026 GAAP net income of $28,354 thousand, or $1.44 per diluted share, up 115.4% from $13,163 thousand a year earlier. Total revenues rose 83.0% to $113,492 thousand, driven by net premiums earned, which grew 94.5% to $101,161 thousand. Gross premiums written rose 22.7% to $293,299 thousand, and the company states that growth came primarily from its voluntary market writings. Ceded premiums earned fell 9.5% to $(153,852) thousand, which the company attributes primarily to the reduction in its non-catastrophe quota share from 40% to 25% on January 1, 2026. The net effect is that a larger share of premium stayed on the company's balance sheet.
The loss picture improved. The GAAP loss ratio was 36.6% against 54.1%, and the net underlying loss and LAE ratio, a non-GAAP measure, was 31.7% against 49.9%. The reconciliation shows $5,064 thousand of current year net catastrophe losses in Q3 2026 and no prior year reserve development in that quarter, against $2,312 thousand of prior year reserve development in Q3 2025. The expense side moved the other way. Policy acquisition expenses rose 188.5% to $18,043 thousand and general and administrative expenses rose 139.1% to $17,564 thousand, lifting the expense ratio to 34.0% from 24.8%. The company attributes these changes to new business production, the quota share reduction and the benefit of Citizens take-outs in 2025. The combined ratio nonetheless improved to 70.6% from 78.9%.
Volume indicators were strong. Policies in-force reached 481,446, up 18.6% year over year and 4.3% from 461,714 at June 30, 2026. In-force premium rose 17.4% to $1,069,269 thousand. The company reports 41,000 voluntary new business policies in the quarter, up 57% year over year, and says this accelerated from 54% growth in the second quarter. The Tri-County region of Florida recorded 8,003 voluntary new residential business policies against 233 a year earlier. The company also states it assumed no policies from Citizens because none met its underwriting and targeted profitability standards.
Capital and balance sheet items moved with the earnings. Book value per share rose 23.7% to $19.96, total shareholders' equity rose to $391,158 thousand from $337,022 thousand at December 31, 2025, and total assets rose to $1,623,682 thousand from $1,230,201 thousand. Net cash provided by operating activities was $247,692 thousand for the nine months, against $88,003 thousand a year earlier. Cash dividends of $(19,971) thousand were paid in the nine months, against no dividend in the prior-year period. Long-term debt was repaid in full, the $618 thousand balance at year end 2025 is no longer shown.
The release gives no outlook or guidance figures, so there is no basis for a guidance comparison. Points the reader should weigh are the step-up in income tax expense, with the Q3 effective rate at 28.4% against 29.9% a year earlier, the nine-month effective rate of 27.3% against 8.2%, and the fact that nine-month GAAP net income grew only 4.6% while revenue grew 53.3%. The nine-month expense ratio of 34.6% against 26.6% also deserves attention alongside the quarterly figures.
Management, verbatim
We delivered another strong quarter that reflects the continued execution of our strategy and the increasing strength of our voluntary growth platform.
Robert Ritchie, Chief Executive Officer
Our growth remains grounded in the disciplined underwriting and thoughtful risk selection that have defined American Integrity for more than two decades.
Robert Ritchie, Chief Executive Officer
Not in the filing
stated, not guessed- Forward guidance or outlook figures for revenue, gross margin, operating expenses or tax rate: the release contains no outlook section and no previous outlook was provided, so guidance is null and vs_prior_guidance is empty.
- Segment or business-line revenue split: the filing reports one consolidated income statement and no segment table.
- Prior-year percentage change for diluted and basic EPS, loss ratio, expense ratio, combined ratio and return on equity: the release prints the values but no percentage change for those rows.
- Prior-year comparison and percentage change for nine-month adjusted net income and adjusted diluted EPS: the release prints the nine-month 2025 values but no percentage change.
- Prior-quarter (June 30, 2026) values for the balance sheet and P&L lines other than policies in-force: not printed in the filing.
- Prior quarter (Q2 2026) values for revenue, net income, EPS and combined ratio: the release gives year-over-year comparisons, and the sequential figures are not printed.
- Repurchase amounts and any share buyback program: none is described in the filing.
- Voluntary-market premium split in dollars: the release gives policy counts for voluntary business but not voluntary premium amounts.
- Share price reaction and analyst consensus: not contained in the filing and not used here.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
American Integrity Insurance Group filed a Form 8‑K reporting its Q3 2026 results.
Ticker impact
Q3 2026 earnings release showing 83% revenue growth, 57% increase in new policies and 29.8% ROE.
upward pressure as market prices in robust growth and profitability
Quarterly results exceed prior year on multiple metrics, indicating momentum.
Market effects
Highlights strength in the voluntary property insurance market, may boost peers.
Positive for U.S. insurers and Florida market exposure.
Limited to insurance sector, no broad macro impact.
Counterpoint
Assess whether growth is sustainable given potential rate environment and catastrophe exposure.
Key entities
- companyAmerican Integrity Insurance Group, Inc.
U.S. property and casualty insurer reporting Q3 2026 results.
