Accelerant Holdings
For the period ended Mar 31, 2026. Filed May 13, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 13, 2026
ARX$19.89+0.1%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-12.
0001997350-25-000012
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-05-13.
0001997350-26-000011
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 344 previous paragraphs and 337 current paragraphs.
168 unchanged; 124 reworded; 39 added; 43 removed; 9 previous and 6 current paragraphs rearranged.
Tables are not compared: 37 previous and 28 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (39)
Current report
(1) The year-over-year growth rate of 16% for the three months ended March 31, 2026 was suppressed relative to prior periods as it reflects our placement of certain Members into runoff. Excluding that Member, Exchange Written Premium grew by $204.1 million (or 22%) for the three months ended March 31, 2026 as compared to the three months ended March 31, 2025.
Current report
(all amounts exclude general and administrative expenses)
Current report
In assessing the performance of our business, we present our financial condition and results of operations in the way we believe will be most meaningful and representative of our business results. Some of the measurements we use are non-GAAP financial measures under SEC rules and regulations. U.S. GAAP is an acronym for generally accepted accounting principles in the United States. The non-GAAP financial measures we present may not be comparable to similarly-named measures reported by other companies.
Current report
We use the non-GAAP financial measures because we believe they enhance the understanding of the underlying profitability of operations and trends of our segments. We believe they also allow for more meaningful comparisons with our insurance competitors. Such measures exclude certain items that are related to our non-core business operations, unusual or nonrecurring items and therefore are not considered to be directly attributable to our underlying operating performance.
Current report
The following non-GAAP financial measures are used in this document or in other disclosures we make from time to time:
Current report
Adjusted EBITDA, Adjusted Net Income (Loss), and Adjusted Earnings Per Diluted Share
Current report
•Net realized and unrealized gains (losses) on investments: Primarily represents changes in fair value of investment funds, realized gains and losses on dispositions of investments, and changes in fair value of certain other equity security investments accounted for under the measurement alternative where we adjust fair value based on observable price movements in such, or similar, investments.
Current report
•Net foreign currency exchange gains (losses): Represents non-cash foreign currency gains or losses related to transactions in currencies other than an operation’s functional currency and are excluded both on the basis of volatility and that such amounts are largely offset by corresponding changes in other comprehensive income primarily based on our intercompany reinsurance.
Current report
We define “Adjusted Earnings per Diluted Share” as adjusted net income for a period divided by the corresponding weighted average diluted shares on a U.S. GAAP basis (GAAP diluted shares are used for simplicity and that any difference from recalculating such diluted shares using adjusted income is expected to be immaterial).
Current report
Operating Revenues
Current report
We define “Operating Revenues” as U.S. GAAP revenues excluding the impact of net realized and unrealized gains (losses) on investments.
Current report
The reconciliation of the above non-GAAP measures to each of their most directly comparable GAAP financial measures is set forth in the reconciliation table accompanying this document.
Current report
Net written premium of $150.7 million for the three months ended March 31, 2026 increased $78.3 million (or 108.1%) from $72.4 million in the prior year comparable period. The increase, despite the aforementioned decrease in GWP, is related to our increased net retention (17.9% for the three months ended March 31, 2026 compared to 8.3% for the prior year comparable period). The increased retention compared to the prior year comparable period, as well as our targeted retention levels of 10%, was primarily due to the effect of a commutation entered into with one of our Risk Capital Partners, growth in our UK business which has higher retention rates due to regulatory requirements, and the impact of certain reinsurance reinstatement premiums (which reduce earned premiums) in the first quarter of 2025.
Current report
Net earned premiums of $129.8 million for the three months ended March 31, 2026 increased $66.8 million (or 106.0%) from $63.0 million in the prior year comparable period as a result of the earn-through of increased net written premium occurring over the last year consistent with that described for the most recent three-month period above.
Current report
Net investment income of $12.1 million for the three months ended March 31, 2026 decreased $0.1 million (or 0.8%) from $12.2 million in the prior year comparable period. The relatively flat performance was driven by a lower rate of return from the mix of cash and investments as offset by the increase in total average cash and investments for the three months ended March 31, 2026 of $2.52 billion compared to $1.99 billion for the three months ended March 31, 2025.
Current report
Net realized gains on investments of $0.1 million for the three months ended March 31, 2026 compared to $2.3 million in the prior year comparable period. The 2025 net realized gains on investments included a $2.0 million revaluation gain on an equity method investee as part of a step acquisition.
Current report
There were no net unrealized gains on investments for the three months ended March 31, 2026 compared to net unrealized gains on investments of $1.7 million in the prior year comparable period related to a gain on a TPA investment.
Current report
Net losses and LAE of $81.8 million for the three months ended March 31, 2026 increased $36.6 million (or 81.0%) compared to $45.2 million in the prior year comparable period. This increase was driven primarily by growth in our net earned premium base.
Current report
Gross incurred losses and LAE of $407.3 million for the three months ended March 31, 2026 increased by $24.5 million (or 6.4%) compared to the prior year comparable period of $382.8 million, while ceded losses and LAE of $325.5 million for the three months ended March 31, 2026 decreased $12.1 million (or (3.6)%) compared to the prior year comparable period of $337.6 million under our external reinsurance program.
Current report
General and administrative expenses of $123.8 million for the three months ended March 31, 2026 increased $48.5 million (or 64.4%) compared to $75.3 million in the prior year comparable period, although as noted below, when excluding the share-based compensation expenses, the increase was 25.8% which was lower than the 53.5% increase in total revenues.
Current report
Other Expenses
Current report
Other expenses of $17.7 million for the three months ended March 31, 2026 increased $5.9 million (or 50.0%) compared to $11.8 million in the prior year comparable period. The increase was driven primarily by a $2.7 million increase in system development non-operating expenses driven by costs associated with supporting the development and implementation of our integrated reinsurance and accounting system and a $2.1 million increase in Mission profit sharing expenses. Mission's profit sharing and award programs are a central part of our strategy to create long-term alignment with both Member series heads and key members of Mission's management team through performance-based incentives. Mission's business continues to perform well beyond our expectations and we view the issuance of such awards to represent significant long-term value for Accelerant.
Current report
We also experienced increases in professional costs related to corporate development activities of $0.4 million and in other individually insignificant expenses of $0.7 million.
Current report
Income tax expense was $6.1 million for the three months ended March 31, 2026 compared to $7.7 million in the prior year comparable period. Our consolidated effective tax rates (“ETRs”) were 305.0% and 49.7%, respectively for the three months ended March 31, 2026 and 2025.
Current report
The ETRs in tax-paying entities for the periods ended March 31, 2026 and 2025 were 31.8% and 15.6%, respectively. The increase reflects the inclusion of certain post-IPO executive compensation related non-deductible expenses for the three months ended March 31, 2026 along with certain discrete items triggered by the establishment of a new foreign subsidiary during the three months ended March 31, 2026.
Current report
(5)Share-based compensation expenses are included in "General and administrative expenses" within the condensed consolidated statements of operations (and excluded from the segment presentation above).
Current report
The Adjusted EBITDA margin was 67% for the three months ended March 31, 2026, an increase from 66% in the prior period. This increase was driven primarily by increased direct commission income, partially offset by operating expenses.
Current report
MGA Operations Adjusted EBITDA of $16.8 million for the three months ended March 31, 2026 decreased $1.3 million compared to the three months ended March 31, 2025, driven primarily by an increase of $6.1 million in general and administrative expense to support the growth of the segment, partially offset by the aforementioned increased in direct commission income of $4.8 million.
Current report
For the three months ended March 31, 2026, net earned premium increased by $66.8 million to $129.8 million due to our gross earned premium growth over the preceding year, partially offset by a decrease of $9.2 million in ceding commission income compared to the three months ended March 31, 2025.
Current report
Adjusted EBITDA for the Underwriting segment was $6.5 million for the three months ended March 31, 2026, representing a decrease of $4.2 million compared to Adjusted EBITDA of $10.7 million for the three months ended March 31, 2025. This decrease was driven by lower excess
Current report
ceding commission income associated with the increase in retention over the prior year comparable period.
Current report
As of March 31, 2026 and December 31, 2025 total equity was $719.9 million and $726.4 million, respectively. The change as of March 31, 2026 compared to December 31, 2025 was due to total comprehensive loss of $15.2 million, repurchased and withheld shares of $13.8 million, dividends and other transactions with non-controlling interests of $6.3 million, partially offset by the increase to additional paid-in capital from non-cash share-based compensation of $28.8 million.
Current report
As of March 31, 2026 and December 31, 2025, we had cash and cash equivalents balances of $1.54 billion and $1.80 billion, respectively. We have historically held a significant portion of our invested assets in cash equivalents (money market funds) to maintain adequate liquidity to fund ongoing large reinsurance disbursements, as money market yields have approximated those available on fixed maturity investments.
Current report
Net cash used in operating activities for the three months ended March 31, 2026 was $21.4 million compared to net cash provided by operating activities of $91.8 million for the three months ended March 31, 2025. Our operating cashflows for the first quarter of 2026 were principally reduced by underwriting related cash flow timing with which we paid outstanding balances with our reinsurance and other counterparties that were recorded as liabilities as of December 31, 2025. The timing of such payments had been delayed in connection with certain reinsurance set-up activities as of December 31, 2025.
Current report
Net cash used in financing activities for the three months ended March 31, 2026 was $19.2 million and primarily related to the $12.2 million cash component of the acquisition of common shares, $4.9 million related to the acquisition of non-controlling interests in subsidiaries, $1.3 million related to dividends paid to non-controlling interests, and $0.8 million related to the repayment of debt obligations.
Current report
Contractual Obligations and Commitments
Current report
(1) Amounts presented include estimated interest payments.
Current report
(2)We have invested in limited partnership agreements and can be called to fulfill the obligations at any time.
Current report
(3)Estimated timing of claim payments are based on historical payment patterns and exclude reinsurance recoveries. Claims payments do not have a contractual maturity and, as such, the amount and timing of associated cash flows may vary significantly from the amounts presented.
Removed paragraphs (43)
Previous report
Initial Public Offering ("IPO")
Previous report
On July 25, 2025, the Company completed its IPO. For additional information regarding the related net proceeds, equity impact, use of proceeds and expenses associated with the Accelerant Holdings LP distribution and our equity award plans, refer to Note 10 and Note 12 to our interim condensed consolidated financial statements.
Previous report
(4)The table above references amounts for the trailing twelve months ended September 30, 2025 herein. The GAAP to non-GAAP reconciliation for this period can be derived using amounts presented above for the year ended December 31, 2024 less amounts reported for the nine months ended September 30, 2024 to arrive at the three months ended December 31, 2024, which can be added to the results for the nine months ended September 30, 2025 to arrive at amounts for the trailing twelve months ended September 30, 2025.
Previous report
For the nine months ended September 30, 2025, Accelerant Underwriting reinsured 91% of Accelerant GWP to third-party reinsurers. Of this amount, 33% of our Accelerant GWP was ceded to Flywheel Re during the nine months ended September 30, 2025.
Previous report
Adjusted EBITDA and Adjusted Net Income (Loss)
Previous report
Adjusted EBITDA and Adjusted Net Income (Loss) are non-GAAP measures, which we believe should be used to evaluate our financial performance by excluding certain items that are related to our non-core business operations and therefore are not considered to be directly attributable to our underlying operating performance. Adjusted EBITDA and Adjusted Net Income (Loss) are internal performance measures used in the management of our operations. We believe that disclosing Adjusted EBITDA and Adjusted Net Income (Loss) enables investors, analysts, rating agencies and other users of our financial information to more easily analyze our underlying business performance. Adjusted EBITDA and Adjusted Net Income (Loss) should not be used as substitutes for net income (loss), and other companies may define Adjusted EBITDA and Adjusted Net Income (Loss) differently than we do.
Previous report
(2)Non-cash profits interest distribution expenses related to the settlement of all outstanding profits interest awards through the distribution of 65,270,453 Class A common shares of the Company held by Accelerant Holdings LP to certain officers and employees of the Company that fully vested upon the Company's July 25, 2025 initial public offering (IPO). The ultimate settlement of the profit interest awards was equity neutral because the contribution of the shares to officers and employees was reflected as a capital contribution to the Company by Accelerant Holdings LP, which represented an equal and offsetting amount to the associated non-cash expense. For further information, refer to Note 12 in our interim condensed consolidated financial statements.
Previous report
Ceding commission income of $92.3 million for the three months ended September 30, 2025 increased $30.2 million from the three months ended September 30, 2024 amount of $62.1 million as we continued to grow our gross earned premium base and the amount ceded to reinsurers. Ceding commission income for the three months ended September 30, 2025 and 2024 included an increase of $7.7 million and a reduction of $0.6 million, respectively, due to net sliding scale commission adjustments resulting from the loss experience of covered insurance contracts in the US.
Previous report
Net written premium was $137.9 million for the three months ended September 30, 2025, representing an increase of $53.1 million compared to the same period in 2024 of $84.8 million. The increase, despite the aforementioned decrease in GWP, is related our increased net retention (17.4% for the three months ended September 30, 2025 compared to 10.7% for the same period in 2024). The increased retention was primarily due to the UK retention rate increasing, as expected, related to regulatory requirements, as well as the timing of excess of loss reinsurance purchases. Our Accelerant-Retained Exchange Premium was 7% for the trailing twelve months ended September 30, 2025, and we expect our retained portion of Exchange Written Premium to trend towards our historical average of around 10% over future quarters.
Previous report
Net written premium was $229.1 million for the nine months ended September 30, 2025, representing an increase of $43.8 million compared to the same period in 2024 of $185.3 million. The increase was driven by our GWP growth.
Previous report
Net earned premium was $82.1 million and $215.7 million for the three and nine months ended September 30, 2025, respectively, representing increases of $22.8 million (or 38.4%) and $60.2 million (or 38.7%) compared to the same periods in 2024 of $59.3 million and $155.5 million, respectively. These increases were driven by the earn through of increased net written premiums from preceding periods.
Previous report
Net investment income was $10.1 million and $35.1 million for the three and nine months ended September 30, 2025, respectively, representing a decrease of $0.9 million and an increase of $7.5 million compared to the same periods in 2024 of $11.0 million and $27.6 million, respectively. The decrease for the three months ended September 30, 2025 as compared to the same period in 2024 was primarily driven by an increase in investment income applied to funds withheld liabilities of $7.7 million, which was almost fully offset by higher investment returns. The year-over-year increase of $7.5 million was primarily driven by the increase in total average investments year-over-year, partially offset by the aforementioned increases in interest expenses. Refer to Note 4 to our interim condensed consolidated financial statements for additional information.
Previous report
Net realized gains on investments were $3.5 million and $6.2 million for the three and nine months ended September 30, 2025, respectively, representing increases of $3.4 million and $5.7 million compared to the same periods in 2024 of $0.1 million and $0.5 million. The three months ended September 30, 2025 includes a gain of $2.7 million related to selling a portion of our interest in one of our owned MGA investments. Refer to Note 4 to our interim condensed consolidated financial statements for additional information.
Previous report
Net unrealized gains on investments were $36.0 million and $37.2 million for the three and nine months ended September 30, 2025, respectively, representing increases of $32.0 million and $34.0 million compared to the same periods in 2024 of $4.0 million and $3.2 million. These increases were driven by a gain of $27.6 million related to an observable price increase on one of our owned MGA investments accounted for under the measurement alternative and a gain of $8.4 million relating to an investment in a TPA. Refer to Note 4 to our interim condensed consolidated financial statements for additional information.
Previous report
Net losses and LAE were $50.8 million and $147.3 million for the three and nine months ended September 30, 2025, respectively, representing increases of $11.1 million and $35.7 million compared to the same periods in 2024 of $39.7 million and $111.6 million, respectively. These increases were, in each period, primarily driven by growth in our net earned premium base.
Previous report
Gross incurred losses and LAE of $392.2 million and $1.17 billion for the three and nine months ended September 30, 2025 increased by $81.6 million or 26% and $343.9 million or 42%, respectively, compared to the same periods in 2024 of $310.6 million and $826.5 million, respectively, while ceded losses and LAE of $341.4 million and $1.02 billion for the three and nine months ended September 30, 2025 increased $70.5 million or 26% and $308.2 million or 43%, respectively, compared to the same periods in 2024 of $270.9 million and $714.9 million, respectively, under our external reinsurance program.
Previous report
General and administrative expenses were $115.8 million and $280.2 million for the three and nine months ended September 30, 2025, respectively, representing increases of $48.5 million and $102.2 million compared to the same periods in 2024 of $67.3 million and $178.0 million, respectively.
Previous report
Profits Interest Distribution Expenses
Previous report
Profits interest distribution expenses consisted of non-cash profits interest distribution expenses related to the settlement of all outstanding profits interest awards through the distribution of 65,270,453 Class A common shares of the Company held by Accelerant Holdings LP to certain officers and employees of the Company that fully vested upon the IPO. The ultimate settlement of the profits interest awards was equity neutral as the contribution of the shares to officers and employees was reflected as a capital contribution to the Company by Accelerant Holdings LP in an equal and offsetting amount to the associated non-cash expense. For further information, refer to Note 12.
Previous report
Other expenses were $45.6 million and $70.6 million for the three and nine months ended September 30, 2025, respectively, representing increases of $37.6 million and $48.2 million compared to the same periods in 2024 of $8.0 million and $22.4 million, respectively. The year-over-year increases were driven primarily by a $25 million termination fee payable to Altamont related to a then-existing management services agreement, Mission profit interests expense, and increases in professional costs related to corporate development activities which includes expenses specifically related to our recently completed IPO, which were $4.3 million and $5.0 million for the three and nine months ended September 30, 2025, respectively.
Previous report
Income Tax Expense
Previous report
Income tax expense was $9.5 million and $26.4 million for the three and nine months ended September 30, 2025 and 2024, respectively, representing increases of $17.6 million and $19.7 million compared to the same periods in 2024. Our consolidated effective tax rates (“ETRs”) were (0.7)% and (623.1)%, respectively, for the three months ended September 30, 2025 and 2024, compared to (2.0)% and 74.4%, respectively for the nine months ended September 30, 2025 and 2024. However, the comparability of our tax expense and effective tax rates is often challenged due to the mix of taxable income subject to tax in certain jurisdictions, losses incurred in zero tax rate jurisdictions and valuation allowances offsetting available carry-forward losses in certain jurisdictions. Furthermore, the effective tax rate in the current period is impacted by certain discrete items related to non-deductible profits interest distribution expense and termination fee costs incurred in connection with our recent IPO and gains from the our revaluation of other investments under the measurement alternative.
Previous report
The effective tax rates for the three and nine months ended September 30, 2025 calculated excluding the nondeductible profits interest and termination fee expenses would have been 20.1% and 31.1%, respectively.
Previous report
(5)The consolidation and elimination adjustments for general and administrative expenses consist of expenses attributable to Exchange Services and MGA Operations that form components of acquisition costs of insurance policies that would be capitalized in consolidation, which are offset by adjustments as components of the other consolidation and elimination adjustments.
Previous report
(2)Ceding commission income of our Underwriting segment includes the effect of sliding scale adjustments based on actual loss experience. For further information on sliding scale commission adjustments, refer to Note 8 to our condensed consolidated financial statements included herein.
Previous report
(6)Other expenses for the three months ended September 30, 2024 consist of $2.5 million of system development non-operating costs, $4.3 million of professional costs related to corporate development and capital raise activities and $1.2 million of other individually insignificant costs.
Previous report
(2)Ceding commission income of our Underwriting segment includes the effect of sliding scale adjustments based on actual loss experience. For further information on sliding scale commission adjustments, refer to Note 8 to our condensed consolidated financial statements included herein.
Previous report
(6)Other expenses for the nine months ended September 30, 2025 consist of a $25.0 million termination fee for our former management services agreement contract with Altamont Capital, $13.4 million of system development non-operating expenses, $21.7 million of professional costs related to corporate development and capital raise activities (including $5.0 million specifically related to our IPO that were not eligible for capitalization as issuance costs), $8.4 million of Mission profits sharing expense and $2.1 million of individually insignificant costs.
Previous report
(2)Ceding commission income of our Underwriting segment includes the effect of sliding scale adjustments based on actual loss experience. For further information on sliding scale commission adjustments, refer to Note 8 to our condensed consolidated financial statements included herein.
Previous report
Exchange Services direct commission income from Accelerant-affiliated entities accounted for 73% and 79% of the segment’s direct commission income for the three and nine months ended September 30, 2025, respectively, compared to 88% and 91% for the three and nine months ended September 30, 2024. The decrease year-over-year represents growth in direct commission income from unaffiliated entities.
Previous report
The Adjusted EBITDA margin was 70% and 67% for the three and nine months ended September 30, 2025, down from 72% and 71% from the respective comparative periods in the prior year. These declines were primarily driven by increased expenses related to investments we are making in our Risk Exchange capabilities.
Previous report
Revenue for the nine months ended September 30, 2025 includes $30.3 million of investment realized gains and unrealized gains following observable price change related to an owned MGA held as an other investment that we account for under the measurement alternative. Refer to Note 4 to our interim condensed consolidated financial statements for additional information.
Previous report
MGA Operations Adjusted EBITDA was $45.4 million and $89.8 million for the three and nine months ended September 30, 2025, respectively, representing increases of $27.7 million and $62.8 million, respectively, compared to the same periods in 2024.
Previous report
For the three months ended September 30, 2025, the increase in Adjusted EBITDA was primarily driven by the $30.3 million increase in net realized and unrealized gains during the third quarter of 2025, primarily driven by the aforementioned investment gains, and an increase in direct commission income of $7.3 million, which included a $3.2 million increase from Mission Underwriters, as well as an increase from our Owned Members of $4.1 million primarily due to organic growth, partially offset by a $10.2 million increase in general and administrative expenses. For the nine months ended September 30, 2025, the increase in Adjusted EBITDA was primarily driven by an increase in direct commission income of $54.4 million, which included an $36.5 million increase from Mission Underwriters, as well as an increase from our Owned Members of $17.9 million primarily due to organic growth, and an increase in unrealized gains of $27.1 million, primarily driven by the aforementioned investment gains, partially offset by a $23.8 million increase in general and administrative expenses.
Previous report
For the three months ended September 30, 2025, net earned premium increased by $22.8 million to $82.1 million due to our gross earned premium growth during the three months ended September 30, 2025. Ceding commission income increased by $13.6 million over the comparative period as we continued to grow our premium base and the amount ceded to reinsurers, as well as improvement in net sliding scale commission adjustments resulting from the improved loss experience of covered insurance contracts in the US as compared to the same period in 2024.
Previous report
For the nine months ended September 30, 2025, net earned premium increased by $60.2 million to $215.7 million due to our gross written premium growth over the preceding periods. Revenues also benefited from a $2.5 million increase in net investment income due to year-over-year growth in average investment portfolio size.
Previous report
Adjusted EBITDA for the Underwriting segment was $17.6 million and $44.8 million for the three and nine months ended September 30, 2025, respectively, representing relative increases of $34.9 million and $60.5 million, respectively from the comparative periods in 2024 which had Adjusted EBITDA losses. These improvements were driven by the aforementioned increase in revenue and decreases in operating expenses due to improved operating leverage as the segment continues to reach operational maturity.
Previous report
As of September 30, 2025 and December 31, 2024 total equity was $703.8 million and $427.0 million, respectively. The change as of September 30, 2025 compared to December 31, 2024 was primarily due to $376.0 million related to the issuance of Class A common shares and net income excluding the profits interest expenses, as partially offset by $175.3 million related to the redemption of Class C convertible preference shares. As referenced previously, the profits interest charge of $1.38 billion that created an overall net loss was fully offset by a corresponding capital contribution, and therefore had no impact to net equity.
Previous report
Net cash proceeds from operating activities for the nine months ended September 30, 2025 and 2024 were $383.2 million and $543.9 million, respectively. The year-over-year decrease was primarily driven by timing differences in our insurance and reinsurance programs.
Previous report
Net cash provided by financing activities for the nine months ended September 30, 2025 was $209.5 million and primarily related to the $392.0 million from the issuance of common shares, partially offset by $175.3 million related to the redemption of Class C preference shares and $7.2 million of dividends paid to non-controlling interests.
Showing the first 40 of 43 passages. Open the source sections for the rest.
Reworded paragraphs (124)
Previous wording
The following discussion and analysis of our financial condition and our results of operations should be read in conjunction with our interim unaudited condensed consolidated financial statements and the related notes included elsewhere in this Quarterly Report on Form 10-Q and our audited consolidated financial statements included in our prospectus filed with the Securities and Exchange Commission pursuant to Rule 424(b)(4) under the Securities Act of 1933, as amended (the "Prospectus"). This management's discussion and analysis contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from such forward-looking statements. Factors that could cause or contribute to those differences include, but are not limited to, those identified below and those discussed in the sections titled “Cautionary Note Regarding Forward-Looking Statements” in this Quarterly Report on Form 10-Q and "Risk Factors" in the Prospectus. Additionally, our historical results are not necessarily indicative of the results that may be expected for any period in the future.
Current wording
The following discussion and analysis of our financial condition and our results of operations should be read in conjunction with our consolidated financial statements and the related notes included elsewhere in this Quarterly Report on Form 10-Q. This management's discussion and analysis contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from such forward-looking statements. Factors that could cause or contribute to those differences include, but are not limited to, those identified below and those discussed in the sections titled “Cautionary Note Regarding Forward-Looking Statements” and "Risk Factors" in our 2025 Annual Report. Additionally, our historical results are not necessarily indicative of the results that may be expected for any period in the future.
Previous wording
Accelerant Holdings, together with its subsidiary companies, connects Members with Risk Capital Partners through its Risk Exchange. The Company, together with its Risk Capital Partners, provides property and casualty insurance to policyholders via its network of Members, which are typically MGAs. The Company focuses on small-to-medium sized commercial clients primarily in the US, EU, Canada and the UK.
Current wording
Accelerant Holdings, together with its subsidiary companies, connects Members with Risk Capital Partners through the Accelerant Risk Exchange. We, together with our Risk Capital Partners, provide property and casualty insurance to policyholders via our network of Members, which are typically MGAs. We focus on small-to-medium sized commercial clients primarily in the US, EU, Canada and the UK.
Previous wording
We operate a data-driven risk exchange that connects selected specialty insurance underwriters (the “supply side” of our platform) with Risk Capital Partners (the “demand side” on our platform). Our Risk Exchange reduces information asymmetries and operational barriers present in the traditional insurance value chain by leveraging proprietary technology to share actionable high-fidelity data and insights with platform participants.
Current wording
We operate a data-driven risk exchange that connects selected specialty insurance underwriters (the “supply side” of our platform) with Risk Capital Partners (the “demand side” on our platform). Our Accelerant Risk Exchange reduces information asymmetries and operational barriers present in the traditional insurance value chain by leveraging proprietary technology to share actionable high-fidelity data and insights with platform participants.
Previous wording
The Accelerant Risk Exchange simplifies the traditional insurance value chain which is fragmented, costly, and inflexible. Legacy technology, excessive intermediation, and misaligned incentives cause data leakage, high costs, and wasted resources for participants. Our technology-powered platform addresses these issues by connecting our Members, and Risk Capital Partners, including insurers, reinsurers, and institutional investors. On the supply side of our Risk Exchange, we deliver a full service offering to our Members that includes insights and analytics, distribution management, operational resources, and the commitment of stable underwriting capacity. Our offerings free our Members to focus on growing their businesses through their core expertise of profitable underwriting. On the demand side of our Risk Exchange, we offer Risk Capital Partners an attractive, validated, and diversified portfolio of specialty insurance premium that may otherwise be difficult to access elsewhere. Risk Capital Partners who provide capacity through our Risk Exchange pay us fees to source, manage, and monitor risks on their behalf that recur when the underlying policies renew.
Current wording
The Accelerant Risk Exchange simplifies the traditional insurance value chain which is fragmented, costly, and inflexible. Legacy technology, excessive intermediation, and misaligned incentives cause data leakage, high costs, and wasted resources for participants. Our technology-powered platform addresses these issues by connecting our Members, and Risk Capital Partners, including insurers, reinsurers, and institutional investors. On the supply side of our Accelerant Risk Exchange, we deliver a full service offering to our Members that includes insights and analytics, distribution management, operational resources, and the commitment of stable underwriting capacity. Our offerings free our Members to focus on growing their businesses through their core expertise of profitable underwriting. On the demand side of our Accelerant Risk Exchange, we offer Risk Capital Partners an attractive, validated, and diversified portfolio of specialty insurance premium that may otherwise be difficult to access elsewhere. Risk Capital Partners who provide capacity through our Accelerant Risk Exchange pay us fees to source, manage, and monitor risks on their behalf that recur when the underlying policies renew.
Previous wording
By harnessing our proprietary technology, access to data, and industry experience, we believe we have created the future marketplace of the specialty insurance industry. As of September 30, 2025, we had 265 Members (an increase of 17 Members since June 30, 2025) and 92 Risk Capital Partners on our platform and we have grown Exchange Written Premium at a 196% compounded annual growth rate since inception. As we mature and continue to scale our business, we expect our annual growth rate to moderate.
Current wording
By harnessing our proprietary technology, access to data, and industry experience, we believe we have created the preeminent marketplace of the specialty insurance industry. As of March 31, 2026, we had 296 Members (an increase of 16 Members since December 31, 2025) and 96 Risk Capital Partners on our platform. We have grown Exchange Written Premium at a 178% compounded annual growth rate since our inception. As we have matured and continued to scale our business, our annual growth rate has moderated.
Previous wording
Our Members (“Supply Side” of the Risk Exchange)
Current wording
Our Members (“Supply Side” of the Accelerant Risk Exchange)
Previous wording
The vast majority of our Members are independent third parties in which Accelerant has no ownership stake. We refer to these Members as “Independent Members.” Each Independent Member enters into a long-term contract with Accelerant where it agrees to underwrite certain types of policies through the Risk Exchange. Generally, these contracts are five years in duration and subject to annual renewal, with Accelerant retaining a right to terminate early for performance reasons. For a large majority of the gross written premium produced by Independent Members, Accelerant has an exclusive arrangement to write such policy types with the Independent Member. Additionally, Accelerant has the right of first refusal to offer on the Risk Exchange any new products an Independent Member may launch.
Current wording
The vast majority of our Members are independent third parties in which Accelerant has no ownership stake. We refer to these Members as “Independent Members.” Each Independent Member enters into a long-term contract with Accelerant where it agrees to underwrite certain types of policies through the Accelerant Risk Exchange. Generally, these contracts are five years in duration and subject to annual renewal, with Accelerant retaining a right to terminate early for performance reasons. For a large majority of the gross written premium produced by Independent Members, Accelerant has an exclusive arrangement to write such policy types with the Independent Member. Additionally, Accelerant has the right of first refusal to offer on the Accelerant Risk Exchange any new products an Independent Member may launch.
Previous wording
The gross premium written by Independent Members and placed through the Risk Exchange is referred to as “Independent Premium.” The gross premium written by Mission Members and Owned Members and placed through the Risk Exchange is referred to as “Owned Premium.” Historically, Independent Premium has comprised the large majority of Exchange Written Premium and we expect this trend to continue over time.
Current wording
The gross premium written by Independent Members and placed through the Accelerant Risk Exchange is referred to as “Independent Premium.” The gross premium written by Mission Members and Owned Members and placed through the Accelerant Risk Exchange is referred to as “Owned Premium.” Historically, Independent Premium has comprised the large majority of Exchange Written Premium and we expect this trend to continue over time.
Previous wording
Currently, our Risk Capital Partners include third-party insurance companies, reinsurance companies, and institutional investors. As of September 30, 2025, 15 Risk Exchange Insurers (an increase of 1 Risk Exchange Insurer since June 30, 2025) accessed gross premium written directly from the Risk Exchange (on a primary insurance basis) rather than via reinsurance from Accelerant Underwriting, accounting for 26% of the premium written on the Risk Exchange for the nine months ended September 30, 2025, as compared to 14% for the nine months ended September 30, 2024 by 11 Risk Exchange Insurers.
Current wording
Currently, our Risk Capital Partners include third-party insurance companies, reinsurance companies, and institutional investors. As of March 31, 2026, 18 Accelerant Risk Exchange Insurers (an increase of five Accelerant Risk Exchange Insurers since March 31, 2025) accessed gross premium written directly from the Accelerant Risk Exchange (on a primary insurance basis) rather than via reinsurance from Accelerant Underwriting, accounting for 41% of the premium written on the Accelerant Risk Exchange for the three months ended March 31, 2026, as compared to 19% for the three months ended March 31, 2025.
Previous wording
We refer to gross written premium written directly on behalf of Risk Exchange Insurers as “Third-Party Direct Written Premium.” All premiums written by Accelerant Underwriting, including that which is ultimately reinsured to institutional investors and third-party reinsurers, is referred to as “Accelerant GWP.” We expect the premium placed with Risk Exchange Insurers will increase in coming years, and as a result, the contribution from Third-Party Direct Written Premium will continue to increase. This is expected to lead to less overall revenue growth in our Underwriting segment, but more direct commission income within our Exchange Services segment.
Current wording
We refer to gross written premium written directly on behalf of the Accelerant Risk Exchange Insurers as “Third-Party Direct Written Premium.” All premiums written by Accelerant Underwriting, including that which is ultimately reinsured to institutional investors and third-party reinsurers, is referred to as “Accelerant GWP.” We expect the premium placed with the Accelerant Risk Exchange Insurers will increase in coming years, and as a result, the contribution from Third-Party Direct Written Premium will continue to increase. This is expected to lead to less overall revenue growth in our Underwriting segment, but more direct commission income within our Exchange Services segment.
Previous wording
For Accelerant Underwriting, we have historically targeted reinsuring approximately 90% of our gross premium written to institutional investors and third-party reinsurers, with Accelerant retaining approximately 10% of the risk associated with these gross premiums written, which we believe demonstrates alignment with our Risk Capital Partners. For the trailing twelve months ended September 30, 2025, Accelerant-Retained Exchange Premium represented 7% of Exchange Written Premium.
Current wording
For Accelerant Underwriting, we have historically targeted reinsuring approximately 90% of our gross premium written to institutional investors and third-party reinsurers, while retaining approximately 10% of these gross premiums written. For the trailing twelve months ended March 31, 2026, Accelerant-Retained Exchange Premium represented 10% of Exchange Written Premium.
Previous wording
We operate our business across three reportable segments – Exchange Services, which is the core offering of Accelerant, as well as MGA Operations and Underwriting. Exchange Services and MGA Operations are both fee-based businesses. Underwriting captures the net ceding commission income from reinsurers and Flywheel Re and net underwriting profit from retained business that is written or assumed by Accelerant Underwriting.
Current wording
We operate our business across three reportable segments – Exchange Services, which is the core of Accelerant, as well as MGA Operations and Underwriting. Exchange Services and MGA Operations are both fee-based businesses. Underwriting captures the net ceding commission income from reinsurers and Flywheel Re and net underwriting profit from retained business that we write or assume.
Previous wording
•Exchange Services: The Exchange Services segment includes the revenue and expenses associated with our Risk Exchange. The Risk Exchange is our operating platform that incorporates all of our technology, data ingestion, and agency operations that serve the needs of our Members and Risk Capital Partners. Risk Capital Partners writing premiums directly through the Risk Exchange pay us a fixed-percentage, volume-based fee for sourcing, managing and monitoring the business they write, which is netted by the amount the Risk Exchange pays in performance-based commissions to Members.
Current wording
•Exchange Services: The Exchange Services segment includes the revenue and expenses associated with our Accelerant Risk Exchange. The Accelerant Risk Exchange is our operating platform that incorporates all of our technology, data ingestion, and agency operations that serve the needs of our Members and Risk Capital Partners. Risk Capital Partners writing premiums directly through the Accelerant Risk Exchange pay us a fixed-percentage, volume-based fee for sourcing, managing and monitoring the business they write, which is netted by the amount the Accelerant Risk Exchange pays in performance-based commissions to Members.
Previous wording
•MGA Operations: This segment reports all revenue and expenses from Mission Members and Owned Members in which we have majority ownership positions. Equity method accounting is used for Owned Members in which we have a minority equity ownership interest. The largest component of the segment is our investment in the 30 Mission Members as of September 30, 2025. There are 15 Owned Members as of September 30, 2025, of which, nine are majority-owned and controlled by us and therefore consolidated in our financial statements.
Current wording
•MGA Operations: This segment reports all revenue and expenses from Mission Members and Owned Members in which we have majority ownership positions. Equity method accounting is used for Owned Members in which we have a non-controlling equity ownership interest. The largest component of the segment is our investment in the 35 Mission Members as of March 31, 2026. There are 18 Owned Members as of March 31, 2026, of which nine are majority-owned and controlled by us and therefore consolidated in our financial statements.
Previous wording
•Underwriting: Our Underwriting segment includes all revenue and expenses associated with our Accelerant Underwriting companies (each of which solely operates through the Risk Exchange) and reinsurance companies. We view the Underwriting segment as a strategic capability and source of operational flexibility and alignment with current and prospective Risk Capital Partners. Accelerant Underwriting earns premiums and pays losses from business sourced and retained through the Risk Exchange. Accelerant Underwriting pays commissions to the Risk Exchange as consideration to access this business on market-consistent terms with Risk Exchange Insurers. This is offset by the ceding commission we receive from several third-party reinsurers including Flywheel Re, a reinsurance sidecar, for ceding premium and losses to them. The performance of our Underwriting segment will vary with the performance of the portfolio reinsured to Risk Capital Partners. We expect the portion of Risk Exchange premium underwritten by Accelerant Underwriting to decrease over time, relative to other segments, as Risk Exchange Insurers increase in number and grow their premium written through our Risk Exchange.
Current wording
•Underwriting: Our Underwriting segment includes all revenue and expenses associated with our Accelerant Underwriting companies (each of which solely operates through the Accelerant Risk Exchange) and reinsurance companies. We view the Underwriting segment as a strategic capability and source of operational flexibility and alignment with current and prospective Risk Capital Partners. Accelerant Underwriting earns premiums and pays losses from business sourced and retained through the Accelerant Risk Exchange. Accelerant Underwriting pays commissions to the Accelerant Risk Exchange as consideration to access this business on market-consistent terms with the Accelerant Risk Exchange Insurers. This is offset by the ceding commission we receive from several third-party reinsurers including Flywheel Re, a reinsurance sidecar, for ceding premium and losses to them. The performance of our Underwriting segment will vary with the performance of the portfolio reinsured to Risk Capital Partners. We expect the portion of the Accelerant Risk Exchange premium underwritten by Accelerant Underwriting to decrease over time, relative to other segments, as the Accelerant Risk Exchange Insurers increase in number and grow their premium written through our Accelerant Risk Exchange.
Previous wording
(1)Calculated as Exchange Services direct commission income divided by Exchange Written Premium (rounded from 7.6%).
Current wording
(1)Calculated as Exchange Services direct commission income divided by Exchange Written Premium (rounded from 8.3%).
Previous wording
(2)Calculated as $198.6 million of MGA Operations direct commission income, $4.1 million of net investment income, $6.5 million of net realized gains on investments, and $3.2 million of net unrealized losses on investments (after excluding unrealized gains of $30.3 million attributable to investments accounted for under the measurement alternative) divided by Exchange Written Premium attributable to Mission Members and Owned Members (rounded from 17.4%).
Current wording
(2)Calculated as MGA Operations direct commission income and net investment income, divided by Exchange Written Premium attributable to Mission Members and Owned Members (rounded from 17.5%).
Previous wording
(3)Calculated as net earned premium and the amortization of deferred excess ceding commission income, reduced by net losses and the amortization of DAC, plus net investment income and net realized gains and net unrealized gains (losses) on investments expressed as a percentage of total Underwriting gross earned premium, excluding operating expenses (rounded from 3.4%).
Current wording
(3)Calculated as net earned premium and ceding commission income, reduced by losses and loss adjustment expenses and the amortization of DAC, plus net investment income expressed as a percentage of total Underwriting gross earned premium (rounded from 3.4%).
Previous wording
We believe there is a significant opportunity to attract new Members to the Risk Exchange and grow our existing Members. This is impacted by our ability to continue to deliver a holistic and compelling value proposition. We believe that existing and prospective Members will continue to be drawn to the Risk Exchange, and the growth of Members facilitated by our strong Member-centric service model, high value-add data and analytics capabilities, and ability to provide stable multi-year capacity.
Current wording
We believe there is a significant opportunity to attract new Members to the Accelerant Risk Exchange and grow our existing Members. This is impacted by our ability to continue to deliver a holistic and compelling value proposition. We believe that existing and prospective Members will continue to be drawn to the Accelerant Risk Exchange, and the growth of Members facilitated by our strong Member-centric service model, high value-add data and analytics capabilities, and ability to provide stable multi-year capacity.
Previous wording
Our future revenue growth also depends, in part, on our ability to expand our relationships with new and existing third-party capital providers to meet the growth of gross premiums sourced by our Members. We believe that the low-hazard, low-limit specialty business that we source from our Members will continue to attract these Risk Capital Partners. Since 2019, we have grown our Risk Capital Partners from two to 92 as of September 30, 2025. As of September 30, 2025, we had 15 Risk Exchange Insurers.
Current wording
Our future revenue growth also depends, in part, on our ability to expand our relationships with new and existing third-party capital providers to meet the growth of gross premiums sourced by our Members. We believe that the low-hazard, low-limit specialty business that we source from our Members will continue to attract these Risk Capital Partners. Since 2019, we have grown our Risk Capital Partners from two to 96 as of March 31, 2026. As of March 31, 2026, we had 18 Accelerant Risk Exchange Insurers.
Previous wording
Our ability to maintain the support of Risk Capital Partners depends, in part, on maintaining an attractive ratio of gross premiums to gross losses and gross commissions that Risk Capital Partners pay to the Risk Exchange. We believe the historic quality of the portfolio written by our Members is reflected by the gross loss ratios of 51.2% and 52.8% for the nine months ended September 30, 2025 and 2024, respectively. We intend to leverage our data and analytics capability and our team of expert underwriters to continue to produce a portfolio with increasing diversification and attractive risk/return characteristics for our Risk Capital Partners.
Current wording
Our ability to maintain the support of Risk Capital Partners depends, in part, on maintaining an attractive ratio of gross premiums to gross losses and gross commissions that Risk Capital Partners pay to the Accelerant Risk Exchange. We believe the historic quality of the portfolio written by our Members is reflected by the gross loss ratios of 52.1% and 53.3% for the three months ended March 31, 2026 and 2025, respectively. We intend to leverage our data and analytics capability and our team of expert underwriters to continue to produce a portfolio with increasing diversification and attractive risk/return characteristics for our Risk Capital Partners.
Previous wording
We continue to invest in our Risk Exchange to add capabilities and enhance the overall user experience of Risk Exchange participants and deepen our analytical and underwriting insights. Our ability to successfully attract high-quality specialty underwriters and risk capital depends on our ability to continue to develop value from our technology platform. We may choose to increase our level of investment in technology from past levels to enhance the platform capabilities and our competitive position. We believe that our ability to deliver platform capabilities that our Risk Exchange participants perceive as unique will continue in the future.
Current wording
We continue to invest in our Accelerant Risk Exchange to add capabilities and enhance the overall user experience of the Accelerant Risk Exchange participants and deepen our analytical and underwriting insights. Our ability to successfully attract high-quality specialty underwriters and risk capital depends on our ability to continue to develop value from our technology platform. We may choose to increase our level of investment in technology from past levels to enhance the platform capabilities and our competitive position. We believe that our ability to deliver platform capabilities that our Accelerant Risk Exchange participants perceive as unique will continue in the future.
Previous wording
As we operate as a public company, we will be required to continue to implement changes in certain aspects of our business and develop, manage, and train employees to comply with ongoing public company requirements. We will also incur new expenses, including public reporting obligations, proxy statements, shareholder meetings, stock exchange fees, transfer agent fees, SEC and Financial Industry Regulatory Authority ("FINRA") filing fees.
Current wording
As we continue to operate as a public company, we will be required to continue to implement changes in certain aspects of our business and develop, manage, and train employees to comply with ongoing public company requirements. We have and will also continue to incur new expenses, including public reporting obligations, proxy statements, shareholder meetings, stock exchange fees, transfer agent fees, SEC and Financial Industry Regulatory Authority ("FINRA") filing fees.
Previous wording
Accounting treatment of direct commissions received in the Exchange Services and the MGA Operations segments depend on whether the direct commission is being paid on an intercompany basis or by a third party.
Current wording
Accounting treatment of direct commissions received in the Exchange Services and the MGA Operations segments depends on whether the direct commission is being paid on an intercompany basis or by a third party.
Previous wording
Direct commissions paid by one Accelerant entity to another (referred to as “intercompany basis”) are required to be eliminated in consolidation pursuant to generally accepted accounting principles. These include fees paid by Accelerant Underwriting to the Risk Exchange, commissions paid by the Risk Exchange to Mission Members and/or to Owned Members, and fees paid by third party Risk Exchange Insurers to the Risk Exchange on premiums which are assumed by Accelerant Underwriting. These intercompany direct commissions are recognized under “Direct commission income” in our consolidated statements of operations under the segment to which they relate and are fully recognized by the segment when the services and related performance obligations are completed.
Current wording
Direct commissions paid by one Accelerant entity to another (referred to as “intercompany basis”) are required to be eliminated in consolidation pursuant to generally accepted accounting principles. These include fees paid by Accelerant Underwriting to the Accelerant Risk Exchange, commissions paid by the Accelerant Risk Exchange to Mission Members and/or to Owned Members, and fees paid by third party Accelerant Risk Exchange Insurers to the Accelerant Risk Exchange on premiums which are assumed by Accelerant Underwriting. These intercompany direct commissions are recognized under “Direct commission income” in our consolidated statements of operations under the segment to which they relate and are fully recognized by the segment when the services and related performance obligations are completed.
Previous wording
While these intercompany basis commissions are all eliminated on a consolidated basis, we nevertheless derive a significant economic benefit from these commissions. Unlike third parties, which bear the costs of the services performed by the Risk Exchange in the form of cash payments, we do not bear the cost of such services once fully eliminated, resulting in less commission amortization expense over the insurance policy term. This has the practical effect of increasing consolidated earnings as the corresponding premiums are earned. Direct commission income paid by third parties in the Exchange Services or MGA Operations segments on premiums that are otherwise not assumed by Accelerant Underwriting are fully recognized in the current period under “Direct commission income” in the statement of operations, to the extent that the underlying services and performance obligations to which they relate have been performed. As more business is written by Risk Exchange Insurers, we expect a higher proportion of direct commission income to be recognized on a consolidated basis (instead of being subject to elimination on an intercompany business basis, as discussed above).
Current wording
While these intercompany basis commissions are all eliminated on a consolidated basis, we nevertheless derive a significant economic benefit from these commissions. Unlike third parties, which bear the costs of the services performed by the Accelerant Risk Exchange in the form of cash payments, we do not bear the cost of such services once fully eliminated, resulting in less commission amortization expense over the insurance policy term. This has the practical effect of increasing consolidated earnings as the corresponding premiums are earned. Direct commission income paid by third parties in the Exchange Services or MGA Operations segments on premiums that are otherwise not assumed by Accelerant Underwriting are fully recognized in the current period under “Direct commission income” in the statement of operations, to the extent that the underlying services and performance obligations to which they relate have been performed. As more business is written by the Accelerant Risk Exchange Insurers, we expect a higher proportion of direct commission income to be recognized on a consolidated basis (instead of being subject to elimination on an intercompany business basis, as discussed above).
Previous wording
General and administrative expenses primarily consist of salaries, employee benefits and other general operating expenses that are expensed as incurred, and share-based compensation expenses. Generally, we expect our distribution, underwriting, and claims operating expenses to be most closely tied to growth of our membership and Risk Exchange premium volume. However, these and other functions within the Risk Exchange (including costs of supporting the development of the Risk Exchange), and our other segments have large, fixed-cost components that we believe will increase operating leverage as gross premiums continue to grow. Share-based compensation expenses represent amortization of the grant date fair value of equity awards granted to employees and directors, including restricted stock units, stock options, and other awards that can settle in cash or the common shares, over the requisite service period using the straight-line method. Forfeitures are recognized as they occur. The portion of the awards that settle in our common shares are non-cash in nature. We expect share-based compensation expenses to fluctuate over time in connection with new equity grants, changes in our workforce, and the overall structure of our long-term incentive programs.
Current wording
General and administrative expenses primarily consist of salaries, employee benefits and other general operating expenses that are expensed as incurred, and share-based compensation expenses. Generally, we expect our distribution, underwriting, and claims operating expenses to be most closely tied to growth of our membership and our Accelerant Risk Exchange premium volume. However, these and other functions within the Accelerant Risk Exchange (including costs of supporting the development of the Accelerant Risk Exchange), and our other segments have large, fixed-cost components that we believe will increase operating leverage as gross premiums continue to grow. Share-based compensation expenses represent amortization of the grant date fair value of equity awards granted to employees and directors, including restricted stock units, stock options, and other awards that can settle in cash or the common shares, over the requisite service period using the straight-line method. Forfeitures are recognized as they occur. The portion of the awards that settle in our common shares are non-cash in nature. We expect share-based compensation expenses to fluctuate over time in connection with new equity grants, changes in our workforce, and the overall structure of our long-term incentive programs.
Previous wording
Projects interest distribution expenses consist of non-cash profits interest distribution expenses related to the settlement of all outstanding profits interest awards through the distribution of 65,270,453 Class A common shares of the Company held by Accelerant Holdings LP to certain officers and employees of the Company that fully vested upon the July 25, 2025 initial public offering (IPO). The ultimate settlement of the profit interest awards was equity neutral as the contribution of the shares to officers and employees was reflected as a capital contribution to the Company by Accelerant Holdings LP in an equal and offsetting amount to the associated non-cash expense.
Current wording
Profits interest distribution expenses consist of non-cash expenses related to the settlement of all outstanding profits interest awards through the distribution of 65,270,453 of our Class A common shares held by Accelerant Holdings LP to certain of our officers and employees that fully vested upon the July 2025 IPO. The ultimate settlement of the profit interest awards was equity neutral as the contribution of the shares to officers and employees was reflected as a capital contribution to us by Accelerant Holdings LP in an equal and offsetting amount to the associated non-cash expense.
Previous wording
Other expenses represent costs related to our non-core business operations, primarily related to our global enterprise resource planning system and integrated financial reporting systems, and legal and advisory costs in connection with corporate development activities including mergers and acquisitions, capital raising activities and entity formations that support our growing business. For the three and nine months ended September 30, 2025, other expenses included a termination fee payable to Altamont Capital of $25.0 million related to the then-existing management services agreement.
Current wording
Other expenses represent costs related to our non-core business operations, primarily related to our global enterprise resource planning system and integrated financial reporting systems, and legal and advisory costs in connection with corporate development activities including mergers and acquisitions, capital raising activities and entity formations that support our growing business, as well as Mission profit sharing expenses.
Previous wording
As of September 30, 2025, we had net deferred tax assets of $57.5 million and also apply full valuation allowances to certain of our deferred tax assets of unutilized net operating losses (“NOLs”) and outside basis differences in partnership investments. The NOLs and outside basis differences predominantly arose from start-up losses on certain operating locations that drove significant taxable losses in the early stages of operations.
Current wording
As of March 31, 2026, we had net deferred tax assets of $78.3 million and also apply valuation allowances to certain of our deferred tax assets of unutilized net operating losses (“NOLs”) and other basis differences in jurisdictions that have generated cumulative losses.
Previous wording
As further discussed in “Segment Information — Consolidation and Elimination Adjustments” our consolidated results are subject to consolidation and elimination adjustments with respect to transactions among the businesses within our segments, notably between the Risk Exchange and Accelerant-owned insurance companies. We view the Adjusted EBITDA generated by our segments as representative of the economics that each would generate if they were independent companies and if the intersegment transactions were with third parties.
Current wording
As further discussed in “Segment Information — Consolidation and Elimination Adjustments” our consolidated results are subject to consolidation and elimination adjustments with respect to transactions among the businesses within our segments, notably between the Accelerant Risk Exchange and Accelerant-owned insurance companies. We view the Adjusted EBITDA generated by our segments as representative of the economics that each would generate if they were independent companies and if the intersegment transactions were with third parties.
Previous wording
We define the number of Members as those under contract with our Risk Exchange as of the period end date. We view the number of Members as an important metric to assess our financial performance because Member growth drives our revenue from fees, commissions, and net retained premiums; expands brand awareness and our market penetration; and generates additional data to continue to attract more risk capital and accelerate the compounding momentum of our platform.
Current wording
We define the number of Members as those under contract with our Accelerant Risk Exchange as of the period end date. We view the number of Members as an important metric to assess our financial performance because Member growth drives our revenue from fees, commissions, and net retained premiums; expands brand awareness and our market penetration; and generates additional data to continue to attract more risk capital and accelerate the compounding momentum of our platform.
Previous wording
As of September 30, 2025, we had 265 Members. Our Members wrote $3.10 billion of Exchange Written Premium for the nine months ended September 30, 2025. This compares to Exchange Written Premium of $2.23 billion for the nine months ended September 30, 2024, representing a 39% increase. Of our 265 Members, 30 are Mission Members, 15 are Owned Members, and 220 are Independent Members. Of the $3.10 billion in Exchange Written Premium for the nine months ended September 30, 2025, 74% was written by Accelerant Underwriting as Accelerant Direct Written Premium and 26% was written by our 15 Risk Exchange Insurers as Third-Party Direct Written Premium.
Current wording
As of March 31, 2026, we had 296 Members. Our Members wrote $1.14 billion of Exchange Written Premium for the three months ended March 31, 2026. This compares to Exchange Written Premium of $985.2 million for the three months ended March 31, 2025, representing a 16% increase. Of our 296 Members, 35 are Mission Members, 18 are Owned Members, and 243 are Independent Members. Of the $1.14 billion in Exchange Written Premium for the three months ended March 31, 2026, 59% was written by Accelerant Underwriting as Accelerant Direct Written Premium and 41% was written by our 18 Risk Exchange Insurers as Third-Party Direct Written Premium.
Previous wording
We define the number of MGA Operations members as the number of Mission Members and Owned Members under contract with the Risk Exchange as of the period end date.
Current wording
We define the number of MGA Operations members as the number of Mission Members and Owned Members under contract with the Accelerant Risk Exchange as of the period end date.
Previous wording
We define Exchange Written Premium as the total GWP written through the Accelerant Risk Exchange, including both gross premiums written on behalf of Accelerant Underwriting and written directly on behalf of Risk Exchange Insurers.
Current wording
We define Exchange Written Premium as the total GWP written through the Accelerant Risk Exchange, including both gross premiums written on behalf of Accelerant Underwriting and written directly on behalf of Accelerant Risk Exchange Insurers.
Previous wording
We define Third-Party Direct Written Premium, expressed as a percentage of Exchange Written Premium, as the GWP written directly with our Risk Exchange Insurers.
Current wording
We define Third-Party Direct Written Premium, expressed as a percentage of Exchange Written Premium, as the GWP written directly with our Accelerant Risk Exchange Insurers.
Previous wording
We define Accelerant-Retained Exchange Premium, expressed as a percentage, as Accelerant GWP net of ceded written premium for the trailing twelve month period, divided by total Exchange Written Premium for the trailing twelve month period. This represents the percentage of total Exchange Written Premium that Accelerant-owned insurance companies retain relative to total written premiums. We expect this retained portion of Exchange Written Premium in the aggregate to decrease over time as Exchange Written Premium is increasingly written with existing and new Risk Exchange Insurers.
Current wording
We define Accelerant-Retained Exchange Premium, expressed as a percentage, as Accelerant GWP net of ceded written premium for the trailing twelve-month period, divided by total Exchange Written Premium for the trailing twelve-month period. This represents the percentage of total Exchange Written Premium that Accelerant-owned insurance companies retain relative to total written premiums. We expect this retained portion of Exchange Written Premium in the aggregate to decrease over time as Exchange Written Premium is increasingly written with existing and new Accelerant Risk Exchange Insurers.
Previous wording
We define Exchange Written Premium Growth Rate, expressed as a percentage, as the increase in Exchange Written Premium in the current period compared to Exchange Written Premium from the comparable period in the prior year period. It is calculated as the difference between the current period's Exchange Written Premium and the comparable prior period's Exchange Written Premium, divided by the Exchange Written Premium of the prior period. This metric provides insight into the growth trajectory of our premium volumes generated through our Risk Exchange and serves as a key indicator of business expansion, Member acquisition, and existing Member growth.
Current wording
We define Exchange Written Premium Growth Rate, expressed as a percentage, as the increase in Exchange Written Premium in the current period compared to Exchange Written Premium from the comparable period in the prior year period. It is calculated as the difference between the current period's Exchange Written Premium and the comparable prior period's Exchange Written Premium, divided by the Exchange Written Premium of the prior period. This metric provides insight into the growth trajectory of our premium volumes generated through our Accelerant Risk Exchange and serves as a key indicator of business expansion, Member acquisition, and existing Member growth.
Previous wording
Total revenues consist of the following items: Ceding commission income; Direct commission income; Net earned premiums; Net investment income; Net realized gains on investments and Net unrealized (losses) gains on investments.
Current wording
Total revenues consist of the following items: ceding commission income; direct commission income; net earned premiums; net investment income; net realized and unrealized gains (losses) on investments.
Previous wording
Adjusted EBITDA and Adjusted EBITDA margin should not be considered substitutes for the reported results prepared in accordance with GAAP and should not be considered in isolation or as alternatives to GAAP net income or net (loss) as indicators of our financial performance. Although we use Adjusted EBITDA and Adjusted EBITDA margin as financial measures to assess the performance of our business, such use is limited because it does not include certain material costs necessary to operate our business. Our presentation of Adjusted EBITDA and Adjusted EBITDA margin should not be construed as indications that our future results will be unaffected by unusual or non-recurring items. These non-GAAP financial measures, as determined and presented by us, may not be comparable to related or similarly titled measures reported by other companies. Set forth below are reconciliations of our most directly comparable financial measures calculated in accordance with GAAP to these non-GAAP financial measures on a consolidated basis.
Current wording
These non-GAAP financial measures, as described below, should not be considered substitutes for the reported results prepared in accordance with U.S. GAAP and should not be considered in isolation or as alternatives to U.S. GAAP net income or net (loss) as indicators of our financial performance. Although we use these non-GAAP financial measures to assess the performance of our business, such use is limited because it does not include certain material costs necessary to operate our business. These non-GAAP financial measures, as determined and presented by us, may not be comparable to related or similarly titled measures reported by other companies.
Showing the first 40 of 124 pairs. Open the source sections for the rest.
Rearranged current paragraphs (6)
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Income tax expense and deferred tax assets and liabilities
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i. net realized and unrealized gains (losses) on investments;
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iii. non-recurring profits interest distribution expenses resulting from the IPO;
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iv. share-based compensation expenses included within general and administrative expenses;
Current report — wording carried from elsewhere
v. the tax effect of the above adjustments.
Current report — wording carried from elsewhere
(2)Ceding commission income of our Underwriting segment includes the effect of sliding scale adjustments based on actual loss experience. For further information on sliding scale commission adjustments, refer to Note 8 to our interim condensed consolidated financial statements included elsewhere in this Quarterly Report on Form 10-Q.
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Previous report — wording carried elsewhere
•Net foreign currency exchange gains (losses): The functional currency for each of our operating subsidiaries is generally the currency of the local operating environment. Transactions in currencies other than the local operation’s functional currency are remeasured into the functional currency, and the resulting foreign exchange gains or losses are reflected in net foreign currency exchange gains (losses). Such gains and losses are generally offset by the translation of our subsidiaries who have the corresponding reinsurance-related balances within their own functional currencies, whereby such effects are translated to other comprehensive income, yielding a much lower net impact on total comprehensive income and equity (such measure differs from Adjusted EBITDA as it includes the effect of interest, taxes, depreciation and amortization, as well as foreign currency exchange gains (losses)).
Previous report — wording carried elsewhere
The following table presents the amounts of ceding commissions deferred and amortized for the nine months ended September 30, 2025 and 2024:
Previous report — wording carried elsewhere
The following table presents the amounts of acquisition costs deferred and amortized for insurance business retained by us for the nine months ended September 30, 2025 and 2024:
Previous report — wording carried elsewhere
The composition of our ETRs among our tax-paying and non-tax paying entities, which demonstrates the non-tax paying entities' effect on the total ETR, for the nine months ended September 30, 2025 and 2024 were as follows:
Previous report — wording carried elsewhere
The following includes the financial results of our three reportable segments for the nine months ended September 30, 2025 and 2024. Corporate functions and certain other businesses and operations are included in Corporate and Other.
Previous report — wording carried elsewhere
(3)General and administrative expenses is comprised of employee compensation and benefits, consulting and professional fees and all other administrative expenses. The composition of such amounts by each reportable segment was as follows:
Previous report — wording carried elsewhere
(3)General and administrative expenses is comprised of employee compensation and benefits, consulting and professional fees and all other administrative expenses. The composition of such amounts by each reportable segment was as follows:
Previous report — wording carried elsewhere
(4)The consolidation and elimination adjustments for general and administrative expenses consist of expenses attributable to Exchange Services and MGA Operations that form components of acquisition costs of insurance policies that would be capitalized in consolidation, which are offset by adjustments as components of the other consolidation and elimination adjustments.
Previous report — wording carried elsewhere
The components of our Underwriting segment gross and net loss ratios are set forth in the tables below for the nine months ended September 30, 2025 and 2024: