XML 32 R21.htm IDEA: XBRL DOCUMENT v3.25.3
Commitments and Contingencies
9 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Commitments and Contingencies
Litigation
The Company is occasionally a party to routine claims or litigation incidental to its business. The Company records accruals for loss contingencies with these legal matters when it is probable that a liability will be incurred, and the amount of the loss can be reasonably estimated.

The Company finalized settlements with the state of New York in connection with a previously disclosed data security matter related to Metromile's online insurance application process. A liability was recorded in the third quarter of 2023 under ASC 450, and the settlements were completed in September 2025.
The Company will continue to monitor all legal issues and assess whether to accrue liability in accordance with ASC 450 based on new information and as further developments arise.
Charges and guarantees

The Company provided guarantees in an aggregate amount of $2.7 million as of September 30, 2025 and $2.7 million as of December 31, 2024 with respect to certain office leases.
Assessments
The Company is a member of the California FAIR Plan ("FAIR Plan") which is an insurance pool that provides coverage to California homeowners who are unable to obtain insurance in the voluntary market. To the extent the FAIR Plan is unable to pay losses during a catastrophe event, it may seek regulatory approval to assess member companies based on their relevant market share. Members are also allowed to request prior approval for temporary supplemental fees to recoup up to 50% of the assessed amount. The Company in February 2025 received an assessment charge of $6.9 million from the FAIR Plan related to the January 2025 California Wildfires which was paid and expensed in the first quarter of 2025. This expense is presented under “Other Insurance Expense” in the condensed consolidated statements of operations and comprehensive loss. The Company recently received regulatory approval for recoupment of up to 50% of the assessment over a period of 2 years which will be implemented in 2026.
Leases and Subleases
The Company opted to early terminate its office space in San Francisco, California and will continue to lease the office space through November 2026 ("early termination effective date"). This office space is currently under a sublease with a third party which is expected to continue through the early termination effective date. Upon modifying the lease agreement for the early termination, the Company recognized a gain of $2.3 million for the three and nine months ended September 30, 2025, which is presented under "General and Administrative expense" in the condensed consolidated statements of operations and comprehensive loss. Right-of-Use ("RoU") assets in the amount of $3.1 million were derecognized due to the modified lease liability.
The Company in June 2024 entered into a sublease agreement for a portion of its office space in New York City which commenced in June 2024 and will end in November 2025. The Company recorded an impairment charge related to the sublease of $0.3 million, which reduced RoU assets, and the related furniture and equipment and leasehold improvements for the nine months ended September 30, 2024. The impairment charge is presented under “General and Administrative expenses” in the condensed consolidated statements of operations and comprehensive loss. The Company estimated the fair value of the RoU asset based on the net present value of the sublease rental income through the lease expiration date of the head lease.