XML 42 R26.htm IDEA: XBRL DOCUMENT v3.22.0.1
Segment and Geographic Information
 12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
Segment and Geographic Information Segment and Geographic Information
The Company operates in the following two reportable segments, which are the same as its operating segments: 
–Insurance Services. Providing insurance policies for automobile owners
–Enterprise Business Solutions. Providing access to its developed technology under SaaS arrangements along with professional services to third party customers.
Operating segments are based upon the nature of the Company’s business and how its business is managed. The Company’s Chief Operating Decision Maker (“CODM”) is its CEO. The CODM uses the Company’s operating segment financial information to evaluate segment performance and to allocate resources. The CODM does not evaluate the performance of the Company’s assets on a segment basis for internal management reporting.
Contribution is used, in part, to evaluate the performance of, and allocate resources to, each of the segments. Segment contribution is segment revenue less the related costs of revenue and sales and marketing expenses. It excludes certain operating expenses that are not allocated to segments because they are separately managed at the consolidated corporate level. These unallocated costs include stock-based compensation expense, research and development expenses, and general and administrative expenses such as legal and accounting.
The total assets of the Insurance services and Enterprise business solutions segments are $305.7 million and $7.7 million, respectively as of December 31, 2021, and $196.1 million and $6.1 million, respectively as of December 31, 2020. The consolidated total assets of Operating segments are $313.4 million and $202.2 million as of December 31, 2021 and December 31, 2020, respectively.
The following table summarizes the operating results of the Company’s reportable segments (in thousands):
Years Ended
December 31,
20212020
Revenue:
Insurance services
$99,973 $29,395 
Enterprise business solutions
4,924 5,669 
Total revenue
$104,897 $35,064 
Contribution:
Insurance services
$(5,624)$11,914 
Enterprise business solutions
(3,380)(563)
Total contribution
$(9,004)$11,351 
The following table provides a reconciliation of the Company’s total reportable segments’ contribution to its total loss from operations (in thousands):
Years Ended
December 31,
20212020
Total segment contribution
$(9,004)$11,351 
Ceded premium, losses and LAE
(5,082)15,443 
Other income
2,373 2,421 
Policy services expenses and other
5,884 2,676 
Sales, marketing, and other acquisition costs
102,165 5,029 
Research and development
8,565 2,433 
Amortization of capitalized software
11,306 11,188 
Other operating expenses
63,491 16,981 
Loss from operations
(197,706)(44,820)
Total other expense18,753 75,361 
Loss before taxes$(216,459)$(120,181)
Geographical Breakdown of Direct Earned Premiums
Direct earned premium by state is as follows (in thousands):
Years Ended
December 31,
20212020
California$64,186 $58,276 
Washington13,504 11,391 
New Jersey10,944 9,155 
Oregon7,148 7,232 
Illinois4,404 4,474 
Arizona5,650 4,527 
Pennsylvania2,836 2,932 
Virginia
2,391 1,725 
Total premiums earned
$111,063 $99,712 
During the years ended December 31, 2021 and 2020, the Company recognized $4.3 million and $5.7 million of revenue earned from customers outside the United States, respectively. Revenue generated outside of the United States is related to the Company's Enterprise business solutions segment. Long-lived assets are all held in the U.S. For the year ended December 31, 2020 and 2021, substantially all of the Company’s revenue was earned from customers residing in the United States.