AII · American Integrity Insurance Group, Inc.

American Integrity’s Q1 2026 results reflect a strategic pivot toward sustainable voluntary growth amid the normalization of Citizens Property Insurance Corporation take-outs, which had artificially inflated prior-year metrics. Net income declined sharply — 47.7% YoY — largely because the Q1 2025 period included a $24 million pretax income adjustment tied to non-taxable entities and substantial Citizens windfall, while Q1 2026 saw only 584 assumed policies versus 16,632 a year earlier. The combined ratio widened significantly to 75.0% (from 42.9%), driven by both a higher loss ratio (37.3% vs. 30.9%) and a much higher expense ratio (37.6% vs. 12.0%), the latter reflecting reduced ceding commissions following the reduction of the non-catastrophe quota share reinsurance from 40% to 25% effective January 1, 2026. Despite this margin pressure, top-line growth was robust: net premiums earned rose 25.7% to $82.2 million, policies-in-force grew 14.1% to 437,308, and gross premiums written increased 3.7% to $220.0 million — all anchored in voluntary market expansion across Florida’s Tri-County region, middle-aged roofs, and early commercial residential product development. Management emphasized durability over volatility, noting that voluntary production now forms a more repeatable foundation for growth. The $20.0 million special dividend — paid despite earnings decline — signals confidence in capital generation and balance sheet strength, with shareholders’ equity remaining stable at $335.5 million post-dividend. Forward-looking guidance is not provided in the release, and the absence of updated full-year expectations leaves investors reliant on historical trends and execution against stated strategic initiatives.