American Coastal Insurance Corporation

What they do

ACIC is a holding company whose principal operating subsidiary, American Coastal Insurance Company (AmCoastal), writes commercial property and casualty insurance in Florida. Its target market is states where the perceived threat of natural catastrophe has led large national carriers to reduce policy concentration. It writes condominium business through an exclusive managing general agency agreement with AmRisc, and in 2025 began writing apartment and assisted living products through affiliated MGA Skyway Underwriters. Personal residential operations (UPC) were placed into receivership in 2023, and Interboro Insurance Company (IIC) was sold to Forza Insurance Holdings on April 1, 2025.

Revenue drivers

• Commercial property insurance in Florida — Revenue is generated from writing commercial property and casualty insurance in Florida; policies in-force grew 5.20% from 4,099 at December 31, 2024 to 4,311 at December 31, 2025.
• Condominium product via AmRisc — The condominium product is written through an exclusive managing general agency agreement and long-term partnership with AmRisc.
• Apartment and assisted living products — New in 2025, these products are written through affiliated managing general agency Skyway Underwriters.
• Investment portfolio — The second quarter of 2026 included $3.264 million of net realized gains on the investment portfolio and $4.233 million of unrealized gains on equity securities.

Recent performance

For the second quarter ended June 30, 2026, total revenue was $82.597 million versus $86.467 million a year earlier, a 4.5% decline. Gross premiums written fell 5.3% to $216.304 million and net premiums earned fell 11.1% to $69.698 million. Consolidated net income was $21.896 million, or $0.44 per diluted share, versus $26.442 million and $0.53 a year earlier. Core income, which excludes realized and unrealized investment gains and amortization, was $16.455 million, or $0.33 per diluted share, down 38.5%. For the first six months of 2026, gross premiums written were $365.699 million, down 14.2%, and consolidated net income was $41.150 million.

Strategy

The stated vision is to be a top-quartile underwriter of catastrophe-exposed property insurance, focused primarily on low-rise commercial property in Florida. The company describes a continuous portfolio optimization process intended to balance risk appetite and underwriting profit opportunities against available capital and reinsurance capacity. Growth has historically come from organic growth plus acquisitions and partnerships, including the April 2017 acquisition of AmCo Holding Company and its subsidiaries including AmCoastal. In 2025 the company added apartment and assisted living products through Skyway Underwriters and sold IIC to Forza Insurance Holdings, receiving $25.679 million in cash proceeds.

Risks

• Catastrophe exposure concentrated in Florida — All policies are written in Florida, and retained pre-tax catastrophe losses were $25.442 million in 2024 when five named storms made landfall in the footprint.
• Losses can exceed reinsurance coverage — The company states it may incur catastrophe losses exceeding prior-year losses, modeled projections, pricing assumptions, or current reinsurance coverage, forcing it to absorb excess losses.
• Dependence on MGA partners — The condominium book runs through an exclusive managing general agency agreement with AmRisc, and apartment and assisted living products through affiliated MGA Skyway Underwriters.
• Weather-driven earnings volatility — Results vary period to period with catastrophe frequency and severity; no named storms made landfall in the footprint in 2025, while five did in 2024 and two in 2023.

Outlook

The filing excerpts do not include specific forward numeric guidance from management. Management's stated direction is to continue underwriting catastrophe-exposed commercial property in Florida and to balance risk appetite against capital and reinsurance capacity. The company continues to emphasize portfolio optimization for consistent underwriting profitability over time.