PORCH GROUP, INC., 10-Q filed on 8/6/2024
Quarterly Report
v3.24.2.u1
Cover - shares
 6 Months Ended
Jun. 30, 2024
Aug. 02, 2024
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 30, 2024  
Document Transition Report false  
Entity File Number 001-39142  
Entity Registrant Name Porch Group, Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 83-2587663  
Entity Address, Address Line One 411 1st Avenue S.  
Entity Address, Address Line Two Suite 501  
Entity Address, City or Town Seattle  
Entity Address, State or Province WA  
Entity Address, Postal Zip Code 98104  
City Area Code 855  
Local Phone Number 767-2400  
Title of 12(b) Security Common Stock, par value $0.0001 per share  
Trading Symbol PRCH  
Security Exchange Name NASDAQ  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Accelerated Filer  
Entity Small Business true  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   118,772,251
Entity Central Index Key 0001784535  
Current Fiscal Year End Date --12-31  
Amendment Flag false  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q2  
v3.24.2.u1
Condensed Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Current assets    
Cash and cash equivalents $ 274,246 $ 258,418
Accounts receivable, net 21,437 24,288
Short-term investments 34,152 35,588
Reinsurance balance due 104,730 83,582
Prepaid expenses and other current assets 18,168 13,214
Deferred policy acquisition costs 16,279 27,174
Restricted cash and cash equivalents 11,119 38,814
Total current assets 480,131 481,078
Property, equipment, and software, net 19,278 16,861
Goodwill 191,907 191,907
Long-term investments 101,409 103,588
Intangible assets, net 77,800 87,216
Other assets 5,581 18,743
Total assets 876,106 899,393
Current liabilities    
Accounts payable 3,134 8,761
Accrued expenses and other current liabilities 45,536 59,396
Deferred revenue 223,202 248,683
Refundable customer deposits 14,480 17,980
Current debt 150 244
Losses and loss adjustment expense reserves 133,220 95,503
Other insurance liabilities, current 67,200 31,585
Total current liabilities 486,922 462,152
Long-term debt 436,635 435,495
Other liabilities 54,458 37,429
Total liabilities 978,015 935,076
Commitments and contingencies (Note 14)
Stockholders' deficit    
Common stock, $0.0001 par value: 10 10
Additional paid-in capital 702,720 690,223
Accumulated other comprehensive loss (4,898) (3,860)
Accumulated deficit (799,741) (722,056)
Total stockholders' deficit (101,909) (35,683)
Total liabilities and stockholders' deficit $ 876,106 $ 899,393
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Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares
Jun. 30, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Common stock, par value (in usd per share) $ 0.0001 $ 0.0001
Common stock, shares authorized (in shares) 400,000,000 400,000,000
Common stock, shares issued (in shares) 104,500,000 97,100,000
Common stock, shares outstanding (in shares) 104,500,000 97,100,000
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Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Income Statement [Abstract]        
Revenue $ 110,844 $ 98,765 $ 226,287 $ 186,134
Operating expenses:        
Cost of revenue 91,646 81,330 167,490 132,605
Selling and marketing 33,197 34,637 67,145 67,222
Product and technology 14,731 15,495 28,651 29,445
General and administrative 24,371 22,779 50,629 48,608
Provision for (recovery of) doubtful accounts (622) 48,718 (481) 48,955
Impairment loss on intangible assets and goodwill 0 55,211 0 57,232
Total operating expenses 163,323 258,170 313,434 384,067
Operating loss (52,479) (159,405) (87,147) (197,933)
Other income (expense):        
Interest expense (10,326) (8,775) (21,113) (10,963)
Change in fair value of private warrant liability 1,451 15 1,026 360
Change in fair value of derivatives (8,207) (2,950) (6,724) (2,950)
Gain on extinguishment of debt 0 81,354 4,891 81,354
Investment income and realized gains, net of investment expenses 3,526 1,249 7,170 2,007
Other income, net 2,400 1,578 25,078 2,340
Total other income (expense) (11,156) 72,471 10,328 72,148
Loss before income taxes (63,635) (86,934) (76,819) (125,785)
Income tax benefit (provision) (688) (29) (866) 82
Net loss (64,323) (86,963) (77,685) (125,703)
Other comprehensive income (loss):        
Change in net unrealized loss, net of tax (208) (780) (1,038) 95
Comprehensive loss $ (64,531) $ (87,743) $ (78,723) $ (125,608)
Net loss per share - basic (Note 17) (in usd per share) $ (0.65) $ (0.91) $ (0.79) $ (1.32)
Net loss per share - diluted (Note 17) (in usd per share) $ (0.65) $ (0.91) $ (0.79) $ (1.32)
Weighted-average shares used in computing net loss attributable per share to common stockholders:        
Shares used in computing basic net loss per share (in shares) 99,193 95,732 98,353 95,472
Shares used in computing diluted net loss per share (in shares) 99,193 95,732 98,353 95,472
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Condensed Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
Total
Common Stock
Additional Paid-in Capital
Accumulated Deficit
Accumulated Other Comprehensive Loss
Beginning balance (in shares) at Dec. 31, 2022   98,206      
Beginning balance at Dec. 31, 2022 $ 79,353 $ 10 $ 670,537 $ (585,023) $ (6,171)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net loss (125,703)     (125,703)  
Other comprehensive income (loss), net of tax 95       95
Stock-based compensation (in shares)   1,923      
Stock-based compensation 13,298   13,298    
Exercise of stock options (in shares)   5      
Exercise of stock options 8   8    
Income tax withholdings (in shares)   (569)      
Income tax withholdings (883)   (883)    
Repurchases of common stock (in shares)   (1,396)      
Repurchases of common stock (3,101)     (3,101)  
Proceeds from sale of common stock 191   191    
Ending balance (in shares) at Jun. 30, 2023   98,169      
Ending balance at Jun. 30, 2023 (36,742) $ 10 683,151 (713,827) (6,076)
Beginning balance (in shares) at Mar. 31, 2023   97,018      
Beginning balance at Mar. 31, 2023 45,276 $ 10 677,426 (626,864) (5,296)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net loss (86,963)     (86,963)  
Other comprehensive income (loss), net of tax (780)       (780)
Stock-based compensation (in shares)   1,628      
Stock-based compensation 6,404   6,404    
Income tax withholdings (in shares)   (477)      
Income tax withholdings (679)   (679)    
Ending balance (in shares) at Jun. 30, 2023   98,169      
Ending balance at Jun. 30, 2023 (36,742) $ 10 683,151 (713,827) (6,076)
Beginning balance (in shares) at Dec. 31, 2023   97,061      
Beginning balance at Dec. 31, 2023 (35,683) $ 10 690,223 (722,056) (3,860)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net loss (77,685)     (77,685)  
Other comprehensive income (loss), net of tax (1,038)       (1,038)
Stock-based compensation (in shares)   2,925      
Stock-based compensation 12,473   12,473    
Exercise of stock options (in shares)   328      
Exercise of stock options 1,027   1,027    
Income tax withholdings (in shares)   (289)      
Income tax withholdings (1,003)   (1,003)    
Ending balance (in shares) at Jun. 30, 2024   100,025      
Ending balance at Jun. 30, 2024 (101,909) $ 10 702,720 (799,741) (4,898)
Beginning balance (in shares) at Mar. 31, 2024   97,869      
Beginning balance at Mar. 31, 2024 (43,858) $ 10 696,240 (735,418) (4,690)
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net loss (64,323)     (64,323)  
Other comprehensive income (loss), net of tax (208)       (208)
Stock-based compensation (in shares)   2,305      
Stock-based compensation 7,105   7,105    
Exercise of stock options (in shares)   85      
Exercise of stock options 213   213    
Income tax withholdings (in shares)   (234)      
Income tax withholdings (838)   (838)    
Ending balance (in shares) at Jun. 30, 2024   100,025      
Ending balance at Jun. 30, 2024 $ (101,909) $ 10 $ 702,720 $ (799,741) $ (4,898)
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Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Cash flows from operating activities:    
Net loss $ (77,685) $ (125,703)
Adjustments to reconcile net loss to net cash used in operating activities    
Depreciation and amortization 12,519 12,229
Provision for (recovery of) doubtful accounts (481) 48,955
Impairment loss on intangible assets and goodwill 0 57,232
Gain on extinguishment of debt (4,891) (81,354)
Loss on divestiture of business 5,331 0
Change in fair value of private warrant liability (1,026) (360)
Change in fair value of contingent consideration (300) (2,810)
Change in fair value of derivatives 6,724 2,950
Stock-based compensation 12,473 13,298
Non-cash interest expense 17,313 9,828
Gain on settlement of contingent consideration (14,930) 0
Other (1,882) 805
Change in operating assets and liabilities, net of acquisitions and divestitures    
Accounts receivable (1,548) 1,030
Reinsurance balance due (20,042) (21,651)
Deferred policy acquisition costs 10,895 (9,187)
Accounts payable (5,627) 2,929
Accrued expenses and other current liabilities (7,827) (10,906)
Losses and loss adjustment expense reserves 37,717 65,077
Other insurance liabilities, current 35,615 51,139
Deferred revenue (25,693) (13,491)
Refundable customer deposits (3,594) (8,061)
Other assets and liabilities, net 9,434 (726)
Net cash used in operating activities (17,505) (8,777)
Cash flows from investing activities:    
Purchases of property and equipment (86) (672)
Capitalized internal use software development costs (5,458) (4,735)
Purchases of short-term and long-term investments (19,193) (23,602)
Maturities, sales of short-term and long-term investments 22,631 23,033
Cash proceeds 10,870 0
Acquisitions, net of cash acquired 0 (1,974)
Net cash provided by (used in) investing activities 8,764 (7,950)
Cash flows from financing activities:    
Proceeds from advance funding 0 316
Repayments of advance funding 0 (2,683)
Proceeds from issuance of debt 0 116,667
Repayments of principal (3,150) (10,150)
Cash paid for debt issuance costs 0 (4,610)
Repurchase of stock 0 (5,608)
Other 24 (960)
Net cash provided by (used in) financing activities (3,126) 92,972
Net change in cash and cash equivalents & restricted cash and cash equivalents (11,867) 76,245
Cash and cash equivalents & restricted cash and cash equivalents, beginning of period 297,232 228,605
Cash and cash equivalents & restricted cash and cash equivalents, end of period 285,365 304,850
Supplemental schedule of non-cash investing and financing activities    
Non-cash reduction of convertible notes 5,000 0
Non-cash reduction in advanced funding arrangement obligations 94 7,848
Supplemental disclosures    
Cash paid for interest 12,056 2,276
Income tax refunds paid (received) $ 538 $ (2,300)
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies
 6 Months Ended
Jun. 30, 2024
Accounting Policies [Abstract]  
Description of Business and Summary of Significant Accounting Policies
Note 1. Description of Business and Summary of Significant Accounting Policies
Description of Business
Porch Group, Inc., together with its consolidated subsidiaries, (“Porch Group,” “Porch,” the “Company,” “we,” “our,” “us”) is a leading homeowners insurance and vertical software platform and is positioned to be one of the best partners to help homebuyers move, maintain, and fully protect their homes. We offer differentiated products and services, with homeowners insurance at the center of this relationship.
We differentiate and look to win in the massive and growing homeowners insurance opportunity by 1) providing the best services for homebuyers, 2) led by advantaged underwriting in insurance, 3) to protect the whole home.
As a leader in the home services software-as-a-service (“SaaS”) space, we’ve built deep relationships with approximately 29 thousand companies that are key to the home-buying transaction, such as home inspectors, mortgage companies, and title companies. These relationships provide us with early insights to United States (“U.S.”) homebuyers. In partnership with these companies, we have the ability to help simplify the move for consumers with services such as insurance, warranty, moving and more.
We have two reportable segments that are also our operating segments: Vertical Software and Insurance. See Note 16, Segment Information, for additional information on our reportable segments.
Through our vertical software products we have unique insights into the majority of U.S. properties. This data helps feed our insurance underwriting models, better understand risk, and create competitive differentiation in underwriting.
We provide full protection for the home by including a variety of home warranty products alongside homeowners insurance. We are able to fill the gaps of protection for consumers, minimize surprises, and deepen our relationships and value proposition.
Unaudited Interim Financial Statements
The accompanying unaudited condensed consolidated financial statements include the accounts of Porch Group, Inc., and its subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Accordingly, these unaudited condensed consolidated financial statements and notes should be read in conjunction with the Annual Report on Form 10-K for the fiscal year ended December 31, 2023, filed with the SEC on March 15, 2024. The information as of December 31, 2023, included in the unaudited condensed consolidated balance sheets was derived from our audited consolidated financial statements. Certain prior period amounts have been reclassified to conform to the current year’s presentation.
The unaudited condensed consolidated financial statements included in this Quarterly Report on Form 10-Q (this “Quarterly Report”) were prepared on the same basis as the audited consolidated financial statements and, in the opinion of management, reflect all adjustments (all of which are of a normal recurring nature) considered necessary to present fairly our financial position, results of operations, comprehensive loss, stockholders’ equity (deficit), and cash flows for the periods and dates presented. The results of operations for the three and six months ended June 30, 2024, are not necessarily indicative of the results that may be expected for the year ending December 31, 2024, or any other interim period or future year due to various factors such as management estimates and the seasonal nature of some portions of our insurance business.
Use of Estimates
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported of certain assets and liabilities, disclosure of contingent assets and liabilities, and the reported amounts of revenues and expenses. Actual results may differ from those estimates and assumptions.
Concentrations
Financial instruments which potentially subject us to credit risk consist principally of cash, money market accounts on deposit with financial institutions, money market funds, certificates of deposit and fixed-maturity securities, as well as receivable balances in the course of collection.
Our insurance carrier subsidiary has exposure and remains liable in the event of insolvency of its reinsurers. Management and its reinsurance intermediary regularly assess the credit quality and ratings of its reinsurer counterparties. As of June 30, 2024, three reinsurers represented more than 10% individually, and 67% in the aggregate, of total reinsurance balance due on the Condensed Consolidated Balance Sheets.
Substantially all revenues in the Insurance segment are derived from customers in Texas (which represent approximately 71% of Insurance segment revenues in the six months ended June 30, 2024), South Carolina, North Carolina, Virginia, Arizona, and Illinois, which could be adversely affected by economic conditions, an increase in competition, local weather events, or environmental impacts and changes.
No individual customer represented more than 10% of total consolidated revenue for the three and six months ended June 30, 2024 or 2023. As of June 30, 2024, and December 31, 2023, no individual customer accounted for 10% or more of total accounts receivable, net, on the Condensed Consolidated Balance Sheets.
As of June 30, 2024, we held approximately $246.7 million of cash with five U.S. commercial banks.
Cash, Cash Equivalents and Restricted Cash and Cash Equivalents
We consider all highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents. We maintain cash balances that may exceed the insured limits by the Federal Deposit Insurance Corporation.
Restricted cash equivalents as of June 30, 2024, includes $1.8 million held by our captive reinsurance business as collateral for the benefit of Homeowners of America Insurance Company (“HOA”), $1.6 million held in certificates of deposits and money market mutual funds pledged to the Department of Insurance in certain states as a condition of our Certificate of Authority for the purpose of meeting obligations to policyholders and creditors, $6.7 million in funds held for the payment of possible warranty claims as required under regulatory guidelines in 21 states, and $1.0 million related to acquisition indemnifications. Restricted cash equivalents as of December 31, 2023, includes $28.3 million held by our captive reinsurance business as collateral for the benefit of HOA, $1.3 million held in money market mutual funds pledged to the Department of Insurance in certain states as a condition of its Certificate of Authority for the purpose of meeting obligations to policyholders and creditors, $7.3 million in funds held for the payment of possible warranty claims as required under regulatory guidelines in 19 states, and $1.9 million related to acquisition indemnifications.
The reconciliation of cash, cash equivalents, and restricted cash to amounts presented in the unaudited Condensed Consolidated Statements of Cash Flows are as follows:
June 30, 2024December 31, 2023
Cash and cash equivalents$274,246$258,418
Restricted cash and cash equivalents11,11938,814
Cash, cash equivalents, and restricted cash$285,365$297,232

Accounts Receivable and Long-term Insurance Commissions Receivable
Accounts receivable consist principally of amounts due from enterprise customers, other corporate partnerships, and individual policyholders. We estimate allowances for uncollectible receivables based on the creditworthiness of our customers, historical trend analysis, and macro-economic conditions. Consequently, an adverse change in those factors could affect our estimate of allowance for doubtful accounts. The allowance for uncollectible receivables at June 30, 2024, and December 31, 2023, was $0.7 million and $0.6 million, respectively.
Long-term insurance commissions receivable consists of the estimated commissions from policy renewals expected to be collected. We record the amount of renewal insurance commissions expected to be collected in the next twelve months as current accounts receivable.
Goodwill
We test goodwill for impairment for each reporting unit on an annual basis or more frequently when events or changes in circumstances indicate the fair value of a reporting unit is below its carrying value. We have the option to perform a
qualitative assessment to determine if an impairment is more likely than not to have occurred. If we can support the conclusion that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, we would not need to perform a quantitative impairment test. If we cannot support such a conclusion or we do not elect to perform the qualitative assessment, then we perform a quantitative assessment. If a quantitative goodwill impairment assessment is performed, we utilize a combination of market and income valuation approaches. If the fair value of a reporting unit is less than its carrying value, an impairment loss is recorded to the extent that the fair value of the reporting unit is less than its carrying value. We have selected October 1 as the date to perform annual impairment testing.
Determining the fair value of a reporting unit is judgmental in nature and involves the use of significant estimates and assumptions to evaluate the impact of operating and macroeconomic changes on each reporting unit. The fair value of each reporting unit was estimated using a combination of income and market valuation approaches using publicly traded company multiples in similar businesses. Such fair value measurements are based predominately on Level 3 inputs. This analysis requires significant judgments including an estimate of future cash flows which is dependent on internally developed forecasts, estimation of the long-term rate of growth for our business, estimation of the useful life over which cash flows will occur, and determination of our weighted average cost of capital, which is risk-adjusted to reflect the specific risk profile of the reporting unit being tested.
Impairment of Long-Lived Assets
We review long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amounts of the assets may not be fully recoverable. Events that trigger a test for recoverability include a significant decrease in the market price for a long-lived asset, significant negative industry or economic trends, an accumulation of costs significantly in excess of the amount originally expected for the acquisition, a current-period operating or cash flow loss combined with a history of operating or cash flow losses or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset, or a sustained decrease in share price. When a triggering event occurs, a test for recoverability is performed, comparing projected undiscounted future cash flows to the carrying value of the asset group. If the test for recoverability identifies a possible impairment, the asset group’s fair value is measured relying primarily on an income approach. An impairment charge is recognized for the amount by which the carrying value of the asset group exceeds its estimated fair value. Management identifies the asset group that includes the potentially impaired long-lived asset, at the lowest level at which there are separate, identifiable cash flows.
We estimate the fair value of an asset group using the income approach. Such fair value measurements are based predominately on Level 3 inputs. Inherent in our development of cash flow projections are assumptions and estimates derived from a review of our operating results, business plan forecasts, expected growth rates, and cost of capital, similar to those a market participant would use to assess fair value. We also make certain assumptions about future economic conditions and other data. Many of these factors used in assessing fair value are outside the control of management and these assumptions and estimates may change in future periods.
Deferred Policy Acquisition Costs
We capitalize deferred policy acquisitions costs (“DAC”) which consist primarily of commissions, premium taxes and policy underwriting and production expenses that are directly related to the successful acquisition by our insurance company subsidiary of new or renewal insurance contracts. DAC are amortized on a straight-line basis over the terms of the policies to which they relate, which is generally one year. DAC is also reduced by ceding commissions paid by reinsurance companies which represent recoveries of acquisition costs. DAC is periodically reviewed for recoverability and adjusted if necessary. Future investment income is considered in determining the recoverability of DAC. Amortized deferred acquisition costs included in selling and marketing expense, amounted to $10.0 million and $9.3 million, for the three months ended June 30, 2024 and 2023, respectively, and $23.1 million and $18.6 million, for the six months ended June 30, 2024 and 2023, respectively.
Expected Credit Losses
We regularly review our individual investment securities for factors that may indicate that a decline in fair value of an investment has resulted from an expected credit loss, including:
•the financial condition and near-term prospects of the issuer, including any specific events that may affect its operations or earnings;
•the extent to which the market value of the security is below its cost or amortized cost;
•general market conditions and industry or sector specific factors;
•nonpayment by the issuer of its contractually obligated interest and principal payments; and
•our intent and ability to hold the investment for a period of time sufficient to allow for the recovery of costs.
Fair Value of Financial Instruments
Fair value principles require disclosures regarding the manner in which fair value is determined for assets and liabilities and establishes a three-tiered fair value hierarchy into which these assets and liabilities must be grouped, based upon significant levels of inputs as follows:
Level 1     Observable inputs, such as quoted prices (unadjusted) in active markets for identical assets or liabilities at the measurement date;
Level 2     Observable inputs, other than Level 1 prices, such as quoted prices in active markets for similar assets and liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and
Level 3     Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
The lowest level of significant input determines the placement of the entire fair value measurement in the hierarchy. Management’s assessment of the significance of a particular input to the fair value measurement in its entirety requires management to make judgments and consider factors specific to the asset or liability.
Other Insurance Liabilities, Current
The following table details the components of other insurance liabilities, current, on the unaudited Condensed Consolidated Balance Sheets:
June 30, 2024December 31, 2023
Ceded reinsurance premiums payable$35,589$10,500
Commissions payable, reinsurers and agents7,1244,650
Advance premiums16,5045,975
Funds held under reinsurance treaty6,4069,820
General and accrued expenses payable1,577640
Other insurance liabilities, current$67,200$31,585
Accounting Standards Not Yet Adopted
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting--Improvements to Reportable Segment Disclosures, which requires incremental disclosures about a public entity’s reportable segments but does not change the definition of a segment or the guidance for determining reportable segments. The new guidance requires disclosure of significant segment expenses that are (1) regularly provided to (or easily computed from information regularly provided to) the chief operating decision maker and (2) included in the reported measure of segment profit or loss. The new standard also allows companies to disclose multiple measures of segment profit or loss if those measures are used to assess performance and allocate resources. The guidance will first be effective in our annual disclosures for the year ending December 31, 2024, and will be adopted retrospectively unless impracticable. Early adoption is permitted. We are in the process of assessing the impact of ASU 2023-07 on our disclosures.
In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures, which requires disaggregated information about our effective tax rate reconciliation as well as information on income taxes paid. The new guidance will first be effective in our annual disclosures for the year ending December 31, 2025, and should be applied on a prospective basis with the option to apply retrospectively. Early adoption is permitted. We are in the process of assessing the impact of ASU 2023-09 on our disclosures.
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Revenue
 6 Months Ended
Jun. 30, 2024
Revenue from Contract with Customer [Abstract]  
Revenue
Note 2. Revenue
Disaggregation of Revenue
The following table provides detail of total revenue:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Vertical Software segment
Software and service subscriptions$18,253 $17,524 $35,189 $34,333 
Move-related transactions9,504 12,246 15,978 20,015 
Post-move transactions4,836 4,665 8,921 8,714 
Total Vertical Software segment revenue32,593 34,435 60,088 63,062 
Insurance segment
Insurance and warranty premiums, commissions and policy fees(1)
78,251 64,330 166,199 123,072 
Total Insurance segment revenue78,251 64,330 166,199 123,072 
Total revenue
$110,844 $98,765 $226,287 $186,134 
______________________________________
(1)Revenue recognized during the three months ended June 30, 2024 and 2023, includes revenue of $72.5 million and $54.8 million, respectively, which is accounted for separately from the revenue from contracts with customers. Revenue accounted separately from the revenue from contracts with customers for the six months ended June 30, 2024 and 2023, was $155.9 million and $105.0 million, respectively.

Disclosures Related to Contracts with Customers
Timing may differ between the satisfaction of performance obligations and the invoicing and collection of amounts related to contracts with customers. Liabilities are recorded for amounts that are collected in advance of the satisfaction of performance obligations. To the extent a contract exists, as defined by ASC Topic 606, Revenue from Contracts with Customers, (“ASC 606”) these liabilities are classified as deferred revenue. To the extent that a contract does not exist, as defined by ASC 606, these liabilities are classified as refundable customer deposits.
Insurance Commissions Receivable
A summary of the activity impacting the contract assets during the six months ended June 30, 2024, is presented below:
Contract Assets
Balance at December 31, 2023$17,393 
Estimated lifetime value of commissions on insurance policies sold by carriers648 
Cash receipts(309)
Value of commissions sold with business disposition (Note 15)(16,982)
Balance at June 30, 2024$750 

As of June 30, 2024, and December 31, 2023, $0.2 million and $4.0 million, respectively, of contract assets were expected to be collected within the immediately following 12 months and therefore were included in accounts receivable, net, on the unaudited Condensed Consolidated Balance Sheets. The remaining $0.5 million and $13.4 million as of June 30, 2024, and December 31, 2023, respectively, of contract assets are expected to be collected after the immediately following 12 months and were included in other assets on the unaudited Condensed Consolidated Balance Sheets.
Deferred Revenue
A summary of the activity impacting Vertical Software segment deferred revenue balances during the six months ended June 30, 2024, is presented below:
Balance at December 31, 2023$3,715 
Revenue recognized(9,748)
Additional amounts deferred10,307 
Balance at June 30, 2024$4,274 

Revenue recognized for performance obligations satisfied during the six month ended June 30, 2024, includes $3.7 million that was included in the deferred revenue balances as of December 31, 2023.
Deferred revenue on the unaudited condensed consolidated balance sheet as of June 30, 2024, and December 31, 2023, includes $218.9 million and $245.0 million, respectively, of deferred revenue related to the Insurance segment. The portion of insurance premiums related to the unexpired term of policies in force as of the end of the reporting period and to be earned over the remaining term of these policies is deferred and reported as deferred revenue.
Remaining Performance Obligations
The amount of the transaction price allocated to performance obligations to be satisfied at a later date, which is not recorded in the unaudited condensed consolidated balance sheets, is immaterial as of June 30, 2024, and December 31, 2023.
We have applied the practical expedients not to present unsatisfied performance obligations for (i) contracts with an original expected length of one year or less, (ii) contracts with variable consideration that is allocated entirely to unsatisfied performance obligations or to a wholly unsatisfied promise accounted for under the series guidance, and (iii) contracts for which we recognize revenue at the amount which it has the right to invoice for services performed.
Warranty Revenue and Related Balance Sheet Disclosures
Payments received in advance of warranty services provided are included in refundable customer deposits or deferred revenue based upon the cancellation and refund provisions within the respective agreement. At June 30, 2024, we had $14.4 million, $3.6 million and $2.6 million of refundable customer deposits, deferred revenue, and non-current deferred revenue, respectively. At December 31, 2023, we had $17.9 million, $3.9 million and $2.9 million of refundable customer deposits, deferred revenue and non-current deferred revenue, respectively.
For the three months ended June 30, 2024 and 2023, we incurred $1.7 million and $1.3 million, respectively, in expenses related to warranty claims. For the six months ended June 30, 2024 and 2023, we incurred $3.3 million and $2.5 million, respectively, in expenses related to warranty claims.
v3.24.2.u1
Investments
 6 Months Ended
Jun. 30, 2024
Investments [Abstract]  
Investments
Note 3. Investments
The following table summarizes investment income and realized gains and losses on investments during the periods presented.
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Investment income, net of investment expenses$3,574 $1,278 $7,238 $2,103 
Realized gains on investments26 7 40 11 
Realized losses on investments(74)(36)(108)(107)
Investment income and realized gains, net of investment expenses$3,526 $1,249 $7,170 $2,007 
The following tables summarize the amortized cost, fair value, and unrealized gains and losses of investment securities.
June 30, 2024
Amortized CostGross UnrealizedFair Value
GainsLosses
U.S. Treasuries$36,683 $17 $(436)$36,264 
Obligations of states, municipalities and political subdivisions18,689 15 (983)17,721 
Corporate bonds53,327 118 (2,283)51,162 
Residential and commercial mortgage-backed securities27,470 45 (1,108)26,407 
Other loan-backed and structured securities4,266 7 (266)4,007 
Total investment securities$140,435 $202 $(5,076)$135,561 
December 31, 2023
Amortized CostGross UnrealizedFair Value
GainsLosses
U.S. Treasuries$43,931 $95 $(330)$43,696 
Obligations of states, municipalities and political subdivisions18,281 100 (961)17,420 
Corporate bonds51,678 430 (2,067)50,041 
Residential and commercial mortgage-backed securities25,452 153 (1,004)24,601 
Other loan-backed and structured securities3,694 13 (289)3,418 
Total investment securities$143,036 $791 $(4,651)$139,176 

The amortized cost and fair value of securities at June 30, 2024, by contractual maturity, are shown in the following table. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
June 30, 2024
Remaining Time to MaturityAmortized CostFair Value
Due in one year or less$32,773 $32,636 
Due after one year through five years41,786 40,712 
Due after five years through ten years24,472 22,643 
Due after ten years9,668 9,156 
Residential and commercial mortgage-backed securities27,470 26,407 
Other loan-backed and structured securities4,266 4,007 
Total$140,435 $135,561 

Investments as of June 30, 2024, include $37.5 million of investments held by our captive reinsurance businesses as collateral for the benefit of HOA. Of this amount, $5.2 million is classified as short-term investments, and $32.3 million is classified as long-term investments.
Securities with gross unrealized loss position, aggregated by investment category and length of time the individual securities have been in a continuous loss position, are as follows:
Less Than Twelve MonthsTwelve Months or GreaterTotal
As of June 30, 2024Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value
U.S. Treasuries$(383)$18,392 $(53)$525 $(436)$18,917 
Obligations of states, municipalities and political subdivisions(839)12,492 (144)1,609 (983)14,101 
Corporate bonds(1,964)33,467 (319)4,129 (2,283)37,596 
Residential and commercial mortgage-backed securities(705)16,438 (403)2,904 (1,108)19,342 
Other loan-backed and structured securities(258)3,411 (8)51 (266)3,462 
Total securities$(4,149)$84,200 $(927)$9,218 $(5,076)$93,418 
Less Than Twelve MonthsTwelve Months or GreaterTotal
As of December 31, 2023Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value
U.S. Treasuries$(280)$12,345 $(50)$515 $(330)$12,860 
Obligations of states, municipalities and political subdivisions(813)8,445 (148)1,639 (961)10,084 
Corporate bonds(1,698)21,104 (369)4,677 (2,067)25,781 
Residential and commercial mortgage-backed securities(621)8,673 (383)3,072 (1,004)11,745 
Other loan-backed and structured securities(281)2,790 (8)52 (289)2,842 
Total securities$(3,693)$53,357 $(958)$9,955 $(4,651)$63,312 

At June 30, 2024, and December 31, 2023, there were 530 and 410 securities, respectively, in an unrealized loss position. Of these securities, 78 had been in an unrealized loss position for 12 months or longer as of June 30, 2024.
We believe there were no fundamental issues such as credit losses or other factors with respect to any of our available-for-sale securities. The unrealized losses on investments in fixed-maturity securities were caused primarily by interest rate changes. We expect that the securities will not be settled at a price less than par value of the investments. Because the declines in fair value are attributable to changes in interest rates or market conditions and not credit quality, and because we have the ability and intent to hold our available-for-sale investments until a market price recovery or maturity, we do not consider any of our investments to have any decline in fair value due to expected credit losses at June 30, 2024.
v3.24.2.u1
Fair Value
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Fair Value
Note 4. Fair Value
The following tables summarize the fair value measurements of assets and liabilities that are measured at fair value on a recurring basis.
Fair Value Measurement as of June 30, 2024
Level 1Level 2Level 3Total
Fair Value
Assets
Money market mutual funds$164,311 $— $— $164,311 
Debt securities:
U.S. Treasuries36,264 — — 36,264 
Obligations of states, municipalities and political subdivisions— 17,721 — 17,721 
Corporate bonds— 51,162 — 51,162 
Residential and commercial mortgage-backed securities— 26,407 — 26,407 
Other loan-backed and structured securities— 4,007 — 4,007 
$200,575 $99,297 $— $299,872 
Liabilities
Contingent consideration - business combinations (1)
$— $— $3,225 $3,225 
Private warrant liability— — 125 125 
Embedded derivatives— — 34,855 34,855 
$— $— $38,205 $38,205 
Fair Value Measurement as of December 31, 2023
Level 1Level 2Level 3Total
Fair Value
Assets
Money market mutual funds$165,744 $— $— $165,744 
Debt securities:
U.S. Treasuries43,696 — — 43,696 
Obligations of states, municipalities and political subdivisions— 17,420 — 17,420 
Corporate bonds— 50,041 — 50,041 
Residential and commercial mortgage-backed securities— 24,601 — 24,601 
Other loan-backed and structured securities— 3,418 — 3,418 
$209,440 $95,480 $— $304,920 
Liabilities
Contingent consideration - business combinations (2)
$— $— $18,455 $18,455 
Private warrant liability— — 1,151 1,151 
Embedded derivatives— — 28,131 28,131 
$— $— $47,737 $47,737 
______________________________________
(1)The Condensed Consolidated Balance Sheets include $0.9 million in accrued expenses and other current liabilities and $2.4 million in other liabilities as of June 30, 2024, for contingent consideration related to business combinations.
(2)The Condensed Consolidated Balance Sheets include $14.8 million in accrued expenses and other current liabilities and $3.7 million in other liabilities as of December 31, 2023, for contingent consideration related to business combinations.
Financial Assets
Money market mutual funds are valued at the closing price reported by the fund sponsor from an actively traded exchange. As the funds are generally maintained at a net asset value which does not fluctuate, cost approximates fair value. These are included as a Level 1 measurement in the table above. The fair values for available-for-sale fixed-maturity securities are based upon prices provided by an independent pricing service. We have reviewed these prices for reasonableness and have not adjusted any prices received from the independent provider. Level 2 securities represent assets whose fair value is determined using observable market information such as previous day trade prices, quotes from less active markets or quoted prices of securities with similar characteristics. There were no transfers between Level 1 and Level 2.
Contingent Consideration – Business Combinations
We estimated the fair value of the business combination contingent consideration based on specific metrics related to the acquisition of Residential Warranty Services (“RWS”) in April 2022, using the discounted cash flow method. The fair value is based on a percentage of revenue over the maturity date of the contingent consideration. As of June 30, 2024, the key inputs used to determine the fair value of $3.2 million were management’s cash flow estimates and the discount rate of 17%. As of December 31, 2023, the key inputs used to determine the fair value of $4.4 million were management’s cash flow estimates and the discount rate of 17%.
Private Warrants
We estimated the fair value of the private warrants using the Black-Scholes-Merton option pricing model. As of June 30, 2024, the key inputs used to determine the fair value included exercise price of $11.50, expected volatility of 93%, remaining contractual term of 1.48 years, and stock price of $1.51. As of December 31, 2023, the key inputs used to determine the fair value included exercise price of $11.50, expected volatility of 95%, remaining contractual term of 1.98 years, and stock price of $3.08.
Embedded Derivatives
In connection with the issuance of senior secured convertible notes in April 2023 (see Note 7) and in accordance with Accounting Standards Codification 815-15, Derivatives and Hedging – Embedded Derivatives, certain features of the senior secured convertible notes were bifurcated and accounted for separately from the notes. The following features are recorded as derivatives.
•Repurchase option. If more than $30 million aggregate principal amount of the 2026 Notes remains outstanding on June 14, 2026, the 2028 Note holders have the right to require us to repurchase for cash on June 15, 2026, all or any portion of their 2028 Notes, in principal amounts of one thousand dollars or an integral number thereof, at a repurchase price equal to 106.5% of the principal amount of the 2028 Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the repurchase date.
•Fundamental change option. If we undergo a fundamental change, as defined in the indenture governing the 2028 Notes and subject to certain conditions, holders of the 2028 Notes have the right to require us to repurchase for cash all or any portion of their 2028 Notes, in principal amounts of one thousand dollars or an integral multiple thereof, at a repurchase price equal to 105.25% of the principal amount of the 2028 Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the repurchase date. A fundamental change includes events such as a change in control, recapitalization, liquidation, dissolution, or delisting.
•Asset sale repurchase option. If we sell assets and receive net cash proceeds of $2.5 million in excess of the Asset Sale Threshold (as defined below) (such excess net cash proceeds, the “Excess Proceeds”), we must offer to all holders of 2028 Notes to repurchase their 2028 Notes for an aggregate amount of cash equal to 50% of such Excess Proceeds at a repurchase price per 2028 Note equal to 100% of the principal amount thereof, plus accrued and unpaid interest to, but excluding, the relevant purchase date, if any. “Asset Sale Threshold” means $20.0 million in the aggregate, provided that on and after the date on which the cumulative net cash proceeds received by the Company and its restricted subsidiaries from the sale of assets after April 20, 2023, exceeds $20.0 million in the aggregate, the “Asset Sale Threshold” means $0. As of June 30, 2024, our remaining Asset Sale Threshold was $9.1 million (See Note 15).
The inputs for determining fair value of the embedded derivatives are classified as Level 3 inputs. Level 3 fair value is based on unobservable inputs based on the best information available. These inputs include the probabilities of a repurchase, a fundamental change, and qualifying asset sales, ranging from 7% to 35%.
Level 3 Rollforward
Fair value measurements categorized within Level 3 are sensitive to changes in the assumptions or methodology used to determine fair value, and such changes could result in a significant increase or decrease in the fair value.
The changes for Level 3 items measured at fair value on a recurring basis using significant unobservable inputs are as follows:
Contingent Consideration - Business CombinationsEmbedded DerivativesPrivate Warrant Liability
Fair value as of December 31, 2023$18,455 $28,131 $1,151 
Settlements(14,930)— — 
Change in fair value, loss (gain) included in net loss(1)
(300)6,724 (1,026)
Fair value as of June 30, 2024$3,225 $34,855 $125 
Contingent Consideration - EarnoutContingent Consideration - Business CombinationsEmbedded DerivativesPrivate Warrant Liability
Fair value as of December 31, 2022$44 $24,546 $— $707 
Additions— — 23,870 — 
Settlements— (408)— — 
Change in fair value, loss (gain) included in net loss(1)
— (2,810)2,950 (360)
Fair value as of June 30, 2023$44 $21,328 $26,820 $347 
______________________________________
(1)Changes in fair value of contingent consideration related to business combinations are included in general and administrative expenses in the unaudited condensed consolidated statements of operations. Changes in fair value of the private warrant liability and embedded derivatives are included in other income, net, in the unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss.

Fair Value Disclosure
As of June 30, 2024, and December 31, 2023, the fair value of the 2026 Notes (see Note 7) was $115.8 million and $73.1 million, respectively. As of June 30, 2024, and December 31, 2023, the fair value of the 2028 Notes (see Note 7) was $226.7 million and $196.7 million, respectively. The fair value other notes approximate the unpaid principal balance. All debt, other than the convertible notes which are Level 2, is considered a Level 3 measurement.
v3.24.2.u1
Property, Equipment, and Software
 6 Months Ended
Jun. 30, 2024
Property, Plant and Equipment [Abstract]  
Property, Equipment, and Software
Note 5. Property, Equipment, and Software
Property, equipment, and software, net, consists of the following:
June 30,
2024		December 31,
2023
Software and computer equipment$8,279 $8,340 
Furniture, office equipment, and other1,489 1,573 
Internally developed software28,570 24,526 
Leasehold improvements1,240 1,176 
39,578 35,615 
Less: Accumulated depreciation and amortization(20,300)(18,754)
Property, equipment, and software, net$19,278 $16,861 
Depreciation and amortization expense related to property, equipment, and software was $1.5 million and $1.2 million for the three months ended June 30, 2024 and 2023, respectively, and $3.1 million and $2.4 million for the six months ended June 30, 2024 and 2023, respectively.
v3.24.2.u1
Intangible Assets and Goodwill
 6 Months Ended
Jun. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Intangible Assets and Goodwill
Note 6. Intangible Assets and Goodwill
Intangible Assets
Intangible assets are stated at cost or acquisition-date fair value less accumulated amortization and impairment. The following tables summarize intangible asset balances.
As of June 30, 2024Weighted
Average
Useful Life
(in years)		Intangible
Assets,
gross		Accumulated
Amortization
And
Impairment		Intangible
Assets,
Net
Customer relationships9.0$69,023 $(28,320)$40,703 
Acquired technology5.028,001 (17,404)10,597 
Trademarks and tradenames11.023,443 (7,707)15,736 
Non-compete agreements5.0301 (165)136 
Renewal rights6.09,734 (4,066)5,668 
Insurance licensesIndefinite4,960 — 4,960 
Total intangible assets$135,462 $(57,662)$77,800 
As of December 31, 2023Weighted
Average
Useful Life
(in years)		Intangible
Assets,
gross		Accumulated
Amortization
And
Impairment		Intangible
Assets,
Net
Customer relationships8.0$69,504$(24,153)$45,351
Acquired technology5.036,041(22,358)13,683
Trademarks and tradenames11.023,443(6,701)16,742
Non-compete agreements3.0616(455)161
Value of business acquired1.0400(400)—
Renewal rights6.09,734(3,415)6,319
Insurance licensesIndefinite4,960—4,960
Total intangible assets$144,698$(57,482)$87,216

The aggregate amortization expense related to intangibles was $4.7 million and $4.9 million for the three months ended June 30, 2024 and 2023, respectively, and $9.4 million and $9.8 million for the six months ended June 30, 2024 and 2023, respectively.
Goodwill
The goodwill balance at June 30, 2024, and December 31, 2023, was $191.9 million and is entirely included in our Vertical Software segment. We had no changes in the carrying amount of goodwill for the six months ended June 30, 2024.
v3.24.2.u1
Debt
 6 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
Debt
Note 7. Debt
The following tables summarize outstanding debt as of June 30, 2024, and December 31, 2023.
PrincipalUnaccreted
Discount		Debt
Issuance
Costs		Carrying
Value
Convertible senior notes, due 2026$217,000 $— $(2,612)$214,388 
Convertible senior notes, due 2028333,334 (107,078)(4,003)222,253 
Other notes150 (6)— 144 
Balance as of June 30, 2024$550,484 $(107,084)$(6,615)$436,785 
PrincipalUnaccreted
Discount		Debt
Issuance
Costs		Carrying
Value
Convertible senior notes, due 2026$225,000 $— $(3,311)$221,689 
Convertible senior notes, due 2028333,334 (115,353)(4,312)213,669 
Advance funding arrangement94 — — 94 
Other notes300 (13)— 287 
Balance as of December 31, 2023$558,728 $(115,366)$(7,623)$435,739 

Convertible Senior Notes
Interest expense recognized related to the 0.75% Convertible Senior Notes due 2026 (the “2026 Notes”) was approximately $0.7 million and $0.9 million for the three months ended June 30, 2024 and 2023, respectively, and $1.4 million and $2.2 million for the six months ended June 30, 2024 and 2023, respectively, including contractual interest expense and amortization of debt issuance costs. The effective interest rate for the 2026 Notes is 1.3%.
Interest expense recognized related to the 6.75% Convertible Senior Notes due 2028 (the “2028 Notes”) was approximately $9.9 million and $7.3 million in the three months ended June 30, 2024 and 2023, respectively, and $19.8 million and $7.3 million for the six months ended June 30, 2024 and 2023, respectively. Interest expense for the 2028 Notes includes both contractual interest expense and amortization of debt issuance costs and discount. Contractual interest expense was $5.6 million and $4.4 million for the three months June 30, 2024 and 2023, respectively, and was $11.3 million and $4.4 million for the six months ended June 30, 2024 and 2023, respectively. Amortization of debt issuances costs and discount was $4.3 million and $2.9 million for the three months ended June 30, 2024 and 2023, and was $8.6 million and $2.9 million for the six months ended June 30, 2024 and 2023, respectively. The effective interest rate for the 2028 Notes is 17.9%.
For the three and six months ended June 30, 2024, we capitalized $0.1 million and $0.2 million, respectively, of interest expense on the 2028 Notes related to ongoing internally developed software projects.
In February 2024, we repurchased $8.0 million aggregate principal amount of our 2026 Notes. We paid $3.0 million, or 37.5% of par value, plus accrued interest. We recognized a $4.9 million gain on extinguishment of debt, calculated as the difference between the reacquisition price and the net carrying amount of the portion of the 2026 Notes that was extinguished.
Advance Funding Arrangement
For certain home warranty contracts, we participated in financing arrangements with third-party financers that provided us with the contract premium upfront, less a financing fee. Third-party financers collected installment payments from the warranty contract customer which satisfied our repayment obligation over a portion of the contract term. We remained obligated to repay the third-party financer if a customer cancels its warranty contract prior to full repayment of the advance funding amount we received. As part of the arrangement, we paid financing fees, which were collected by the third-party financers upfront and were initially recognized as a debt discount. Financing fees were amortized as interest expense under the effective interest method. The implied interest rate varied per contract and was generally approximately 14% of total funding received. As of June 30, 2024, our obligation was completely satisfied with the third-party financers, and we had no outstanding balance.
v3.24.2.u1
Stockholders' Equity and Warrants
 6 Months Ended
Jun. 30, 2024
Stockholders' Equity Note [Abstract]  
Stockholders' Equity and Warrants
Note 8. Stockholders' Equity and Warrants
Common Shares Outstanding and Common Stock Equivalents
The following table summarizes our fully diluted capital structure.
June 30,
2024		December 31,
2023
Outstanding common shares (1)
104,52597,061
Common shares reserved for future issuance:
Private warrants1,7961,796
Stock options (Note 9)3,2703,642
Restricted and performance stock units and awards (Note 9)15,60912,065
2020 Equity Plan pool reserved for future issuance (Note 9)6,6928,009
Convertible senior notes, due 2026 (2)
8,6798,999
Convertible senior notes, due 202813,33213,332
Contingently issuable shares in connection with acquisitions (3)
—5,908
Total shares of common stock outstanding and reserved for future issuance153,903150,812
______________________________________
(1)Includes 4.5 million shares of common stock held by HOA.
(2)In connection with the September 16, 2021, issuance of the 2026 Notes, we used a portion of the proceeds to pay for the capped call transactions, which are expected to generally reduce the potential dilution to our common stock. The capped call transactions impact the number of shares that may be issued by effectively increasing our conversion price from $25 per share to approximately $37.74, which would result in approximately 6 million potentially dilutive shares instead of the shares reported in this table as of June 30, 2024.
(3)In connection with the acquisition of Floify, we issued shares as partial closing consideration and guaranteed that the value of those shares would equal or exceed 200% of such price on or prior to December 31, 2024. If the value of those shares did not equal or exceed 200% of their value, we would have been obligated to settle any differences in cash, Porch common stock, or combination thereof. On March 27, 2024, we entered into a settlement agreement to settle a post-closing dispute. As part of this agreement, the sellers of Floify agreed to terminate this obligation in full.

On June 26, 2024, we contributed 4.5 million newly issued shares of our common stock to HOA. This contribution was made to strengthen HOA’s surplus position and support the planned transition of our insurance underwriting business, including HOA, to a reciprocal exchange. While the shares contributed to HOA have been issued and are outstanding, as provided under Delaware law, these shares will neither be entitled to vote nor be counted for quorom purposes so long as HOA (or any successor transferee) holds the shares and is a direct or indirect subsidiary of Porch or is otherwise controlled, directly or indirectly, by Porch. For accounting purposes, the shares contributed to HOA are considered treasury stock as of June 30, 2024, because HOA is a subsidiary that is included in our consolidated financial results.
Warrants
There was no activity related to private warrants during the six months ended June 30, 2024 and 2023. As of June 30, 2024, and December 31, 2023, there were 1.8 million private warrants outstanding for common shares. These private warrants are liability classified financial instruments measured at fair value, with periodic changes in fair value recognized through earnings and are included in “change in fair value of private warrant liability” in the unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss. See Note 4 for more information.
v3.24.2.u1
Stock-Based Compensation
 6 Months Ended
Jun. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation
Note 9. Stock-Based Compensation
The following table summarizes the classification of stock-based compensation expense in the unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss.
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Selling and marketing$710 $896 $1,404 $1,941 
Product and technology1,426 1,254 2,521 2,703 
General and administrative4,969 4,254 8,548 8,654 
Total stock-based compensation expense$7,105 $6,404 $12,473 $13,298 

Under our 2020 Stock Incentive Plan, employees, directors and consultants are eligible for grants of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock awards (“RSAs”), restricted stock units (“RSUs”), performance restricted stock units (“PRSUs”), and other stock awards, collectively referred to as “Equity Awards.” All Equity Awards granted in 2024 were to employees and directors.
The following table summarizes Equity Award activity for the six months ended June 30, 2024:
Number of
Options 		Number of
Restricted
Stock Units		Number of
Performance
Restricted
Stock Units
Balances as of December 31, 20233,6428,3103,754
Granted—4,8052,569
Vested—(2,922)—
Exercised(328)——
Forfeited, canceled or expired(44)(886)(23)
Balances as of June 30, 20243,2709,3086,301
During six months ended June 30, 2024, we granted PRSUs that have vesting conditions that are based not only on the employee’s service period but also on either revenue, Adjusted EBITDA, or Total Shareholder Return (“TSR”) through 2026. The PRSUs will vest, if at all, upon our achieving a specified target for each vesting condition. The weighted average grant-date fair value of PRSUs granted during the six months ended June 30, 2024, was $5.61. TSR will be measured against the total shareholder return of the S&P SmallCap 600 Index during the performance period. The actual number of shares of common stock to be issued to each award recipient at the end of the performance period will be interpolated between a threshold and maximum payout amount based on actual performance results. A participant will earn 50% of the target number of PRSUs for “Threshold Performance,” 100% of the target number of PRSUs for “Target Performance,” and 200% of the target number of PRSUs for “Maximum Performance.” We estimate the grant-date fair value of TSR PRSUs using the Monte Carlo simulation model, as the TSR metric is considered a market condition under ASC Topic 718, Compensation - stock compensation.
v3.24.2.u1
Reinsurance
 6 Months Ended
Jun. 30, 2024
Reinsurance Disclosures [Abstract]  
Reinsurance
Note 10. Reinsurance
2023 Program
Our third-party quota share reinsurance program was split into three separate placements to maximize coverage and cost efficiency. The Coastal Program was effective for the period April 1, 2023, through March 31, 2024, and covered our business in certain Texas coastal regions and the Houston metropolitan area and was placed at 42% of subject property and casualty losses (“P&C losses”), as well as all business in South Carolina which was placed at 7% of P&C losses. The Core Program, which covered the portion of our business not in the Coastal Program, was effective for the period April 1, 2023, through March 31, 2024, and was placed at 9.5% of P&C losses of our remaining business in Texas and 8% of P&C losses of our business in other states. In addition, the Combined Program was effective for the period January 1, 2023, through March 31, 2024, and covered all of our business and was placed at 5% of P&C losses. All programs were subject to certain limits and exclusions, which vary by participating reinsurer.
Property catastrophe excess of loss treaties were placed on April 1, 2023, and were updated in August 2023 after the events described in the “Terminated Reinsurance Contract” section below. Coverage for wind storms starts at $20 million per occurrence. Losses are shared between $20 million and $80 million. Over $80 million, losses are covered up to a net loss of $440 million. We also place reinstatement premium protection to cover any reinstatement premiums due on the first four layers.
2024 Program
As of April 1, 2024, our quota share program consists of one combined program covering all of our business in all states and is placed at 27.5% of P&C losses. All programs are effective for the period April 1, 2024, through March 31, 2025, and are subject to certain limits and exclusions, which vary by participating reinsurer.
Coverage for catastrophe events starts immediately within the quota share contracts and at $45.0 million per occurrence within the property catastrophe excess of loss treaties placed on April 1, 2024. Losses are shared at various levels up to $75.0 million. Over $75.0 million losses are covered up to a loss of $465.0 million. We also place reinstatement premium protection to cover any reinstatement premiums due on the first five layers.
We placed a parametric reinsurance contract to cover aggregate severe convective storm losses from January 1, 2024, to January 1, 2025. This contract would provide up to $30.0 million in recovery over $85.0 million in modeled losses.
Reinsurance Impact
The effects of reinsurance on premiums written and earned for the three and six months ended June 30, 2024 and 2023, were as follows:
Three Months Ended June 30,
20242023
WrittenEarnedWrittenEarned
Direct premiums$109,716$102,345$121,540$116,397
Ceded premiums(59,857)(40,518)(67,387)(72,166)
Net premiums$49,859$61,827$54,153$44,231
Six Months Ended June 30,
20242023
WrittenEarnedWrittenEarned
Direct premiums$184,820 $210,933 $218,413 $231,221 
Ceded premiums(90,186)(76,881)(65,121)(146,840)
Net premiums$94,634 $134,052 $153,292 $84,381 

The effects of reinsurance on incurred losses and loss adjustment expense (“LAE”) for the three and six months ended June 30, 2024 and 2023, were as follows:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Direct losses and LAE$110,210 $137,591 $189,626 $227,606 
Ceded losses and LAE(26,060)(66,442)(36,543)(113,598)
Net losses and LAE$84,150 $71,149 $153,083 $114,008 
The detail of reinsurance balances due is as follows:
June 30,
2024		December 31,
2023
Ceded unearned premium$58,045 $50,697 
Losses and LAE reserve26,231 19,911 
Reinsurance recoverable20,334 12,629 
Other120 345 
Reinsurance balance due$104,730 $83,582 

Terminated Reinsurance Contract
During the second quarter of 2023, HOA discovered that Vesttoo Ltd (“Vesttoo”), which arranged capital for one of our reinsurance contracts, faced allegations of fraudulent activity in connection with collateral it provided to HOA and certain other third parties, which allegations have since been confirmed. We have communicated and met with regulators and other key stakeholders regarding the evolving situation. This reinsurance agreement provided partial quota share coverage as well as up to approximately $175 million in a catastrophic event.
As a result of its findings, and in accordance with the terms of the reinsurance agreement, HOA terminated the associated contract on August 4, 2023, with an effective date of July 1, 2023. Had the contract not been terminated, the contract would have expired on December 31, 2023, and HOA would have been contracted to pay approximately $20 million in additional premium payments during July through December 2023. Following the effective date of the termination, HOA seized available liquid collateral in the amount of approximately $47.6 million from a reinsurance trust, of which HOA was the beneficiary and recognized a charge of $48.2 million in provision for (recovery of) doubtful accounts in the Condensed Consolidated Statements of Operations and Comprehensive Loss for the six months ended June 30, 2023. In addition, HOA is evaluating and intends to pursue all available legal claims and remedies to enforce its rights under the letter of credit required by the reinsurance agreement in the amount of $300 million as additional collateral. We are also seeking recovery of all losses and damages incurred as a result of terminating the reinsurance agreement due to allegations of fraudulent activity by third parties.
On January 19, 2024, we entered into a five-year business collaboration agreement with Aon Corp. and Aon Re, Inc. ("Aon"), resulting in payments to us of approximately $25 million in January 2024 and additional cash payments through the end of the contract term. Of the cash payments that we have or will receive through the end of the contract term, $8.7 million is non-refundable and immediately recognized in other income, net in the Condensed Consolidated Statements of Operations and Comprehensive Loss. A portion of the remaining amount is potentially refundable to Aon if we breach the agreement, including if we directly or indirectly place reinsurance with brokers unaffiliated with Aon, subject to customary cure rights. The remaining amount will be recognized in other income, net, over the term of the agreement. As part of this agreement, Aon and Porch also signed a mutual release of claims arising from the Vesttoo fraud. Porch has not released any claims against non-Aon parties related to these matters and intends to vigorously pursue recovery. In addition to this arrangement, we have also received cash recoveries from other parties in the amount of $3.0 million during the six months ended June 30, 2024.
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Unpaid Losses and Loss Adjustment Reserve
 6 Months Ended
Jun. 30, 2024
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]  
Unpaid Losses and Loss Adjustment Reserve
Note 11. Unpaid Losses and Loss Adjustment Reserve
The following table summarizes the changes in the reserve balances for unpaid losses and LAE, gross of reinsurance, for the six months ended June 30, 2024:
Reserve for unpaid losses and LAE at December 31, 2023$95,503
Reinsurance recoverables on losses and LAE at December 31, 2023(19,808)
Reserve for unpaid losses and LAE reserve, net of reinsurance recoverables at December 31, 202375,695
Add provisions (reductions) for losses and LAE occurring in:
Current year152,130
Prior years (1)
953
Net incurred losses and LAE during the current year153,083
Deduct payments for losses and LAE occurring in:
Current year(72,485)
Prior years (1)
(49,305)
Net claim and LAE payments during the current year (121,790)
Reserve for losses and LAE, net of reinsurance recoverables at June 30, 2024106,988
Reinsurance recoverables on losses and LAE at June 30, 2024(26,232)
Reserve for unpaid losses and LAE at June 30, 2024$133,220
______________________________________
(1)Also includes certain charges related to Vesttoo (see Note 10).

As a result of additional information on claims occurring in prior years becoming available to management, changes in estimates of provisions of losses and loss adjustment expenses were made resulting in an increase of $1.0 million for the six months ended June 30, 2024.
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Other Income (Expense), Net
 6 Months Ended
Jun. 30, 2024
Other Income and Expenses [Abstract]  
Other Income (Expense), Net
Note 12. Other Income (Expense), Net
The following table details the components of other income, net, on the Condensed Consolidated Statements of Operations and Comprehensive Loss:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Interest income$360 $1,377 $794 $2,097 
Gain on settlement of contingent consideration— — 14,930 — 
Loss on sale of business(87)— (5,331)— 
Recoveries of losses on reinsurance contracts924 — 13,494 — 
Other, net1,203 201 1,191 243 
Other income, net$2,400 $1,578 $25,078 $2,340 
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Income Taxes
 6 Months Ended
Jun. 30, 2024
Income Tax Disclosure [Abstract]  
Income Taxes
Note 13. Income Taxes
Benefit (provision) for income taxes for the three months ended June 30, 2024, and 2023, were $(0.7) million and less than $(0.1) million, respectively, and the effective tax rates for these periods were (1.1)% and less than (0.1)%, respectively. The difference between our effective tax rates for the 2024 periods and the U.S. statutory rate of 21% was primarily due to a full valuation related to our net deferred tax assets and impact of acquisitions on our valuation allowance. Benefit (provision) for income taxes for the six months ended June 30, 2024 and 2023, were $(0.9) million and $0.1 million, respectively, and the effective tax rates for these periods were (1.1)% and 0.1%, respectively. The difference between our
effective tax rates for the 2023 periods and the U.S. statutory rate of 21% was primarily due to a full valuation allowance related to our net deferred tax assets.
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Commitments and Contingencies
 6 Months Ended
Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
Note 14. Commitments and Contingencies
From time to time we are or may become subject to various legal proceedings arising in the ordinary course of business, including proceedings initiated by users, other entities, or regulatory bodies. Estimated liabilities are recorded when it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. In many instances, we are unable to determine whether a loss is probable or to reasonably estimate the amount of such a loss and, therefore, the potential future losses arising from a matter may differ from the amount of estimated liabilities we have recorded in the financial statements covering these matters. We review our estimates periodically and make adjustments to reflect negotiations, estimated settlements, rulings, advice of legal counsel, and other information and events pertaining to a particular matter.
Cases under Telephone Consumer Protection Act
Porch and/or an acquired entity, GoSmith.com, are party to a legal proceeding alleging violations of the automated calling and/or internal and National Do Not Call restrictions of the Telephone Consumer Protection Act of 1991 and a related Washington state law claim. The proceedings were commenced as thirteen separate mass tort actions brought by a single plaintiffs’ law firm in December 2019 and April/May 2020 in federal district courts throughout the United States. One of the actions was dismissed with prejudice and appealed to the Ninth Circuit Court of Appeals. While the appeal was pending, the remaining cases were consolidated in the United States District Court for the Western District of Washington, where Porch resides. On October 12, 2022, in a split decision, the Ninth Circuit Court of Appeals reversed. Following remand, that case was also consolidated with the Western District of Washington action. Plaintiffs then filed a motion for leave to file a second amended complaint, which was granted in part and denied in part. The Second Amended Complaint was filed in July 2023. In September 2023, Defendants filed a Motion to Strike the Second Amended Complaint; this motion was denied. Defendants’ Motion to Dismiss was filed on February 15, 2024 and is fully briefed and awaiting a decision. The parties have each filed several notices of supplemental authority in support of their respective positions on the pending Motion to Dismiss. The parties’ also filed a required Joint Status Report and Discovery Plan on February 16, 2024. Discovery is stayed until Defendants’ Motion to Dismiss is decided. Plaintiffs seek actual, statutory, and/or treble damages, injunctive relief, and reasonable attorneys’ fees and costs. The action is at an early stage in the litigation process. It is not possible to determine the likelihood of an unfavorable outcome of these disputes, although it is reasonably possible that the outcome of these actions may be unfavorable. Further, it is not possible to estimate the range or amount of potential loss (if the outcome should be unfavorable). We intend to contest this case vigorously.
Other
In addition, in the ordinary course of business, we and our subsidiaries are (or may become) parties to litigation involving property, personal injury, contract, intellectual property and other claims, as well as stockholder derivative actions, class action lawsuits and other matters. The amounts that may be recovered in such matters may be subject to insurance coverage. Although the results of legal proceedings and claims cannot be predicted with certainty, neither we nor any of our subsidiaries are currently a party to any legal proceedings the outcome of which, we believe, if determined adversely to us, would individually or in the aggregate have a material adverse effect on our business, financial condition or results of operations.
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Business Disposition
 6 Months Ended
Jun. 30, 2024
Discontinued Operations and Disposal Groups [Abstract]  
Business Disposition
Note 15. Business Disposition
On January 31, 2024, we sold our insurance agency, Elite Insurance Group (“EIG”). The sale price was $12.2 million of which we have received $10.9 million in cash and recorded a receivable of $1.2 million as of June 30, 2024. We recorded a loss of $5.3 million in other income, net, in the Condensed Consolidated Statements of Operations and Comprehensive Loss.
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Segment Information
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segment Information
Note 16. Segment Information
We have two reportable segments that are also operating segments: Vertical Software and Insurance. Reportable segments were identified based on how the chief operating decision-maker (“CODM”) manages the business, makes operating decisions, and evaluates operating and financial performance. Our chief executive officer acts as the CODM and reviews
financial and operational information for our reportable segments. Operating segments are components of an enterprise for which separate discrete financial information is available and operational results are regularly evaluated by the CODM for the purposes of making decisions regarding resource allocation and assessing performance.
Our Vertical Software segment provides software and services to inspection, mortgage, and title companies on a subscription and transactional basis, while also providing move and post-move services. Software and services were 56% and 59% of total vertical software revenue for the three and six months ended June 30, 2024, respectively. Move and post-move services were 44% and 41% of total vertical software revenue for the three and six months ended June 30, 2024, respectively. The Vertical Software segment operates as several key businesses, including inspection software and services, title insurance software, mortgage software, moving services, mover and homeowner marketing, and measurement software for roofers.
Our Insurance segment provides consumers with insurance and warranty products to protect their homes, earning revenue through premiums collected on policies, policy fees and commissions. The Insurance segment includes Homeowners of America (“HOA”), a wholly owned insurance carrier, other insurance-related legal entities, Porch Warranty, and other warranty brands.
The following table summarizes revenue by segment.
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Vertical Software$32,593 $34,435 $60,088 $63,062 
Insurance78,251 64,330 166,199 123,072 
Total revenue$110,844 $98,765 $226,287 $186,134 

Our segment operating and financial performance measure is Segment Adjusted EBITDA (Loss). Segment Adjusted EBITDA (Loss) is defined as revenue less the following expenses associated with each segment: cost of revenue, selling and marketing, product and technology, and general and administrative. Segment Adjusted EBITDA (Loss) also excludes non-cash items or items that management does not consider reflective of ongoing core operations.
We do not allocate shared expenses to the reportable segments. These expenses are included in the “Corporate and other” row in the following reconciliation. “Corporate and other” includes shared expenses such as selling and marketing; certain product and technology; accounting; human resources; legal; general and administrative; and other income, expenses, gains, and losses that are not allocated in assessing segment performance due to their function. Such transactions are excluded from the reportable segments’ results but are included in consolidated results.
The reconciliation of Segment Adjusted EBITDA (Loss) to consolidated “Operating loss” below includes the effects of corporate and other items that the CODM does not consider in assessing segment performance.
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Segment Adjusted EBITDA (Loss):
Vertical Software$4,778 $1,816 $5,901 $1,420 
Insurance(27,320)(31,181)(30,205)(38,366)
Subtotal(22,542)(29,365)(24,304)(36,946)
Reconciling items:
Corporate and other(12,231)(13,769)(27,257)(28,070)
Depreciation and amortization(6,202)(6,214)(12,519)(12,229)
Stock-based compensation expense(7,105)(6,404)(12,473)(13,298)
Restructuring costs (1)
(1,635)(1,093)(1,792)(2,077)
Other non-operating income(1,696)— (2,872)— 
Acquisition and other transaction costs12 (258)(166)(386)
Impairment loss on intangible assets and goodwill— (55,211)— (57,232)
Recovery of (loss on) reinsurance contract (see Note 10)1,095 (48,244)1,106 (48,244)
Impairment loss on property, equipment and software— (254)— (254)
Change in fair value of contingent consideration1,351 2,656 300 2,810 
Investment income and realized gains(3,526)(1,249)(7,170)(2,007)
Operating loss$(52,479)$(159,405)$(87,147)$(197,933)
______________________________________
(1)Primarily consists of costs related to forming a reciprocal exchange.

The CODM does not review assets on a segment basis.
All of our revenue is generated in the United States except for an immaterial amount. As of June 30, 2024, and December 31, 2023, we did not have material assets located outside of the United States.
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Net Loss Per Share
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Net Loss Per Share
Note 17. Net Loss Per Share
Basic and diluted net loss per share attributable to common stockholders and is computed by dividing the net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period.
Diluted earnings per share attributable to common stockholders adjusts basic earnings per share for the potentially dilutive impact of stock options, RSUs, PRSUs, RSAs, convertible notes, earnout shares, and warrants. As we have reported losses for all periods presented, all potentially dilutive securities are antidilutive and, accordingly, basic net loss per share equals diluted net loss per share.
The following table summarizes the computation of basic and diluted net loss attributable per share to common stockholders for the three and six months ended June 30, 2024 and 2023:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Numerator:
Net loss used to compute net loss per share - basic and diluted$(64,323)$(86,963)$(77,685)$(125,703)
Denominator:
Weighted average shares outstanding used to compute net loss used to compute net loss per share - basic and diluted99,19395,73298,35395,472
Net loss per share - basic and diluted$(0.65)$(0.91)$(0.79)$(1.32)

The following table discloses securities that were not included in the computation of diluted net loss per share because to do so would have been antidilutive for the periods presented:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Stock options3,2703,7173,2703,717
Restricted stock units and awards9,3089,1899,3089,189
Performance restricted stock units6,3014,0566,3014,056
Public and private warrants1,7961,7961,7961,796
Earnout shares (1)
—2,050—2,050
Convertible debt (2)
22,01122,33122,01122,331
Contingently issuable shares in connection with acquisitions (3)
—13,970—13,970
______________________________________
(1)Earnout shares expired December 23, 2023, without vesting and were subsequently cancelled.
(2)In connection with the September 16, 2021, issuance of the 2026 Notes, we used a portion of the proceeds to pay for the capped call transactions, which are expected to generally reduce the potential dilution to our common stock. The capped call transactions impact the number of shares that may be issued by effectively increasing our conversion price from $25 per share to approximately $37.74, which would result in approximately 6 million potentially dilutive shares instead of the shares reported in this table as of June 30, 2024.
(3)In connection with the acquisition of Floify, we issued shares as partial closing consideration and guaranteed that the value of those shares would equal or exceed 200% of such price on or prior to December 31, 2024. If the value of those shares did not equal or exceed 200% of their value, we would have been obligated to settle any differences in cash, Porch common stock, or combination thereof. On March 27, 2024, we entered into a settlement agreement to settle a post-closing dispute. As part of this agreement, the sellers of Floify agreed to terminate this obligation in full.
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Subsequent Events
 6 Months Ended
Jun. 30, 2024
Subsequent Events [Abstract]  
Subsequent Events
Note 18. Subsequent Event
On July 31, 2024, we contributed an additional 13.8 million newly issued shares of our common stock to HOA. This contribution was made to strengthen HOA’s surplus position and support the planned transition of our insurance underwriting business, including HOA, to a reciprocal exchange. See Note 8 for further information on our contributions to HOA.
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Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Pay vs Performance Disclosure        
Net Income (Loss) $ (64,323) $ (86,963) $ (77,685) $ (125,703)
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Insider Trading Arrangements
 3 Months Ended
Jun. 30, 2024
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
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Description of Business and Summary of Significant Accounting Policies (Policies)
 6 Months Ended
Jun. 30, 2024
Accounting Policies [Abstract]  
Unaudited Interim Financial Statements
Unaudited Interim Financial Statements
The accompanying unaudited condensed consolidated financial statements include the accounts of Porch Group, Inc., and its subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) regarding interim financial reporting. Accordingly, these unaudited condensed consolidated financial statements and notes should be read in conjunction with the Annual Report on Form 10-K for the fiscal year ended December 31, 2023, filed with the SEC on March 15, 2024. The information as of December 31, 2023, included in the unaudited condensed consolidated balance sheets was derived from our audited consolidated financial statements. Certain prior period amounts have been reclassified to conform to the current year’s presentation.
The unaudited condensed consolidated financial statements included in this Quarterly Report on Form 10-Q (this “Quarterly Report”) were prepared on the same basis as the audited consolidated financial statements and, in the opinion of management, reflect all adjustments (all of which are of a normal recurring nature) considered necessary to present fairly our financial position, results of operations, comprehensive loss, stockholders’ equity (deficit), and cash flows for the periods and dates presented. The results of operations for the three and six months ended June 30, 2024, are not necessarily indicative of the results that may be expected for the year ending December 31, 2024, or any other interim period or future year due to various factors such as management estimates and the seasonal nature of some portions of our insurance business.
Use of Estimates
Use of Estimates
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported of certain assets and liabilities, disclosure of contingent assets and liabilities, and the reported amounts of revenues and expenses. Actual results may differ from those estimates and assumptions.
Concentrations
Concentrations
Financial instruments which potentially subject us to credit risk consist principally of cash, money market accounts on deposit with financial institutions, money market funds, certificates of deposit and fixed-maturity securities, as well as receivable balances in the course of collection.
Our insurance carrier subsidiary has exposure and remains liable in the event of insolvency of its reinsurers. Management and its reinsurance intermediary regularly assess the credit quality and ratings of its reinsurer counterparties. As of June 30, 2024, three reinsurers represented more than 10% individually, and 67% in the aggregate, of total reinsurance balance due on the Condensed Consolidated Balance Sheets.
Substantially all revenues in the Insurance segment are derived from customers in Texas (which represent approximately 71% of Insurance segment revenues in the six months ended June 30, 2024), South Carolina, North Carolina, Virginia, Arizona, and Illinois, which could be adversely affected by economic conditions, an increase in competition, local weather events, or environmental impacts and changes.
Cash, Cash Equivalents and Restricted Cash and Cash Equivalents
Cash, Cash Equivalents and Restricted Cash and Cash Equivalents
We consider all highly liquid investments with original maturities of three months or less at the time of purchase to be cash equivalents. We maintain cash balances that may exceed the insured limits by the Federal Deposit Insurance Corporation.
Accounts Receivable and Long-term Insurance Commissions Receivable
Accounts Receivable and Long-term Insurance Commissions Receivable
Accounts receivable consist principally of amounts due from enterprise customers, other corporate partnerships, and individual policyholders. We estimate allowances for uncollectible receivables based on the creditworthiness of our customers, historical trend analysis, and macro-economic conditions. Consequently, an adverse change in those factors could affect our estimate of allowance for doubtful accounts. The allowance for uncollectible receivables at June 30, 2024, and December 31, 2023, was $0.7 million and $0.6 million, respectively.
Long-term insurance commissions receivable consists of the estimated commissions from policy renewals expected to be collected. We record the amount of renewal insurance commissions expected to be collected in the next twelve months as current accounts receivable.
Goodwill
Goodwill
We test goodwill for impairment for each reporting unit on an annual basis or more frequently when events or changes in circumstances indicate the fair value of a reporting unit is below its carrying value. We have the option to perform a
qualitative assessment to determine if an impairment is more likely than not to have occurred. If we can support the conclusion that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, we would not need to perform a quantitative impairment test. If we cannot support such a conclusion or we do not elect to perform the qualitative assessment, then we perform a quantitative assessment. If a quantitative goodwill impairment assessment is performed, we utilize a combination of market and income valuation approaches. If the fair value of a reporting unit is less than its carrying value, an impairment loss is recorded to the extent that the fair value of the reporting unit is less than its carrying value. We have selected October 1 as the date to perform annual impairment testing.
Determining the fair value of a reporting unit is judgmental in nature and involves the use of significant estimates and assumptions to evaluate the impact of operating and macroeconomic changes on each reporting unit. The fair value of each reporting unit was estimated using a combination of income and market valuation approaches using publicly traded company multiples in similar businesses. Such fair value measurements are based predominately on Level 3 inputs. This analysis requires significant judgments including an estimate of future cash flows which is dependent on internally developed forecasts, estimation of the long-term rate of growth for our business, estimation of the useful life over which cash flows will occur, and determination of our weighted average cost of capital, which is risk-adjusted to reflect the specific risk profile of the reporting unit being tested.
Impairment of Long-Lived Assets
Impairment of Long-Lived Assets
We review long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amounts of the assets may not be fully recoverable. Events that trigger a test for recoverability include a significant decrease in the market price for a long-lived asset, significant negative industry or economic trends, an accumulation of costs significantly in excess of the amount originally expected for the acquisition, a current-period operating or cash flow loss combined with a history of operating or cash flow losses or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset, or a sustained decrease in share price. When a triggering event occurs, a test for recoverability is performed, comparing projected undiscounted future cash flows to the carrying value of the asset group. If the test for recoverability identifies a possible impairment, the asset group’s fair value is measured relying primarily on an income approach. An impairment charge is recognized for the amount by which the carrying value of the asset group exceeds its estimated fair value. Management identifies the asset group that includes the potentially impaired long-lived asset, at the lowest level at which there are separate, identifiable cash flows.
We estimate the fair value of an asset group using the income approach. Such fair value measurements are based predominately on Level 3 inputs. Inherent in our development of cash flow projections are assumptions and estimates derived from a review of our operating results, business plan forecasts, expected growth rates, and cost of capital, similar to those a market participant would use to assess fair value. We also make certain assumptions about future economic conditions and other data. Many of these factors used in assessing fair value are outside the control of management and these assumptions and estimates may change in future periods.
Deferred Policy Acquisition Costs
Deferred Policy Acquisition Costs
We capitalize deferred policy acquisitions costs (“DAC”) which consist primarily of commissions, premium taxes and policy underwriting and production expenses that are directly related to the successful acquisition by our insurance company subsidiary of new or renewal insurance contracts. DAC are amortized on a straight-line basis over the terms of the policies to which they relate, which is generally one year. DAC is also reduced by ceding commissions paid by reinsurance companies which represent recoveries of acquisition costs. DAC is periodically reviewed for recoverability and adjusted if necessary. Future investment income is considered in determining the recoverability of DAC.
Expected Credit Losses
Expected Credit Losses
We regularly review our individual investment securities for factors that may indicate that a decline in fair value of an investment has resulted from an expected credit loss, including:
•the financial condition and near-term prospects of the issuer, including any specific events that may affect its operations or earnings;
•the extent to which the market value of the security is below its cost or amortized cost;
•general market conditions and industry or sector specific factors;
•nonpayment by the issuer of its contractually obligated interest and principal payments; and
•our intent and ability to hold the investment for a period of time sufficient to allow for the recovery of costs.
Fair Value of Financial Instruments
Fair Value of Financial Instruments
Fair value principles require disclosures regarding the manner in which fair value is determined for assets and liabilities and establishes a three-tiered fair value hierarchy into which these assets and liabilities must be grouped, based upon significant levels of inputs as follows:
Level 1     Observable inputs, such as quoted prices (unadjusted) in active markets for identical assets or liabilities at the measurement date;
Level 2     Observable inputs, other than Level 1 prices, such as quoted prices in active markets for similar assets and liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and
Level 3     Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
The lowest level of significant input determines the placement of the entire fair value measurement in the hierarchy. Management’s assessment of the significance of a particular input to the fair value measurement in its entirety requires management to make judgments and consider factors specific to the asset or liability.
Accounting Standards Not Yet Adopted
Accounting Standards Not Yet Adopted
In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting--Improvements to Reportable Segment Disclosures, which requires incremental disclosures about a public entity’s reportable segments but does not change the definition of a segment or the guidance for determining reportable segments. The new guidance requires disclosure of significant segment expenses that are (1) regularly provided to (or easily computed from information regularly provided to) the chief operating decision maker and (2) included in the reported measure of segment profit or loss. The new standard also allows companies to disclose multiple measures of segment profit or loss if those measures are used to assess performance and allocate resources. The guidance will first be effective in our annual disclosures for the year ending December 31, 2024, and will be adopted retrospectively unless impracticable. Early adoption is permitted. We are in the process of assessing the impact of ASU 2023-07 on our disclosures.
In December 2023, the FASB issued ASU 2023-09, Improvements to Income Tax Disclosures, which requires disaggregated information about our effective tax rate reconciliation as well as information on income taxes paid. The new guidance will first be effective in our annual disclosures for the year ending December 31, 2025, and should be applied on a prospective basis with the option to apply retrospectively. Early adoption is permitted. We are in the process of assessing the impact of ASU 2023-09 on our disclosures.
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies (Tables)
 6 Months Ended
Jun. 30, 2024
Accounting Policies [Abstract]  
Schedule of Cash, Cash Equivalents and Restricted Cash
The reconciliation of cash, cash equivalents, and restricted cash to amounts presented in the unaudited Condensed Consolidated Statements of Cash Flows are as follows:
June 30, 2024December 31, 2023
Cash and cash equivalents$274,246$258,418
Restricted cash and cash equivalents11,11938,814
Cash, cash equivalents, and restricted cash$285,365$297,232
Schedule of Components of Other Insurance Liabilities, Current
The following table details the components of other insurance liabilities, current, on the unaudited Condensed Consolidated Balance Sheets:
June 30, 2024December 31, 2023
Ceded reinsurance premiums payable$35,589$10,500
Commissions payable, reinsurers and agents7,1244,650
Advance premiums16,5045,975
Funds held under reinsurance treaty6,4069,820
General and accrued expenses payable1,577640
Other insurance liabilities, current$67,200$31,585
v3.24.2.u1
Revenue (Tables)
 6 Months Ended
Jun. 30, 2024
Revenue from Contract with Customer [Abstract]  
Schedule of Disaggregation of Revenue
The following table provides detail of total revenue:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Vertical Software segment
Software and service subscriptions$18,253 $17,524 $35,189 $34,333 
Move-related transactions9,504 12,246 15,978 20,015 
Post-move transactions4,836 4,665 8,921 8,714 
Total Vertical Software segment revenue32,593 34,435 60,088 63,062 
Insurance segment
Insurance and warranty premiums, commissions and policy fees(1)
78,251 64,330 166,199 123,072 
Total Insurance segment revenue78,251 64,330 166,199 123,072 
Total revenue
$110,844 $98,765 $226,287 $186,134 
______________________________________
(1)Revenue recognized during the three months ended June 30, 2024 and 2023, includes revenue of $72.5 million and $54.8 million, respectively, which is accounted for separately from the revenue from contracts with customers. Revenue accounted separately from the revenue from contracts with customers for the six months ended June 30, 2024 and 2023, was $155.9 million and $105.0 million, respectively.
Summary of the Activity Impacting the Contract Assets
A summary of the activity impacting the contract assets during the six months ended June 30, 2024, is presented below:
Contract Assets
Balance at December 31, 2023$17,393 
Estimated lifetime value of commissions on insurance policies sold by carriers648 
Cash receipts(309)
Value of commissions sold with business disposition (Note 15)(16,982)
Balance at June 30, 2024$750 
Summary of the Activity Impacting Deferred Revenue
A summary of the activity impacting Vertical Software segment deferred revenue balances during the six months ended June 30, 2024, is presented below:
Balance at December 31, 2023$3,715 
Revenue recognized(9,748)
Additional amounts deferred10,307 
Balance at June 30, 2024$4,274 
v3.24.2.u1
Investments (Tables)
 6 Months Ended
Jun. 30, 2024
Investments [Abstract]  
Schedule of Gain and Losses on Investments
The following table summarizes investment income and realized gains and losses on investments during the periods presented.
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Investment income, net of investment expenses$3,574 $1,278 $7,238 $2,103 
Realized gains on investments26 7 40 11 
Realized losses on investments(74)(36)(108)(107)
Investment income and realized gains, net of investment expenses$3,526 $1,249 $7,170 $2,007 
Summary of Amortized Cost, Market Value and Unrealized Gains (Losses) of Debt Securities
The following tables summarize the amortized cost, fair value, and unrealized gains and losses of investment securities.
June 30, 2024
Amortized CostGross UnrealizedFair Value
GainsLosses
U.S. Treasuries$36,683 $17 $(436)$36,264 
Obligations of states, municipalities and political subdivisions18,689 15 (983)17,721 
Corporate bonds53,327 118 (2,283)51,162 
Residential and commercial mortgage-backed securities27,470 45 (1,108)26,407 
Other loan-backed and structured securities4,266 7 (266)4,007 
Total investment securities$140,435 $202 $(5,076)$135,561 
December 31, 2023
Amortized CostGross UnrealizedFair Value
GainsLosses
U.S. Treasuries$43,931 $95 $(330)$43,696 
Obligations of states, municipalities and political subdivisions18,281 100 (961)17,420 
Corporate bonds51,678 430 (2,067)50,041 
Residential and commercial mortgage-backed securities25,452 153 (1,004)24,601 
Other loan-backed and structured securities3,694 13 (289)3,418 
Total investment securities$143,036 $791 $(4,651)$139,176 
Summary of Remaining Time to Maturity Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
June 30, 2024
Remaining Time to MaturityAmortized CostFair Value
Due in one year or less$32,773 $32,636 
Due after one year through five years41,786 40,712 
Due after five years through ten years24,472 22,643 
Due after ten years9,668 9,156 
Residential and commercial mortgage-backed securities27,470 26,407 
Other loan-backed and structured securities4,266 4,007 
Total$140,435 $135,561 
Summary of Securities With Gross Unrealized Loss Position
Securities with gross unrealized loss position, aggregated by investment category and length of time the individual securities have been in a continuous loss position, are as follows:
Less Than Twelve MonthsTwelve Months or GreaterTotal
As of June 30, 2024Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value
U.S. Treasuries$(383)$18,392 $(53)$525 $(436)$18,917 
Obligations of states, municipalities and political subdivisions(839)12,492 (144)1,609 (983)14,101 
Corporate bonds(1,964)33,467 (319)4,129 (2,283)37,596 
Residential and commercial mortgage-backed securities(705)16,438 (403)2,904 (1,108)19,342 
Other loan-backed and structured securities(258)3,411 (8)51 (266)3,462 
Total securities$(4,149)$84,200 $(927)$9,218 $(5,076)$93,418 
Less Than Twelve MonthsTwelve Months or GreaterTotal
As of December 31, 2023Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss		Fair
Value
U.S. Treasuries$(280)$12,345 $(50)$515 $(330)$12,860 
Obligations of states, municipalities and political subdivisions(813)8,445 (148)1,639 (961)10,084 
Corporate bonds(1,698)21,104 (369)4,677 (2,067)25,781 
Residential and commercial mortgage-backed securities(621)8,673 (383)3,072 (1,004)11,745 
Other loan-backed and structured securities(281)2,790 (8)52 (289)2,842 
Total securities$(3,693)$53,357 $(958)$9,955 $(4,651)$63,312 
v3.24.2.u1
Fair Value (Tables)
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Schedule of Fair Value Measurements of Liabilities Measured at Fair Value on Recurring Basis
The following tables summarize the fair value measurements of assets and liabilities that are measured at fair value on a recurring basis.
Fair Value Measurement as of June 30, 2024
Level 1Level 2Level 3Total
Fair Value
Assets
Money market mutual funds$164,311 $— $— $164,311 
Debt securities:
U.S. Treasuries36,264 — — 36,264 
Obligations of states, municipalities and political subdivisions— 17,721 — 17,721 
Corporate bonds— 51,162 — 51,162 
Residential and commercial mortgage-backed securities— 26,407 — 26,407 
Other loan-backed and structured securities— 4,007 — 4,007 
$200,575 $99,297 $— $299,872 
Liabilities
Contingent consideration - business combinations (1)
$— $— $3,225 $3,225 
Private warrant liability— — 125 125 
Embedded derivatives— — 34,855 34,855 
$— $— $38,205 $38,205 
Fair Value Measurement as of December 31, 2023
Level 1Level 2Level 3Total
Fair Value
Assets
Money market mutual funds$165,744 $— $— $165,744 
Debt securities:
U.S. Treasuries43,696 — — 43,696 
Obligations of states, municipalities and political subdivisions— 17,420 — 17,420 
Corporate bonds— 50,041 — 50,041 
Residential and commercial mortgage-backed securities— 24,601 — 24,601 
Other loan-backed and structured securities— 3,418 — 3,418 
$209,440 $95,480 $— $304,920 
Liabilities
Contingent consideration - business combinations (2)
$— $— $18,455 $18,455 
Private warrant liability— — 1,151 1,151 
Embedded derivatives— — 28,131 28,131 
$— $— $47,737 $47,737 
______________________________________
(1)The Condensed Consolidated Balance Sheets include $0.9 million in accrued expenses and other current liabilities and $2.4 million in other liabilities as of June 30, 2024, for contingent consideration related to business combinations.
(2)The Condensed Consolidated Balance Sheets include $14.8 million in accrued expenses and other current liabilities and $3.7 million in other liabilities as of December 31, 2023, for contingent consideration related to business combinations.
Schedule of Level 3 Items Measured at Fair Value on a Recurring Basis
The changes for Level 3 items measured at fair value on a recurring basis using significant unobservable inputs are as follows:
Contingent Consideration - Business CombinationsEmbedded DerivativesPrivate Warrant Liability
Fair value as of December 31, 2023$18,455 $28,131 $1,151 
Settlements(14,930)— — 
Change in fair value, loss (gain) included in net loss(1)
(300)6,724 (1,026)
Fair value as of June 30, 2024$3,225 $34,855 $125 
Contingent Consideration - EarnoutContingent Consideration - Business CombinationsEmbedded DerivativesPrivate Warrant Liability
Fair value as of December 31, 2022$44 $24,546 $— $707 
Additions— — 23,870 — 
Settlements— (408)— — 
Change in fair value, loss (gain) included in net loss(1)
— (2,810)2,950 (360)
Fair value as of June 30, 2023$44 $21,328 $26,820 $347 
______________________________________
(1)Changes in fair value of contingent consideration related to business combinations are included in general and administrative expenses in the unaudited condensed consolidated statements of operations. Changes in fair value of the private warrant liability and embedded derivatives are included in other income, net, in the unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss.
v3.24.2.u1
Property, Equipment, and Software (Tables)
 6 Months Ended
Jun. 30, 2024
Property, Plant and Equipment [Abstract]  
Schedule of Property, Equipment, and Software Net
Property, equipment, and software, net, consists of the following:
June 30,
2024		December 31,
2023
Software and computer equipment$8,279 $8,340 
Furniture, office equipment, and other1,489 1,573 
Internally developed software28,570 24,526 
Leasehold improvements1,240 1,176 
39,578 35,615 
Less: Accumulated depreciation and amortization(20,300)(18,754)
Property, equipment, and software, net$19,278 $16,861 
v3.24.2.u1
Intangible Assets and Goodwill (Tables)
 6 Months Ended
Jun. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Intangible Assets
Intangible assets are stated at cost or acquisition-date fair value less accumulated amortization and impairment. The following tables summarize intangible asset balances.
As of June 30, 2024Weighted
Average
Useful Life
(in years)		Intangible
Assets,
gross		Accumulated
Amortization
And
Impairment		Intangible
Assets,
Net
Customer relationships9.0$69,023 $(28,320)$40,703 
Acquired technology5.028,001 (17,404)10,597 
Trademarks and tradenames11.023,443 (7,707)15,736 
Non-compete agreements5.0301 (165)136 
Renewal rights6.09,734 (4,066)5,668 
Insurance licensesIndefinite4,960 — 4,960 
Total intangible assets$135,462 $(57,662)$77,800 
As of December 31, 2023Weighted
Average
Useful Life
(in years)		Intangible
Assets,
gross		Accumulated
Amortization
And
Impairment		Intangible
Assets,
Net
Customer relationships8.0$69,504$(24,153)$45,351
Acquired technology5.036,041(22,358)13,683
Trademarks and tradenames11.023,443(6,701)16,742
Non-compete agreements3.0616(455)161
Value of business acquired1.0400(400)—
Renewal rights6.09,734(3,415)6,319
Insurance licensesIndefinite4,960—4,960
Total intangible assets$144,698$(57,482)$87,216
v3.24.2.u1
Debt (Tables)
 6 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
Schedule of Debt
The following tables summarize outstanding debt as of June 30, 2024, and December 31, 2023.
PrincipalUnaccreted
Discount		Debt
Issuance
Costs		Carrying
Value
Convertible senior notes, due 2026$217,000 $— $(2,612)$214,388 
Convertible senior notes, due 2028333,334 (107,078)(4,003)222,253 
Other notes150 (6)— 144 
Balance as of June 30, 2024$550,484 $(107,084)$(6,615)$436,785 
PrincipalUnaccreted
Discount		Debt
Issuance
Costs		Carrying
Value
Convertible senior notes, due 2026$225,000 $— $(3,311)$221,689 
Convertible senior notes, due 2028333,334 (115,353)(4,312)213,669 
Advance funding arrangement94 — — 94 
Other notes300 (13)— 287 
Balance as of December 31, 2023$558,728 $(115,366)$(7,623)$435,739 
v3.24.2.u1
Stockholders' Equity and Warrants (Tables)
 6 Months Ended
Jun. 30, 2024
Stockholders' Equity Note [Abstract]  
Summary of Fully Diluted Capital Structure
The following table summarizes our fully diluted capital structure.
June 30,
2024		December 31,
2023
Outstanding common shares (1)
104,52597,061
Common shares reserved for future issuance:
Private warrants1,7961,796
Stock options (Note 9)3,2703,642
Restricted and performance stock units and awards (Note 9)15,60912,065
2020 Equity Plan pool reserved for future issuance (Note 9)6,6928,009
Convertible senior notes, due 2026 (2)
8,6798,999
Convertible senior notes, due 202813,33213,332
Contingently issuable shares in connection with acquisitions (3)
—5,908
Total shares of common stock outstanding and reserved for future issuance153,903150,812
______________________________________
(1)Includes 4.5 million shares of common stock held by HOA.
(2)In connection with the September 16, 2021, issuance of the 2026 Notes, we used a portion of the proceeds to pay for the capped call transactions, which are expected to generally reduce the potential dilution to our common stock. The capped call transactions impact the number of shares that may be issued by effectively increasing our conversion price from $25 per share to approximately $37.74, which would result in approximately 6 million potentially dilutive shares instead of the shares reported in this table as of June 30, 2024.
(3)In connection with the acquisition of Floify, we issued shares as partial closing consideration and guaranteed that the value of those shares would equal or exceed 200% of such price on or prior to December 31, 2024. If the value of those shares did not equal or exceed 200% of their value, we would have been obligated to settle any differences in cash, Porch common stock, or combination thereof. On March 27, 2024, we entered into a settlement agreement to settle a post-closing dispute. As part of this agreement, the sellers of Floify agreed to terminate this obligation in full.
v3.24.2.u1
Stock-Based Compensation (Tables)
 6 Months Ended
Jun. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock-Based Compensation Expense
The following table summarizes the classification of stock-based compensation expense in the unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss.
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Selling and marketing$710 $896 $1,404 $1,941 
Product and technology1,426 1,254 2,521 2,703 
General and administrative4,969 4,254 8,548 8,654 
Total stock-based compensation expense$7,105 $6,404 $12,473 $13,298 
Schedule of Related to Stock Option, RSU and PRSU Activity
The following table summarizes Equity Award activity for the six months ended June 30, 2024:
Number of
Options 		Number of
Restricted
Stock Units		Number of
Performance
Restricted
Stock Units
Balances as of December 31, 20233,6428,3103,754
Granted—4,8052,569
Vested—(2,922)—
Exercised(328)——
Forfeited, canceled or expired(44)(886)(23)
Balances as of June 30, 20243,2709,3086,301
v3.24.2.u1
Reinsurance (Tables)
 6 Months Ended
Jun. 30, 2024
Reinsurance Disclosures [Abstract]  
Schedule of Effects of Reinsurance on Premiums Written, Earned, Incurred Losses and LAE
The effects of reinsurance on premiums written and earned for the three and six months ended June 30, 2024 and 2023, were as follows:
Three Months Ended June 30,
20242023
WrittenEarnedWrittenEarned
Direct premiums$109,716$102,345$121,540$116,397
Ceded premiums(59,857)(40,518)(67,387)(72,166)
Net premiums$49,859$61,827$54,153$44,231
Six Months Ended June 30,
20242023
WrittenEarnedWrittenEarned
Direct premiums$184,820 $210,933 $218,413 $231,221 
Ceded premiums(90,186)(76,881)(65,121)(146,840)
Net premiums$94,634 $134,052 $153,292 $84,381 

The effects of reinsurance on incurred losses and loss adjustment expense (“LAE”) for the three and six months ended June 30, 2024 and 2023, were as follows:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Direct losses and LAE$110,210 $137,591 $189,626 $227,606 
Ceded losses and LAE(26,060)(66,442)(36,543)(113,598)
Net losses and LAE$84,150 $71,149 $153,083 $114,008 
Schedule of Reinsurance Balances Due
The detail of reinsurance balances due is as follows:
June 30,
2024		December 31,
2023
Ceded unearned premium$58,045 $50,697 
Losses and LAE reserve26,231 19,911 
Reinsurance recoverable20,334 12,629 
Other120 345 
Reinsurance balance due$104,730 $83,582 
v3.24.2.u1
Unpaid Losses and Loss Adjustment Reserve (Tables)
 6 Months Ended
Jun. 30, 2024
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]  
Schedule of Changes in the Reserve Balances for Unpaid Losses and LAE, Gross of Reinsurance
The following table summarizes the changes in the reserve balances for unpaid losses and LAE, gross of reinsurance, for the six months ended June 30, 2024:
Reserve for unpaid losses and LAE at December 31, 2023$95,503
Reinsurance recoverables on losses and LAE at December 31, 2023(19,808)
Reserve for unpaid losses and LAE reserve, net of reinsurance recoverables at December 31, 202375,695
Add provisions (reductions) for losses and LAE occurring in:
Current year152,130
Prior years (1)
953
Net incurred losses and LAE during the current year153,083
Deduct payments for losses and LAE occurring in:
Current year(72,485)
Prior years (1)
(49,305)
Net claim and LAE payments during the current year (121,790)
Reserve for losses and LAE, net of reinsurance recoverables at June 30, 2024106,988
Reinsurance recoverables on losses and LAE at June 30, 2024(26,232)
Reserve for unpaid losses and LAE at June 30, 2024$133,220
______________________________________
(1)Also includes certain charges related to Vesttoo (see Note 10).
v3.24.2.u1
Other Income (Expense), Net (Tables)
 6 Months Ended
Jun. 30, 2024
Other Income and Expenses [Abstract]  
Schedule of Other Income (Expense), Net
The following table details the components of other income, net, on the Condensed Consolidated Statements of Operations and Comprehensive Loss:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Interest income$360 $1,377 $794 $2,097 
Gain on settlement of contingent consideration— — 14,930 — 
Loss on sale of business(87)— (5,331)— 
Recoveries of losses on reinsurance contracts924 — 13,494 — 
Other, net1,203 201 1,191 243 
Other income, net$2,400 $1,578 $25,078 $2,340 
v3.24.2.u1
Segment Information (Tables)
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Schedule of Revenue by Segment
The following table summarizes revenue by segment.
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Vertical Software$32,593 $34,435 $60,088 $63,062 
Insurance78,251 64,330 166,199 123,072 
Total revenue$110,844 $98,765 $226,287 $186,134 
Schedule of Financial Information of Reportable Segments and Reconciliations to Consolidated Financial Information
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Segment Adjusted EBITDA (Loss):
Vertical Software$4,778 $1,816 $5,901 $1,420 
Insurance(27,320)(31,181)(30,205)(38,366)
Subtotal(22,542)(29,365)(24,304)(36,946)
Reconciling items:
Corporate and other(12,231)(13,769)(27,257)(28,070)
Depreciation and amortization(6,202)(6,214)(12,519)(12,229)
Stock-based compensation expense(7,105)(6,404)(12,473)(13,298)
Restructuring costs (1)
(1,635)(1,093)(1,792)(2,077)
Other non-operating income(1,696)— (2,872)— 
Acquisition and other transaction costs12 (258)(166)(386)
Impairment loss on intangible assets and goodwill— (55,211)— (57,232)
Recovery of (loss on) reinsurance contract (see Note 10)1,095 (48,244)1,106 (48,244)
Impairment loss on property, equipment and software— (254)— (254)
Change in fair value of contingent consideration1,351 2,656 300 2,810 
Investment income and realized gains(3,526)(1,249)(7,170)(2,007)
Operating loss$(52,479)$(159,405)$(87,147)$(197,933)
______________________________________
(1)Primarily consists of costs related to forming a reciprocal exchange.
v3.24.2.u1
Net Loss Per Share (Tables)
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Schedule of Earnings per Share, Basic and Diluted
The following table summarizes the computation of basic and diluted net loss attributable per share to common stockholders for the three and six months ended June 30, 2024 and 2023:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Numerator:
Net loss used to compute net loss per share - basic and diluted$(64,323)$(86,963)$(77,685)$(125,703)
Denominator:
Weighted average shares outstanding used to compute net loss used to compute net loss per share - basic and diluted99,19395,73298,35395,472
Net loss per share - basic and diluted$(0.65)$(0.91)$(0.79)$(1.32)
Schedule of Antidilutive Securities Excluded from Computation of Earnings per Share
The following table discloses securities that were not included in the computation of diluted net loss per share because to do so would have been antidilutive for the periods presented:
Three Months Ended June 30,Six Months Ended June 30,
2024202320242023
Stock options3,2703,7173,2703,717
Restricted stock units and awards9,3089,1899,3089,189
Performance restricted stock units6,3014,0566,3014,056
Public and private warrants1,7961,7961,7961,796
Earnout shares (1)
—2,050—2,050
Convertible debt (2)
22,01122,33122,01122,331
Contingently issuable shares in connection with acquisitions (3)
—13,970—13,970
______________________________________
(1)Earnout shares expired December 23, 2023, without vesting and were subsequently cancelled.
(2)In connection with the September 16, 2021, issuance of the 2026 Notes, we used a portion of the proceeds to pay for the capped call transactions, which are expected to generally reduce the potential dilution to our common stock. The capped call transactions impact the number of shares that may be issued by effectively increasing our conversion price from $25 per share to approximately $37.74, which would result in approximately 6 million potentially dilutive shares instead of the shares reported in this table as of June 30, 2024.
(3)In connection with the acquisition of Floify, we issued shares as partial closing consideration and guaranteed that the value of those shares would equal or exceed 200% of such price on or prior to December 31, 2024. If the value of those shares did not equal or exceed 200% of their value, we would have been obligated to settle any differences in cash, Porch common stock, or combination thereof. On March 27, 2024, we entered into a settlement agreement to settle a post-closing dispute. As part of this agreement, the sellers of Floify agreed to terminate this obligation in full.
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies - Description of Business (Details)
company in Thousands
 6 Months Ended
Jun. 30, 2024
segment
company
Accounting Policies [Abstract]  
Number of companies, service provided | company 29
Number of reportable segments 2
Number of operating segments 2
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies - Concentrations (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2024
USD ($)
bank
Concentration Risk [Line Items]  
Number of commercial banks | bank 5
Cash and Cash Equivalents  
Concentration Risk [Line Items]  
Cash in bank | $ $ 246.7
Accounts Receivable | Customer Concentration Risk | Customer One  
Concentration Risk [Line Items]  
Percentage of total 10.00%
Accounts Receivable | Customer Concentration Risk | Customer Two  
Concentration Risk [Line Items]  
Percentage of total 10.00%
Accounts Receivable | Customer Concentration Risk | Customer Three  
Concentration Risk [Line Items]  
Percentage of total 10.00%
Accounts Receivable | Customer Concentration Risk | Customer Four  
Concentration Risk [Line Items]  
Percentage of total 10.00%
Accounts Receivable | Customer Concentration Risk | Top Four Reinsurers  
Concentration Risk [Line Items]  
Percentage of total 67.00%
Revenue Benchmark | Geographic Concentration Risk | Customers In Texas  
Concentration Risk [Line Items]  
Percentage of total 71.00%
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies - Cash and Cash Equivalents (Details)
$ in Millions
Jun. 30, 2024
USD ($)
state
Dec. 31, 2023
USD ($)
state
Accounting Policies [Abstract]    
Restricted cash equivalents $ 1.8  
Restricted cash pledged against obligations to policyholders and creditors 1.6 $ 1.3
Restricted funds held for payment of possible warranty claims $ 6.7 $ 7.3
Number of states regulatory guidelines of warranty claims | state 21 19
Indemnification hold back cost $ 1.0 $ 1.9
Restricted cash pledged as collateral   $ 28.3
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies - Cash and Cash Equivalents Table (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Jun. 30, 2023
Dec. 31, 2022
Accounting Policies [Abstract]        
Cash and cash equivalents $ 274,246 $ 258,418    
Restricted cash and cash equivalents 11,119 38,814    
Cash, cash equivalents, and restricted cash $ 285,365 $ 297,232 $ 304,850 $ 228,605
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies - Accounts Receivable and Long term Insurance Commissions Receivable (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Accounting Policies [Abstract]    
Allowance for uncollectible receivables $ 0.7 $ 0.6
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies - Deferred Policy Acquisition Costs (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Accounting Policies [Abstract]        
Amortization expense $ 10.0 $ 9.3 $ 23.1 $ 18.6
v3.24.2.u1
Description of Business and Summary of Significant Accounting Policies - Other Insurance Liabilities, Current (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Accounting Policies [Abstract]    
Ceded reinsurance premiums payable $ 35,589 $ 10,500
Commissions payable, reinsurers and agents 7,124 4,650
Advance premiums 16,504 5,975
Funds held under reinsurance treaty 6,406 9,820
General and accrued expenses payable 1,577 640
Other insurance liabilities, current $ 67,200 $ 31,585
v3.24.2.u1
Revenue - Disaggregation of Revenue (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Disaggregation of Revenue [Line Items]        
Total revenue $ 110,844 $ 98,765 $ 226,287 $ 186,134
Vertical Software segment        
Disaggregation of Revenue [Line Items]        
Revenue 32,593 34,435 60,088 63,062
Insurance segment        
Disaggregation of Revenue [Line Items]        
Total Insurance segment revenue 78,251 64,330 166,199 123,072
Software and service subscriptions | Vertical Software segment        
Disaggregation of Revenue [Line Items]        
Revenue 18,253 17,524 35,189 34,333
Move-related transactions | Vertical Software segment        
Disaggregation of Revenue [Line Items]        
Revenue 9,504 12,246 15,978 20,015
Post-move transactions | Vertical Software segment        
Disaggregation of Revenue [Line Items]        
Revenue 4,836 4,665 8,921 8,714
Insurance and warranty premiums, commissions and policy fees | Insurance segment        
Disaggregation of Revenue [Line Items]        
Total Insurance segment revenue 78,251 64,330 166,199 123,072
Revenue not from contract with customer $ 72,500 $ 54,800 $ 155,900 $ 105,000
v3.24.2.u1
Revenue - Contract Assets (Details)
$ in Thousands
 6 Months Ended
Jun. 30, 2024
USD ($)
Contract With Customer, Asset, After Allowance For Credit Loss, Current [Roll Forward]  
Balance at December 31, 2023 $ 17,393
Estimated lifetime value of commissions on insurance policies sold by carriers 648
Cash receipts (309)
Value of commissions sold with business disposition (Note 15) (16,982)
Balance at June 30, 2024 $ 750
v3.24.2.u1
Revenue - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Disaggregation of Revenue [Line Items]          
Contract assets expected to be collected in 12 months $ 750   $ 750   $ 17,393
Contract assets expected to be collected after 12 months 500   500   13,400
Deferred revenue 223,202   223,202   248,683
Current refundable customer deposits related to outstanding extended service contracts 14,400   14,400   17,900
Refundable customer deposits related to amounts received in advance of warranty services provided, current 3,600   3,600   3,900
Refundable customer deposits related to amounts received in advance of warranty services provided, noncurrent 2,600   2,600   2,900
Warranty claims expense 1,700 $ 1,300 3,300 $ 2,500  
Insurance segment          
Disaggregation of Revenue [Line Items]          
Deferred revenue 218,900   218,900   245,000
Vertical Software segment          
Disaggregation of Revenue [Line Items]          
Revenue recognized for performance obligations 4,274   4,274   3,715
Accounts Receivable Current          
Disaggregation of Revenue [Line Items]          
Contract assets expected to be collected in 12 months $ 200   $ 200   $ 4,000
v3.24.2.u1
Revenue - Contract Liabilities - Activity Impacting Deferred Revenue (Details) - Vertical Software segment
$ in Thousands
 6 Months Ended
Jun. 30, 2024
USD ($)
Change in Contract with Customer, Liability  
Balance at December 31, 2023 $ 3,715
Revenue recognized (9,748)
Additional amounts deferred 10,307
Balance at June 30, 2024 $ 4,274
v3.24.2.u1
Investments - Investment Income, Realized and Unrealized Gains and Losses on Investments (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Investments [Abstract]        
Investment income, net of investment expenses $ 3,574 $ 1,278 $ 7,238 $ 2,103
Realized gains on investments 26 7 40 11
Realized losses on investments (74) (36) (108) (107)
Investment income and realized gains, net of investment expenses $ 3,526 $ 1,249 $ 7,170 $ 2,007
v3.24.2.u1
Investments - Amortized Cost, Fair Value and Unrealized Gains and (Losses) (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Net Investment Income [Line Items]    
Amortized Cost $ 140,435 $ 143,036
Gross unrealized, gains 202 791
Gross unrealized, losses (5,076) (4,651)
Fair Value 135,561 139,176
U.S. Treasuries    
Net Investment Income [Line Items]    
Amortized Cost 36,683 43,931
Gross unrealized, gains 17 95
Gross unrealized, losses (436) (330)
Fair Value 36,264 43,696
Obligations of states, municipalities and political subdivisions    
Net Investment Income [Line Items]    
Amortized Cost 18,689 18,281
Gross unrealized, gains 15 100
Gross unrealized, losses (983) (961)
Fair Value 17,721 17,420
Corporate bonds    
Net Investment Income [Line Items]    
Amortized Cost 53,327 51,678
Gross unrealized, gains 118 430
Gross unrealized, losses (2,283) (2,067)
Fair Value 51,162 50,041
Residential and commercial mortgage-backed securities    
Net Investment Income [Line Items]    
Amortized Cost 27,470 25,452
Gross unrealized, gains 45 153
Gross unrealized, losses (1,108) (1,004)
Fair Value 26,407 24,601
Other loan-backed and structured securities    
Net Investment Income [Line Items]    
Amortized Cost 4,266 3,694
Gross unrealized, gains 7 13
Gross unrealized, losses (266) (289)
Fair Value $ 4,007 $ 3,418
v3.24.2.u1
Investments - Amortized Cost and Fair Value of Securities by Contractual Maturity (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Amortized Cost    
Due in one year or less $ 32,773  
Due after one year through five years 41,786  
Due after five years through ten years 24,472  
Due after ten years 9,668  
Amortized Cost 140,435 $ 143,036
Fair Value    
Due in one year or less 32,636  
Due after one year through five years 40,712  
Due after five years through ten years 22,643  
Due after ten years 9,156  
Fair Value 135,561 139,176
Residential and commercial mortgage-backed securities    
Amortized Cost    
Without single maturity date 27,470  
Amortized Cost 27,470 25,452
Fair Value    
Without single maturity date 26,407  
Fair Value 26,407 24,601
Other loan-backed and structured securities    
Amortized Cost    
Without single maturity date 4,266  
Amortized Cost 4,266 3,694
Fair Value    
Without single maturity date 4,007  
Fair Value $ 4,007 $ 3,418
v3.24.2.u1
Investments - Securities With Gross Unrealized Loss Position (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Net Investment Income [Line Items]    
Less than twelve months, gross unrealized loss $ (4,149) $ (3,693)
Less than twelve months, fair value 84,200 53,357
Twelve months or greater, gross unrealized loss (927) (958)
Twelve months or greater, fair value 9,218 9,955
Gross Unrealized Loss (5,076) (4,651)
Fair Value 93,418 63,312
U.S. Treasuries    
Net Investment Income [Line Items]    
Less than twelve months, gross unrealized loss (383) (280)
Less than twelve months, fair value 18,392 12,345
Twelve months or greater, gross unrealized loss (53) (50)
Twelve months or greater, fair value 525 515
Gross Unrealized Loss (436) (330)
Fair Value 18,917 12,860
Obligations of states, municipalities and political subdivisions    
Net Investment Income [Line Items]    
Less than twelve months, gross unrealized loss (839) (813)
Less than twelve months, fair value 12,492 8,445
Twelve months or greater, gross unrealized loss (144) (148)
Twelve months or greater, fair value 1,609 1,639
Gross Unrealized Loss (983) (961)
Fair Value 14,101 10,084
Corporate bonds    
Net Investment Income [Line Items]    
Less than twelve months, gross unrealized loss (1,964) (1,698)
Less than twelve months, fair value 33,467 21,104
Twelve months or greater, gross unrealized loss (319) (369)
Twelve months or greater, fair value 4,129 4,677
Gross Unrealized Loss (2,283) (2,067)
Fair Value 37,596 25,781
Residential and commercial mortgage-backed securities    
Net Investment Income [Line Items]    
Less than twelve months, gross unrealized loss (705) (621)
Less than twelve months, fair value 16,438 8,673
Twelve months or greater, gross unrealized loss (403) (383)
Twelve months or greater, fair value 2,904 3,072
Gross Unrealized Loss (1,108) (1,004)
Fair Value 19,342 11,745
Other loan-backed and structured securities    
Net Investment Income [Line Items]    
Less than twelve months, gross unrealized loss (258) (281)
Less than twelve months, fair value 3,411 2,790
Twelve months or greater, gross unrealized loss (8) (8)
Twelve months or greater, fair value 51 52
Gross Unrealized Loss (266) (289)
Fair Value $ 3,462 $ 2,842
v3.24.2.u1
Investments - Narrative (Details)
$ in Thousands
Jun. 30, 2024
USD ($)
security
Dec. 31, 2023
USD ($)
security
Net Investment Income [Line Items]    
Short-term investments $ 34,152 $ 35,588
Long-term investments $ 101,409 $ 103,588
Number of securities in an unrealized loss position | security 530 410
Unrealized loss position for 12 months or longer | security 78  
Investments Held By Captive Reinsurance Business    
Net Investment Income [Line Items]    
Investments $ 37,500  
Short-term investments 5,200  
Long-term investments $ 32,300  
v3.24.2.u1
Fair Value - Schedule of Fair Value Measurements of Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: $ 135,561 $ 139,176
Assets 299,872 304,920
Liabilities 38,205 47,737
U.S. Treasuries    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 36,264 43,696
Obligations of states, municipalities and political subdivisions    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 17,721 17,420
Corporate bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 51,162 50,041
Residential and commercial mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 26,407 24,601
Other loan-backed and structured securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 4,007 3,418
Contingent consideration - business combination    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 3,225 18,455
Contingent consideration - business combination | Accrued Expenses And Other Current Liabilities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 900 14,800
Contingent consideration - business combination | Other Liabilities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 2,400 3,700
Private warrant liability    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 125 1,151
Embedded derivatives    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 34,855 28,131
Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets 200,575 209,440
Liabilities 0 0
Level 1 | U.S. Treasuries    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 36,264 43,696
Level 1 | Obligations of states, municipalities and political subdivisions    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 1 | Corporate bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 1 | Residential and commercial mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 1 | Other loan-backed and structured securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 1 | Contingent consideration - business combination    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 0 0
Level 1 | Private warrant liability    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 0 0
Level 1 | Embedded derivatives    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 0 0
Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets 99,297 95,480
Liabilities 0 0
Level 2 | U.S. Treasuries    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 2 | Obligations of states, municipalities and political subdivisions    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 17,721 17,420
Level 2 | Corporate bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 51,162 50,041
Level 2 | Residential and commercial mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 26,407 24,601
Level 2 | Other loan-backed and structured securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 4,007 3,418
Level 2 | Contingent consideration - business combination    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 0 0
Level 2 | Private warrant liability    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 0 0
Level 2 | Embedded derivatives    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 0 0
Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets 0 0
Liabilities 38,205 47,737
Level 3 | U.S. Treasuries    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 3 | Obligations of states, municipalities and political subdivisions    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 3 | Corporate bonds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 3 | Residential and commercial mortgage-backed securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 3 | Other loan-backed and structured securities    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Debt securities: 0 0
Level 3 | Contingent consideration - business combination    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 3,225 18,455
Level 3 | Private warrant liability    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 125 1,151
Level 3 | Embedded derivatives    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Liabilities 34,855 28,131
Money market mutual funds    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Money market mutual funds 164,311 165,744
Money market mutual funds | Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Money market mutual funds 164,311 165,744
Money market mutual funds | Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Money market mutual funds 0 0
Money market mutual funds | Level 3    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Money market mutual funds $ 0 $ 0
v3.24.2.u1
Fair Value - Additional Information (Details)
$ in Thousands
 6 Months Ended
Jun. 30, 2024
USD ($)
$ / shares
Dec. 31, 2023
USD ($)
$ / shares
Repurchase option    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Minimum principal remains outstanding on June 14, 2026 for repurchase $ 30,000  
Redemption price, principal amount $ 1  
Percentage of repurchase price on principal amount of the notes to be repurchased, plus accrued interest 106.50%  
Fundamental change option    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Redemption price, principal amount $ 1  
Percentage of repurchase price on principal amount of the notes to be repurchased, plus accrued interest 105.25%  
Asset sale repurchase option    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Percentage of repurchase price on principal amount of the notes to be repurchased, plus accrued interest 100.00%  
Minimum amount of aggregate net cash sales proceeds required for repurchase $ 2,500  
Percentage of aggregate net cash sales proceeds applied for repurchase 50.00%  
Aggregate net cash sale proceed threshold for repurchase of notes $ 20,000  
Remaining asset sale threshold 9,100  
Minimum | Asset sale repurchase option    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Aggregate net cash sale proceed threshold for repurchase of notes 0  
Convertible senior notes, due 2026    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Convertible senior notes, fair value 115,800 $ 73,100
Convertible senior notes, due 2028    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Convertible senior notes, fair value $ 226,700 $ 196,700
Share price | Private warrant liability    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Warrants, measurement input | $ / shares 1.51 3.08
Price volatility | Private warrant liability    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Warrants, measurement input 0.93 0.95
Exercise price | Private warrant liability    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Warrants, measurement input | $ / shares 11.50 11.50
Expected term | Private warrant liability    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Warrants term 1 year 5 months 23 days 1 year 11 months 23 days
Probabilities of a repurchase | Minimum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Measurement input 0.07  
Probabilities of a repurchase | Maximum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Measurement input 0.35  
Fundamental change | Minimum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Measurement input 0.07  
Fundamental change | Maximum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Measurement input 0.35  
Qualifying asset sales | Minimum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Measurement input 0.07  
Qualifying asset sales | Maximum    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Measurement input 0.35  
Discounted cashflows method | Residential warranty services    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Contingent consideration fair value $ 3,200 $ 4,400
Discounted cashflows method | Residential warranty services | Discount rate    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Contingent consideration, measurement input 0.17 0.17
v3.24.2.u1
Fair Value - Level 3 (Details) - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Contingent consideration - earnout    
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Beginning balance   $ 44
Additions   0
Settlements   0
Change in fair value, loss (gain) included in net loss   0
Ending balance   44
Contingent consideration - business combination    
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Beginning balance $ 18,455 24,546
Additions   0
Settlements (14,930) (408)
Change in fair value, loss (gain) included in net loss (300) (2,810)
Ending balance 3,225 21,328
Embedded derivatives    
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Beginning balance 28,131 0
Additions   23,870
Settlements 0 0
Change in fair value, loss (gain) included in net loss 6,724 2,950
Ending balance 34,855 26,820
Private warrant liability    
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Beginning balance 1,151 707
Additions   0
Settlements 0 0
Change in fair value, loss (gain) included in net loss (1,026) (360)
Ending balance $ 125 $ 347
v3.24.2.u1
Property, Equipment, and Software - Schedule of Property, Equipment, and Software, Net (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Property, Plant and Equipment [Line Items]    
Property, equipment, and software, gross $ 39,578 $ 35,615
Less: Accumulated depreciation and amortization (20,300) (18,754)
Property, equipment, and software, net 19,278 16,861
Software and computer equipment    
Property, Plant and Equipment [Line Items]    
Property, equipment, and software, gross 8,279 8,340
Furniture, office equipment, and other    
Property, Plant and Equipment [Line Items]    
Property, equipment, and software, gross 1,489 1,573
Internally developed software    
Property, Plant and Equipment [Line Items]    
Property, equipment, and software, gross 28,570 24,526
Leasehold improvements    
Property, Plant and Equipment [Line Items]    
Property, equipment, and software, gross $ 1,240 $ 1,176
v3.24.2.u1
Property, Equipment, and Software - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Property, Plant and Equipment [Line Items]        
Depreciation and amortization $ 6,202 $ 6,214 $ 12,519 $ 12,229
Property equipment software        
Property, Plant and Equipment [Line Items]        
Depreciation and amortization $ 1,500 $ 1,200 $ 3,100 $ 2,400
v3.24.2.u1
Intangible Assets and Goodwill (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Intangible Assets and Goodwill    
Accumulated Amortization And Impairment $ (57,662) $ (57,482)
Intangible Assets, gross 135,462 144,698
Intangible assets, net 77,800 87,216
Insurance licenses    
Intangible Assets and Goodwill    
Indefinite-lived intangible assets $ 4,960 $ 4,960
Customer relationships    
Intangible Assets and Goodwill    
Weighted Average Useful Life (in years) 9 years 8 years
Intangible Assets, gross $ 69,023 $ 69,504
Accumulated Amortization And Impairment (28,320) (24,153)
Intangible Assets, Net $ 40,703 $ 45,351
Acquired technology    
Intangible Assets and Goodwill    
Weighted Average Useful Life (in years) 5 years 5 years
Intangible Assets, gross $ 28,001 $ 36,041
Accumulated Amortization And Impairment (17,404) (22,358)
Intangible Assets, Net $ 10,597 $ 13,683
Trademarks and tradenames    
Intangible Assets and Goodwill    
Weighted Average Useful Life (in years) 11 years 11 years
Intangible Assets, gross $ 23,443 $ 23,443
Accumulated Amortization And Impairment (7,707) (6,701)
Intangible Assets, Net $ 15,736 $ 16,742
Non-compete agreements    
Intangible Assets and Goodwill    
Weighted Average Useful Life (in years) 5 years 3 years
Intangible Assets, gross $ 301 $ 616
Accumulated Amortization And Impairment (165) (455)
Intangible Assets, Net $ 136 $ 161
Value of business acquired    
Intangible Assets and Goodwill    
Weighted Average Useful Life (in years)   1 year
Intangible Assets, gross   $ 400
Accumulated Amortization And Impairment   (400)
Intangible Assets, Net   $ 0
Renewal rights    
Intangible Assets and Goodwill    
Weighted Average Useful Life (in years) 6 years 6 years
Intangible Assets, gross $ 9,734 $ 9,734
Accumulated Amortization And Impairment (4,066) (3,415)
Intangible Assets, Net $ 5,668 $ 6,319
v3.24.2.u1
Intangible Assets and Goodwill - Additional Information (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]          
Aggregate amortization expense $ 4,700,000 $ 4,900,000 $ 9,400,000 $ 9,800,000  
Goodwill $ 191,907,000   191,907,000   $ 191,907,000
Goodwill, period increase (decrease)     $ 0    
v3.24.2.u1
Debt - Outstanding Debt (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Debt    
Principal $ 550,484 $ 558,728
Unaccreted Discount (107,084) (115,366)
Debt Issuance Costs (6,615) (7,623)
Carrying Value 436,785 435,739
Convertible senior notes, due 2026    
Debt    
Principal 217,000 225,000
Unaccreted Discount 0 0
Debt Issuance Costs (2,612) (3,311)
Carrying Value 214,388 221,689
Convertible senior notes, due 2028    
Debt    
Principal 333,334 333,334
Unaccreted Discount (107,078) (115,353)
Debt Issuance Costs (4,003) (4,312)
Carrying Value 222,253 213,669
Advance funding arrangement    
Debt    
Principal   94
Unaccreted Discount   0
Debt Issuance Costs   0
Carrying Value   94
Other notes    
Debt    
Principal 150 300
Unaccreted Discount (6) (13)
Debt Issuance Costs 0 0
Carrying Value $ 144 $ 287
v3.24.2.u1
Debt - Convertible Senior Notes (Details) - USD ($)
$ in Thousands
 1 Months Ended 3 Months Ended 6 Months Ended
Feb. 29, 2024
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Debt          
Interest costs capitalized   $ (100)   $ (200)  
Gain on extinguishment of debt   $ 0 $ 81,354 $ 4,891 $ 81,354
Convertible senior notes, due 2026          
Debt          
Interest rate (stated)   0.75%   0.75%  
Interest expense   $ 700 900 $ 1,400 2,200
Effective interest rate   1.30%   1.30%  
Repurchased face amount $ 8,000        
Repayment amount $ 3,000        
Payment for debt extinguishment, par value 37.50%        
Gain on extinguishment of debt $ 4,900        
Senior Secured Convertible Notes 6.75% due 2028          
Debt          
Interest rate (stated)   6.75%   6.75%  
Interest expense   $ 9,900 7,300 $ 19,800 7,300
Effective interest rate   17.90%   17.90%  
Contractual interest expense   $ 5,600 4,400 $ 11,300 4,400
Amortization of debt issuance costs and discount   $ 4,300 $ 2,900 $ 8,600 $ 2,900
v3.24.2.u1
Debt - Advance Funding Arrangement (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Debt Instrument [Line Items]        
Interest expense $ 10,326,000 $ 8,775,000 $ 21,113,000 $ 10,963,000
Advance funding arrangement        
Debt Instrument [Line Items]        
Interest rate (stated) 14.00%   14.00%  
Interest expense     $ 0  
v3.24.2.u1
Stockholders' Equity and Warrants - Common Shares Outstanding and Common Stock Equivalents (Details)
shares in Thousands
 6 Months Ended
Jun. 30, 2024
$ / shares
shares
Jun. 26, 2024
shares
Dec. 31, 2023
shares
Sep. 16, 2021
$ / shares
Common Stock and Redeemable Convertible Preferred Stock        
Issued and outstanding common shares (in shares) 104,525   97,061  
Common shares reserved for future issuance:        
Total shares of common stock outstanding and reserved for future issuance (in shares) 153,903   150,812  
Contributions to subsidiary (in shares)   4,500    
Shares issued, guarantee, value threshold 2      
Convertible senior notes, due 2026        
Common shares reserved for future issuance:        
Total shares of common stock outstanding and reserved for future issuance (in shares) 8,679   8,999  
Capped call transactions, strike price (per unit) | $ / shares $ 37.74     $ 25
Incremental common shares attributable to dilutive effect of call options and warrants (in shares) 6,000      
Convertible senior notes, due 2028        
Common shares reserved for future issuance:        
Total shares of common stock outstanding and reserved for future issuance (in shares) 13,332   13,332  
Restricted Stock Units (RSUs)        
Common shares reserved for future issuance:        
Total shares of common stock outstanding and reserved for future issuance (in shares) 15,609   12,065  
Contingent consideration - business combination        
Common shares reserved for future issuance:        
Contingently issuable shares in connection with acquisitions (in shares) 0   5,908  
2020 Stock Incentive Plan        
Common shares reserved for future issuance:        
Total shares of common stock outstanding and reserved for future issuance (in shares) 6,692   8,009  
Private warrants        
Common shares reserved for future issuance:        
Total shares of common stock outstanding and reserved for future issuance (in shares) 1,796   1,796  
Stock options        
Common shares reserved for future issuance:        
Total shares of common stock outstanding and reserved for future issuance (in shares) 3,270   3,642  
v3.24.2.u1
Stockholders' Equity and Warrants - Narrative (Details) - shares
shares in Millions
Jun. 30, 2024
Jun. 26, 2024
Dec. 31, 2023
Stockholders' Equity Note [Abstract]      
Contributions to subsidiary (in shares)   4.5  
Warrants outstanding (in shares) 1.8   1.8
v3.24.2.u1
Stock-Based Compensation - Plan (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Stock-Based Compensation        
Total stock-based compensation expense $ 7,105 $ 6,404 $ 12,473 $ 13,298
Selling and marketing        
Stock-Based Compensation        
Total stock-based compensation expense 710 896 1,404 1,941
Product and technology        
Stock-Based Compensation        
Total stock-based compensation expense 1,426 1,254 2,521 2,703
General and administrative        
Stock-Based Compensation        
Total stock-based compensation expense $ 4,969 $ 4,254 $ 8,548 $ 8,654
v3.24.2.u1
Stock-Based Compensation - RSU and PRSU Activity (Details)
shares in Thousands
 6 Months Ended
Jun. 30, 2024
shares
Stock options  
Number of Options  
Beginning balance (in shares) 3,642
Granted (in shares) 0
Vested (in shares) 0
Exercise (in shares) (328)
Forfeited, canceled or expired (in shares) (44)
Ending balance (in shares) 3,270
Restricted Stock Units (RSUs)  
Number of Restricted Stock Units  
Beginning balance (in shares) 8,310
Granted (in shares) 4,805
Vested (in shares) (2,922)
Exercised (in shares) 0
Forfeited, canceled or expired (in shares) (886)
Ending balance (in shares) 9,308
Performance restricted stock units  
Number of Restricted Stock Units  
Beginning balance (in shares) 3,754
Granted (in shares) 2,569
Vested (in shares) 0
Exercised (in shares) 0
Forfeited, canceled or expired (in shares) (23)
Ending balance (in shares) 6,301
v3.24.2.u1
Stock-Based Compensation - Additional Information (Details) - Performance restricted stock units
 6 Months Ended
Jun. 30, 2024
$ / shares
Stock-Based Compensation  
Weighted average grant date fair value (in dollars per share) $ 5.61
Tranche One  
Stock-Based Compensation  
Award vesting rights, percentage 50.00%
Tranche Two  
Stock-Based Compensation  
Award vesting rights, percentage 100.00%
Tranche Three  
Stock-Based Compensation  
Award vesting rights, percentage 200.00%
v3.24.2.u1
Reinsurance - Additional Information (Details)
$ in Thousands
 1 Months Ended 3 Months Ended 6 Months Ended
Apr. 01, 2024
USD ($)
program
layer
Jan. 19, 2024
Jul. 01, 2023
USD ($)
Jan. 31, 2024
USD ($)
Aug. 31, 2023
USD ($)
layer
Jun. 30, 2023
USD ($)
Jun. 30, 2024
USD ($)
placement
Dec. 31, 2023
USD ($)
Jun. 30, 2023
USD ($)
Reinsurance Retention [Line Items]                  
Reinsurance recoverable             $ 20,334 $ 12,629  
Arrangement term   5 years              
Proceeds from collaborative agreement       $ 25,000          
Proceeds from collaborative agreement, non-refundable             8,700    
Cash recoveries             $ 3,000    
Vesttoo | Homeowners of America Insurance Company                  
Reinsurance Retention [Line Items]                  
Additional premium payments               $ 20,000  
Reinsurance, collateral received from trust                 $ 47,600
Credit loss charge                 $ 48,200
Reinsurance, collateral, line of credit facility     $ 300,000            
Maximum | Vesttoo | Homeowners of America Insurance Company                  
Reinsurance Retention [Line Items]                  
Reinsurance coverage limit           $ 175,000      
Reinsurance Quota Share Program                  
Reinsurance Retention [Line Items]                  
Number of placements for reinsurance programs | placement             3    
Reinsured risk percentage 27.50%                
Number of programs | program 1                
Reinsurance Quota Share Program | Texas                  
Reinsurance Retention [Line Items]                  
Reinsured risk percentage             42.00%    
Reinsurance Quota Share Program | South Carolina                  
Reinsurance Retention [Line Items]                  
Reinsured risk percentage             7.00%    
Reinsurance Quota Share Program | Core program                  
Reinsurance Retention [Line Items]                  
Reinsured risk percentage             9.50%    
Reinsurance Quota Share Program | Core locations outside of Texas                  
Reinsurance Retention [Line Items]                  
Reinsured risk percentage             8.00%    
Reinsurance Quota Share Program | Combined program                  
Reinsurance Retention [Line Items]                  
Reinsured risk percentage             5.00%    
Reinsurance Property Catastrophe Treaties                  
Reinsurance Retention [Line Items]                  
Excess amount retained $ 465,000       $ 440,000        
Number of retention layers for reinsurance policy | layer 5       4        
Reinsurance Property Catastrophe Treaties | Minimum                  
Reinsurance Retention [Line Items]                  
Amount retained $ 45,000       $ 20,000        
Reinsurance Property Catastrophe Treaties | Maximum                  
Reinsurance Retention [Line Items]                  
Amount retained $ 75,000       $ 80,000        
Reinsurance Severe Convective Storm                  
Reinsurance Retention [Line Items]                  
Reinsurance recoverable             $ 30,000    
Amount retained             $ 85,000    
v3.24.2.u1
Reinsurance - Effects of Reinsurance on Premiums Written and Earned (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Reinsurance Disclosures [Abstract]        
Direct premiums, written $ 109,716 $ 121,540 $ 184,820 $ 218,413
Ceded premiums, written (59,857) (67,387) (90,186) (65,121)
Net premiums, written 49,859 54,153 94,634 153,292
Direct premiums, earned 102,345 116,397 210,933 231,221
Ceded premiums, earned (40,518) (72,166) (76,881) (146,840)
Net premiums, earned $ 61,827 $ 44,231 $ 134,052 $ 84,381
v3.24.2.u1
Reinsurance - Effects of Reinsurance on Incurred Losses and LAE (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Reinsurance Disclosures [Abstract]        
Direct losses and LAE $ 110,210 $ 137,591 $ 189,626 $ 227,606
Ceded losses and LAE (26,060) (66,442) (36,543) (113,598)
Net losses and LAE $ 84,150 $ 71,149 $ 153,083 $ 114,008
v3.24.2.u1
Reinsurance - Detail of Reinsurance Balances Due (Details) - USD ($)
$ in Thousands
Jun. 30, 2024
Dec. 31, 2023
Reinsurance balances due:    
Ceded unearned premium $ 58,045 $ 50,697
Losses and LAE reserve 26,231 19,911
Reinsurance recoverable 20,334 12,629
Other 120 345
Reinsurance balance due $ 104,730 $ 83,582
v3.24.2.u1
Unpaid Losses and Loss Adjustment Reserve - Unpaid Losses and LAE Gross (Details)
$ in Thousands
 6 Months Ended
Jun. 30, 2024
USD ($)
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward]  
Reserve for unpaid losses and LAE, beginning balance $ 95,503
Reinsurance recoverable on losses and LAE, beginning balance (19,808)
Reserve for unpaid losses and LAE reserve, net of reinsurance recoverables, beginning balance 75,695
Add provisions (reductions) for losses and LAE occurring in:  
Current year 152,130
Prior years (1) 953
Net incurred losses and LAE during the current year 153,083
Deduct payments for losses and LAE occurring in:  
Current year (72,485)
Prior years (49,305)
Net claim and LAE payments during the current year (121,790)
Reserve for unpaid losses and LAE, net of reinsurance recoverable, ending balance 106,988
Reinsurance recoverable on losses and LAE, ending balance (26,232)
Reserve for unpaid losses and LAE, ending balance $ 133,220
v3.24.2.u1
Unpaid Losses and Loss Adjustment Reserve - Narrative (Details)
$ in Thousands
 6 Months Ended
Jun. 30, 2024
USD ($)
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract]  
Prior year claims and claims adjustment expense $ 953
v3.24.2.u1
Other Income (Expense), Net (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Other Income and Expenses [Abstract]        
Interest income $ 360 $ 1,377 $ 794 $ 2,097
Gain on settlement of contingent consideration 0 0 14,930 0
Loss on sale of business (87) 0 (5,331) 0
Recoveries of losses on reinsurance contracts 924 0 13,494 0
Other, net 1,203 201 1,191 243
Other income, net $ 2,400 $ 1,578 $ 25,078 $ 2,340
v3.24.2.u1
Income Taxes - Narrative (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Income Tax Disclosure [Abstract]        
Income tax benefit (provision) $ (688) $ (29) $ (866) $ 82
Effective income tax rate (1.10%) (0.10%) (1.10%) 0.10%
v3.24.2.u1
Commitment and Contingencies (Details)
Jun. 30, 2024
proceeding
action
Commitments and Contingencies Disclosure [Abstract]  
Number of legal proceedings | proceeding 13
Number of actions in legal proceedings | action 1
v3.24.2.u1
Business Disposition (Details) - USD ($)
$ in Thousands
 6 Months Ended
Jan. 31, 2024
Jun. 30, 2024
Jun. 30, 2023
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Cash proceeds   $ 10,870 $ 0
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Elite Insurance Group (“EIG”)      
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]      
Estimated price $ 12,200    
Cash proceeds 10,900    
Receivables   $ 1,200  
Estimated loss $ 5,300    
v3.24.2.u1
Segment Information - Narrative (Details) - segment
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2024
Segment Reporting Information [Line Items]    
Number of reportable segments   2
Number of operating segments   2
Software And Services | Revenue Benchmark | Product Concentration Risk | Vertical Software segment    
Segment Reporting Information [Line Items]    
Concentration risk, percentage 56.00% 59.00%
Move And Post Move Services | Revenue Benchmark | Product Concentration Risk | Vertical Software segment    
Segment Reporting Information [Line Items]    
Concentration risk, percentage 44.00% 41.00%
v3.24.2.u1
Segment Information - Revenue (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Segment Reporting Information [Line Items]        
Total revenue $ 110,844 $ 98,765 $ 226,287 $ 186,134
Operating Segments        
Segment Reporting Information [Line Items]        
Total revenue 110,844 98,765 226,287 186,134
Vertical Software segment        
Segment Reporting Information [Line Items]        
Revenue 32,593 34,435 60,088 63,062
Vertical Software segment | Operating Segments        
Segment Reporting Information [Line Items]        
Revenue 32,593 34,435 60,088 63,062
Insurance segment        
Segment Reporting Information [Line Items]        
Total Insurance segment revenue 78,251 64,330 166,199 123,072
Insurance segment | Operating Segments        
Segment Reporting Information [Line Items]        
Total Insurance segment revenue $ 78,251 $ 64,330 $ 166,199 $ 123,072
v3.24.2.u1
Segment Information - Consolidated Financial Information (Details) - USD ($)
$ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total segment adjusted EBITDA (loss) $ (22,542) $ (29,365) $ (24,304) $ (36,946)
Reconciling items:        
Corporate and other (12,231) (13,769) (27,257) (28,070)
Depreciation and amortization (6,202) (6,214) (12,519) (12,229)
Stock-based compensation expense (7,105) (6,404) (12,473) (13,298)
Restructuring costs (1,635) (1,093) (1,792) (2,077)
Other non-operating income (1,696) 0 (2,872) 0
Acquisition and other transaction costs 12 (258) (166) (386)
Impairment loss on intangible assets and goodwill 0 (55,211) 0 (57,232)
Reinsurance Recoverable, Allowance for Credit Loss, Recovery (Loss) 1,095 (48,244) 1,106 (48,244)
Impairment loss on property, equipment and software 0 (254) 0 (254)
Change in fair value of contingent consideration 1,351 2,656 300 2,810
Investment income and realized gains (3,526) (1,249) (7,170) (2,007)
Operating loss (52,479) (159,405) (87,147) (197,933)
Vertical Software segment | Operating Segments        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total segment adjusted EBITDA (loss) 4,778 1,816 5,901 1,420
Insurance segment | Operating Segments        
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]        
Total segment adjusted EBITDA (loss) $ (27,320) $ (31,181) $ (30,205) $ (38,366)
v3.24.2.u1
Net Loss Per Share - Computation of Basic and Diluted Net Loss Attributable per Share to Common Stockholders (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Numerator:        
Net loss used to compute net loss per share - basic $ (64,323) $ (86,963) $ (77,685) $ (125,703)
Net loss used to compute net loss per share - diluted $ (64,323) $ (86,963) $ (77,685) $ (125,703)
Denominator:        
Weighted average shares outstanding used to compute net loss used to compute net loss per share - basic (in shares) 99,193 95,732 98,353 95,472
Weighted average shares outstanding used to compute net loss used to compute net loss per share - diluted (in shares) 99,193 95,732 98,353 95,472
Net loss per share - basic (in usd per share) $ (0.65) $ (0.91) $ (0.79) $ (1.32)
Net loss per share - diluted (in usd per share) $ (0.65) $ (0.91) $ (0.79) $ (1.32)
v3.24.2.u1
Net Loss Per Share - Computation of Diluted Net Loss per Antidilutive (Details)
shares in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
$ / shares
shares
Jun. 30, 2023
shares
Jun. 30, 2024
$ / shares
shares
Jun. 30, 2023
shares
Sep. 16, 2021
$ / shares
Net Loss Per Share          
Shares issued, guarantee, value threshold 2   2    
Convertible senior notes, due 2026          
Net Loss Per Share          
Capped call transactions, strike price (per unit) | $ / shares $ 37.74   $ 37.74   $ 25
Incremental common shares attributable to dilutive effect of call options and warrants (in shares)     6,000    
Stock options          
Net Loss Per Share          
Antidilutive securities excluded from computation of earnings per share (in shares) 3,270 3,717 3,270 3,717  
Restricted stock units and awards          
Net Loss Per Share          
Antidilutive securities excluded from computation of earnings per share (in shares) 9,308 9,189 9,308 9,189  
Performance restricted stock units          
Net Loss Per Share          
Antidilutive securities excluded from computation of earnings per share (in shares) 6,301 4,056 6,301 4,056  
Public and private warrants          
Net Loss Per Share          
Antidilutive securities excluded from computation of earnings per share (in shares) 1,796 1,796 1,796 1,796  
Earnout shares          
Net Loss Per Share          
Antidilutive securities excluded from computation of earnings per share (in shares) 0 2,050 0 2,050  
Convertible debt          
Net Loss Per Share          
Antidilutive securities excluded from computation of earnings per share (in shares) 22,011 22,331 22,011 22,331  
Contingent consideration - business combination          
Net Loss Per Share          
Antidilutive securities excluded from computation of earnings per share (in shares) 0 13,970 0 13,970  
v3.24.2.u1
Subsequent Events (Details) - shares
shares in Millions
Jul. 31, 2024
Jun. 26, 2024
Subsequent Events    
Contributions to subsidiary (in shares)   4.5
Subsequent Event | Common Stock    
Subsequent Events    
Contributions to subsidiary (in shares) 13.8