American Integrity Insurance Group, Inc.AII
American Integrity Insurance Group, Inc. New Standards Disclosure
Recently Issued and Adopted Accounting Pronouncements
In November 2023, the FASB issued ASU 2023-07 Segment Reporting (Topic 280): Improvements to Reportable
Segment Disclosures, which amended the guidance in ASC 280, Segment Reporting, to require a public entity to
disclose significant segment expenses and other segment items on an annual and interim basis and to provide in
interim periods all disclosures about a reportable segment’s profit of loss and assets that are currently required
annually. Public entities with a single reportable segment are required to provide the new disclosures and all the
disclosures required under ASC 280. The guidance is applied retrospectively to all periods presented in financial
statements, unless it is impracticable. The guidance applies to all public entities and is effective for fiscal years
beginning after December 15, 2023, and for interim periods within fiscal years beginning after December 15, 2024.
The Company adopted ASU 2023-07 for its 2024 year-end. The adoption of the ASU did not have a material impact
on the consolidated financial statements.
In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update
(“ASU”) 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which amended the
guidance in ASC 740 to enhance the transparency and decision-usefulness of income tax disclosures, particularly in
the rate reconciliation table and disclosures about income taxes paid. The guidance applies to all entities subject to
income taxes and permits either prospective or retrospective application. For public business entities, the new
requirements will be effective for annual periods beginning after December 15, 2024. The Company adopted ASU
2023-09 on a prospective basis beginning with the year ended December 31, 2025. The adoption did not have a
material impact on the Company’s consolidated financial condition or results of operations, but resulted in additional
income tax disclosures in the consolidated financial statements.
Recently Issued Accounting Pronouncements Not Yet Adopted
In November 2024, the FASB issued ASU 2024-03, Income Statement – Reporting Comprehensive Income –
Expense Disaggregation Disclosures (Subtopic 220-40). This ASU requires disaggregated disclosure of income
statement expenses, such as employee compensation and depreciation, for public business entities. The ASU does
not change the expense captions an entity presents on the face of the income statement; rather, it requires
disaggregation of certain expense captions into specified categories in disclosures within the footnotes to the
consolidated financial statements. The ASU also requires disclosure of a qualitative description of the amounts
remaining in relevant expense captions that are not separately disaggregated quantitatively. ASU 2024-03 is
effective for all public business entities for fiscal years beginning after December 15, 2026 and interim periods
within fiscal years beginning after December 15, 2027, with early adoption permitted. The Company will adopt the
guidance on December 31, 2027, and is currently assessing the impact of this ASU on the consolidated financial
statements and related disclosures.
In October 2025, the FASB issued ASU No. 2025-06, Intangibles—Goodwill and Other—Internal-Use Software
(Subtopic 350-40): Accounting for and Disclosure of Internally Developed Software, which provides updated
guidance on the recognition, measurement, and disclosure of costs incurred in connection with internally developed
software. The new standard is intended to align accounting practices for software that is developed in-house with
recent advancements in technology and current industry practices. ASU 2025-06 is effective for annual reporting
periods beginning after December 15, 2025, and interim periods within those annual periods. Early adoption is
permitted. The Company is currently evaluating the impact of ASU 2025-06 on its consolidated financial statements
and related disclosures.
In December 2025, the FASB issued ASU No. 2025-11, Interim Reporting (Topic 270): Narrow-Scope
Improvements, which clarifies the guidance in Topic 270 to improve the consistency of interim financial reporting.
The ASU provides a comprehensive list of required interim disclosures and introduces a disclosure principle
requiring entities to disclose events since the end of the last annual reporting period that have a material impact on
the entity. ASU 2025-11 is effective for annual reporting periods beginning after December 15, 2027 and interim
periods within those annual periods. Early adoption is permitted. The Company is currently evaluating the impact of
ASU 2025-11 on its consolidated financial statements and related disclosures.About New Standards Disclosures
New accounting standards disclosures describe recently adopted pronouncements and those not yet effective, along with management's assessment of their expected impact. This section provides an early warning system for upcoming changes to how a company reports its financial results, often years before the new rules take effect.
Key signals: when management describes a not-yet-adopted standard's impact as "material" or "still being evaluated," it signals potential significant changes to reported metrics upon adoption. Watch for standards that affect a company's core operations — for example, revenue recognition changes for software companies or lease accounting changes for retailers with large store footprints. The transition method chosen (full retrospective versus modified retrospective) affects comparability with prior periods. Companies that delay adoption to the latest permitted date may be struggling with implementation complexity. Compare the disclosed impact assessments against peers in the same industry to gauge whether management's expectations are reasonable.