American Coastal Insurance Corp

American Coastal Insurance Corporation announced that its carrier subsidiary American Coastal Insurance Company and AmRisc, LLC have restructured their exclusive managing agency agreement, effective July 1, 2026, to remove the agreement's fixed expiration date. The prior agreement, extended in June 2024, had been scheduled to expire on January 1, 2029. Under the restructured terms, the agreement runs in successive one-year terms that automatically renew, and either party must give 48 months' advance written notice to terminate for convenience, with the agreement remaining in full force through the notice period, so it has no fixed expiration date and stays in effect for a minimum of four years from any such notice. AmRisc has been AmCoastal's exclusive distribution and underwriting partner since 2007, sourcing and underwriting the Florida commercial-residential portfolio, which has been profitable every year since inception, and is also the company's partner in excess and surplus lines. President and CEO Brad Martz said the agreement puts the partnership on a permanent footing and gives shareholders long-term visibility into a franchise that has produced an underwriting profit every year since inception.

American Coastal Insurance outlined its strategy for navigating a softer Florida commercial residential insurance market, emphasizing underwriting discipline, reinsurance protection, and planned expansion into the excess-and-surplus (E&S) market. Gross premiums earned for the first half of 2026 fell to $280 million from $328 million year over year, while net income declined to $41 million from $48 million, but annualized return on equity remained above the company's 20% target at 25%. The company strengthened its catastrophe protection for 2026–2027, securing $1.7 billion in first-event named-windstorm coverage and reducing its retention to $23.5 million, with about $760 million of multiyear protection placed. American Coastal plans to enter the E&S market through its Arizona-based ACES subsidiary, targeting Florida, Texas, and South Carolina business beginning in the second quarter of 2027, and expects its assumed AmRisc E&S book to contribute about $70 million annually. Management also plans to refinance about half of its $150 million senior notes maturing in 2027 and continues to prioritize special dividends as its primary capital-return method.