Company: SLDE
Filing Date: 2025-04-28
Form Type: DRSLTR
Source: 0000950123-25-003800
Chunk: 2

Company: Slide Insurance Holdings, Inc.
Filing Date: 2025-04-28
Form: DRSLTR
Chunk 2
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 Company. The Company is only successful in acquiring a minority of the individually selected policies it seeks to acquire, and the Company has no control over which policies will be transferred to the Company. Toward the end of each selection process, the Company is given a final list of policies that it may select for transfer. The policy combinations are always different from the initial set of policies selected by the Company because some policies are transferred to other insurance companies or declined to be transferred because of the Company’s rates. Because this final list of eligible policies is different than those selected by the Company

| CONFIDENTIAL |

at the start of the process, the Company must reunderwrite the entire policy group again to determine if there are policies that are no longer viable. This process is repeated every time the Company takes a policy from Citizens and each selection date will produce an optimal set of policies to be taken over by the Company based on the unique data and policies that are available at each selection date. While the Company acquired multiple policies at multiple times from Citizens, it sorted through and selected individual policies to acquire as opposed to “blocks of insurance” as referred to in section 2010.6 of the Financial Reporting Manual. Given the highly curated selection process, in order to conclude that the Company acquired a “business” one would have to effectively conclude that each individual policy was a “business”. Section 2010.6 of the FRM provides that: “Acquisitions of blocks of insurance policies by an insurance company . . . . may also be deemed the acquisition of a business because the right to receive future premiums generally indicates continuity of historical revenues.” Similarly, Rule 11-01(d)stipulates that “[a]mong the facts and circumstances which should be considered in evaluating whether an acquisition of a lesser component of an entity constitutes a business are . . . [w]hether the nature of the revenue-producing activity of the component will remain generally the same as before the transaction. . . .” The Company respectfully submits that they will not. Citizens was created by the Florida Legislature in August 2002 as a not-for-profit, tax-exempt,government entity to provide property insurance to eligible Florida property owners unable to find insurance coverage in the private market. By definition, as an insurer of last resort for customers that cannot find coverage in the private market, the rates and coverage of Citizens’ policies are different from what a private insurer such as the Company would offer. Similarly, the rates and coverage are different from the terms the policies acquired by the Company will