Company: NODK
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001174947-25-001142
Chunk: 48

Company: NI Holdings, Inc.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 48
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 14.19 
  
    Units outstanding at June 30, 2025 
     21,726  
     18.20 

(1)  Represents
the change in PSUs issued based upon the attainment of performance goals established by the Company.

(2) Represents
PSU forfeitures primarily related to the execution of the separation agreements with the former Chief Executive Officer and former Senior
Vice President of Operations.   

The following table shows the impact of PSU activity
to the Company’s financial results:

    Three Months Ended June 30,  
    Six Months Ended June 30, 

    2025  
    2024  
    2025  
    2024 
  
    PSU compensation expense 
    $11  
    $184  
    $28  
    $369 
  
    Income tax benefit 
     (2) 
     (42) 
     (6) 
     (84)
  
    PSU compensation expense, net of income taxes 
    $9  
    $142  
    $22  
    $285 

The cost estimates for PSU grants represent initial
target awards until we can reasonably forecast the financial performance of each PSU award grant. At the end of the performance period,
we will reflect a performance adjustment, which may be either an increase or decrease from the initial target awards. The actual number
of shares to be issued at the end of the performance period will range from 0% to 200% of the initial target awards. During the year ended
December 31, 2024, the previously recognized compensation expense related to the PSU awards granted during 2024 was reduced as a result
of a performance adjustment, and the compensation expense related to the PSU awards granted during 2023 was eliminated due to the Company's
expectation that the threshold performance goal will not be met.

At June 30, 2025, there was $163 of unrecognized
compensation cost related to outstanding PSUs. That cost is expected to be recognized over a weighted-average period of 1.66 years.

29 

  18.
  Allowance for Expected Credit Losses

Premiums Receivable

The following table presents the balances of premiums
and agents’ balances receivable, net of the allowance for expected credit losses as of June 30, 2025 and 2024, and the changes in
the allowance for expected credit