Company: OXBRW
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001493152-25-021063
Chunk: 126

Company: OXBRIDGE RE HOLDINGS Ltd
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 2
Chunk 126
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 impact of the Hurricane Milton’s loss on the Company’s equity, after accounting for the portion of
losses borne by external tokenholders’, is $1.18 million.

Our
reserving methodology does not lend itself well to a statistical calculation of a range of estimates surrounding the best point estimate
of our reserve for loss and loss adjustment expense. Due to the low frequency and high severity nature of claims within much of our business,
our reserving methodology principally involves arriving at a specific point estimate for the ultimate expected loss on a contract-by-contract
basis, and our aggregate loss reserves are the sum of the individual loss reserves established.

Deferred
Acquisition Costs. We defer certain expenses that are directly related to and vary with producing reinsurance business, including
brokerage fees on gross premiums assumed, premium taxes and certain other costs related to the acquisition of reinsurance contracts.
These costs are capitalized and the resulting asset, deferred acquisition costs, is amortized and charged to expense in future periods
as premiums assumed are earned. The method followed in computing deferred acquisition costs limits the amount of such deferral to its
estimated realizable value. The ultimate recoverability of deferred acquisition costs is dependent on the continued profitability of
our reinsurance underwriting. If our underwriting ceases to be profitable, we may have to write off a portion of our deferred acquisition
costs, resulting in a further charge to income in the period in which the underwriting losses are recognized.

Item
3. Quantitative and Qualitative Disclosures About Market Risk

As
a smaller reporting company as defined by Rule 229.10(f)(1) of the Exchange Act, we are not required to provide the information under
this item.

34

Item
4. Controls and Procedures

Evaluation
of Disclosure Controls and Procedures

Under
the supervision and with the participation of our Chief Executive Officer (our principal executive officer) and our Chief Financial Officer
(our principal financial officer), we have evaluated the effectiveness of our disclosure controls and procedures (as defined in Rules
13a-15(e) and 15d-15(e) of the Exchange Act) as of the end of the period covered by this Report on Form 10-Q (September 30, 2025). Our
disclosure controls and procedures are intended to ensure that the information we are required to disclose in the reports that we file
or submit under the Exchange Act is (i) recorded, processed, summarized and reported within the time periods specified in the SEC’s
rules and