# EDGAR Filing Document

**Accession Number:** 0002067129
**File Stem:** 0000000000-25-007959
**Filing Date:** 2025-7
**Character Count:** 17257
**Document Hash:** 3f9c4bd3b20f1354dc616cf1eb6a59ed
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000000000-25-007959.hdr.sgml**: 20260224

**ACCESSION NUMBER**: 0000000000-25-007959

**CONFORMED SUBMISSION TYPE**: UPLOAD

**PUBLIC DOCUMENT COUNT**: 2

**FILED AS OF DATE**: 20250729

**FILED FOR**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Neptune Insurance Holdings Inc.
- **CENTRAL INDEX KEY:** 0002067129
- **STANDARD INDUSTRIAL CLASSIFICATION:** INSURANCE AGENTS BROKERS & SERVICES [6411]
- **ORGANIZATION NAME:** 02 Finance
- **EIN:** 334189588
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** UPLOAD
- **SEC FILE NUMBER:** 377-08169

**BUSINESS ADDRESS:**
- **STREET 1:** 400 6TH ST S
- **CITY:** ST. PETERSBURG
- **STATE:** FL
- **ZIP:** 33701
- **BUSINESS PHONE:** (727) 202-4815

**MAIL ADDRESS:**
- **STREET 1:** 400 6TH ST S
- **CITY:** ST. PETERSBURG
- **STATE:** FL
- **ZIP:** 33701

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Neptune Insurance Holdings, Inc.
- **DATE OF NAME CHANGE:** 20250506
**PUBLIC REFERENCE ACCESSION NUMBER**: 0001213900-25-060733

## Text-Extract

```

                                                             July 29, 2025

Trevor Burgess
Chief Executive Officer
Neptune Insurance Holdings Inc.
400 6th Street S, Suite 2
St. Petersburg, FL 33701

       Re: Neptune Insurance Holdings Inc.
           Draft Registration Statement on Form S-1
           Submitted July 2, 2025
           CIK No. 0002067129
Dear Trevor Burgess:

       We have reviewed your draft registration statement and have the
following comments.

       Please respond to this letter by providing the requested information and
either
submitting an amended draft registration statement or publicly filing your
registration
statement on EDGAR. If you do not believe a comment applies to your facts and
circumstances or do not believe an amendment is appropriate, please tell us why
in your
response.

      After reviewing the information you provide in response to this letter
and your
amended draft registration statement or filed registration statement, we may
have additional
comments.

Draft Registration Statement on Form S-1
Company Overview, page 1

1.     We note your disclosure that your business is highly profitable,
including on page 1
       and 2 of the Summary. We also note that on page page F-3 of your audited
financial
       statements indicates that your total liabilities exceed your total
assets in each of your
       last two fiscal years, leading to a substantial stockholders deficit.
Please balance your
       discussion to clarify that your recent history of profitability has not
yet resulted in a
       positive book value per share.
Prospectus Summary, page 1

2.     The disclosure in the prospectus summary should be a balanced
presentation of
       your business. Please revise to balance the description of your
competitive strengths
 July 29, 2025
Page 2

       with disclosure of the challenges you face and the risks and limitations
that could
       harm your business or inhibit your strategic plans. For example, but
without
       limitation, balance your discussion of your competitive strengths and
growth strategy
       with a discussion of the rapidly changing AI, cybersecurity, and federal
disaster
       recovery regulatory structure and the inherent pricing headwinds when
competing
       against the NFIP. The balancing discussion should be equally prominent
in terms of
       presentation and level of detail.
Our Unique, Data-Driven Approach, page 3

3.     We note that you state that Triton and Poseidon are powered by your
"vast proprietary
       datasets." We also note that you state that one of the key barriers to
entry in the flood
       insurance market is that the NFIP has a proprietary database of claims
data, which
       places private insurance carriers at a disadvantage in pricing risks.
Please clarify
       whether the datasets that underly Triton and Poseidon contain a material
amount of
       data derived from transactions, applications or losses from outside your
own
       operational history. To the extent that you continue to lack access to
historical loss
       data from the NFIP, please clarify how you are able to accurately
evaluate the risks to
       properties covered by the NFIP were you offer excess coverage.
4.     We note your disclosure on page 4, 7, 85, and 88 that compares your loss
experience
       to that of the NFIP during the four largest flooding events that
occurred since Neptune
       was founded. Please tell us, with a view towards enhance disclosure, the
total number
       of properties covered by Neptune issued policies during those events,
including
       particularly the flooding in Florida, North Carolina and Tennessee
during Hurricane
       Helene.
Underwriting, page 7

5.     We note your disclosures that you do not retain any balance sheet risk
or claims
       handling responsibilities while your capacity providers do. Since your
capactity
       providers appear to bear the risks of loss in your business model,
please revise the bar
       chart on page 7 to include disclosure that aggregates the written loss
ratios for your
       capacity providers over this same period.

       In addition, please provide more detailed disclosure about how these
relationships are
       contractual structured. Describe what your capacity providers are
receiving in
       exchange for owning the higher percentage of risks and why written loss
ratio is one
       of your key metrics when you do not bear the risks or claims
responsibilities of your
       product.
Our Geographic Presence, page 11

6.     We note your disclosure on page 8 and 90 that you have a diverse number
of capacity
       providers. We also note your disclosure that capacity providers must
have liscences in
       states where they are proving capacities for the policies you sell. Tell
us, with a view
       towards improved disclosure, if you have a limited number of capacity
providers in
       any state that constitutes a significant portion of your total policy
sales.
 July 29, 2025
Page 3
Our Growth Strategy, page 12

7.     Please revise your disclosures in this section to better describe, and
if possible,
       quantify the costs expected to be incurred in order for you to expand
your customers
       and product offerings. For instance, we note that you discuss the
potential to capture
       market share not only from existing properties that must carry flood
insurance, but
       also to capture market share for buildings that have not been designated
by FEMA as
       flood prone, but that you believe have heightened flood risk. Discuss
the efforts you
       plan to undertake to increase the awareness of potential insured
property owners and
       their agents of your products and the coverage that you offer.
Corporate Structure, page 15

8.     Please revise this section to include diagrams that show your corporate
structure
       immediately before and immediately after the offering. Include figures
that indicate
       the voting interests and economic interests of each group or entity.
Rapid Advancements in AI..., page 24

9.     Please revise this risk factor to include disclosures related to the
risks to your business
       involved in the state and federal regulatory involvement in this space,
Also include
       disclosure of how the current tariff landscape impacts your continued
use and
       development of AI related technologies. In addition, please explain here
or elsewhere
       the differences between the machine learning that underpins Triton, and
AI and AGI.
Errors in underwriting or data modeling could harm our reputation, competitive
position, and
financial results, page 25

10.    We note your disclosure that "[t]here is a risk that federal agencies
may reduce or
       eliminate climate-related data collection or public access to such data
due to shifting
       priorities, funding constraints or policy changes which could impact
Triton   s ability to
       further refine its model and analysis on the basis of recently available
data from
       government sources." Please update this risk factor to include any
impacts that you
       have seen to your AI-driven systems or that you reasonable foresee since
these
       reductions and eliminations have been announced and begun.
We utilize AI in a significant manner, which could expose us to liability or
adversely affect
our business, page 26

11.    We note your discussion in this risk factor regarding the regulatory
framework for AI.
       Please revise your risk factor section to create a separately captioned
risk factor that
       discusses your current and potential risks related to the rapid changes
in this space.
Increased commission requirements from our distribution partners could have an
adverse
impact on our profits, page 30

12.    We note your reference the potential that you can yield contingent
commissions.
       Revise your disclosure in this section to discuss the extent to which
your results in the
       periods presented in the S-1 include any contingent commissions, either
that may be
       earned or that have been forgone.
 July 29, 2025
Page 4
Our business is dependent upon information processing systems. Cybersecurity
events, data
breaches, cyberattacks..., page 35

13.    Please incorporate into this risk factor disclosures that relate your
experiences with
       these types of events, if any, in your recent operating history.
Non-GAAP Financial Measures, page 75

14.    We note your disclosure on page 77 unlevered free cash flow with
adjustments settled
       in cash, i.e., net cash used in investing activities and interest
expense. Please tell us
       how you considered the guidance in Item 10(e)(1)(ii)(A) of Regulation
S-K, which
       prohibits excluding charges that require cash settlement from a non-GAAP
liquidity
       measure.
Business, page 83

15.    In order for investors to better understand your business, both in the
origination of
       private flood insurance policies. Consider providing a flow chart
showing the progress
       of a policy application from the policy holder, agent, Triton on through
the capacity
       provider and any reinsurance that you may purchase to cede any risks not
purchased
       by the capacity provider. Consider providing alternative presentations
for any lines
       that are materially different.
16.    In order for investors to better understand how an insured loss is
processed through
       your system after a flood or other insured catastrophe, provide a flow
chart showing
       the flow of a claim from the policy holder through to the capacity
provider or
       reinsurer and the flow of funds back to the policy holder. Discuss any
key actions that
       Neptune makes in this process.
Principal and Selling Shareholders, page 116

17.    We note your disclosure that the selling shareholders will be "entities
affiliated" with
       BSIV Hold 102, LP and James D. Albert. Please identify these entities
and indicate
       who has the voting and investment power of each entity.
Choice or Forum, page 121

18.    You disclose here that your restated certificate of incorporation "will
provide that the
       Court of Chancery of the State of Delaware (or, if the Court of Chancery
does not
       have jurisdiction, the United States District Court for the District of
Delaware)" in
       certain enumerated legal actions or proceedings, and "that the federal
district courts of
       the United States of America will be the exclusive forum for resolving
any complaint
       asserting a cause of action arising under the Securities Act." Article
XI of your
       restated certificate of incorporation does not appear to contain these
provisions. Please
       revise your disclosures as necessary for consistency.
Consolidated Statements of Income, page F-4

19.    It appears that you are presenting your expenses by function (e.g.,
General and
       administrative) and by nature (e.g., Employee compensation and
benefits). Please
       revise to present your statements of income consistently by function or
tell us why no
       revision is necessary. Refer to Rule 5-03 of Regulation S-X. In
addition, tell us how
 July 29, 2025
Page 5

       you considered the requirement in Rule 4-08(k) of Reg. S-X to disclose
related party
       transactions on the face of the statement of income.
20.    Please revise to present the amount of income available to common
stockholders on
       the face of your statement of income as it appears materially different
from your
       reported net income. Refer to ASC 220-10-S99-5.
Consolidated Statements of Cash Flows, page F-6

21.    We note your disclosure on page F-8 that insurance company payables
together with
       premium deposits are considered fiduciary liabilities. We also note on
page F-14 that
       premium deposits represent policyholder payments received in advance of
       commencement of the performance obligation and are recorded as contract
liabilities.
       Please address the following:
           Given that the premium deposits appear to represent ASC 606 contract
liabilities
           for payments received in advance of performance obligations, please
explain how
           you considered the nature of the premium deposits to be fiduciary
liabilities rather
           than deferred revenue.
           In this same regard, tell us how you determined to present the
changes in premium
           deposits as cash flows from financing activities instead of
operating activities.
           Refer to ASC 230-10-45-14 to 45-17.
Note 1. Nature of Business and Basis of Presentation, page F-7

22.    We note your disclosures of the corporate reorganization in April 2025
here and on
       page 15. Please revise to disclose how you accounted for or will account
for the
       reorganization. To the extent material, please also disclose how you
addressed the
       Amended and Restated 2019 Stock Plan and Neptune Flood   s obligations
under the
       Pre-IPO Stockholders Agreement that are assumed and restated by Neptune
Holdings
       in connection with the corporate reorganization. Refer to ASC
855-10-50-2(b).
Fee Income, page F-13

23.    Please revise to clarify the nature of the service(s) you promise to
provide to the
       policyholder and your performance obligation(s) under your contract with
the
       policyholder. Refer to ASC 606-10-50-12(c).
24.    Please tell us whether the policyholder needs to pay you any fees when
the insurance
       policy is renewed and if applicable, how you considered ASC 606-10-55-41
to 55-45
       for any material rights such as renewal options provided to the
policyholder.
Note 5. Debt, page F-15

25.    We note your disclosure that in May 2023, you amended and restated your
2021
       Credit Agreement and applied modification accounting, while you also
recognized a
       loss on extinguishment of debt in earnings. Please explain to us and
revise to
       disclose how you accounted for this amendment in consideration of ASC
470-50-40.
       As part of your response, please explain to us why you capitalized
$2,657 thousands
       of deferred financing fees.
26.    Please tell us why you recorded $3,285 thousand third party fees as
interest expense in
       2023. Refer to ASC 470-50-40-18 or cite the guidance considered in your
accounting.
 July 29, 2025
Page 6

Note 7. Share-Based Compensation Plan, page F-19

27.    Please revise to disclose the maximum contractual term(s) of your stock
options.
       Refer to ASC 718-10-50-2(a)(2).
28.    You disclose on page F-20 that your Performance-Based Options contain
service,
       performance and market conditions. Please revise to disclose the
pertinent market
       conditions. Refer to ASC 718-10-50-1(a).
Note 12. Earnings Per Share, page F-23

29.    We note your disclosure here and on page F-11 that the remaining
undistributed
       earnings after reduction by the amount of accretion adjustment to the
Redeemable
       Preferred Stock in the current period is allocated on a pro rata basis
to the holders of
       common stock and Redeemable Preferred Stock. We also note on page F-18
that the
       cumulative undeclared dividends of your Redeemable Preferred Stock
totaled $19,567
       thousands as of December 31, 2024. Please tell us how you considered
such dividends
       in determining the undistributed earnings used for allocation for 2024.
Refer to ASC
       260-10-45-60B(a).
       Please contact Mengyao Lu at 202-551-3471 or Robert Klein at
202-551-3847 if you
have questions regarding comments on the financial statements and related
matters. Please
contact Eric Envall at 202-551-3234 or Christian Windsor at 202-551-3419 with
any other
questions.

                                                            Sincerely,

                                                            Division of
Corporation Finance
                                                            Office of Finance

```

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