Leases

9 Months Ended

Sep. 30, 2023

Note 15 -- Leases

The table below summarizes the Company’s right-of-use (“ROU”) assets and corresponding liabilities for operating and finance leases:


	September 30,		December 31,
	2023		2022
Operating leases:
ROU assets	$	1,460	$	777
Liabilities	$	1,457	$	721
Finance leases:
ROU assets	$	6	$	80
Liabilities	$	2	$	13

The Company entered into a new lease effective March 2023 for its office space in Plantation, Florida which relates to its claims related administration. The lease has an initial term of 5.25 years.

The following table summarizes the Company’s operating and finance leases in which the Company is a lessee:


		Renewal	Other Terms and
Class of Assets	Initial Term	Option	Conditions
Operating lease:
Office equipment	36 to 63 months	Yes	(a)
Office space	5 to 9 years	Yes	(a), (b)
Finance lease:
Office equipment	3 to 5 years	Not applicable	(c)

(a)

There are no variable lease payments.

(b)

Rent escalation provisions exist.

(c)

There is a bargain purchase option.

As of September 30, 2023, maturities of lease liabilities were as follows:


	Leases
	Operating		Finance
Due in 12 months following September 30,
2023	$	283	$	2
2024		292		—
2025		302		—
2026		311		—
2027		246		—
Thereafter		278		—
Total lease payments		1,712		2
Less: interest		255		—
Total lease obligations	$	1,457	$	2

The following table provides quantitative information with regards to the Company’s operating and finance leases:


	Three Months Ended					Nine Months Ended
	September 30,					September 30,
	2023			2022		2023		2022
Lease costs:
Finance lease costs:
Amortization – ROU assets*	$	6		$	4	$	14	$	14
Operating lease costs*		74			281		203		937
Short-term lease costs*		94			105		261		306
Total lease costs	$	174		$	390	$	478	$	1,257
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows – operating leases						$	144	$	924
Financing cash flows – finance leases						$	11	$	14

	September 30,
	2023
Weighted-average remaining lease term:
Finance leases (in years)		1.0
Operating leases (in years)		5.9
Weighted-average discount rate:
Finance leases (%)		2.4	%
Operating leases (%)		6.1	%

* Included in other operating expenses on the consolidated statements of income.

The following table summarizes the Company’s operating leases in which the Company is a lessor:


		Renewal	Other Terms
Class of Assets	Initial Term	Option	and Conditions
Operating lease:
Retail space	3 to 15 years	Yes	(d)
Boat docks/wet slips	1 to 12 months	Yes	(d)

(d)

There are no purchase options.