Supplemental Disclosures of Cash Flow Information and Non-Cash Financing and Investing Activities

9 Months Ended

Sep. 30, 2023

Supplemental Cash Flow Elements [Abstract]

Supplemental Disclosures of Cash Flow Information and Non-Cash Financing and Investing Activities

NOTE 10 Supplemental Disclosures of Cash Flow Information and Non-Cash Financing and Investing Activities

During the nine months ended September 30, 2023, the Company had an impact of $2.0 million from foreign exchange rate changes on cash and cash equivalents inclusive of fiduciary cash reported on its Condensed Consolidated Statements of Cash Flows which is primarily due to the change in currency exchange rates primarily for British pounds and, to a lesser extent, Canadian dollars.

As of September 30, 2023, the Company has accrued for and deferred $45.9 million related to third quarter federal income tax payments due to Hurricane Idalia tax relief, which was announced by the Internal Revenue Service on August 30, 2023. The deadline to pay the deferred tax payments is February 15, 2024. It is expected that our fourth quarter federal income tax payment will also be deferred and accrued on the Condensed Consolidated Balance Sheet. On March 15, 2023, the Company paid $31.2 million of accrued federal income tax payments due in the fourth quarter of 2022 related to a similar tax relief announced by the Internal Revenue Service associated with Hurricane Ian which was announced on September 29, 2022.

Cash paid during the period for interest and income taxes are summarized as follows:

	Nine months ended September 30,
(in millions)	2023		2022
Cash paid during the period for:
Interest	$	166.6	$	103.3
Income taxes, net of refunds	$	183.3	$	118.2

Significant non-cash investing and financing activities are summarized as follows:

	Nine months ended September 30,
(in millions)	2023		2022
Other payables issued for agency acquisitions and purchased customer accounts	$	4.9	$	4.6
Estimated acquisition earn-out payables issued for agency acquisitions	$	51.3	$	42.1
Assumed acquisition earn-out payables	$	—	$	34.8
Common stock issued for agency acquisition	$	—	$	14.7
Notes payable assumed for agency acquisition	$	—	$	1.8

The Company's restricted cash balance is composed of funds held in separate premium trust accounts as required by state law or, in some cases, by agreement with carrier partners. The following is a reconciliation of cash and cash equivalents inclusive of restricted cash as of September 30, 2023 and 2022.

(in millions)	September 30, 2023		December 31, 2022
Table to reconcile restricted and non-restricted fiduciary cash
Restricted fiduciary cash	$	1,325.9	$	1,231.9
Non-restricted fiduciary cash		189.3		151.3
Total restricted and non-restricted fiduciary cash at the end of the period	$	1,515.2	$	1,383.2

The Company's fiduciary cash increased as of September 30, 2023 compared to December 31, 2022 primarily due to businesses acquired during 2023 and 2022.

	Balance as of September 30,
(in millions)	2023		2022
Table to reconcile cash, cash equivalents and fiduciary cash
Cash and cash equivalents	$	755.7	$	579.5
Fiduciary cash		1,515.2		1,271.3
Total cash, cash equivalents and fiduciary cash at the end of the period	$	2,270.9	$	1,850.8