Insurance Journal·2025-10-02 14:19Core Insights - Neptune Insurance Holdings Inc. shares surged 24% following a successful IPO that raised $368.4 million, with shares closing at $24.80, above the IPO price of $20 [1][2] - The company has a market valuation of approximately $3.4 billion, with demand for the offering exceeding 20 times the available shares [2] - Neptune aims to address the flood insurance market, where many property owners are unaware of their coverage needs, with 65% of Americans mistakenly believing their homeowner policies cover flood risks [3] Company Overview - Founded in 2018, Neptune utilizes an AI-driven underwriting agent named Triton to quickly assess risks and generate quotes, processing over 20,000 quotes daily [5] - The company does not assume underwriting risk itself and reported a net income of $22 million on $71 million in revenue for the first half of 2025, compared to $11 million on $54 million in revenue during the same period the previous year [6] Market Position - Neptune provides AI-driven technology to other insurers and reinsurers, offering an alternative to the National Flood Insurance Program managed by FEMA [2] - The company is the sixth US-based insurance sector firm to go public in 2025, following other firms like Slide Insurance Holdings Inc. and Aspen Insurance Holdings Ltd. [4]