MEDIUMBuilt-inGeographic
Texas, Georgia, Florida, and California
“10-K Item 1A: 'Our exposure to loss activity and regulation may be greater in states where we currently have most of our customers: Texas, Georgia, Florida, and California.'”
ROOT · Concentration risk · 10-K extracted
Root (ROOT) concentration risks
Updated
The most significant concentration Root discloses is Texas, Georgia, Florida, and California, classified MEDIUM by disclosed size. Below: the full set from the latest 10-K — verbatim quotes, filing references, and a synthesis of what these exposures mean together.
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Source: Root’s SEC Form 10-K filed — view the filing on SEC EDGAR ↗
At a glance
Disclosed-size breakdown · 1 disclosed concentration
HIGH0
MEDIUM1
LOW0
Disclosed concentrations
Each card carries a disclosed-size chip (HIGH / MEDIUM / LOW — how large the exposure is as a share of revenue, not how dangerous it is) and a nature tag: Built-in(the company’s own model, geography, or products) or Outside party (an external customer, supplier, or distributor it relies on).
TrendMatrix Research · concentration synthesis
What these concentrations mean together
updated 2026-07-06Root, Inc.'s concentration risk is geographic and structural: the company discloses that its exposure to loss activity and regulation may be greater in the states where it currently has most of its customers — Texas, Georgia, Florida, and California — a medium-share concentration rather than an extreme one. Because auto insurance is regulated and priced at the state level, and loss experience (weather, litigation environment, repair costs) varies materially by state, this footprint means Root's underwriting results and regulatory exposure are disproportionately tied to conditions in these four states rather than spread evenly across a national book. This is a structural feature of where Root has built its customer base to date, not a dependency on any single external counterparty, supplier, or distribution partner. For an educated investor, the practical implication is that state-specific developments — a regulatory rate action, an active hurricane season in Florida, or an adverse litigation trend in one of these states — could move Root's loss ratios more than they would for a more geographically balanced insurer, even though the disclosed share itself is only medium rather than an outright single-state dependency.
For the engine’s reasoning on ROOT’s current verdict — including which dimensions drove the score — see the per-dimension breakdown.
Industry peers · Insurance - Property & Casualty
Peer concentration profile
| Symbol | Name | HIGH | MEDIUM | LOW | Total |
|---|---|---|---|---|---|
| ASIC | Ategrity Specialty Insurance Co | 2 | 1 | 1 | 4 |
| AIZ | Assurant, Inc. | 1 | 2 | 0 | 3 |
| ALL | Allstate Corporation (The) | 1 | 0 | 0 | 1 |
| ROOT● | Root, Inc. | 0 | 1 | 0 | 1 |
| AFG | American Financial Group, Inc. | 0 | 0 | 2 | 2 |
| ACIC | American Coastal Insurance Corp | 0 | 0 | 0 | 0 |
Concentration counts reflect items disclosed in each peer’s most recent 10-K; disclosed-size classification uses TrendMatrix’s internal 10-K extraction taxonomy.