Stock compensation expense
 3 Months Ended
Mar. 31, 2022
Share-based Payment Arrangement [Abstract]  
Stock compensation expense Stock compensation expense
The Company issued stock options (incentive stock options (“ISOs”) and non-statutory stock options (“NSOs”) and restricted stock awards (“RSAs”) to employees and key advisors under the Company’s 2019 Equity Incentive Plan, which has been approved by the board of directors. Granted stock options do not expire for 10 years and have vesting periods ranging from 7 to 60 months. The holder of one stock option may purchase one share of common stock at the underlying strike price.
The Company issues restricted stock units (“RSUs”) and performance restricted stock units (“PRSUs”) under the 2021 Omnibus Incentive Plan. The RSUs are subject to time-based vesting, with a majority of the RSUs vesting 25% on the first anniversary of the award date and ratably thereafter for twelve quarters, such that the RSUs will be fully vested on the fourth anniversary of their award date. Eligible participants in the PRSUs will receive a number of earned shares based on growth in retained premiums and fees and adjusted gross profit during the performance period, as established by the Company’s board of directors. Earned shares for the PRSUs will fully vest in three equal annual installments after the performance period based on continuous employment. The RSUs and PRSUs are measured at fair market value on the grant date and stock-based compensation expense is recognized as the shares vest with a corresponding offset credited to additional paid-in-capital.
Stock-based compensation expense for the three months ended March 31, 2022 and 2021 was $11.4 million and $2.3 million, respectively.
Stock options (ISO and NSO)
During the three months ended March 31, 2022, the Company had the following stock option activity:
Number of
Stock Options
Weighted
Average
Exercise Price ($)
Weighted
Average
Remaining
Contractual Life
(In years)
Aggregate
Intrinsic
Value ($)
Outstanding as of December 31, 2021
24,255,204 $0.51 7.91$109,061 
Granted
— — 0
Exercised
(924,717)0.52 7.55
Cancelled or forfeited
(241,210)0.68 8.16
Outstanding as of March 31, 2022
23,089,277 $0.59 7.66$36,586 
Options exercisable as of March 31, 2022
11,853,819 $0.53 7.38$19,403 
As of March 31, 2022, there was $24.0 million of stock-based compensation expense that had yet to be recognized related to nonvested stock option grants.
RSAs, RSUs and PRSUs
During the three months ended March 31, 2022, the Company had the following non-vested RSA, RSU and PRSU activity:
Number of
RSAs, RSUs and PRSUs
Average
Grant Date
Fair Value ($)
Non-vested at December 31, 2021
18,579,930 $6.11 
Granted
29,551,401 2.17 
Vested
(174,352)2.54 
Cancelled or Forfeited
(584,181)6.22 
Non-vested at March 31, 2022
47,372,798 $3.67 
As of March 31, 2022, there was $157.1 million of stock-based compensation expense that had yet to be recognized related to nonvested RSAs, RSUs and PRSUs.