Kingstone Companies (KINS) investor relations material

Business overview and market positioning

• Focuses on catastrophe-exposed property insurance, primarily in downstate New York, with recent expansion into California and Connecticut.

• Achieved status as the 11th largest homeowners insurer in New York by year-end 2025.

• Operates in a niche with less competition from national carriers, enabling higher margins.

• Completed a significant turnaround, with 2025 being the most profitable year in company history.

• Plans to double premium volume to $500 million by 2029 through organic and inorganic growth.

Financial performance and profitability

• Reported nine consecutive quarters of profitability through 2025, with Q2 2026 as the most profitable quarter ever.

• Diluted EPS nearly doubled to $2.88 in 2025, with return on equity at 43% and book value per share up 75%.

• Q2 2026 saw premiums grow 19%, underwriting profit near 30 points, and ROE of 50.8%.

• Reduced expense ratio from 41% in 2021 to 30% in 2026, enhancing operating efficiency.

• Maintains a healthy balance sheet with no debt and conservative reinsurance.

Product innovation and risk management

• Launched the Select product in 2022, leveraging advanced data science to better match rate to risk.

• Select now comprises 62% of policies, with lower loss frequency and ongoing growth potential.

• Shifted business mix toward preferred, financially responsible customers with newer, higher-value homes.

• Catastrophe events are earnings, not capital, events due to robust reinsurance; first event retention is low.

• Uses multiple reinsurance layers, including catastrophe, per risk excess, and quota share, to manage volatility.