In This Story
Kingstone Companies, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing an increase in direct written premiums to $66,627,000 from $51,992,000 in the same quarter the previous year. This increase is attributed to growth in the personal lines business, particularly in the Core business segment.
Net premiums earned for the quarter were $33,407,000, up from $27,938,000 in the previous year. The increase is due to changes in the company's reinsurance treaties and additional premiums from market dynamics.
The company reported a net income of $6,978,000 for the quarter, compared to a net loss of $3,538,000 in the previous year. This improvement is attributed to reduced loss and loss adjustment expenses and increased net premiums earned.
Loss and loss adjustment expenses for the quarter were $13,028,000, down from $21,932,000 in the previous year. The decrease is due to lower catastrophe losses and improved underwriting results.
Ceding commission revenue decreased to $4,742,000 from $5,536,000, primarily due to changes in the company's reinsurance treaties.
Net investment income increased to $1,650,000 from $1,444,000, reflecting higher yields on the company's investment portfolio.
Kingstone's net loss ratio improved to 39.0% from 78.5% in the previous year, driven by lower catastrophe losses and favorable prior year reserve development.
The company's net underwriting expense ratio increased slightly to 33.0% from 31.7%, primarily due to higher commission expenses related to profitability.
Kingstone's cash and cash equivalents increased to $33,760,798 as of September 30, 2024, from $15,132,969 at the end of the previous year, reflecting improved cash flow from operations.
The filing also details the company's reinsurance arrangements, including a new 27% quota share treaty for personal lines and changes to excess of loss and catastrophe reinsurance treaties.
Kingstone continues to focus on optimizing its in-force business through its Kingstone 3.0 strategy, which includes reducing non-Core business and adjusting pricing to stay ahead of loss trends.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Kingstone Companies Inc quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.