Kingstone Companies, Inc · NASDAQ:KINS
Kingstone Companies — AIFA Conference 2021
16 slides from Kingstone Companies's conference presentation, Mar 2, 2021
Slide 1: Kingstone AIFA Conference Presentation
KINGSTONE AIFA Conference Presentation BARRY B. GOLDSTEIN - CHIEF EXECUTIVE OFFICER MERYL GOLDEN - CHIEF OPERATING OFFICER MARCH 2,2021
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains “forward-looking statements” and management may make additional forward-looking statements in response to your questions. Forward-looking statements include statements regarding the intent, belief or current expectations of the Company and its ma
Slide 3: Company Snapshot
Company Snapshot Who we are: Kingstone (“KINS”) is a Northeast regional property and casualty insurance holding company whose principal operating subsidiary is Kingstone Insurance Company (“KICO”). ICK FACTS MARKET/FINANCIAL DATA 434 year old New York State domiciled P&C carrier demutualized in 2009
Slide 4: The Kingstone Story - Kingstone 2.0 Underway
The Kingstone Story-Kingstone 2.0 Underway 1886 Commercial Mutual Insurance 2020 ‘As a result of changes in Company (CMIC) formed; eu. 2016 catastrophe program, predecessor to Kingstone 2009 pee Kingstone sold AM Best reduces rating Insurance Company (KICO) CMC is poner 595,238 newly to "B+ -Good” 2
Slide 5: Experienced & Diverse Management Team
Experienced & Diverse Management Team About us: Recent strategic hirings reinforces Kingstone’s continued commitment to building a world class property and casualty insurance company ee Meryl Golden SarahChen Williamo’Brien Sriram Sesh Eva Paxhia ereaiaeet ceo | Chief Operating Officer Chief Actuary
Slide 6: Kingstone 2.0
Kingstone 2.0 In 2020, Kingstone began its “2.0” initiative to modernize the company *Meryl Golden builds out experienced managementteam * Sarah Chen - Chief Actuary - November 2020 * Scott Van Pelt-Chief Financial Officer - February 2021 * Sriram Seshadri -Chief Information Officer - February 2020
Slide 7: Distribution & Core Values
Distribution & Core Values ° Organic growth via relationships with 1,100 licensed agents and brokers * Most of our agents produce less than $1 million annually in premium « Kingstone treats its agents as customers: We listen - We leam- We react * Old school approach - each agent has a dedicated unde
Slide 8: Business Mix
Business Mix Book of business: Kingstone has ~$168M direct written premiums made up primarily of personal lines risks. KICO also writes physical damage insurance for livery vehicles in New York City. KICO Business Mix + Actively writing business in New York, New Jersey, Rhode Island, Massachusetts a
Slide 9: Direct Premium Growth
Direct Premium Growth KICO Direct Written Premiums $ Millions 180 * Continuous growth over the past five years of almost 20% * Steady growth over the last 12 months despite the impact of the pandemic Rate increases roll on adding revenue and widening margins fe} 2015 2016 2017 2018 2019 2orgthrua3 —
Slide 10: Underwriting Profitability
Underwriting Profitability Calendar Year Core Combined Ratio* + Historical strong 120.0% underwriting results, with periodic impact of a 96.8% Catastrophe events . . 899% —— which is expected for the 0.0% sia 79.0% BOER risks undertaken. + 2019 deteriorated results eon are mainly due to reserve adve
Slide 11: Risk Management Reinsurance Program
Risk Management 020 Reins ce Pros Kingstone has a comprehensive reinsurance program in place to * Protect against Catastrophe and unusual large losses to stabilize the year-to-year net income * Enable us to write more business and to better serve our policyholders and agents Property Catastrophe and
Slide 12: 2021 Growth Outlook
2021 Growth Outlook QS Ceding% $ Millions $180 $160 $140 $120 $100 Note: Financial information other than share priced based metrics is as of the prior period Form 109 ] (uz i) wie 6/17) > (7/a7 -6/18) I. wane 6/19) ] wee, Zoe a oe td oS KICO Direct vs Net Written Premiums 2021 Growth Opportunity *
Slide 13: Investment Portfolio
Investment Portfolio Investment Criteria - The object of the Company's investment portfolio is to generate consistent returns, while assuming limited risk. InvestmentAllocation - 83% bonds, 17% equities, Investment Management - Fixed income managed by Raymond James, equities internally managed. Aver
Slide 14: Book Value per Share
Book Value per Share Book Value per Share $9.00 $8.00 $7.00 $6.00 $5.00 $4.00 $8.90 $3.00 $2.00 $1.00 $0.00 42/31/2015 42/31/2016 42/31/2017 42/31/2018 42/31/2019 9/30/2020 Note: Financial information other than share priced based metrics is as of the prior period Form 109 AE
Slide 15: The Kingstone Investment Opportunity
The Kingstone Investment Opportunity Financial Metrics Stock is currently trading at significant discount relative to book value (~85%) attractive in spite of improving ROE and income metrics Premium Growth & Organic growth in personal lines offset by the runoff of the commercial liability book. Los
Slide 16: Additional Information
Additional Information Amanda M. Goldstein, CPA, ARe Investor Relations Director agoldstein@kingstoneic.com 516.960.1319 Website: www.kingstonecompanies.com ~E