Kingstone Companies, Inc · NASDAQ:KINS
Kingstone Companies — Sidoti Microcap Investor Conference (August 2021)
16 slides from Kingstone Companies's conference presentation, Aug 19, 2021
Slide 1: Kingstone – Sidoti Microcap Investor Conference
KINGSTONE Sidoti Microcap Investor Conference BARRY B. GOLDSTEIN - CHIEF EXECUTIVE OFFICER MERYL GOLDEN - CHIEF OPERATING OFFICER AUGUST 18, 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: The Kingstone Investment Opportunity
The Kingstone Investment Opportunity Financial Metrics Premium Growth & Underwriting Performance Skin in the game Track Record Stock is currently trading at a material discount relative to book value (~-18%) not yet reflecting the many positive changes we’ve made nor the recently accelerating growth
Slide 4: 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 135 year old New York State P&C carrier demutualized in 2009 NASDAQ: KINS M
Slide 5: The Kingstone Story - Kingstone 2.0 Underway
The Kingstone Story-Kingstone 2.0 Underway 1886 ‘Commercial Mutual Insurance ‘Company (CMIC) formed; predecessor to Kingstone Insurance Company (KICO) 2009 CMIC is. and 2016 Kingstone sold 595,238 newly ie, NASDAQ .d shares of 2006 renamed Kingstone issue Company Insurance Company common stock to pu
Slide 6: 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 Barry Goldstein Meryl Golden Rich Swartz Sarah Chen William O’Brien Sriram Seshadri Eva Paxhia Chairman, Chief Accoun
Slide 7: Kingstone 2.0
Kingstone 2.0 In 2020, Kingstone began its “2.0” initiative to modernize the company *Meryl Golden builds out experienced management team * Sarah Chen - Chief Actuary - November 2020 * Eva Paxhia - Senior Product Manager - January 2020 * Sriram Seshadri -Chief Information Officer - February 2020 * U
Slide 8: 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 learn - We react * Old school approach - each agent has a dedicated
Slide 9: Business Mix
Business Mix Book of business: Kingstone has ~$173M direct written premiums made up primarily of personal lines risks. KICO also writes physical damage insurance for Uber/Lyft type vehicles in New York City. * Actively writing business in New York, New Jersey, Rhode Island, Massachusetts and Connect
Slide 10: Direct Premium Growth thru 2020
Direct Premium Growth thru 2020 KICO Direct Written Premiums - 4 16.1% vo cAGR: + Pe 2 40 20 7 “ois —_ a 7 mNY-PL NY - For Hire PDO Other than NY - PL i Note: Financial Information other than share priced based metrics is as of the prior period Form 10-Q 2020 Continuous growth over the prior six cal
Slide 11: Underwriting Profitability thru 2020
Underwriting Profitability thru 2020 Calendar Year Core Combined Ratio* ; 120.0% 100.0% 89.9% obiBm 92.8% 81.0% 79.4% 80.8% 80.0% yo 60.0% 40.0% \ 20.0% 0.0% 2015 2016 2017 2018 2019 2020 mCore Loss+LAE mi Expense * Core combined ratio is exclusive of major Catastrophe events > 3 pts Loss Ratio impa
Slide 12: 2021 Growth Outlook
2021 Growth Outlook XX 5 i] QS Ceding % 40% 40% come oo T 0% I (7/15 - 6/16) (7/16 - 6/17) (7/17 - 6/18) am on (12/19 -12/20) 4 KICO Direct vs Net Written Premiums . 2021 Growth Opportunity $180 + Kingstone used Quota Share reinsurance to manage its sae leverage allowed for writing a $120 larger amo
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. Investment Allocation - 78% bonds, 22% equities Investment Management - Fixed income managed by Conning, equities internally managed. Average Du
Slide 14: Book Value per Share thru June 2021
Book Value per Share thru June 2021 Book Value per Share $9.00 $8.00 $7.00 $6.00 $5.00 $4.00 $3.00 $2.00 $1.00 $0.00 12/31/2015 12/31/2016 12/31/2017 12/31/2018 12/31/2019 12/31/2020 6/30/2021 Note: Financial Information other than share priced based metrics is as of the prior period Form 10-Q k |
Slide 15: The Kingstone Investment Opportunity
The Kingstone Investment Opportunity Financial Metrics Premium Growth & Underwriting Performance Skin in the game Track Record Stock is currently trading at a material discount relative to book value (~-18%) not yet reflecting the many positive changes we’ve made nor the recently accelerating growth
Slide 16: Additional Information
Additional Information Amanda M. Goldstein, CPA, ARe Investor Relations Director agoldstein@kingstoneic.com 516.960.1319 Website: www.kingstonecompanies.com K
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