XML 41 R29.htm IDEA: XBRL DOCUMENT v3.25.1
Property and Casualty Insurance Activity (Tables)
 3 Months Ended
Mar. 31, 2025
Property and Casualty Insurance Activity  
Schedule of Earned Premiums
Premiums written, ceded and earned are as follows:
 
Direct
Assumed
Ceded
Net
    
Three months ended March 31, 2025   
Premiums written$58,174,996 $- $2,834,411 $61,009,407 
Change in unearned premiums2,470,381 - (19,956,725)(17,486,344)
Premiums earned$60,645,377 $- $(17,122,314)$43,523,063 
     
Three months ended March 31, 2024    
Premiums written$49,324,616 $- $(11,229,217)$38,095,399 
Change in unearned premiums671,762 - (9,947,259)(9,275,497)
Premiums earned$49,996,378 $- $(21,176,476)$28,819,902 
Schedule of Unpaid Loss and Loss Adjustment Expense Reserves
The following table provides a reconciliation of the beginning and ending balances for unpaid loss and LAE reserves:
Three months ended March 31,
20252024
 
Balance at beginning of period $126,210,428 $121,817,862 
Less reinsurance recoverables(32,322,637)(33,288,650)
Net balance, beginning of period 93,887,791 88,529,212 
   
Incurred related to:  
Current year27,774,353 18,425,855 
Prior years(599,275)(566,268)
Total incurred27,175,078 17,859,587 
   
Paid related to:  
Current year5,217,256 4,671,653 
Prior years13,752,485 11,942,843 
Total paid18,969,741 16,614,496 
   
Net balance at end of period102,093,128 89,774,303 
Add reinsurance recoverables33,241,595 32,724,136 
Balance at end of period $135,334,723 $122,498,439 
Schedule of Line of Business
The following is information about incurred and paid claims development as of March 31, 2025, net of reinsurance, as well as the cumulative reported claims by accident year and total IBNR reserves as of March 31, 2025 included in the net incurred loss and allocated expense amounts. The historical information regarding incurred and paid claims development for the years ended December 31, 2016 to December 31, 2024 is presented as supplementary unaudited information.
All Lines of Business
(in thousands, except reported claims data)
 Incurred Loss and Allocated Loss Adjustment Expenses, Net of ReinsuranceAs of
March 31, 2025
Accident YearFor the Years Ended December 31,Three
Months
Ended
March 31,
2025		IBNRCumulative
Number of
Reported
Claims by
Accident
Year
201620172018201920202021202220232024
 (Unaudited 2015 - 2024)(Unaudited)
            
2016$26,062 $24,941 $24,789 $27,887 $27,966 $27,417 $27,352 $27,271 $27,247 $27,244 $63 2,884
2017 31,605 32,169 35,304 36,160 36,532 36,502 36,819 37,268 37,228 123 3,401
2018  54,455 56,351 58,441 59,404 61,237 61,145 61,686 61,601 1,497 4,238
2019   75,092 72,368 71,544 71,964 73,310 74,363 74,220 1,698 4,508
2020    63,083 62,833 63,217 63,562 64,400 64,417 1,180 5,895
2021     96,425 96,673 96,134 96,771 97,088 1,942 5,834
2022      79,835 78,759 78,078 77,894 4,400 4,713
2023       78,978 72,025 72,019 9,191 4,090
2024        57,860 57,491 11,660 3,096
2025         25,308 10,702 538
          Total $594,509   
All Lines of Business
(in thousands)
 Cumulative Paid Loss and Allocated Loss Adjustment Expenses, Net of Reinsurance
Accident YearFor the Years Ended December 31,Three
Months Ended
March 31,
2025
201620172018201920202021202220232024
 (Unaudited 2015 - 2024)(Unaudited)
 
2016$15,364 $19,001 $21,106 $23,974 $25,234 $25,750 $26,382 $26,854 $26,808 $26,816 
2017 16,704 24,820 28,693 31,393 32,529 33,522 34,683 35,046 35,229 
2018  32,383 44,516 50,553 52,025 54,424 56,199 57,185 57,492 
2019   40,933 54,897 58,055 60,374 63,932 66,109 67,507 
2020    39,045 50,719 53,432 56,523 59,220 59,544 
2021     56,282 77,756 82,317 85,314 86,548 
2022      45,856 65,732 68,170 69,119 
2023       46,280 56,952 57,894 
2024        29,013 36,168 
2025         4,466 
         Total$500,783 
           
Net liability for unpaid loss and allocated loss adjustment expenses for the accident years presented$93,725 
All outstanding liabilities before 2016, net of reinsurance1,683 
Liabilities for loss and allocated loss adjustment expenses, net of reinsurance$95,408 
Reconciliation of the Disclosure of Incurred and Paid Loss Development to the Liability for Loss and LAE Reserves
The reconciliation of the net incurred and paid loss development tables to the loss and LAE reserves in the condensed consolidated balance sheet is as follows:
Reconciliation of the Disclosure of Incurred and Paid Loss Development
to the Liability for Loss and LAE Reserves
(in thousands)As of
March 31, 2025
Liabilities for allocated loss and loss adjustment expenses, net of reinsurance$95,408 
Total reinsurance recoverable on unpaid losses33,242 
Unallocated loss adjustment expenses6,685 
Total gross liability for loss and LAE reserves$135,335 
Schedule of Material Terms for Reinsurance Treaties Material terms for reinsurance treaties in effect for the treaty years shown below are as follows:
Treaty Period
2025/2026 Treaty2024/2025 Treaty
Line of BusinessJuly 1,
2025
to
January 1,
2026		January 1,
2025
to
June 30,
2025		July 1,
2024
to
January 1,
2025		January 1,
2024
to
June 30,
2024
Personal Lines:
Homeowners, dwelling fire and canine legal liability
Quota share treaty:
Percent ceded (7)16 %16 %27 %27 %
Risk retained on initial
$1,000,000 of losses (5) (6) (7)$840,000 $840,000 $730,000 $730,000 
Losses per occurrence
subject to quota share
reinsurance coverage$1,000,000 $1,000,000 $1,000,000 $1,000,000 
Expiration dateJanuary 1, 2026January 1, 2026January 1, 2025January 1, 2025
Excess of loss coverage and
facultative facility
coverage (1) (5) (6)(6)$8,400,000 $8,400,000 $8,400,000 
in excess ofin excess ofin excess of
$600,000 $600,000 $600,000 
Total reinsurance coverage
per occurrence (5) (6)$160,000 $8,360,000 $8,470,000 $8,470,000 
Losses per occurrence
subject to reinsurance
coverage (6)$1,000,000 $9,000,000 $9,000,000 $9,000,000 
Expiration date(6)June 30, 2025June 30, 2025June 30, 2024
Catastrophe Reinsurance:
Initial loss subject to personal
lines quota share treaty (6)$10,000,000 $10,000,000 $10,000,000 $10,000,000 
Risk retained per catastrophe
occurrence (6) (7) (8) (9)(6)$4,250,000 $4,750,000 $9,500,000 
Catastrophe loss coverage
in excess of quota share
coverage (2) (6)(6)$275,000,000 $275,000,000 $315,000,000 
Reinstatement premium
protection (3) (4)(6)YesYesYes
(1)For personal lines, includes the addition of an automatic facultative facility allowing KICO to obtain homeowners single risk coverage up to $9,000,000 in total insured value, which covers direct losses from $3,500,000 to $9,000,000 through June 30, 2025.
(2)Catastrophe coverage is limited on an annual basis to two times the per occurrence amounts, except for one occurrence on the first layer of $5,000,000 in excess of $5,000,000. Duration of 168 consecutive hours for a catastrophe occurrence from windstorm, hail, tornado, hurricane and cyclone.
(3)For the period January 1, 2023 through June 30, 2024, reinstatement premium protection for $50,000,000 of catastrophe coverage in excess of $10,000,000.
(4)For the period July 1, 2024 through June 30, 2025 (expiration date of the catastrophe reinsurance treaty), reinstatement premium protection for $50,000,000 of catastrophe coverage in excess of $10,000,000.
(5)For the period January 1, 2024 through June 30, 2025, the Underlying XOL Treaty provides 50% reinsurance coverage for losses of $400,000 in excess of $600,000. Excludes losses from named storms. Reduces retention to $530,000 from $730,000 under the 2024/2025 Treaty. Retention increases to $640,000 from $530,000 under the 2025/2026 Treaty.
(6)Excess of loss coverage and facultative facility, Underlying XOL Treaty, and catastrophe reinsurance treaties will expire on June 30, 2025, with none of these coverages to be in effect during the period from July 1 2025 through January 1, 2026. If and when these treaties are renewed on July 1, 2025, the excess of loss and facultative facility, Underlying XOL Treaty, and the catastrophe reinsurance treaty, will be as provided for therein. Reinsurance coverage in effect from July 1, 2025 through January 1, 2026 is currently only covered under the 2025/2026 Treaty. The 2025/2026 Treaty will expire on January 1, 2026.
(7)For the 2024/2025 Treaty, 22% of the 27% total of losses ceded under this treaty are excluded from a named catastrophe event. For the 2025/2026 Treaty, 6% of the 16% total of losses ceded under this treaty are excluded from a named catastrophe event.
(8)Plus losses in excess of catastrophe coverage.
(9)For the period October 1, 2024 through April 30, 2025, additional catastrophe reinsurance treaty will provide coverage for winter storm losses to the extent of 71% of $4,500,000 in excess of $5,500,000. Retention for winter storms under this treaty is $4,800,000 under the 2024/2025 Treaty and $5,200,000 under the 2025/2026 Treaty.
Schedule of Line of Business of Reinsurance Coverage
Treaty Year
Line of Business July 1, 2024
to
June 30, 2025		July 1, 2023
to
June 30, 2024
 
Personal Lines:
Personal Umbrella
Quota share treaty:
Percent ceded - first $1,000,000 of coverage 90 %90 %
Percent ceded - excess of $1,000,000 dollars of coverage 95 %95 %
Risk retained $300,000 $300,000 
Total reinsurance coverage per occurrence $4,700,000 $4,700,000 
Losses per occurrence subject to quota share reinsurance coverage $5,000,000 $5,000,000 
Expiration date June 30, 2025June 30, 2024
 
Commercial Lines (1)
(1)Coverage on all commercial lines policies expired in September 2020; reinsurance coverage is based on treaties in effect on the date of loss.
Schedule Of Ceding Commission Revenue
Ceding commission revenue consists of the following:
Three months ended
March 31,
20252024
 
Provisional ceding commissions earned $3,252,404 $4,555,240 
Contingent ceding commissions earned (293,713)11,871 
$2,958,691 $4,567,111