Kingstone Company: Reduction In Reinsurance Will Improve Margins
Kingstone is reducing quota-share cession and using catastrophe reinsurance to hedge catastrophe losses. The excerpt says last quarter’s EBIT margin improved to 29%, above the sector’s 24%, while trailing margins still lag.
Why it matters — The reinsurance changes and reported margin improvement may matter to KINS watchers tracking the company’s profitability.