CHICAGO, IL – October 20, 2021 – Kin, the direct-to-consumer home insurance company built for every new normal, today announced select preliminary operating results for the third quarter ended September 30, 2021:
- Total managed premium quintupled to $27.8 million for the third quarter of 2021 compared to $5.4 million of total managed premium in the prior-year period. Total managed premium also grew 13% sequentially from the second quarter of 2021. Growth was entirely organic and directly written without the use of independent agents.
- $26.7 million (96%) of third quarter 2021 total managed premium was gross written premium on the Kin Interinsurance Network (the “Carrier”), a reciprocal exchange managed by Kin Insurance, Inc.
- Premium renewal rate on the Carrier increased to 99% compared to 92% in the second quarter 2021.
- Gross profit from Kin’s management pperations grew 487% to $8.0 million, compared to $1.4 million in the prior-year period.
“While the third quarter is typically the seasonally slowest quarter, our direct-to-consumer value proposition enabled us to still grow our Total Managed Premium by double digits sequentially,” said Sean Harper, CEO of Kin. “I’m especially proud that our renewal rate continues to climb, which we believe signifies that we are delivering on our promise to customers and offering a superior experience from pricing to underwriting to claims.”
Kin’s premium renewal rate increased to 99% in the third quarter of 2021 from 92% in the second quarter, bringing its year to date renewal rate to 94%. Premium renewal rate is an important driver of future total managed premium and customer lifetime value.
Kin’s operating leverage improved meaningfully in the third quarter, as gross profit grew two times faster than operating expenses on a year-over-year basis.
“Our operating leverage continues to improve year over year, even in a quarter where we invested considerably in new initiatives, in particular a significant brand campaign, ‘Florida, Man,’ which generated more than a million social views,” added Kin CFO Josh Cohen.
The preliminary results for the third quarter ended September 30, 2021 presented in this release are based on the information available to us at this time. Our actual results may vary from the estimated preliminary results presented here due to the completion of our financial closing procedures and final adjustments. The estimated preliminary results have not been audited or reviewed by our independent registered public accounting firm. These estimates should not be viewed as a substitute for our full interim financial statements for the third quarter ended September 30, 2021. Accordingly, you should not place undue reliance on this preliminary data.
Kin is the home insurance company for every new normal. By leveraging proprietary technology, Kin delivers fully digital homeowners insurance with an elegant user experience, accurate pricing, and fast, high-quality claims service. Kin offers homeowners, landlord, condo, and mobile home insurance through the Kin Interinsurance Network (KIN), a reciprocal exchange owned by its customers who share in the underwriting profit. Because of its efficient technology and direct-to-consumer model, Kin provides affordable pricing without compromising coverage. To learn more, visit www.kin.com.