Kingstone grows catastrophe reinsurance limit again, adds wildfire cover, lowers cost 15%+

Kingstone Companies, the New York and northeast US focused insurance group, has grown its catastrophe reinsurance limit again to secure a $500 million tower for 2026, while adding wildfire coverage for the first time and reporting that the risk-adjusted cost fell by more than 15%.

A year ago, Kingstone Companies renewed its catastrophe reinsurance tower to provide $440 million of protection, with its debut catastrophe bond assisting.

That 1886 Re Ltd. (Series 2025-1) catastrophe bond remains in-force for 2026, providing $125 million of US named storm reinsurance protection.

In securing a further 14% increase in catastrophe reinsurance limit for 2026, with the $500 million tower, Kingstone Companies has kept low first-event retentions of $3.5 million for the new peril addition of wildfire, $5 million for named storm and $6 million for winter storm.

Benefiting from the softening reinsurance market price conditions, Kingstone also cites a more that 15% decline in costs for its core catastrophe excess of loss program, on a risk-adjusted basis.

Also likely helping make the renewal more competitively bid, Kingstone said that it brought on six new reinsurers to the panel for 2026.

Meryl Golden, President and Chief Executive Officer of Kingstone, commented, “I am pleased to announce the successful completion of our 2026/2027 catastrophe reinsurance placement on favorable terms. Due to the significant increase in exposure experienced in the past year, we made the decision to raise our catastrophe reinsurance limit by $60 million to $500 million. This limit includes the multi-year protection of $125 million sourced through our catastrophe bond, issued last year by 1886 Re Ltd. We also maintained a low first event retention with $3.5 million for wildfire, $5 million for named storm and $6 million for winter storm.

“While we raised the limit purchased, added wildfire to the mix and improved terms, the cost of our core catastrophe excess of loss coverage decreased more than 15% on a risk-adjusted basis. The catastrophe program cost is approximately 11% of projected direct premiums earned, down from 13% for the previous treaty period. This coverage strengthens our balance sheet protection and helps reduce the volatility of our results while supporting our continued profitable growth.

“We appreciate the broad support of our valued reinsurance partners, with over 34 reinsurers participating in the program, including six new reinsurers. Their continued confidence underscores the quality of our underwriting, the strength of our claims execution, and our disciplined approach to risk management. With this placement complete, we are well positioned to continue our profitable growth trajectory toward our goal of $500 million of annual written premium by year end 2029.”

The sponsorship of its debut 144A catastrophe bond in 2025 will also help Kingstone with price predictability over the longer-term, given it is multi-year in nature.

It’s reasonable to assume that as its reinsurance needs grow, Kingstone is likely to come back to renew that cat bond which matures in June 2029, or perhaps even add another to run concurrently with it before that.

Read all of our reinsurance renewal news coverage.