Company: KNSL
Filing Date: 2025-10-23
Form Type: 10-Q
Source: 0001669162-25-000058
Chunk: 97

Company: Kinsale Capital Group, Inc.
Filing Date: 2025-10-23
Form: 10-Q
Item: Item 8
Chunk 97
---
 ended September 30, 2025 compared to 78.0% for the three months ended September 30, 2024. The increase in the net retention ratio is primarily attributable to an increase in retention on our reinsurance treaties and change in the mix of business.

Net earned premiums increased by $62.2 million, or 17.8%, to $411.0 million for the three months ended September 30, 2025 from $348.8 million for the three months ended September 30, 2024 and was primarily related to growth in gross written premiums. 

35

Table of Contents

Loss ratio

The following table summarizes the loss ratios for the three months ended September 30, 2025 and 2024:

Three Months Ended September 30,20252024($ in thousands)Losses and Loss Adjustment Expenses% of Sum of Earned Premiums and Fee IncomeLosses and Loss Adjustment Expenses% of Sum of Earned Premiums and Fee IncomeLoss ratio:Current accident year before catastrophe losses$241,704 57.3 %$196,750 55.1 %Current year catastrophe losses1,216 0.3 %13,615 3.8 %Effect of prior year development(15,758)(3.7)%(10,125)(2.8)%Total$227,162 53.9 %$200,240 56.1 %

The loss ratio was 53.9% for the three months ended September 30, 2025 compared to 56.1% for the three months ended September 30, 2024. The decrease in the loss ratio in the third quarter of 2025 compared to the third quarter of 2024 was due primarily to lower catastrophe losses incurred and higher relative net favorable development of loss reserves from prior accident years, particularly in our property lines of business. 

During the three months ended September 30, 2025, prior accident years developed favorably by $15.8 million, of which $18.0 million was attributable to the 2021 through 2024 accident years due to lower emergence of reported losses than expected across most lines of business. This favorable development was offset in part by adverse development primarily in our construction liability business in the 2016 through 2019 accident years and adjustments to actuarial assumptions in the 2020 through 2024 accident years to reflect inflation uncertainty around construction defect exposures.

During the three months ended