Company: KNSL
Filing Date: 2025-10-23
Form Type: 10-Q
Source: 0001669162-25-000058
Chunk: 130

Company: Kinsale Capital Group, Inc.
Filing Date: 2025-10-23
Form: 10-Q
Item: Item 2
Chunk 130
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 and insurance expenses$88,423 21.0 %$70,139 19.6 %

The expense ratio was 21.0% for the three months ended September 30, 2025 compared to 19.6% for the three months ended September 30, 2024. The increase in the expense ratio was primarily due to lower ceding commissions as a result of increased retention on our reinsurance treaties effective with the June 2025 renewal. Direct commissions paid as a percent of gross written premiums was 14.8% and 14.7% for the three months ended September 30, 2025 and 2024, respectively. 

Investing results

The following table summarizes net investment income, change in the fair value of equity securities and net realized investment gains (losses) for the three months ended September 30, 2025 and 2024:

Three Months Ended September 30,($ in thousands)20252024ChangeInterest from fixed-maturity securities$47,043 $38,400 $8,643 Dividends from equity securities2,019 1,494 525 Cash equivalents and short-term investments1,774 615 1,159 Gross investment income50,836 40,509 10,327 Investment expenses(1,232)(865)(367)Net investment income49,604 39,644 9,960 Change in the fair value of equity securities23,717 20,659 3,058 Net realized investment gains (losses)2,159 (8)2,167 Change in allowance for credit losses on investments4 4 — Net realized and unrealized investment gains25,880 20,655 5,225 Total$75,484 $60,299 $15,185 

Net investment income increased by 25.1% to $49.6 million for the three months ended September 30, 2025 from $39.6 million for the three months ended September 30, 2024. This increase was primarily due to growth in our investment portfolio generated from the investment of strong operating cash flows. Our investment portfolio, excluding cash equivalents and unrealized gains and losses, had an annualized gross investment return of 4.4% for both the three months ended September 30, 2025 and 2024.

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Table of Contents

During the third quarter of 202