It seems like Kinsale has tailored their policy language to target these accounts and protect themselves on coverage. Why do you think other insurers haven't structured their business this way?

There's really only one other market I can think of with similar exclusions or limitations, but the majority don't. I think it depends on what their vision of their business model is. Some insurance companies I work with are on the other end of the spectrum. We call them true partners. They want to provide the protection businesses need and have the resources to analyze data and understand risks. They have excellent claims experts on staff and want to write similar accounts, but they are methodical in their review. They are less willing to negotiate the price, stating that they are willing to do it, but it must be with a specific deductible or premium to work for them. We have to be more selective when engaging a market like that, which is willing to partner with a business and provide what they need, but the business must be willing to pay for it.

It seems like Kinsale has tailored their policy language to target these accounts and protect themselves on coverage. Why do you think other insurers haven't structured their business this way?

I think there's opportunity on both ends of the spectrum. From my perspective, focusing more on the balance sheet and providing minimal coverage that meets certain requirements gives business owners some coverage. I haven't had any in-depth conversations about this, except when I met with some Kinsale executives a few months ago in San Diego at the National Conference for Surplus Lines and Wholesale. When I asked them about the usage of certain forms and their position, they stated these are concerns they have in general, and they want to use these forms to protect the business.

That's our understanding. Please tell us if that's wrong.

I believe their technological capabilities allow them to operate in a more churn-and-burn manner. The time each underwriter spends on a quote is likely less compared to other competitors. This enables them to review more accounts and produce more quotes. From my perspective, it seems they are not particularly concerned about whether they write an account or not. They operate on the law of large averages because they have created a framework based on risk profiles. These are the terms they offer, and they can do it quickly. If you want modifications later, you can request them, but they start with an initial quote because, in many cases, people just need something to begin with.