Governance and Investment Strategy
We believe good corporate governance is essential to the success of Kinsale. Our corporate governance practices are designed to support sustained value for all of our stakeholders under the direction of:
- The Board of Directors
- Executive management
- Corporate governance policies
Our Board of Directors and its standing committees oversee Kinsale’s governance policies by engaging in regular dialogue with the Kinsale’s executive management team.
We believe that there are certain fundamental elements necessary to create high-quality corporate governance:
- Strong and Qualified Board of Directors – Our Board is comprised of directors who are knowledgeable and have expertise in our business. Additionally, our directors are from diverse backgrounds that enhance the quality of our Board’s interactions and decisions.
- Defined Roles – The roles and responsibilities of the Board and executive management are clearly defined to avoid overlapping of duties. We believe it is management’s duty to propose and implement strategic choices, and the Board’s role to approve strategic direction and evaluate strategic results.
- Integrity and Ethical Dealing – Our Board endeavors to act in the best interests of the Kinsale’s stakeholders by ensuring that their actions are directly connected to the business of our company and are carried out in good faith. In implementing these practices, we have adopted various policies such as a conflict-of-interest policy, a code of conduct policy, and a whistle-blower policy.
- Risk Management – In order to be successful, we must be able to identify and assess potential risks such as financial, operational, and legal risks. Our executive management team has developed a risk control system to identify, assess, mitigate and monitor risks. Our Board oversees these efforts through Kinsale’s governance policies, its standing committees and by engaging in regular dialogue with the Kinsale’s executive management team.
- Accountability and Transparency – Our Board is answerable to our shareholders and other stakeholders of Kinsale. We believe in timely and accurate disclosure of information to our shareholders and stakeholders on issues such as our financial position, performance and governance. In addition, we believe in effective monitoring of management to ensure accountability and transparency.
Our primary corporate governance policies are addressed in our Code of Conduct, which is applicable to all our directors, officers and employees. This code is designed to deter wrongdoing and to promote:
- honest and ethical conduct, including the ethical handling of actual or apparent conflicts of interest between personal and professional relationships;
- full, fair, accurate, timely and understandable disclosure in reports and documents that we file with, or submit to, the SEC and in other public communications made by us;
- compliance with applicable governmental laws, rules and regulations; and
- prompt reporting of violations of the Code of Conduct; and accountability for adherence to the Code of Conduct.
Our Code of Conduct is available on our Documents & Charters page.
Kinsale has a conservative investment strategy that seeks to achieve steady and consistent results. Our investment portfolio is primarily invested in high-quality fixed maturity securities with a small allocation to common and preferred equity securities.
Our fixed-maturity portfolio is managed by a globally-recognized investment management firm and our equity portfolio is managed in-house via a variety of passively managed funds.
Our investment strategy is governed by our investment policy which:
- is approved by the Investment Committee of the Board of Directors
- reflects a long-term approach to sustainable value creation
- is designed to comply with regulatory requirements
- places limitations on the types of investments we may make
- places limitations on concentrations of credit and equity risk
- imposes strict requirements on credit quality, with a minimum average credit rating for the fixed-maturity portfolio of “AA-” or higher.
The Investment Committee of the Board of Directors exercises oversight of Kinsale’s investment strategy and performance through regular meetings and discussions with management and investment managers.