Kin Interinsurance Network, managed by digital home insurtech Kin, has closed a $300mn catastrophe bond deal through Hestia Re.
The new bond provides multi-year indemnity-based coverage against named storms in Florida. Initially set for a lower amount, the transaction was increased by 50% from the original 2025 offer.
The deal includes two tranches: a $200 mn Class A tranche and a $100 mn Class B tranche, both offering three years of protection. This marks Kin’s third move into the insurance-linked securities market.
The company secured notably better pricing than in previous issues, reflecting growing market confidence in its underwriting and risk management.
Howden Capital Markets & Advisory acted as the sole structuring agent and bookrunner.
Angel Conlin, Chief Insurance Officer at Kin, said the improved pricing terms validate the company’s disciplined approach to risk selection and portfolio management. The deal strengthens Kin’s ability to pay claims and reduces overall costs, directly benefiting policyholders.
This enhanced protection at more favorable terms directly benefits our policyholders by strengthening our claims-paying ability while reducing our overall cost structure
Angel Conlin, CIO at Kin
Sean Harper, CEO of Kin, noted that reinsurance rates have been rising for years, but this transaction marks a positive shift.
Improved market conditions and investor confidence in Kin’s technology-driven approach have allowed for better terms, enhancing the capital position of its reciprocal exchanges.
In addition to improvement in the market, the dramatically improved terms reflect investors’ growing confidence in our technology-driven approach to homeowners insurance and our ability to effectively manage catastrophe exposure.
Sean Harper, CEO of Kin
“This transaction strengthens the capital position of our reciprocal exchanges and supports our continued expansion while maintaining our commitment to providing affordable coverage in catastrophe-prone regions.”
Mitchell Rosenberg, Co-Head of Global ILS at Howden, emphasized the strong market interest in supporting top-performing insurers like Kin.
He highlighted the favorable pricing and substantial upsizing as evidence of investor confidence in Kin’s transparent communication and consistent underwriting performance.
Kin Insurance, founded in 2016, has undergone several funding rounds to support its growth.
As of March 2024, Kin Insurance has raised approximately $265 mn in equity funding. Additionally, the company has secured $193.2 mn through other financial instruments, bringing its total funding to $458.2 mn over 12 rounds.
- 2016: Completed an angel funding round, securing $650,000 from a group of investors.
- 2017: Raised $4 mn in a seed funding round with participation from investors including Service Provider Capital and Sandalphon Capital.
- 2018: Completed a Series A funding round, raising $13.1 mn with Commerce Ventures and August Capital as lead investors.
- 2021: Secured $69.2 mn in a Series C funding round from investors such as Flourish Ventures and Hudson Structured Capital Management.
- 2022: Announced an $82 mn first close of its Series D round in March, with additional commitments for a second close totaling $18 million. The funding was led by QED Investors.
- 2023: In September, Kin announced a $33 mn Series D extension, with QED Investors leading the round.
- 2024: In February, Kin secured $15 mn in financing from new investor Activate Capital, bringing its total equity funding to approximately $265 mn and surpassing a $1 billion valuation.
This funding trajectory reflects Kin’s strategic growth and the increasing confidence investors have in its business model.
