Kin Insurance Sponsored Formation of Kin Interinsurance Network

Kin Insurance, Inc. (“Kin”) sponsored formation of Kin Interinsurance Network (“Kin Exchange”)

Kin is a tech-driven home insurance provider founded in July 2016 by Sean Harper and Lucas Ward

• Kin Exchange is a Florida-domiciled reciprocal insurance exchange offering homeowners insurance

Kin offers intuitive technology, affordable pricing and world-class customer service

• Leverages thousands of public data points to recommend the appropriate coverage at affordable prices
• Operates as an MGA / brokerage in Florida, Texas, Georgia and Alabama with plans to expand(a)

Kin Exchange was initially funded with $33.5mm of surplus notes

• Proceeds used to capitalize Kin Exchange’s initial surplus and to support its growth opportunities
• Kin Exchange has a financial stability rating of “A” (Exceptional) from Demotech, Inc.(a)
• Kin Exchange planned to be focused on Florida at the outset with plans to diversify into other states

Kin Exchange entered into an attorney-in-fact agreement with Kin Risk Management, LLC (“KRM”)

• KRM provides all operational functions including pricing, U/W, claims, distribution and marketing
• KRM, a wholly-owned subsidiay of Kin, is led by Kin’s management team

TCMA acted as exclusive Transaction Advisor and Placement Agent to Kin

• Provided objective advice and acted as a confidant to Kin throughout the process
• Transaction Advisor in all aspects of forming Kin Exchange
• Placement Agent in connection with Kin Exchange surplus note security issuance
• Key roles and responsibilities included:
  • Assistance in preparing Kin Exchange business plan and financial projections
  • Assistance in preparing regulator and rating agency materials
  • CAT modeling and reinsurance structuring for the reinsurance in Kin Exchange
  • Preparing financial packages and materials for potential investors
  • Marketing the transaction to potential investors and facilitating investor discussions
  • Negotiation of transaction terms & conditions

The transaction further solidifies TCMA as the market leader in reciprocal exchange formations

• Including the formation of Vault Exchange in 2017 and Noblr Exchange in 2019

(a) As of the time of the transaction.