The amortized cost, estimated fair value, and gross unrealized gains and losses on investments in fixed-maturity securities classified as available-for-sale for which an allowance for credit losses has not been recorded, as of June 30, 2025 and December 31, 2024 are summarized as follows:


	June 30, 2025
	Cost or Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses				Estimated Fair Value		Net Unrealized Losses
Category					Less than 12 Months		More than 12 Months

Fixed-Maturity Securities:
U.S. Treasury securities and obligations of U.S. government corporations and agencies	$	5,969,707	$	26	$	(683)	$	-	$	5,969,050	$	(657)

Political subdivisions of States, Territories and Possessions (1)	24,262,830		109,815		-		(2,955,097)		21,417,548		(2,845,282)

Corporate and other bonds industrial and miscellaneous (1)	108,053,269		106,466		(185,250)		(3,441,755)		104,532,730		(3,520,539)

Residential mortgage and other asset backed securities (1) (2)	90,700,775		480,276		(15,023)		(5,406,006)		85,760,022		(4,940,753)
Total fixed-maturity securities	$	228,986,581	$	696,583	$	(200,956)	$	(11,802,858)	$	217,679,350	$	(11,307,231)


	December 31, 2024
	Cost or Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses				Estimated Fair Value		Net Unrealized Losses
Category					Less than 12 Months		More than 12 Months

Fixed-Maturity Securities:
U.S. Treasury securities and obligations of U.S. government corporations and agencies (1)	$	-	$	-	$	-	$	-	$	-	$	-

Political subdivisions of States, Territories and Possessions (1)	24,271,177		-		(73,589)		(3,324,491)		20,873,097		(3,398,080)

Corporate and other bonds industrial and miscellaneous (1)	112,507,436		-		(1,024,461)		(4,690,597)		106,792,378		(5,715,058)

Residential mortgage and other asset backed securities (1) (2)	65,529,545		119,647		(209,890)		(6,211,339)		59,227,963		(6,301,582)
Total fixed-maturity securities	$	202,308,158	$	119,647	$	(1,307,940)	$	(14,226,427)	$	186,893,438	$	(15,414,720)

(1)In October 2022, KICO placed certain U.S. Treasury securities to fulfill the required collateral for a sale-leaseback transaction in a designated custodian account (see Note 7 – Debt - “Equipment Financing”). As of December 31, 2024 KICO had sold its U.S. Treasury securities and replaced a portion of its other fixed-maturity securities in the designated custodian account. As of June 30, 2025 and December 31, 2024, the amount of required collateral was approximately $4,462,000 and $5,308,000, respectively. As of June 30, 2025 and December 31, 2024, the estimated fair value of the eligible collateral was approximately $4,462,000 and $5,308,000, respectively.

(2)KICO has placed certain residential mortgage backed securities as eligible collateral in a designated custodian account related to its membership in the Federal Home Loan Bank of New York (“FHLBNY”) (see Note 7 – Debt – “Federal Home Loan Bank”). The eligible collateral would be pledged to FHLBNY if KICO draws an advance from the FHLBNY credit line. As of June 30, 2025 and December 31, 2024, the estimated fair value of the eligible investments was approximately $9,840,000 and $10,130,000, respectively. KICO will retain all rights regarding all securities if pledged as collateral. As of June 30, 2025 and December 31, 2024, there was no outstanding balance on the FHLBNY credit line.

A summary of the amortized cost and estimated fair value of the Company’s investments in available-for-sale fixed-maturity securities by contractual maturity as of June 30, 2025 and December 31, 2024 is shown below:


	June 30, 2025				December 31, 2024
Remaining Time to Maturity	Cost or Amortized Cost		Estimated Fair Value		Cost or Amortized Cost		Estimated Fair Value

Less than one year	$	13,437,080	$	13,373,658	$	9,522,262	$	9,484,834
One to five years	72,753,263		71,493,505		68,052,387		66,141,372
Five to ten years	35,376,800		33,053,951		38,159,446		34,068,922
More than 10 years	16,718,663		13,998,214		21,044,518		17,970,347
Residential mortgage and other asset backed securities	90,700,775		85,760,022		65,529,545		59,227,963
Total	$	228,986,581	$	217,679,350	$	202,308,158	$	186,893,438


	June 30, 2025
Category	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

Equity Securities:
Preferred stocks	$	9,750,322	$	-	$	(2,754,323)	$	6,995,999
Fixed income exchange traded funds	3,711,232		-		(765,232)		2,946,000
FHLBNY common stock	85,100		-		-		85,100
Total	$	13,546,654	$	-	$	(3,519,555)	$	10,027,099


	December 31, 2024
Category	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

Equity Securities:
Preferred stocks	$	9,750,322	$	-	$	(2,422,617)	$	7,327,705
Fixed income exchange traded funds	3,711,232		-		(808,432)		2,902,800
FHLBNY common stock	66,000		-		-		66,000
Total	$	13,527,554	$	-	$	(3,231,049)	$	10,296,505


	June 30, 2025						December 31, 2024
Category	Cost		Gross Unrealized Gains		Estimated Fair Value		Cost		Gross Unrealized Gains		Estimated Fair Value

Other Investments:
Hedge fund	$	1,987,040	$	3,096,398	$	5,083,438	$	1,987,040	$	2,393,616	$	4,380,656

The cost or amortized cost and estimated fair value of, and unrealized gross gains and losses on, investments in held-to-maturity fixed-maturity securities as of June 30, 2025 and December 31, 2024 are summarized as follows:


	June 30, 2025

	Cost or Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses				Estimated Fair Value		Net Unrealized Losses
Category					Less than 12 Months		More than 12 Months

Held-to-Maturity Securities:
U.S. Treasury securities	$	1,229,328	$	-	$	(25,668)	$	(8,370)	$	1,195,290	$	(34,038)

Political subdivisions of States, Territories and Possessions	500,000		-		-		-		500,000		—

Exchange traded debt	304,111		-		-		(69,311)		234,800		(69,311)

Corporate and other bonds industrial and miscellaneous	5,011,792		-		-		(974,742)		4,037,050		(974,742)
Total	$	7,045,231	$	-	$	(25,668)	$	(1,052,423)	$	5,967,140	$	(1,078,091)


	December 31, 2024
	Cost or Amortized Cost		Gross Unrealized Gains						Estimated Fair Value		Net Unrealized Losses
					Gross Unrealized Losses
Category					Less than 12 Months		More than 12 Months

Held-to-Maturity Securities:
U.S. Treasury securities	$	1,229,170	$	—	$	(39,630)	$	(15,990)	$	1,173,550	$	(55,620)

Political subdivisions of States, Territories and Possessions	499,719		—		(654)		-		499,065		(654)

Exchange traded debt	304,111		-		-		(55,611)		248,500		(55,611)

Corporate and other bonds industrial and miscellaneous	5,014,342		-		-		(976,192)		4,038,150		(976,192)
Total	$	7,047,342	$	—	$	(40,284)	$	(1,047,793)	$	5,959,265	$	(1,088,077)

A summary of the amortized cost and estimated fair value of the Company’s investments in held-to-maturity securities by contractual maturity as of June 30, 2025 and December 31, 2024 is shown below:


	June 30, 2025				December 31, 2024
Remaining Time to Maturity	Cost or Amortized Cost		Estimated Fair Value		Cost or Amortized Cost		Estimated Fair Value

Less than one year	$	500,000	$	500,000	$	499,719	$	499,065
One to five years	2,056,576		1,992,470		622,375		600,288
Five to ten years	—		—		1,427,579		1,323,600
More than 10 years	4,488,655		3,474,670		4,497,669		3,536,312
Total	$	7,045,231	$	5,967,140	$	7,047,342	$	5,959,265


	Three months ended June 30,				Six months ended June 30,
	2025		2024		2025		2024
Income:
Fixed-maturity securities	$	2,130,385	$	1,156,591	$	4,061,683	$	2,339,220
Equity securities	123,203		145,469		246,638		322,638
Cash and cash equivalents	103,147		492,054		143,808		688,191
Other	—		39,227		—		39,227
Total	2,356,735		1,833,341		4,452,129		3,389,276
Expenses:
Investment expenses	56,468		68,745		103,266		121,820
Net investment income	$	2,300,267	$	1,764,596	$	4,348,863	$	3,267,456

Proceeds from the sale or maturity of fixed-maturity securities available-for-sale were $20,172,732 and $68,122,546 for the six months ended June 30, 2025 and 2024, respectively.


	Three months ended June 30,				Six months ended June 30,
	2025		2024		2025		2024
Realized Gains (Losses)

Fixed-maturity securities:
Gross realized gains	$	54	$	721	$	842	$	805
Gross realized losses	(4,132)		(5,383)		(6,646)		(8,334)
	(4,078)		(4,662)		(5,804)		(7,529)

Equity securities:
Gross realized gains	-		-		-		5,120
Gross realized losses	-		(328,757)		-		(423,367)
	-		(328,757)		-		(418,247)

Net realized losses	(4,078)		(333,419)		(5,804)		(425,776)

Unrealized Gains (Losses)

Equity Securities:
Gross gains	-		-		-		622,874
Gross losses	(95,176)		(18,848)		(288,506)		-
	(95,176)		(18,848)		(288,506)		622,874

Other Investments:
Gross gains	645,705		118,661		702,782		295,687
Gross losses	-		-		-		-
	645,705		118,661		702,782		295,687

Net unrealized gains	550,529		99,813		414,276		918,561

Net gains (losses) on investments	$	546,451	$	(233,606)	$	408,472	$	492,785

For available-for-sale fixed maturity securities, a credit loss exists if the present value of cash flows expected to be collected is less than the amortized cost basis. The allowance for credit losses related to available-for-sale fixed maturity securities is the difference between the present value of cash flows expected to be collected and the amortized cost basis, limited by the amount that the fair value is less than the amortized cost basis. The Company considers all available evidence when determining whether an investment requires a credit loss write-down or allowance to be recorded, which is recognized in net loss through an allowance for credit losses. Any remaining decline in fair value represents the noncredit portion of the impairment, which is recognized in other comprehensive income (loss).

The Company did not identify any available-for-sale securities as of June 30, 2025 and December 31, 2024 which presented a risk of loss due to credit deterioration of the security.

At June 30, 2025 and December 31, 2024, there were 159 and 204 fixed-maturity securities, respectively, that accounted for the gross unrealized losses. The Company determined that none of the unrealized losses were deemed to be credit losses

for its portfolio of investments for the six months ended June 30, 2025 and 2024. Significant factors influencing the Company’s determination that unrealized losses were temporary included credit quality considerations, the magnitude of the unrealized losses in relation to each security’s cost, the nature of the investment and interest rate environment factors, and management’s intent and ability to hold the investment for a period of time sufficient to allow for an anticipated recovery of estimated fair value to the Company’s cost basis.


	June 30, 2025
	Less than 12 months					12 months or more					Total
Category	Estimated Fair Value		Unrealized Losses		No. of Positions Held	Estimated Fair Value		Unrealized Losses		No. of Positions Held	Estimated Fair Value		Unrealized Losses

Available-for-Sale Securities:

U.S. Treasury securities and obligations of U.S. government corporations and agencies	$	3,972,290	$	(683)	4	$	-	-		-	$	3,972,290	$	(683)

Political subdivisions of States, Territories and Possessions	-		-		-	13,521,944		(2,955,097)		12	13,521,944		(2,955,097)

Corporate and other bonds industrial and miscellaneous	38,830,938		(185,250)		40	47,251,942		(3,441,755)		57	86,082,880		(3,627,005)

Residential mortgage and other asset backed securities	6,549,447		(15,023)		10	34,268,752		(5,406,006)		36	40,818,199		(5,421,029)

Total fixed-maturity securities	$	49,352,675	$	(200,956)	54	$	95,042,638	$	(11,802,858)	105	$	144,395,313	$	(12,003,814)


	December 31, 2024
	Less than 12 months					12 months or more					Total
Category	Estimated Fair Value		Unrealized Losses		No. of Positions Held	Estimated Fair Value		Unrealized Losses		No. of Positions Held	Estimated Fair Value		Unrealized Losses

Available-for-Sale Securities:
U.S. Treasury securities and obligations of U.S. government corporations and agencies	$	-	$	-	-	$	-	-		-	$	-	$	-

Political subdivisions of States, Territories and Possessions	7,705,370		(73,589)		6	13,167,726		(3,324,491)		12	20,873,096		(3,398,080)

Corporate and other bonds industrial and miscellaneous	51,411,296		(1,024,461)		60	55,381,083		(4,690,597)		68	106,792,379		(5,715,058)

Residential mortgage and other asset backed securities	19,315,521		(209,890)		22	35,206,442		(6,211,339)		36	54,521,963		(6,421,229)

Total fixed-maturity securities	$	78,432,187	$	(1,307,940)	88	$	103,755,251	$	(14,226,427)	116	$	182,187,438	$	(15,534,367)