The amortized cost, estimated fair value, allowance for credit losses and gross unrealized gains and losses on the Company’s total available-for-sale fixed-maturity securities including short-term investments, as of September 30, 2026 and December 31, 2025 are summarized as follows:


	September 30, 2026
	Cost or Amortized Cost		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses				Estimated Fair Value		Net Unrealized Losses
Category							Less than 12 Months		More than 12 Months

Fixed-Maturity Securities:
Available-for-Sale
U.S. Treasury securities and obligations of U.S. government corporations and agencies	$	1,498,038	$	-	$	-	$	(71,963)	$	-	$	1,426,075	$	(71,963)
Political subdivisions of States, Territories and Possessions (1)	24,112,087		-		-		(319,143)		(3,416,646)		20,376,298		(3,735,789)
Corporate and other bonds industrial and miscellaneous (1)	164,231,277		-		725		(5,242,808)		(3,437,762)		155,551,432		(8,679,845)
Residential mortgage and other asset backed securities (1) (2)	149,198,040		(7,295)		109,882		(4,961,717)		(5,712,203)		138,626,707		(10,571,333)
Total fixed-maturity securities, available-for-sale	339,039,442		(7,295)		110,607		(10,595,631)		(12,566,611)		315,980,512		(23,058,930)

Short-term investments	1,486,371		-		-		(3,966)		-		1,482,405		(3,966)
Total fixed-maturity securities	$	340,525,813	$	(7,295)	$	110,607	$	(10,599,597)	$	(12,566,611)	$	317,462,917	$	(23,062,896)


	December 31, 2025
	Cost or Amortized Cost		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses				Estimated Fair Value		Net Unrealized Losses
Category							Less than 12 Months		More than 12 Months

Fixed-Maturity Securities:
Available-for-Sale
U.S. Treasury securities and obligations of U.S. government corporations and agencies (1)	$	997,124	$	-	$	10,066	$	-	$	-	$	1,007,190	$	10,066
Political subdivisions of States, Territories and Possessions (1)	24,125,578		-		182,580		-		(2,534,725)		21,773,433		(2,352,145)
Corporate and other bonds industrial and miscellaneous (1)	131,958,643		-		567,410		(118,901)		(2,540,470)		129,866,682		(2,091,961)
Residential mortgage and other asset backed securities (1) (2)	139,656,710		-		1,273,816		(62,968)		(4,477,673)		136,389,885		(3,266,825)
Total fixed-maturity securities, available-for-sale	$	296,738,055	$	—	$	2,033,872	$	(181,869)	$	(9,552,868)	$	289,037,190	$	(7,700,865)

(1)KICO places certain fixed-maturity securities in a designated custodian account to fulfill the required collateral for a sale-leaseback transaction (see Note 7 - Debt - "Equipment Financing"). As of September 30, 2026 and December 31, 2025, the amount of required collateral was approximately $2,347,000 and $3,616,000, respectively, and the estimated fair value of the eligible collateral was approximately $2,347,000 and $3,616,000, 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 September 30, 2026 and December 31, 2025, the estimated fair value of the eligible investments was approximately $8,309,000 and $9,598,000, respectively. KICO will retain all rights regarding all securities if pledged as collateral. As of September 30, 2026 and December 31, 2025, there was no outstanding balance on the FHLBNY credit line.


	September 30, 2026				December 31, 2025
Remaining Time to Maturity	Cost or Amortized Cost		Estimated Fair Value		Cost or Amortized Cost		Estimated Fair Value

Less than one year	$	11,984,749	$	11,945,275	$	6,039,179	$	6,052,600
One to five years	88,603,855		85,172,369		76,122,161		75,365,535
Five to ten years	72,195,024		66,603,135		54,998,070		53,590,654
More than 10 years	18,544,145		15,115,431		19,921,935		17,638,516
Residential mortgage and other asset backed securities	149,198,040		138,626,707		139,656,710		136,389,885
Total	$	340,525,813	$	317,462,917	$	296,738,055	$	289,037,190


	September 30, 2026
Category	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

Equity Securities:
Preferred stocks	$	9,750,322	$	-	$	(3,441,144)	$	6,309,178
Fixed income exchange traded funds	3,711,232		-		(970,432)		2,740,800
FHLBNY common stock	136,900		-		-		136,900
Total	$	13,598,454	$	-	$	(4,411,576)	$	9,186,878


	December 31, 2025
Category	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

Equity Securities:
Preferred stocks	$	9,750,322	$	-	$	(2,765,627)	$	6,984,695
Fixed income exchange traded funds	3,711,232		-		(724,432)		2,986,800
FHLBNY common stock	85,100		-		-		85,100
Total	$	13,546,654	$	-	$	(3,490,059)	$	10,056,595


	September 30, 2026

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

Held-to-Maturity Securities:
U.S. Treasury securities1	$	1,229,735	$	-	$	(9,846)	$	(66,432)	$	1,153,457

Exchange traded debt	304,111		-		-		(75,861)		228,250
Corporate and other bonds industrial and miscellaneous	4,504,488		-		-		(1,096,798)		3,407,690
Total	$	6,038,334	$	-	$	(9,846)	$	(1,239,091)	$	4,789,397


	December 31, 2025
	Cost or Amortized Cost		Gross Unrealized Gains						Estimated Fair Value
					Gross Unrealized Losses
Category					Less than 12 Months		More than 12 Months

Held-to-Maturity Securities:
U.S. Treasury securities1	$	1,229,490	$	-	$	(3,070)	$	(22,083)	$	1,204,337

Exchange traded debt	304,111		-		-		(62,111)		242,000
Corporate and other bonds industrial and miscellaneous	4,508,747		-		-		(817,817)		3,690,930
Total	$	6,042,348	$	-	$	(3,070)	$	(902,011)	$	5,137,267


	September 30, 2026				December 31, 2025
Remaining Time to Maturity	Cost or Amortized Cost		Estimated Fair Value		Cost or Amortized Cost		Estimated Fair Value

Less than one year	$	622,840	$	615,958	$	-	$	-
One to five years	1,450,918		1,368,660		2,063,366		2,029,462
Five to ten years	-		-		-		-
More than 10 years	3,964,576		2,804,779		3,978,982		3,107,805
Total	$	6,038,334	$	4,789,397	$	6,042,348	$	5,137,267


	Three months ended September 30,				Nine months ended September 30,
	2026		2025		2026		2025
Income:
Fixed-maturity securities	$	3,699,293	$	2,449,081	$	10,362,434	$	6,510,764
Equity securities	124,373		123,501		371,586		370,139
Cash and cash equivalents	52,106		84,329		130,439		228,137

Total	3,875,772		2,656,911		10,864,459		7,109,040
Expenses:
Investment expenses	119,961		157,840		342,338		261,106
Net investment income	$	3,755,811	$	2,499,071	$	10,522,121	$	6,847,934


	Three months ended September 30,				Nine months ended September 30,
	2026		2025		2026		2025
Realized Gains (Losses)

Fixed-maturity securities:
Gross realized gains	$	90	$	333	$	1,833	$	1,175
Gross realized losses	(5,875)		(6,655)		(212,869)		(13,301)
Net realized losses	(5,785)		(6,322)		(211,036)		(12,126)








Unrealized Gains (Losses)

Equity Securities:
Gross gains	-		382,734		-		94,228
Gross losses	(623,622)		-		(921,517)		-
	(623,622)		382,734		(921,517)		94,228

Other Investments:
Gross gains	86,740		-		-		508,492
Gross losses	-		(194,290)		(185,116)		-
	86,740		(194,290)		(185,116)		508,492

Allowance for credit losses:
Fixed-maturity securities	(7,295)		-		(7,295)		-

Net unrealized gains (losses)	(544,177)		188,444		(1,113,928)		602,720

Net gains (losses) on investments	$	(549,962)	$	182,122	$	(1,324,964)	$	590,594

The Company reviews available-for-sale fixed-maturity securities for decreases in fair value to see if the decrease is credit related. A credit loss exists if the present value of cash flows expected to be collected is less than the amortized cost basis as the result of a credit event of the issuer such as a bankruptcy or missed interest payments, a decline in the issuer's credit rating or an expected future default. 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 income 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 (loss) income, net of tax. The Company intends to hold available-for-sale securities to maturity but if it is more likely than not that it will be required to sell the security before recovery of the unrealized loss, the Company will write down the security to fair value.

At September 30, 2026 and December 31, 2025, there were 384 and 125 fixed-maturity securities, respectively, that accounted for the gross unrealized losses. The Company determined that, except for the credit loss disclosed above, none of the other unrealized losses were deemed to be credit losses for its portfolio of investments for the nine months ended September 30, 2026 and 2025. 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 to maturity or for a period of time sufficient to allow for an anticipated recovery of estimated fair value to the Company’s cost basis. Therefore, the Company concluded that these securities had not incurred a credit loss and should not have an allowance for credit loss as of September 30, 2026.


	September 30, 2026
	Less than 12 months					12 months or more					Total
Category	Estimated Fair Value		Gross Unrealized Losses		No. of Positions Held	Estimated Fair Value		Gross Unrealized Losses		No. of Positions Held	Estimated Fair Value		Gross Unrealized Losses

Available-for-Sale Securities:

U.S. Treasury securities and obligations of U.S. government corporations and agencies	$	1,426,075	$	(71,963)	2	$	-	$	-	-	$	1,426,075	$	(71,963)
Political subdivisions of States, Territories and Possessions	7,354,772		(319,143)		6	13,021,526		(3,416,646)		12	20,376,298		(3,735,789)
Corporate and other bonds industrial and miscellaneous	125,839,940		(5,242,808)		149	29,210,767		(3,437,762)		33	155,050,707		(8,680,570)
Residential mortgage and other asset backed securities	112,741,212		(4,961,717)		152	23,878,550		(5,712,203)		30	136,619,762		(10,673,920)
Total fixed-maturity securities	$	247,361,999	$	(10,595,631)	309	$	66,110,843	$	(12,566,611)	75	$	313,472,842	$	(23,162,242)


	December 31, 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:

Political subdivisions of States, Territories and Possessions	$	-	$	-	-	$	13,926,802	$	(2,534,725)	12	$	13,926,802	$	(2,534,725)
Corporate and other bonds industrial and miscellaneous	21,525,673		(118,901)		24	34,677,856		(2,540,470)		38	56,203,529		(2,659,371)
Residential mortgage and other asset backed securities	18,055,734		(62,968)		20	29,673,084		(4,477,673)		31	47,728,818		(4,540,641)
Total fixed-maturity securities	$	39,581,407	$	(181,869)	44	$	78,277,742	$	(9,552,868)	81	$	117,859,149	$	(9,734,737)