Citing Remote Worforce, Kingstone Insurance to Sell Headquarters to County

Coming off its best year ever in 2024, Kingstone Companies, Inc., a Northeast regional property/casualty insurance holding company, announced that it has agreed to sell its headquarters building in Kingston, New York.

The buyer is Ulster County, which agreed to pay $3.6 million for the Joys Lane property that includes a 17,000-square foot office building and an adjacent duplex. The property is close to the Ulster County Courthouse and will be occupied by the district attorney’s office, which is currently spread across three locations.

The insurance company said the transaction will result in an approximate pre-tax gain of $1.9 million ($1.5 million after-tax) and is expected to be recognized in the first quarter of 2025, subject to closing of the sale.

Additionally, the transaction will reduce Kingstone’s annual operating costs by approximately $300,000, according to the announcement.

Meryl Golden, Kingstone chief executive officer, said the property sale is in alignment with management’s commitment to a remote workforce.

“We decided to market our properties last year after making the decision to continue as a remote workforce model. We are delighted that Ulster County found these properties ideal for their needs,” Golden said in announcing the sale.

Kingstone has owned and occupied the headquarters building since 2009. The insurer said it will maintain its presence in the Kingston area by leasing a smaller space.

Kingstone Insurance Co. is a New York domiciled carrier writing business through retail and wholesale agents and brokers. It is actively writing personal lines and commercial auto insurance in New York, and in 2023, was the 15th largest writer of homeowners insurance in the state. Kingstone is also licensed in New Jersey, Rhode Island, Massachusetts, Connecticut, Pennsylvania, New Hampshire, and Maine.

Earlier this month, Golden told investors that 2024 was the best year in Kingstone’s history with both “record premium and profitability,” with four consecutive quarters of profitability and its best underwriting performance in recent years.

The insurer benefitted from the exit of two sizable competitors — financially-troubled personal lines carrier Adirondack Insurance Exchange and its subsidiary Mountain Valley Indemnity Co. Kingston gained more than 6,000 policies and $23 million in direct written premium from customers previously insured with these two carriers.

“Our plan was to capitalize on this unique opportunity by being very intentional and selective on which properties to write to ensure the business met our profit margins,” Golden reported in a letter to investors. Kingstone finished the year with growth of more than 31% growth in its core (New York State) direct written premiums, including 44% growth in the second half.