BENSALEM, Pa.–(BUSINESS WIRE)–$KINS #classaction–Law Offices of Howard G. Smith announces that a class action lawsuit has
been filed on behalf of investors who purchased Kingstone Companies,
Inc. (“Kingstone” or the “Company”) (NASDAQ: KINS)
securities between March 14, 2018 and April 29, 2019, inclusive
(the “Class Period”). Kingstone investors have until August 12, 2019 to
file a lead plaintiff motion.
Investors suffering losses on their Kingstone investments are encouraged
to contact the Law Offices of Howard G. Smith to discuss their legal
rights in this class action at 888-638-4847 or by email to [email protected].
On April 29, 2019, the Company disclosed a $2.5 million charge to its
claims case reserves and a $2.5 million charge to its IBNR reserves,
based on a “comprehensive review of [the Company’s] claims operations.”
As a result of the charges, the Company “expects to end the full year
with a combined ratio excluding catastrophe losses of 88% to 91% and
catastrophe losses of 4 to 5 points.”
On this news, the Company’s share price fell $2.07 per share, more than
15%, to close at $11.61 per share on April 30, 2019, thereby injuring
investors.
The complaint filed in this class action alleges that throughout the
Class Period, Defendants made materially false and/or misleading
statements, as well as failed to disclose material adverse facts about
the Company’s business, operations, and prospects. Specifically,
Defendants failed to disclose to investors: (1) that the Company did not
adequately follow industry best practices related to claims handling;
(2) that, as a result, the Company did not record sufficient claims
reserves; (3) that the Company lacked adequate internal control over
financial reporting; and (4) that, as a result of the foregoing,
Defendants’ positive statements about the Company’s business,
operations, and prospects were materially misleading and/or lacked a
reasonable basis.
If you purchased shares of Kingstone, have information, would like to
learn more about these claims, or have any questions concerning this
announcement or your rights or interests with respect to these matters,
please contact Howard G. Smith, Esquire, of Law Offices of Howard G.
Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by
telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to [email protected],
or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some
jurisdictions under the applicable law and ethical rules.
Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
[email protected]
www.howardsmithlaw.com
