News Archive
| First quarter results are excellent! |  |
To all MFM Agencies: Our first quarter of 2017 is off to a very good start. Losses are lower and sales are higher...a great scenario to start the year. Our written premiums are up 11.4% compared to the same quarter a year ago. New sales have been brisk in all lines of business and in all states. Losses were well under control with modest winter weather. Increasing our writings in the Southwest has also aided our loss results. Our Combined Ratio for the quarter was an excellent 83.6. Realizing such a good Combined Ratio in the first quarter allows a certain degree of comfort as we enter the traditional Midwest storm season. However, as we have diversified our writings over the last several years we are much less apprehensive about storm losses than in past years. We now write much more casualty insurance and we have a significant amount of our premiums coming from the Southwest region of the country. Our ability to withstand major storm activity profitably is much better than perhaps 10 years ago. Many of you have heard of our new First Class Portfolio (FCP) program. FCP is designed to cover the unique personal lines exposures of affluent customers. This program is designed to be an all inclusive solution providing coverage on multiple homes, a larger stable of high end vehicles, recreational vehicles, and with the help of a $10M umbrella, protection of assets from unique liability exposures. Underlying liability limits for home and auto are generally offered at 1M CSL. UM and UIM are also written up to 1M CSL with an additional UM/UIM sublimit of 2M (3M total) available on the umbrella (except in Nevada). We will write home limits starting at a minimum of 400K for Coverage A all the way up to 10M of Coverage A. Our 200% of Coverage A blanket limit provides up to $20M of limit for the residence, other structures, personal property, and loss of use. We will write multiple homes (seasonal homes) on the same FCP. Home coverage is enhanced with a multitude of additional coverage highlighted by equipment breakdown, higher sewer backup limits, and drone coverage. Earthquake and private flood insurance is also optionally available. The Auto portion of the FCP is further enhanced with New Car Replacement, Waiver of First Accident, and Collector Car coverage to name a few. All FCP packages are direct billed as one policy with a variety of payment options. We are now active in 7 states with this program and are rolling the program out one state at a time. In fact, we should be announcing this product's entry into Arizona in the next few days. Indiana, Missouri, and Utah will follow shortly after Arizona. We will be active in all 21 states in which we intend to write FCP over the next 7-10 months. FCP premiums are attractive, averaging 5-7K in premium each, but we have already written accounts in excess of 40K in annual premium. We have recently written a $10M residence, a 32 vehicle personal fleet, and a vehicle worth $300,000. These recent writings showcase the potential of this new product. Our target customers are the sole proprietors, partners, and executive officers of the businesses we are already insuring. Your Marketing Manager will be talking to you soon about First Class Portfolio. We are always appreciative of the sales efforts of our agents. We succeed by serving you first, and this new product is just one of the ways we do it. Always know we appreciate your business. Best regards,  Ron Boyd, CPCU President and CEO We serve our Agents first to serve Policyholders best! |
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Posted on Sunday, April 30 @ 20:53:09 -05:00
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