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A Great First Quarter For 2012 icon

Our first quarter loss and premium results were excellent. Results to date are meeting or exceeding our business plan expectations and place us in very good position to financially absorb the expected losses we will have from the traditional storm season ahead of us.

Our Combined Ratio for the first quarter is an excellent 87. This result is roughly 9 points better than 1 year ago. Our claim count is down by roughly 11% compared to the same period of 2011. Weather did play a part in our good results as we experienced one of the mildest winters in history for the Midwest. Our surplus in the first quarter experienced roughly an annualized increase of 17%.

Our written premium increased by almost 7% through March 31. All lines of business are showing good growth and our sales result from each of our 7 active States is meeting or exceeding plan. Our Agents are doing great sales and service work so far in 2012. We are honored when you recommend Midwest Family to your customers. Effective April 1, MFM is now active in the 4 new States of Indiana, Missouri, Kansas, and Montana. Work for Ohio is progressing well with active entry expected in 30 days.

We always enter the storm season with a little trepidation but this trepidation has steadily subsided over the past several years. First, we have a great Catastrophe Reinsurance program that limits losses to MFM for individual storms and aggregate frequency of multiple storm occurrences. But even more important has been the building of our casualty lines of business as a much greater percentage of our overall writings. At the same time we have also developed more diversification geographically in our property writings as evidenced by the entry of 4 (soon to be 5) States mentioned above. MFM is now active in 11 Midwest States, soon to be 12.

April just ended with similar results to our first quarter. Our Company continues to grow based mainly on the quality business relationships we have developed with you. Thank you very much for all you do to make our Company successful. We very much appreciate your business.

Best regards. Ron


Posted on Friday, May 04 @ 08:31:13 -06:00
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