Super regional property/casualty insurer The Main Street America Group reported record net income of $91.4 million and a combined ratio of 99.8 for the 2015 calendar year.
The Florida-based independent agency carrier’s 2015 combined ratio of 99.8 was an improvement over the company’s 2014 combined ratio of 103.7 and helped the insurer achieve an underwriting gain of just under $3 million. Its commercial lines, surety and commercial agribusiness product operations, as well as its Florida region and Northeast region sales operations, turned a profit on their underwriting.
Net written premium for the year came in at $968 million, a 1 percent decline versus 2014 net written premium of $967 million.
The 2015 results also included a 7.9 percent return on equity, net written premium of $968 million and surplus growth of $60 million.
“We began 2015 with the most winter storm losses incurred in our company’s 92-year history,” said Tom Van Berkel, chairman and chief executive officer. “However, we stayed on course by remaining a stable and consistent market for our independent agent-customers – while maintaining our underwriting and pricing discipline – and finished the year strong.”
While premium growth was essentially flat overall, Van Berkel said that pricing and product improvements in personal lines generated new business in New England, Northeast and Western states. Additionally, he said its new Main Street Protection Auto program did well in its first two launch states – South Carolina and Virginia. This auto product includes 20 different discounts and a lineup of bundled and standalone coverages. Features include accident forgiveness, diminishing collision deductibles, loan/lease and extra medical coverages.
Commercial lines achieved a 94.2 combined ratio. The Austin Mutual agribusiness came in with an 89.7 combined ratio. The insurer implemented a new cyber risk coverage, expanded its workers’ compensation program and added Mississippi and Louisiana to the states in which it writes surety business.
“Our strong capital position leaves us very well-positioned to invest in our people, new products, enhanced technology and competitive pricing to continue to achieve success throughout our ‘Main Street’ niche in 2016,” Van Berkel said.
The Main Street America Group writes business through nine carriers: NGM Insurance Co., Old Dominion Insurance Co., Austin Mutual Insurance Co., Grain Dealers Mutual Insurance Co., Main Street America Assurance Co., Great Lakes Casualty Insurance Co., MSA Insurance Co., Spring Valley Mutual Insurance Co. and Main Street America Protection Insurance Co.