Fireman’s Fund, Rural Community Ins. to Provide Crop Ins.

Fireman’s Fund Insurance Company (FFIC) and Rural Community Insurance Company (RCIC), a subsidiary of Wells Fargo & Company, have announced plans to form a business relationship to administer and reinsure crop insurance nationally. Completion of this relationship is subject to the execution and delivery of certain definitive agreements and the receipt of all required regulatory approvals.

Through the relationship, Fireman’s Fund AgriBusiness (FFAB), a business segment of FFIC, would transfer all renewals on its entire crop insurance book of business to Rural Community Insurance Services (RCIS), parent company of RCIC, as managing general agent. RCIS will service the policies and manage the distribution channels, while FFIC will serve as the lead reinsurer, providing additional financial stability to the nation’s largest book of business within the federal crop insurance program. This transaction is supported by RCIS’s current reinsurance partner, Empire Insurance Companies. All three parties will work together in this arrangement.

“This business relationship expands our business interest into a much larger book while capitalizing on our in-depth understanding of the crop insurance industry as a reinsurer,” said John Owens, president of FFAB. “More importantly, the result will be enhanced service in a more stable environment, meeting the needs of the American farmer.”

“Fireman’s Fund is solid, stable and well-known for advocating innovation and education in all parts of the insurance process,” said Mike Connealy, president of RCIS. “This is a great fit with RCIS, which is widely-known for providing local insurance agents and farmers a wealth of information to help them run a successful business, and for providing innovative tools that take advantage of the latest technology. RCIS customers will be well-served with this advance in delivery and reliability of crop insurance products.”

Topics Agribusiness Reinsurance