View this article online: https://www.insurancejournal.com/news/midwest/2006/10/30/73660.htm
Western National Insurance Group today announced their 2006 financial results through Sept. 30, 2006. The Group results now include the Farmers Home Mutual group of companies due to the completion of that transaction in June 2006, with inter-company pooling effective as of January 2006. Comparisons to 2005 are based on financial statements as they would have existed had the two companies been pooled as of the referenced dates.
Total Assets increased $43.9 million from 12/31/05 (10.2 percent), and now total $474.4 million. Net written premium for the Group increased $14.3 million, or 9 percent, from the same time last year.
Despite a repeat of 2005’s significant tornado and hail loss activity in August and September of 2006, the overall Group Loss Ratio declined from 56 percent to 53.6 percent, and Loss Adjustment Expense declined from 13.5 percent to 12.2 percent. Underwriting Expense remained essentially unchanged at 25.1 percent (versus 25.3 percent at 9-30-05). The resulting Combined Ratio was 90.8 percent, as compared to 94.8 percent at the same time last year. With Underwriting Gain up 175 percent (to $10.4 million from $3.8 million), Net Income after tax was $15.8 million, and ending surplus was $162.6 million (up $25 million, or 18 percent).
“2006 has continued the profitable trends of the last four years, once again exceeding U.S. Property & Casualty industry performance as a whole,” said Stuart Henderson, president & chief executive officer. “We expect to meet our premium growth goals for 2006, and to once again exceed our profit goals. The affiliation and integration with Farmers Home Group has been successfully completed. We once again take this opportunity to thank our employees, independent agent partners, loyal policyholders, and other business partners for helping us to achieve these superior financial results.”
Western National Insurance Group consists of five regional Property and Casualty Insurance companies. Western National Mutual Insurance Company is headquartered in Edina, Minn., and writes both personal and commercial lines in Minnesota, Wisconsin, South Dakota, North Dakota and Iowa. All companies distribute their insurance products solely via the Independent Agency distribution system.
Source: Western National Insurance Group