Chairman's Message to Our Policyholders
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Mark A. Robison, CPA, CPCU Chairman and President |
This has been an especially good year for Brotherhood Mutual. While the economy continued to challenge most of the insurance industry, our business increased, helping to raise the company’s admitted assets to $327.5 million.
We Value Agent, Customer Relationships
Our written premium totaled $214 million, a three percent gain over the previous year and a significant achievement in a strongly competitive business environment. It’s very evident at times like this that both our agents and customers recognize that Brotherhood Mutual’s approach to an insurance purchase embraces an ongoing relationship, not just a dollar transaction.
Not only did agents generate new business in 2009, but they also retained nearly 94 percent of the church and ministry customers they currently serve. I believe we have some of the best agents in the property-casualty business, certainly the best among church insurers.
Steady Rates, Wise Decisions Help Performance
In 2009, Brotherhood Mutual also recorded a $2.5 million underwriting gain and posted a 99.2 percent combined expense/loss ratio. Both achievements show how the company’s steady rate structure and commitment to helping ministries manage risks enable us to withstand the full impact of a skittish economy.
Claims Service Is Top-Rated
The company incurred more than $115 million in policyholder claims during the year, most of them for weather- and fire-related events. We’re pleased that policyholders have again expressed near 100 percent satisfaction with the manner in which we responded to their claims.
Investments Rebound
As the financial markets improved in 2009, so did Brotherhood Mutual’s investment portfolio. Our investments rebounded more than 33 percent in 2009, erasing most of the losses we experienced when the market declined during the previous year.
Security Fund Increases
Increases in the Policyholder Security Fund grew nearly 10 percent, bringing the fund’s total to $143.5 million at the end of the year. Through the Partnership Group Program, Brotherhood Mutual paid $2.0 million in dividends to policyholders with good risk management histories. Over the past five years, we have paid $10.5 million in total dividends.
You Are Secure With Brotherhood Mutual
I am very pleased with the company’s performance in 2009. For the first time in 2009, Brotherhood Mutual was named among Ward’s 50 top performing insurance companies. Based on financial performance from the previous five years, this prestigious industry award recognizes the 50 top insurers among the 3,300 companies in the property-casualty business. And for the third consecutive year, the Indiana Chamber of Commerce named Brotherhood Mutual among the Best Places to Work in Indiana. Both honors underscore the dedication that customers can expect from our agents and home office employees.
New Mission Statement Reflects Our Work
Equally significant among our accomplishments in 2009 is the new mission statement we adopted:
Advancing the Kingdom by Serving the Church
This new mission statement helps solidify the truth that the work of our agents and employees is ultimately directed at making sure our customers are free to do the work of ministry by sharing God's love in a wise and safe fashion. That’s a significant statement, and one we’re committed to fulfilling this year and in the years to come.
Mark A. Robison, CPA, CPCU
Chairman and President
Read more about our 2009 financial performance:
- Treasurer's Report
- Our Financial Statement
- View and print a PDF version of our 2009 Annual Report (494k)