2014 President's Report

By Rhett Dawson| February 26th, 2015 | 2014 President's Report

2014 was another banner year for Insurors Indemnity Companies (IIC) thanks to the diligent efforts of agents and employees, along with a little help from Mother Nature.

The companies finished the year with an 85.4% combined ratio, down from an already low 90.6% in 2013. Solid underwriting, calm weather and a sound reinsurance program combined once again to produce an overall loss ratio of 30.8%, consisting of Property & Casualty(P&C) and Surety Loss Ratios of 43.2% and 6.4% respectively.

In addition to profits from our underwriting activities, Insurors Indemnity Companies' investment strategy continued to bolster growth in surplus in 2014. Net investment income grew 34.9% over last year which, when added to the companies' underwriting profits, resulted in a 5.6% growth in policyholder surplus.

P&C premium grew 23% in 2014, exceeding projections by a margin of 2 percentage points, while Surety premium grew 43%, more than doubling the rate of growth projected. Over 240 agents placed business with Insurors Indemnity in 2014, partly as a result of greater agent-company interaction and enhanced training efforts.

I encourage you to take advantage of the variety of training opportunities available from IIC. Offered on both P&C and Surety topics, training sessions are available either on-line, at your office or in the IIC offices, and CE credits are available. Contact Rhett Dawson, VP Marketing at 254-759-3812 for more information.

As evidenced by our recent re-branding and enhanced marketing, additional staffing, investment in new automation, and continued dedication to independent agents, Insurors Indemnity is determined to expand its footprint in the marketplace. To those agents who
trusted us with their customers' commercial insurance and/or bond products in 2014 we extend a heartfelt THANK YOU and hope that you will continue to favor us with your business in 2015 and beyond. To those agents who have not done business with us lately, I invite you to give us another look. You'll experience a level of product quality and commitment to fast, accurate and friendly service that you may have thought no longer existed in our industry.

It's my sincere hope that your agency likewise prospered in 2014 and continues to do so this year. As your partner in success, if there is anything we can do to help increase
your odds for prosperity in 2015, please let us know.

Dave Talbert
President

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Cheap Oil - Potential Impact for the Texas Economy

By Rhett Dawson| February 25th, 2015 | Cheap Oil - Potential Impact for the Texas Economy

The dramatic drop in oil prices from $107 per barrel in June of last year to approximately $50 per barrel today is cause for celebration on one hand. Primarily due to the fact that the drop in gas prices equates to the equivalent of a $750 tax cut for every American. However, there is cause for trepidation on the other hand as oil production in Texas becomes unprofitable once prices drop below $65 to $70 per barrel according to Waco economist Ray Perryman

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