Regional Focus

Former Speaker of the House Tip O’Neill was attributed with the comment that “all politics are local.” The same could be said for the insurance industry—insurance coverage is definitely local. In addition, there continues to be a shift of business within the independent agency distribution system from national carriers to regional carriers in both commercial and personal lines, according to the Independent Insurance Agents and Brokers of America’s recent report on market share.

With this in mind, Insurance Journal and Demotech Inc. believe regional insurance companies deserve a forum dedicated to the dissemination of pertinent information impacting regional companies, their employees and agents.

To address this need, Insurance Journal has asked Demotech Inc. to develop and coordinate “Regional Focus,” to highlight the products, services, financial strength and agency relationships of regional insurance companies. If it is important to you, your agents or your insureds, it is important to us.

Demotech will be contacting regional insurance companies nationwide to solicit information. However, if you would like to submit information, you may contact Demotech at (800) 354-7207, fax information to (614) 761-0906 or send an e-mail to regionalfocus@demotech.com. Please include complete contact information so that we can forward an acknowledgement.

Western Mutual
Western Mutual Insurance Company offers homeowners insurance products including dwelling fire, allied lines and earthquake coverage. Western Mutual operates through direct sales and lender and builder affiliated agencies. The company’s principal reinsurer is General Reinsurance Corporation.

Western Mutual was assigned a rating of “A-” by A.M. Best Company and has earned a Financial Stability Rating of A’, A prime, Unsurpassed from Demotech Inc. This level of Financial Stability Rating facilitates the acceptance of Western Mutual policies by mortgage lenders and the secondary mortgage marketplace.

The company is licensed in California, Colorado and Nevada.

For information regarding products or services, contact (310) 458-0554 or visit www.westernmutual.com.

ProBuilders Specialty, Risk Retention Group
NationsBuilders Insurance Services (NBIS) is owned by insurance producers, contractors as well as other individuals and entities. NBIS manages ProBuilders Specialty Insurance Company, RRG (PBSIC). PBSIC is a Nevada insurance company that operates under the federal Liability Risk Retention Act. PBSIC is owned by its contractor insureds. NBIS owns Southwestern Casualty Insurance Company (SCIC), a Nevada insurance company. SCIC is one of the reinsurers of PBSIC.

NBIS also owns Claims Adjusting Services, which manages claims for PBSIC.
In order for an insurance producer to gain access to NBIS and PBSIC, and obtain a higher commission, the producer must be an investor in NBIS and qualify as an accredited investor under applicable state or federal laws. The minimum investment required at this time is $100,000.

The company has earned a Financial Stability Rating of A, Exceptional from Demotech Inc. They have not been rated by A.M. Best Company.

ProBuilders Specialty writes specialized general liability insurance programs to meet the needs of builders and contractors and their subcontractors. The company operates as a risk retention group and therefore is not protected by state guaranty funds or subject to surplus lines laws or taxes.

They have received their certificate of authority in Nevada and have registration approval in Alaska, Arizona, California, Colorado, Georgia, Idaho, Mississippi, Montana, New Mexico, Oklahoma, Oregon, South Carolina, Texas, Utah and Washington.

For additional information, contact (760) 836-0155 or www.natbuilders.com.

Gem State
Gem State Insurance Company was organized by the Idaho State Grange in 1910 to provide property insurance to the members of that organization. The name at that time was Grange Mutual Cooperative Fire Insurance Company. The name was changed to the current name to reflect expansion into other insurance areas.

Gem State has earned a Financial Stability Rating of A, Exceptional from Demotech Inc. This level of Financial Stability Rating facilitates the acceptance of Gem State’s policies by mortgage lenders and the secondary mortgage marketplace. Gem State has not been rated by A.M. Best Company.

Gem State markets homeowners, mobile homeowners, rental dwelling and farmowners insurance products through independent insurance agencies located throughout Idaho.

For information on available products, e-mail info@gemstateinsurance.com or contact (208) 934-5729.

Acceptance Casualty
Acceptance Casualty Insurance Company is ultimately owned by McM Corporation and is a member of McM Acceptance Group. Acceptance Casualty writes commercial automobile insurance, farmowners insurance and related products in several southwestern states.

Acceptance Casualty has earned a Financial Stability Rating of A, Exceptional from Demotech Inc. This level of Financial Stability Rating facilitates the acceptance of Acceptance Casualty policies by mortgage lenders and the secondary mortgage marketplace. In addition, Acceptance Casualty was assigned a rating from A.M. Best Company of “B++.”

Acceptance Casualty is licensed in Arkansas, Connecticut, Delaware, Idaho, Kansas, Maryland, Minnesota, Missouri, Montana, Nebraska, Nevada, North Dakota, Oregon, Pennsylvania, South Dakota, Texas, Virginia, West Virginia and Wisconsin.

For additional information on products and services, contact (402) 342-3433.

Editor’s Note: All rating related information should be verified by visiting the Web sites of the respective services.

This article was written by Joseph L. Petrelli, president and founder of Demotech Inc. Demotech Inc. is a Columbus, Ohio-based financial analysis and actuarial services firm. Petrelli is a member of the Casualty Actuarial Society, American Academy of Actuaries and the Conference of Actuaries in Public Practice. Additional information can be found at www.demotech.com.

Topics Carriers Agencies Homeowners AM Best Casualty