WESTERN NATIONAL INSURANCE GROUP ANNOUNCES YEAR-END 2022 RESULTS

from Wisconsin Independent Agent | May 2023 Magazine

by Independent Insurance Agents of Wisconsin

Members in the News

Minneapolis, MN (4/6/23) - Western National Insurance Group today announced full-year financial results through December 31, 2022. Significant comparative financial measures include:

Total Assets grew from $1.77 billion to $1.90 billion, an increase of $130.7 million (7.4%) compared to 12/31/21. Direct Premium Written totaled $815.3 million, with growth from continuing operations of 10.5% over 2021. Net Income After Tax totaled $77.1 million, compared to $97.9 million in 2021.

Surplus increased from $728.6 million to $781.0 million, an increase of $52.5 million (7.2%) compared to 12/31/21. These figures reflect the combined performance of all group companies, including Western National Mutual Insurance Company and its subsidiaries: American Freedom Insurance Company, Nevada General Insurance Company, Pioneer Specialty Insurance Company, Umialik Insurance Company, and Western National Assurance Company. These numbers do not include results from affiliates. With affiliate results, the Group’s year-end results include Total Assets of $2.20 billion, Surplus of $884.3 million, and Direct Written Premium of $959.8 million.

“These outstanding year-end numbers for 2022, achieved amidst a record year for storm-related losses, are the result of a year of incredible effort and customer service by our employees and Independent Agency partners,” said Richard Long, President and CEO of Western National Insurance Group. “The storm activity was a challenge not only for our Group, but for our whole industry, and I’m proud of how our Group’s people and solid business plan enabled us to both serve our customers and further grow our policyholder’s surplus. This surplus growth adds to a strong foundation of financial stability and security for our customers' continued protection in 2023 and beyond.”

Western National Insurance, headquartered in Edina, Minn., is a super-regional group of property-and-casualty insurance companies. The Group writes business through five active insurance companies—Western National Mutual Insurance Company, Western National Assurance Company, Pioneer Specialty Insurance Company, Umialik Insurance Company, and American Freedom Insurance Company — and is affiliated with Michigan Millers Mutual Insurance Company. Together, the affiliated Group writes over $900 million in personal and commercial direct premium in 19 states across the Midwestern, Northern, and Western U.S. as well as in Alaska; and surety bonds in 38 states. All of the companies’ products are sold exclusively through professional Independent Insurance Agents.

AM BEST REAFFIRMS SFM'S FINANCIAL STRENGTH RATING OF A- (EXCELLENT)

have been reaffirmed by AM Best Rating Services, Inc.

This announcement comes as a result of AM Best’s thorough analysis of SFM’s balance sheet strength, in addition to its operating performance, business profile, innovation and enterprise risk management. Prior to publicly disclosing this affirmation, AM Best conducted a detailed review of SFM’s finances and operations.

“In our annual review with AM Best, we were pleased to demonstrate how our commitment to service delivers excellent results,” said SFM President and CEO Terry Miller. “We consider their assessment to be an important indicator of SFM’s long-term financial strength and stability.”

ABOUT AM BEST | AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit ambest.com .

Shelby Blundell Wins Society Insurance Customer Experience Award

Fond du Lac, WI (4/20/23) - Shelby Blundell recently received the Society Insurance Customer Experience Award in a brief ceremony. This award is presented quarterly to an employee nominated by his or her colleagues for exceptional efforts in serving Society Insurance policyholders.

In recognition, Society donated $250 to Asians & Friends Chicago in Blundell’s name.

As a risk improvement representative serving the Chicago metro area, Blundell takes a proactive approach in advising policyholders how best to protect their businesses from potential loss. His experience and engaging communication style encourage businessowners to better understand the various financial risks they face – and how to implement effective risk control measures.

During his 12-year career with Society, Blundell has also built a strong network of insurance agents who seek his advice on topics involving safety and risk management. “I have worked with Shelby while doing numerous loss control inspections and learned a considerable amount, for which I am eternally grateful,” said a producer from Valley Insurance Group. “He has without a doubt made me a better agent and able to identify and select better risks.”

Caring and knowledgeable insurance professionals are vitally important in protecting insureds before fire, weather or other perils strike. Society Insurance is proud to have Blundell and his fellow risk control experts on staff to serve policyholders, whether in good times or bad.

Bloomington, MN (4/19/23) - SFM Mutual Insurance Co. announced that its Financial Strength Rating of “A(Excellent)” and Long-Term Issuer Credit Rating of “a-”

ABOUT

SOCIETY INSURANCE:

Headquartered in Fond du Lac, Wisconsin, Society Insurance has been a leading niche insurance carrier since 1915. Society focuses on the small details that make a big difference to its policyholders while offering top-notch insurance coverage, service and competitive pricing to businesses in Wisconsin, Illinois, Indiana, Iowa, Minnesota, Tennessee, Colorado, Georgia and Texas.

DELIVERING MORE BY FOCUSING ON LESS. SMALL DETAIL. BIG DIFFERENCE.

Rather than attempt to be all things to every kind of business, we focus on the ones we know best— restaurants and bars, grocery and convenience stores, medical clinics, artisan contractors and auto service shops—to deliver outstanding property, casualty and workers compensation insurance. Deep niche expertise, with insight into unique business risks, is how we cover the details that make the biggest difference to our policyholders.

2023 ONLINE EDUCATION & CE CLASSES

GOVERNOR'S BUDGET CALLS FOR NEW PAID FAMILY LEAVE PROGRAM

Inside Wisconsin Governor Evers' $103.8 billion two-year state budget proposal is a provision calling for the creation of a new state Paid Family and Medical Leave Benefits Insurance program which would provide up to 12 weeks of paid leave to eligible employees in Wisconsin (See item #1 Paid Family and Medical Leave at https://bit.ly/40YQ3p8). The leave would be available for a number of reasons, including the birth or adoption of a child, the serious illness of a family member, or the employee's own serious illness. The program would be initially funded by $240 million in state funding before eventually being fully funded by employers through a payroll tax paid by both employees and employers. The program would add nearly 200 new state employees in order to administer it.

The proposal is supported by legislative Democrats and a number of public labor unions and advocacy groups who argue that it would help Wisconsin families and businesses retain and attract workers. Opponents of the proposal, including numerous business groups, argue that it would be too costly for businesses, especially smaller sized employers, and would lead to job losses.

The governor’s plan is currently being considered by members of the state

Legislature and the 16 member Joint Finance Committee as part of its biennial state budget review process. It is unclear whether the proposal will be passed into law, but Republicans who currently control both houses of the Legislature by large majorities are apprehensive to support it. Here are some of the key details of the proposal:

• Eligibility - To be eligible, employees would need to work for a covered employer for at least 680 hours in the previous year.

• Benefits - Leave would be available for a variety of reasons, including the birth or adoption of a child, the serious illness of a family member, or the employee's own serious illness. Employees would receive 60% of their average weekly wage, up to a maximum of $900 per week.

• Duration - Employees could take up to 12 weeks of paid leave per year, but they could not take more than 6 weeks in a row.

• Funding - The program would initially be funded with $240 in general state revenues and then would be funded through a payroll tax paid by both employees and employers. Employees would pay 0.6% of their wages and employers would pay 0.6% of their payroll. The proposal would be self-sustaining by 2026, according to the Evers administration.

• Administration - The program would be administered by the Wisconsin Department of Workforce Development (DWD). Family and medical leave benefit eligibility would first apply to a period of family leave, or a period of medical leave, commencing on January 1, 2025.

Under the governor’s proposal, there are some employers who would be exempt from the plan.

These include:

• Employers with fewer than 50 employees

• Religious organizations

• Non-profit organizations that are primarily engaged in religious or charitable activities

• Employers that are subject to a collective bargaining agreement that provides paid family medical leave benefits that are at least as generous as the benefits provided under the plan

The plan would also allow employers to apply for a hardship exemption if they can show that complying with the plan would cause them financial hardship.

The Governor’s proposal has been met with mixed reactions, particularly among legislative Republicans who are reluctant to increase the scope of state government and increase costs on employers. Ultimately, the decision of whether or not to implement such a new, expansive program lies with the legislature’s 16-member Joint Finance Committee (JFC) and will be made over the course of the next several months as they debate and rewrite the state budget. JFC begins voting on parts of the budget during the first week of May.

In 1919, A group of Pennsylvania farmers founded Penn National Insurance to provide affordable workers’ compensation insurance.

Today, Penn National Insurance sells property-casualty insurance in 11 states by partnering with more than 1,200 independent agency operations. In 2012, we affiliated with Wisconsin-based, Partners Mutual Insurance Company. As one company, we bring the personal attention and local focus of a regional carrier, along with the quality of products and ser vices of national carriers.

Interested in partnering with a thriving insurance carrier with superior customer experience? We are looking for select commercial-lines agencies in Wisconsin.