Major Rating Factors:
Weak profitability index (2.1 on a scale of 0 to 10) with operating losses during 2021, 2022 and 2023. Average return on equity over the last five years has been poor at -10.2%. Good long-term capitalization index (6.9) based on good current risk adjusted capital (severe loss scenarios) reflecting some improvement over results in 2023. History of adequate reserve strength (6.8) as reserves have been consistently at an acceptable level.
Other Rating Factors:
Good liquidity (6.4) with sufficient resources (cash flows and marketable investments) to handle a spike in claims. Good overall results on stability tests (6.5) despite fair risk adjusted capital in prior years. Stability strengths include good operational trends and excellent risk diversification.
Stability Factors:
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Fire (98.7%), other (1.3%)
Licensed in:
TX
Principal Investments:
Common stock (48.0%), investment grade bonds (41.4%), real estate (4.6%), preferred stock (0.7%), non investment grade bonds (0.4%), other (4.9%)
Corporate Info
Group Affiliation
Germania Farm Mutual Ins Association
Investment Rating
--
Company Address
507 Highway 290 East
Brenham, TX 77833
Brenham, TX 77833
Phone Number
(979) 836-5224
NAIC Number
29610
Website
Largest Affiliates