This Farmers Alliance auto insurance review explores the Kansas-headquartered Farmers Alliance Mutual Insurance Company. Farmers Alliance Mutual, and the company’s Alliance Indemnity and Alliance Insurance operating units, offers property & casualty insurance in nine western and mid-western states.
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The company’s focus remains farm and rural business insurance coverage. Auto insurance, along with homeowners and small business insurance policies, add value to the company’s bottom line. Kansas remains the company’s biggest market.
Farmers Alliance Auto Insurance Overview
Farmers Alliance Mutual (FAM) started in McPherson, Kansas, in 1888. Like many of the nation’s oldest insurance companies, it began as a fire insurance company to protect farmers from mutual fire exposure. The company writes $130 million plus in premiums across the nine state market. About half of the company’s policies are written as farm insurance.
The company considers its mission is to insure the remaining rural U.S. heartlands. Farmers Alliance Mutual hopes to retain the best of rural America and its cultures with current technology and loss prevention methodologies.
Farmers Alliance Auto Insurance and FAM Financial Information
Farmers Alliance Mutual suffered its worst year on record in 2008, according to the company’s annual reports. In states where the company insured agribusiness and rural enterprises, storms and floods created net losses (after some reinsurance adjustments) of about $44.528 million.
The company’s combined ratio rose to 109.6% that year vs. 102.2% in 2007. The number of net written premiums increased about 1.8% in 2008 vs. 2007. The firm maintained low debt levels, even in the midst of disaster in 2008, reporting a .9 to 1 equity leverage ratio.
In 2008, the world’s financial markets collapsed. Farmers Alliance Mutual’s conservative asset management strategy saw the company in good stead. The firm entered the downdraft in the financial markets with an equity portfolio reduced to just 5.5% of equity.
The company reported a net loss of $3.332 million in 2008. No additional financial reports have been posted to the company’s website.
The company works closely with the :
- Institute for Business & Home Safety
- Independent Insurance Agents of America, Inc.
- National Association of Insurance Commissioners
- National Association of Mutual Insurance Companies
Farmers Alliance Auto Insurance and FAM Customer Complaints
According to the insurance departments in the states where Farmers Alliance Mutual is licensed to do business—including Kansas, Oklahoma, South Dakota, North Dakota, Nebraska, Montana, Colorado, and Idaho—the company has no outstanding customer complaints on file.
Farmers Alliance Auto Insurance and FAM Agents
Farmers Alliance Mutual maintains a network of 650 or more independent insurance brokers and agents. The independent network is posted on the company’s website.
The independent network regional managers report to the company’s Execution Vice President. The insurance agents’ offices function as regional offices of Farmers Alliance Mutual. Interested insurance agents and brokers may contact the company for more information about marketing and distributing the company’s insurance products and services. The company also hires employees to market and distribute its products and services when appropriate.
Farmers Alliance Auto Insurance Mutual Claims
Customers may report a claim any day of the year. Customers’ independent agents may accept the claim and related information, or they may contact the company directly at +1-620-241-2200 or by fax at +1-620-241-5482.
Farmers Alliance Auto Insurance Rates
Farmers Alliance Mutual insures a variety of farm and motorized vehicles used in rural businesses throughout their marketplace. Take a moment to initiate a cost comparison of your auto insurance rates today.