The Rural Voice, 1998-08, Page 28WEST WAWANOSH
MUTUAL
INSURANCE
COMPANY
1879 (i1Y 1998
"Neighbour helping Neighbour"
529-7921
Hot temperatures and high
relative humidity may lead to
EXHAUSTION or HEAT STROKE.
SAFETY TIPS:
• Slow down, heed early warnings of
heat stress: headache. heavy
sweating, high pulse rate. shallow
breathing.
• Dress for hot weather.
• Drink plenty of water.
• Get out of the heat occasionally.
YOUR LOCAL AGENTS/BROKERS
Frank Foran, Lucknow 528-3824
Lyons & Mulhem Insurance Brokers Ltd.,
Goderich 524-2664
Banter, MacEwan, Feagan Insurance
Brokers Ltd., Godench 524-8376
Kenneth B. MacLean, Paisley 368-7537
John Nixon, Brussels 887-9417
Delmar Sproul, Aubum 529-7273
Clinton 482-3434
Godench 524-9899
Donald R. Simpson, Ripley 395-5362
Chapman Graham & Associates,
Owen Sound 376-1774
McMaster Siemon Insurance Brokers,
Mitchell 348-9150
Miller Insurance, Kincardine 396-3465
Orr Insurance Brokers Inc., Stratford 271-4340
P.A. Roy Insurance Brokers Inc., Clinton 482-9357
Georgian Bay Insurance Brokers Ltd. 371-2104
Owen Sound 1.800-950-4758
Westlake - McHugh Insurance Brokers
Zurich 236-4391
Moore Insurance Broker Ltd., Dublin 345-3512
Hemsworth Insurance Brokers, Listowel 291-3920
Kleinknecht Insurance Brokers, Linwood 698-2215
G.L. Barclay Insurance Inc., Grand Bend 238-6790
"INSURANCE FOR FARM, RESIDENTIAL,
COMMERCIAL AND AUTO"
24 THE RURAL VOICE
company and its policyholders.
The Farm Mutual Reinsurance
Plan helped five mutual companies in
eastern Ontario cover the large
number of claims they had after the
ice storm this past winter. After the
storm, Lennox & Addington Mutual
Fire Insurance in Napanee had 550
claims worth close to $900,000.
While farmers are insuring more
of their property against more
potential damages, the majority of
claims today are still for fire, wind
and theft. Alec Harmer, manager of
Downie Mutual Insurance in
Sebringville, said of the 451 claims
made to his company in 1997 the
largest loss was close to $250,000 for
a fire.
Last year Downie's 2,700
policyholders had a total premium
income of close to $2.3 million.
That's a lot of money compared to
the company's first year in 1884
when the total risk covered was
$216,000. The smallest amount the
company has paid for losses in one
year was $1.50 and the largest
$500,000.
Downie Mutual isn't the only
farm mutual in the province to have
seen significant growth in the past
few years. McKillop Mutual
Insurance in Seaforth has been
growing a little every year for the
past decade. Last year the company
had $2.7 million in total premiums,
up significantly from 10 years before
when the company's total premiums
were under $1 million.
Jim Cardiff, manager of
McKillop, wants to grow gradually.
According to a study done by the
farm mutual association, if a
company grows more then 15 per
cent in a year it is growing too
quickly.
"It isn't always 'bigger is better',"
said Cardiff, "some companies that
were growing too fast got into
trouble."
With 3,200 policyholders most of
the claims McKillop covers are for
fire damage, followed by wind and
vandalism.
"When my dad was in the
business the saying used to be — no
flame no claim," said Cardiff. "It's
not the same anymore, we've been
making coverage so broad some
people start thinking that everything
is covered."
Following trends in the
marketplace and deciding to change
with the times the Ontario Mutual
Insurance Association formed its
own financial services company in
1996. It's a company owned by
policyholders with the purpose of
providing additional financial
services.
"The banks are getting into
insurance so we have to get into
banking," said Alec Harmer from
Downie Mutual.
Before the financial company was
formed a survey was given out to
10,000 policyholders to see if they
were interested in their farm mutual
offering services beyond insurance.
The response from the survey clearly
indicated financial services was a
good direction for the mutual
companies to head in.
Leo Rcnzella, general manager of
financial services, said 46 of the 50
farm mutuals in Ontario have
invested in the services and 36 of
them distribute their products. The
products are the sort you would find
at a bank or brokerage houser--GICs
RRSPs, travel and life insurance.
While most customers who use
the financial services are already
covered by farm mutuals, Renzella
said they are starting to attract new
customers.
"Banks rurally in the past few
years have had a shrinking presence.
They are sometimes seen as not
having been responsive to rural
needs," said Renzella. "Our services
are providing a different avenue."
Farm mutuals have been offering
more than farm insurance for over 50
years. Brian Crossman, manager of
Howick Mutual in Wroxeter said
farm coverage is a little more than 40
per cent of the company's business.
The majority of the company's
"Banks rurally in the past few years
have had a shrinking presence."
written premiums are in houses, cars
and small businesses. The same is
true for most farm mutuals in the
province. However, some companies
still say the majority of their business
is within the farm community. Albert
McArthur, manager of Grey & Bruce
Mutual Fire Insurance in Hanover