Displaying items by tag: FM Global

JOHNSTON, R.I., USA—Insurance ratings company A.M. Best has affirmed FM Global’s A+ (Superior) financial performance rating and “stable” rating outlook, citing the commercial property insurer’s “conservative underwriting leverage, solid earnings and strong cash flow.” An A+ rating is assigned to those insurers with “a very strong ability to meet their ongoing obligations to policyholders,” according to A.M. Best.

A.M. Best noted that “the ratings affirmation reflects FM Global’s very strong capitalization, solid operating performance, benefits from its loss prevention technology and property conservation, and its market leadership position in the commercial property market.” A.M. Best added that the ratings outlook reflects its view that FM Global’s “capitalization will remain more than supportive of the current rating, growing through strong earnings and its leadership position in providing property coverage worldwide.”

The ratings company noted that FM Global is a “market leader” with “solid operating performance” that serves “a significant number of FORTUNE 1000 companies worldwide, many of which have been with FM Global for more than 25 years” and pointed to the company’s “ability to consistently retain more than 90 percent of its policyholders” as a result of its “stable capacity, unmatched (loss prevention) engineering, global reach, loss prevention technology, shared commitment with its policyholders to property preservation and the strategic use of membership credits” for its policyholders.

FM Global’s financial strength rating from A.M. Best is an independent opinion based on a comprehensive quantitative and qualitative evaluation of the company’s balance sheet strength, operating performance and business profile.

For 175 years, many of the world’s largest organizations have turned to FM Global (www.fmglobal.com) to develop cost-effective property insurance and engineering solutions to protect their business operations from fire, natural disasters and other types of property risk. FM Global ranks #545 among FORTUNE magazine’s largest companies in America and is rated A+ (Superior) by A.M. Best and AA (Very Strong) by Fitch Ratings. The company has been named “Best Property Insurer in the World" by Euromoney magazine and “Best Global Property Insurer" by Global Finance magazine.

Canada-based corporate insurance buyers have ranked commercial property insurer FM Global as number one for “overall carrier quality” and “overall client satisfaction,” according to the latest independent research conducted by Greenwich Associates, a leading international research firm in institutional financial services.

More than 100 Canada-based risk managers and key decision makers for insurance services participated in the study, which was conducted between July and August 2010. Participants represent companies with annual revenue greater than CAN$256 million.

The news follows another study just released by Greenwich Associates in which U.S. insurance buyers ranked FM Global as number one for claims performance.

Commemorating its 175th anniversary in October 2010, more than one out of every three Fortune 1000 companies and similar-sized organizations operating in more than 130 countries work with FM Global to develop robust property insurance and engineering solutions to protect business operations from property risk. The company has been named “Best Property Insurer in the World” by Euromoneymagazine and “Best Global Property Insurer” by Global Finance magazine. The company is rated A+ (Superior) by A.M. Best and AA (Very Strong) by Fitch Ratings.

FM Global, one of the world’s largest business property insurers, has released a new research report, Flirting with Natural Disasters: Why Companies Risk It All that examines why some companies prepare for the risk of natural disasters while others seemingly gamble with their future.

FM Global, which insures one of every three Fortune 1000 companies, commissioned the report to help business leaders better understand the psychological barriers that can affect their business decisions when addressing vulnerabilities to natural disasters. The report also provides solutions that can guide change in organizational decision-making behavior with regard to natural disaster risks.

Flirting with Natural Disasters was prompted by the fifth anniversary of Hurricane Katrina—the costliest hurricane in history, which struck on Aug. 29, 2005, and caused billions of U.S. dollars in damage—much of which could have been prevented.

The report focuses on:

• Reasons why business leaders fail to plan for catastrophe, ranging from denial to short-range vision to the mistaken belief that insurance alone will enable a return to “business as usual” after a disaster.
• Consequences of inaction, especially in the face of evidence that proves most property damage from hurricanes, earthquakes, fires, floods or man-made hazards can be minimized or eliminated.
• Ways leaders can break through the barriers of human nature to better protect their businesses and communities.

“Natural disaster risks are real. They are not probabilities, thresholds, models or likelihoods,” said Ruud H. Bosman, vice chairman at FM Global. “The wrong discussion for business leaders is one around whether it will ever happen, because it will. If more organizations considered the impact of psychological behaviors on their disaster risk preparedness, as outlined in this report, the world would be a much safer place.”

Download a copy of Flirting with Natural Disasters: Why Companies Risk It All, at www.fmglobal.com/disaster.

About FM Global
Commemorating its 175th anniversary in October 2010, FM Global (www.fmglobal.com) ranks 545 among FORTUNE magazine’s largest companies in America. More than one out of every three Fortune 1000 companies and similar-sized organizations operating in more than 130 countries work with FM Global to develop robust property insurance and engineering solutions to protect business operations from property risk. The company has been named “Best Property Insurer in the World” by Euromoney magazine and “Best Global Property Insurer” by Global Finance magazine. The company is rated A+ (Superior) by A.M. Best and AA (Very Strong) by Fitch Ratings.