GuideOne Insurance Reports 2014 Year-End Results

WEST DES MOINES, Iowa – (March 4, 2015) – GuideOne Insurance, a national niche market insurer based in West Des Moines, today announced its 2014 year-end results. The company, which insures churches, senior living communities, schools and colleges, autos and homes, had a net income of $33.8 million. GuideOne posted surplus of $537.9 million, a combined ratio of 101.8 percent, and a return on equity (ROE) of 6.1 percent. The company also posted direct and assumed written premium of $606.6 million, which was a 5.2% increase year over year.

“We were pleased with the results we experienced in 2014,” said Jim Wallace, GuideOne chairman, president and CEO.  Not only was GuideOne able to post a nice net income after experiencing heavy weather losses due to spring storms, but our return on equity and top-line growth bested industry projections.

Industry experts had projected mutual companies would see ROEs of 4.5% on average (as compared to GuideOne’s 6.1%) and changes in written premium of 4.9% on average (versus GuideOne’s 5.2%). These results were impacted by catastrophe losses of $22.2 million more than plan, which were primarily due to two major wind and hailstorms last spring in Oklahoma and Mississippi.

The following recaps GuideOne’s year-end results:

  2014
Net income

$33.8 MM

Direct & assumed written premium

$606.6 MM

Combined ratio

101.8%

Loss/LAE ratio

68%

Expense ratio

33.8%

Surplus

$537.9 MM

Premium to surplus ratio

1.0 to 1.0

Return on equity

6.1%

About GuideOne

Founded in 1947 and headquartered in West Des Moines, Iowa, GuideOne Insurance is one of the nation’s largest church insurers, with more than 46,000 church policyholders. GuideOne also insures private schools and higher education institutions, nonprofit organizations, as well as senior living communities. In 1999, the company created the GuideOne Center for Risk Management® in order to help churches and faith-based organizations safeguard their ministries. This effort was expanded in 2008 with the launch of SafeChurch®, the most comprehensive church risk management online resource available. GuideOne is licensed to do business in all 50 states and markets its products and services through nearly 3,000 independent and career agents. The company carries an A “Excellent” rating from A.M. Best. For more information, visit GuideOne.com.