GAZER SPRING 2021 MORE SNOW THIS WEEK! - North Star Mutual
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SPRING
2021
GAZER MORE SNOW
THIS WEEK!
THE PRESIDENT’S
PERSPECTIVE Pete Hellie
President
2020 RECAP
The 2019 recap article began, “2019 was an unusual year.” It looks very “normal”
now as compared to 2020. To say 2020 was a year of twists and turns is an
understatement. Pandemic, Politics and Riots, Oh My!!
Our team at North Star Mutual adapted to these distractions as did you, our agency
partners. We were able to grow premium 5.2% and add almost 16,000 policies
compared to 5.4% and 11,000 policies in 2019. All of our lines of business showed
growth in 2020. Thank you for your continued support of North Star!
From a financial standpoint, North Star also had an excellent year. A strong first quarter with the usually
stormy 2nd and 3rd quarters, ended with a strong fourth quarter. North Star was fortunate to achieve an
85.7% combined ratio. All states we write in were profitable with the exception of Iowa. The derecho on
August 10th had a great impact on the Iowa results in 2020.
The financial markets also led an exciting life in 2020. At the beginning of the pandemic in March, it looked
like a free fall was going to be the story for the year. This was not the case, however, and it led to record
investment income for North Star. The underwriting and investment gains resulted in a record $88 million
addition to policyholder reserves, providing capacity for future growth.
An unfortunate casualty for both 2020 and 2021 are the North Star Spring Agent Meetings. Please look for
these meetings to be scheduled in the spring of 2022. We miss seeing all of you and can’t wait to get back to
holding these events!
MAFMIC VIRTUAL ANNUAL MEETING
Another casualty of the pandemic was the 2021 MAFMIC Convention. The MAFMIC Annual Meeting was
held virtually this year, but we want to congratulate Kevin Strandberg, Manager of Kerkhoven & Hayes
Mutual, who is the new Chairman of MAFMIC. We also wish to congratulate our own Larry Johnson, Senior
Vice President of North Star who was elevated to Chairman Elect and to Nick Hager, Manager of MinnValley
Mutual, who was elected to Vice-Chairman. Congratulations also go to Greg Parent, Manager of German
Farmers Mutual, who was re-elected as Secretary/Treasurer. We send our best wishes to Dan Rupp, RAM
Mutual, who served so well as the MAFMIC Chairman in 2020. We know it was not the type of year that Dan
envisioned, but we appreciate his leadership of the Association during a difficult year! Thanks Dan!! Our own,
Darik Lyons, received the Volunteer of the Year Award. Way to go Darik! One last shout out goes to Steve
Knutson, President of RAM Mutual on receiving the 2021 Robert C. Seipp Service Award from MAFMIC.
This is a well-deserved honor for Steve!
I also want to acknowledge three MAFMIC companies who have reached their 125th Anniversary. They are
Comstock Mutual, managed by Jim Huesman, Prairie West Mutual, managed by Galen Gerdes and Shible
Mutual, managed by Mitch Gerdes. Congratulations on obtaining this historic milestone!
LOOKING AHEAD TO 2021
I think we are all ready to leave 2020 behind. We are grateful for the partnerships we have with our
independent agents and township mutual partners. We have adapted and survived 2020 with a strengthened
resolve to continue earning your trust and support. A hardening reinsurance market is likely to have some
effect on our industry, but strong investment returns may lessen that impact. The North Star Mutual plan will
continue to be: A Personable Company – Keeping You On Course!
Your Company Continues to Grow
Excellent Results For Growth Premium Writings and
2020 Premium grew by 5.2% to a year-end Growth by Line
Very good underwriting results with total of $474 million. Auto.................$139,213,000.... 6.0%
strong investment returns result in an Policy count grew by 15,954 (4.8%) to a Farm ...............$126,152,000.... 2.4%
excellent year for North Star Mutual. total of 346,466. Homeowners...$109,887,000.... 7.3%
Policyholder reserves increased $88
Comm/UMB.....$ 50,824,000.... 8.5%
million with policy count gain outpacing
2019’s growth. CDO.................$ 21,165,000.... 2.2%
Dwelling...........$ 20,377,000.... 2.0%
Underwriting Results Premium Writings and Growth by State
The final combined ratio after paying
the agent profitability bonus was 85.7%, Minnesota Oklahoma
providing an underwriting profit of $59.6 Total............$232,693,000.... 2.7% Total..............$36,981,000.... - 1.4%
million. Farm ..............$ 65,787,000..... 0.1% Homeowners....$13,006,000.... - 1.2%
Auto................$ 62,478,000.... 4.0% Auto..................$10,398,000.... - 6.4%
Profitability Bonus Homeowners..$ 47,263,000.... 4.8% Commercial......$ 6,090,000.... 3.0%
Commercial.... $ 22,311,000.... 4.1% Farm.................$ 5,327,000.... 6.1%
The Profitability Bonus Plan paid bo- CDO................$ 21,165,000.... 2.2% Dwelling............$ 1,196,000.... - 6.7%
nuses totaling $9.1 million based upon Dwelling.......... $ 11,099,000.... 0.2%
an 83.7% combined ratio. This plan is
based entirely upon company results, so South Dakota Iowa
all North Star agencies received a bonus Total............$ 55,863,000.... 6.1% Total..............$37,343,000.... 15.0%
check. This bonus has now been paid Auto................$ 17,736,000.... 4.8% Auto..................$13,337,000.... 15.4%
in 11 of the 13 years since its inception. Farm ..............$ 16,963,000.... 3.7% Homeowners....$12,077,000.... 18.1%
Homeowners..$ 12,094,000.... 11.8% Farm ................$ 6,609,000.... 6.8%
Contingent Commission Commercial....$ 6,150,000.... 9.6% Commercial......$ 3,449,000.... 22.2%
Plan
Dwelling..........$ 1,791,000.... - 1.4% Dwelling............$ 1,652,000.... 13.0%
North Dakota Wisconsin
The Contingency Plan is based only on
individual agency results. 360 agencies Total............$ 50,879,000.... 6.2% Total..............$ 2,228,000...106.4%
shared in contingency payments totaling Farm ..............$ 15,695,000.... 5.6% Auto .................$ 975,000...133.6%
$5.1 million. Auto................$ 14,061,000.... 5.3% Homeowners....$ 571,000...130.1%
Homeowners.. $ 12,811,000.... 5.6% Farm.................$ 339,000... 87.2%
Policyholder Reserves Commercial....$ 5,008,000.... 15.1%
Dwelling..........$ 2,001,000..... 3.7%
Commercial......$ 271,000... 37.2%
Dwelling............$ 49,000... 99.0%
Reserves increased to $652.7 million.
Nebraska Kansas
The $88.3 million addition to policyholder
reserves was a 15.6% increase. Total............$ 52,241,000.... 8.2% Auto..................$ 6,042,000.... 33.5%
Farm ..............$ 15,434,000.... 3.5%
Assets Auto................$ 14,188,000.... 6.2%
Homeowners..$ 12,065,000.... 12.5%
Net admitted assets total $983.6 million Commercial....$ 7,545,000.... 15.5%
after growth of $92.8 million from 2019. Dwelling..........$ 2,588,000.... 8.9%
Loss Experience Loss Ratios by State Loss Ratio by Line
The company gross loss ratio of 49.8% South Dakota.............................43.8% Mobile-Homeowners.................41.8%
(without adjusting expense) was very Nebraska...................................45.4% Dwelling.....................................42.9%
good. The net loss ratio was 51.2%, as Wisconsin..................................47.5% Farm Wind.................................43.3%
we paid more for reinsurance in 2020 Oklahoma..................................47.6% Commercial & BOP...................46.4%
than we collected. Gross losses were Minnesota..................................48.3% Farmowners..............................49.9%
$230 million in 2020 compared to $258 North Dakota.............................48.9% CDO...........................................54.4%
million in 2019.
Kansas......................................55.3% Auto...........................................56.2%
Iowa...........................................78.2% Homeowners.............................56.9%
New Star Award Agencies
Star Award Agencies are recognized for attaining thresholds of $250,000, $500,000, $750,000 and $1,000,000 as well as
each additional $500,000 thereafter. New Star Award Agencies include those reaching a new premium threshold in 2020:
Star Award - $6,000,000 Star Award - $500,000
North Risk Partners LLC, St Cloud, MN Citizens Agency, New Ulm, MN
Star Award - $3,500,000 Steil Insurance Services Inc, Richmond, MN
First National Insurance, Mitchell, SD
Dacotah Insurance, Aberdeen, SD
Peoples Insurance LLC, Rock Valley, IA
Heritage Insurance Services, Fargo, ND
Northern Insurance Agency Alliance LLC, Plymouth, MN
Star Award - $3,000,000 Jaspersen Insurance & Real Estate, Thornton, IA
American Trust Insurance LLC, Huron, SD Jacklitch Insurance Agency LLC, Wahpeton, ND
Thams Agency LLC, Denison, IA
Star Award - $2,500,000 Neighbor Insurance, Hiawatha, IA
First International Insurance, Fargo, ND Cedar Valley Insurance Agency Inc, Cedar Rapids, NE
Insure Forward Inc, Fargo, ND Bell Insurance Services LLC, Fargo, ND
Star Award - $2,000,000 Lake Region Agency LLC, New London, MN
Couri Insurance Agency Inc, Waukesha, WI
Pine Insurance Agency, Pine City, MN
The Banks Agency Inc, Zumbrota, MN
Star Award - $1,500,000 Prairie Sun Insurance, Marietta, MN
Evergreen Insurance Agency, East Grand Forks, MN Minnesota Valley Agency LLC, Redwood Falls, MN
Jones Group, David City, NE Flagship Insurance Services LLC, Winsted, MN
Citizens Alliance Agency Inc, Clara City, MN Arbach Insurance Agency, Hoven, SD
Roundbank Insurance Waseca, Waseca, MN Security Savings Agency, Hills, MN
Star Award - $1,000,000 Extended Ag Insurance Services Inc, Lakefield, MN
Imes Insurance Agency LLC, Wood Lake, MN
Edgewater Insurance LLC, Grand Island, NE
Central Insurance at Central Bank, Storm Lake, IA
United Prairie Insurance Agency, Mankato, MN
F & M Agency Inc, Granite Falls, MN First National Insurance Agency, Menahga, MN
Kozlowski Insurance Agency, Pipestone, MN New Choice Insurance Services LLC, Le Center, MN
J3 Insurance, Duluth, MN Citizens Insurance Agency, Finley, ND
Winona Agency, Inc, Winona, MN Garretson Insurance Agency, Garretson, SD
M & M Insurance Agency LLC, Mapleton, MN Stolpman Insurance Agency, Bellingham, MN
Hammer Insurance & Realty, Creighton, NE Wilcoxon Insurance Inc, Sioux Falls, SD
G M I Insurance, Wanamingo, MN
CIA Insurance, Cresco, IA Star Award - $250,000
Claremont Insurance Agency LLC, Claremont, MN Bell Insurance Services LLC, Fargo, ND
Ellerbrock-Norris Agency Inc, Hastings, NE Cornerstone Insurance Services Inc, Swea City, IA
KPI Insurance, Chamberlain, SD Community Insurance of Iowa, Ossian, IA
Jamie Koop Insurance, Crosby, MN First State Insurance Agency Inc, Cando, ND
Star Award - $750,000 Northern States Insurance Services, Grafton, ND
First Mainstreet Insurance LC, Cedar Rapids, IA Unger Insurance LTD, Jefferson, IA
Buffalo Ridge State Agency Inc, Tyler, MN Axness Insurance Agency Inc, Rothsay, MN
Rugby Insurance Agency LLC, Rugby, ND Jensen Insurance Agency, Sioux Falls, SD
Reiser Insurance Group LLC, O’Neill, NE Klosterman Agency, Elkhorn, NE
Central MN Insurance Agency LLC, Paynesville, MN Integrity Insurance Group LLC, Wynot, NE
Lakeshore Agency Inc, Lake City, MN Independent Insurance Associates LTD, Urbandale, IA
Swanville Insurance Agency Inc, Swanville, MN Security National Insurance Agency, Akron, IA
Eickman Insurance Agency Inc, Salem, SD Kirby Insurance Services, Lohrville, IA
Matetich Insurance Agency Inc, Hibbing, MN A & J Petersburg Agency, Decorah, IA
Northeast Nebraska Insurance Agency Inc, Wayne, NE Shible Agency, Appleton, MN
Nuline Insurance Services, Harvey, ND
Pavel Insurance Agency, Blair, NE
M G Insurance Inc, Willmar, MN
ESB Insurance, Eitzen, MN Northway Insurance of Park Rapids, Park Rapids, MN
Veridian Insurance, Waterloo, IA ISB Insurance, Hull, IA
Blake Insurance Agency Inc, Brainerd, MN Heartland Insurance Agency Inc, Manson, IA
Janesville Agency, Janesville, MN William Johnson Insurance, Manvel, ND
Midwest Insurance Agency Inc, Fergus Falls, MN Weismantel Agency, Columbia, SD
Nebraska Innovative Insurance, Lincoln, NE
Irwin Insurance Services Inc, Colfax, ND
2020 Package Star Award Companies
Minnesota Township Mutual Insurance Companies which produced $250,000 or more in Wind/Liability Package premiums
are recognized below. Those in black/gold print attained a new Star Award level in 2020.
Star Award - $5,500,000 Star Award - $750,000
1. Pioneer Lake Mutual 29. Sweet Township Mutual
30. Young America Mutual
Star Award - $4,500,000
31. Buffalo Lake/New Auburn Mutual
2. MinnValley Mutual 32. Oscar/Parke Mutual
Star Award - $4,000,000 33. Paynesville Mutual
34. Roseau County Mutual
3. Has San Lake Mutual
35. Unity Mutual
Star Award - $3,500,000 36. North Branch Mutual
4. Southwest Mutual 37. Sumter Mutual
5. Elmdale Farmers Mutual 38. Owatonna Mutual
39. King Town Farmers Mutual
Star Award - $3,000,000 40. Flora Mutual
6. Norwegian Mutual
7. Southeast Mutual Star Award - $500,000
Star Award - $2,500,000 41. West Central Mutual
42. Wilmington Mutual
8. Mid-Minnesota Mutual
43. Comstock Farmers Mutual
9. Redwood County Farmers Mutual
44. Moe-Urness-Lund Mutual
10. Prairie Pine Mutual
45. Claremont Farmers Mutual
Star Award - $2,000,000 46. Vineland-Huntsville Mutual
11. Leenthrop Farmers Mutual 47. New Prague-Ceska Louisville Mutual
48. Madelia Lake Crystal Mutual
Star Award - $1,500,000 49. Wanamingo Mutual
12. Mid-State Mutual
13. Westbrook Mutual Star Award - $250,000
14. Hope Mutual 50. Bray-Gentilly Mutual
15. Stark Farmers Mutual 51. German Farmers Mutual
16. Farmers Mutual of Manchester 52. Kerkhoven & Hayes Mutual
17. Sverdrup Mutual 53. Headwaters Mutual
18. Lake Park & Cuba Insurance Company 54. Rice County Mutual
19. New Sweden Mutual 55. Lac Qui Parle Mutual
Star Award - $1,000,000 56. Shible Mutual
57. Palo Mutual
20. Marshall County Mutual 58. Chisago Lakes Mutual
21. Holmes City Farmers Mutual 59. Vernon Edda Mutual
22. White Bear Lake Insurance Company 60. Crow River Mutual
23. McPherson Minn Lake Mutual 61. Hallock Farmers Mutual
24. Spring Vale Mutual
25. Prairie West Mutual
26. Palmyra Farmers Mutual
27. Preble Farmers Mutual
ThankYou!
28. North Fork Mutual
2020 Top 25 New Business Agencies
1. North Risk Partners LLC, St Cloud, MN 14. Faribo Insurance Agency Inc, Faribault, MN
2. Heritage Insurance Services, Fargo, ND 15. Corinsurance, Mitchell, SD
3. American Trust Insurance LLC, Huron, SD 16. First International Insurance, Fargo, ND
4. The Hoffman Agency, Mapleton, IA 17. Starion Insurance, Ellendale, ND
5. United Group Insurance Inc, Griswold, IA 18. Princeton Insurance Agency, Princeton, MN
6. Kozlowski Insurance Agency, Pipestone, MN 19. Couri Insurance Agency Inc, Waukesha, WI
7. Hanneken Insurance Agency Inc, Little Falls, MN 20. Town & Country Insurance, Webster City, IA
8. Pine Insurance Agency, Pine City, MN 21. Advantage 1 Insurance, St Cloud, MN
9. Jones Group, David City, NE 22. Stuehrenberg Agency Inc, Hastings, NE
10. Insure Forward Inc, Fargo, ND 23. Security First Agency of ND, New Salem, ND
11. Community Insurance Agency, Lafayette, MN 24. Kronaizl Insurance LLC, Scotland, SD
12. Town & Country Agency, Finlayson, MN 25. Agri-City Insurance Agency LLC, Schuyler, NE
13. Dacotah Insurance, Aberdeen, SD
EVENT RECAP
JEFF MAULAND’S RETIREMENT - MARCH 2 ND
Jeff has officially retired after 42 years at North Star, 20 of those being
President and CEO. Here are a few snaps from his big day!
CONGRATULATIONS AND BEST WISHES JEFF!
DEPARTMENT PROMOTIONS
Todd Bossuyt, CPCU, AIC, has been promoted to
Executive Vice President and Chief Operating Officer
(COO). Todd began employment with North Star
in 1999 as a Field Representative in Southwestern
Minnesota. In 2001, he moved into the Home
Office and became the Assistant Manager for the
Auto Underwriting department and was promoted
to Department Manager in 2005. In 2010, Todd
transferred to the Farm Underwriting department
and served as Department Manager until his promotion to Vice President of
Underwriting in 2012. In 2015, he was promoted to Senior Vice President
with oversight of Underwriting, Human Resources and Loss Control.
Carol Myhre has been promoted to Department
Manager of the Human Resources department. Carol
has worked for North Star since 2007 and previously
held the position of Assistant Department Manager.
Kelsey Laleman has been promoted to Senior
Claims Representative for the Auto Claims
department. Kelsey has worked for North Star since
2013 and previously held the position of Claims
Representative.
Casey Benson has been promoted to Developer 3 for
the Information Technology department. Casey has
worked for North Star since 2016 and previously held
the position of Developer 2.
DESIGNATIONS EARNED
KURTIS PARLIN EARNS CPCU DESIGNATION
MALVERN, PA — Kurtis Parlin, JD, CPCU,
AIM, ARC, CYB, AINS, has been awarded the
professional insurance designation Chartered
Property Casualty Underwriter (CPCU®) by The
Institutes for successfully completing courses and
examinations on risk management principles,
insurance policy contracts and coverage analysis.
Kurtis is the Legal and Compliance Department
Manager and has been with North Star since April
of 2015. He joins the growing number of North Star
CPCUs, which presently includes:
Sara Anderson, Tandi Anderson, Randy Bakke, Stephen Belden, Todd Bossuyt,
Sheila Brockman, Jon Brower, Chris Dahl, Brian Doose, Jan Falkum, Mike
Flugum, Cody Fruin, Scott Gleitz, Deb Gniffke, Ashley Grams, Desiree Grunewald,
Sarah Hansen, Pete Hellie, Cory Hubbard, Chuck Jahn, Chad Johnson, Larry
Johnson, Ryck Jorgensen, Ellen Kroger, John Kucera, Darik Lyons, Gary Metz,
Bret Moeller, Brandon Olson, Zeb Prairie, Zach Pringle, Curt Schake, Ellie
Schuster, Tom Sloan, Travis Tjaden, and Deb Trevett.
PLEASE JOIN US IN CONGRATULATING KURTIS ON
ACHIEVING THIS MILESTONE IN HIS CAREER!
Stephanie Bragg,
Jeff Nuese,
AINS, Assistant Claims
AU-M, AU, Underwriter
Representative for
for the Commercial
the Property/Casualty
Underwriting department,
Claims department,
recently completed the
recently completed the
requirements to earn the
requirements to earn the
Associate in Commercial
Associate in General
Underwriting Management
Insurance (AINS)
(AU-M) designation.
designation.
Lisa Verkinderen, Whitney St. Aubin,
AINS, Research and AINS, Assistant Claims
Filings Analyst for Representative for
the Research and the Property/Casualty
Development department, Claims department,
recently completed the recently completed the
requirements to earn the requirements to earn the
Associate in General Associate in General
Insurance (AINS) Insurance (AINS)
designation. designation.
RETIREMENTS
Darla Morken, Senior Underwriter, has announced her retirement effective
April 13, 2021. Darla began her career with North Star in 1980 in the
Typing Pool for the Farm department and has worked in that department
ever since. In her current position, she works with township mutuals in
southeastern and east central Minnesota. Darla will be retiring with 40
years of service.
Reflecting upon her retirement, Darla stated: “I can’t believe how fast 40
years has gone by. I have enjoyed working with all the agents & especially
the township mutual people. I will miss all my co-workers in the Farm
department & all the other friends I have made at North Star through the
years”.
Darla and her husband, Gary, currently reside in rural Cottonwood. She has one son, two
daughters, and seven grandchildren. In regards to her retirement plans, Darla had this to say: “I
am ready to join my husband in retirement. More time at our camper by Alexandria & more time to
spend with the kids & grandkids. I am also looking forward to some gardening & maybe some travel
around the country in our pull behind camper”.
CONGRATULATIONS, DARLA, AND THANK YOU FOR YOUR YEARS
OF DEDICATED SERVICE!
Mark Wolf, Property/Casualty Claims Manager, has announced his
retirement effective April 2nd, 2021. Mark began his career with North
Star in 2011 as Assistant Manager for the Property/Casualty Claims
department. He was promoted to his current position in 2013 and has
served in the insurance industry for over 40 years. Mark will be retiring with
10 years of service.
Reflecting upon his retirement, Mark stated: “Please know serving North
Star has been a privilege. I should note North Star may well be the best
company in the whole insurance industry! I have met and worked with
some of the greatest people you can ever imagine and I will never forget
North Star or Cottonwood, Minnesota. Thanks probably is not enough, be
well all and good luck!”
Mark currently resides in Cottonwood. He has two daughters and three grandchildren. In regards
to his retirement plans, Mark had this to say: “Entering into my retirement career, all will be focused
on the three G’s: Grandchildren, Golf, and Godly duties, not necessarily in that order. Trying to give
back for some of the blessings I have received in my lifetime could be a large task, but, surely very
rewarding. I will be cheering for you all as I relax on the river bank.”
CONGRATULATIONS, MARK, AND THANK YOU FOR YOUR YEARS
OF DEDICATED SERVICE!
BITS AND PIECES
ANNUAL AGENCY SURVEY
As many of you know, we conduct an agent survey every year to evaluate North Star’s performance
and use your feedback in prioritizing upcoming projects. Please take a few minutes to fill out this
survey.
CLICK HERE TO BEGIN SURVEY
If you have already completed the survey, we thank you for your time and valuable feedback!
IN MEMORIAM: RICK KLUKKEN
Rick Klukken, retired Manager of the Farm Underwriting Department, passed
away Saturday, Feb. 27, 2021 at his home in Osakis, surrounded by his
family. We have many fond memories of Rick, and wish his family comfort and
peace during this time.
UPCOMING DATES TO
REMEMBER
APRIL 1 ST - SPRING NEW BUSINESS CONTEST BEGINS
MAY 31 ST - MEMORIAL DAY - HOME OFFICE CLOSED
JUNE 9 TH - NEW PRODUCER / CSR MEETING IN WATERTOWN, SD
JUNE 16 TH - NEW PRODUCER / CSR MEETING IN JEFFERSON, IA
SAVE THE DATE!
AUGUST 24 TH - ANNIVERSARY OPEN HOUSE
SEPTEMBER 1 ST - ANNIVERSARY OPEN HOUSE- Save The Date! -
ANNIVERSARY
OPEN HOUSE
(Take #2)
Lunch • Golf • Coffee • Cake
Tuesday, 8/24 +
Wednesday, 9/1
11:30-4:30 PM
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