BF&M Net Earnings: $11.4 Million
BF&M Limited today announced net earnings for the 6 month period ended 30th June 2011 of $11,352,382, resulting in a return on shareholders equity of 12%. These results compared with net earnings of $10,707,811 for the comparable 6 month period in 2010.
President & CEO, John Wight stated that “we were satisfied overall with the company’s financial results given the current economic climate in Bermuda which is very challenging for many of our policyholders”.
Equity attributable to owners at 30th June 2011 was $175,283,499. Assets totaled $838,227,605, of which $67,191,286 was held in cash and short term deposits. Based on the company’s strong balance sheet and financial performance, the Board of Directors maintained the dividend of 20c per share for shareholders of record at 30th September 2011.
Mr. Wight added that, “We were very pleased that AM Best reaffirmed the financial strength ratings of A (Excellent) to BF&M’s two principal operating subsidiaries, BF&M General Insurance Company Limited and BF&M Life Insurance Company Limited. There is no insurance company in Bermuda writing domestic insurance business with ratings this strong. AM Best cited BF&M’s “consistent positive net income, steady premium growth, high level of capital, and strong market share”.
Gross Premiums Written for the 6 month period ended 30th June 2011 increased 6% over 2010 to $130,598,712. Investment income increased 3% to $8,996,871. The fair value of assets classified as held for trading increased earnings by $2,433,027. Commissions and other income increased 7% to $11,443,835.
Claims and adjustment expenses decreased by 16% to $10,850,706 and policy benefits decreased 14% to $51,302,044. Operating expenses increased 21% to $25,539,544, due to several one time expenses that are not expected to recur in 2012.
BF&M remind me of Dirk Turpin
Profits!! profits! and every year they put the price up, it’s the hospital’s board fault we hear why the insurance companies must put their prices up and yet every year all of them tout their profits. As soon as seniors get an increase in pension it’s eaten away by the insurance increase, the government surely needs to get some legislation out so the insurance does not rise way pass inflation. It’s just sickening read this and other articles like it.