Guest HarryLong Posted November 11, 2009 Share Posted November 11, 2009 I. In my view, Fremont should end it's worker's compensation line. Shareholders don't need the risks inherent in that line of business. II. FMMH's "Pure Michigan corporate branding initiative as an independent Michigan exclusive organization" is tone deaf. They need to diversify to other states, such as Indiana. III. In my view, the A.M. Best upgrade to A- could give Fremont exposure to higher quality agents. IV. When is management going to get it? There is a very simple, yet powerful relationship. In my view: premium growth = lower combined ratio. V. Latest 9 months, same trend: 97.4% combined ratio this year vs.90.8% combined ratio last year. VI. Latest Qtr: the combined ratio was 89.8% this Qtr, vs. 87.1% in the same Qtr. last year.The trend is still more premium growth, lower combined ratio. Link to comment Share on other sites More sharing options...
Guest HarryLong Posted November 12, 2009 Share Posted November 12, 2009 Has anyone checked out the 10Q Fremont filed? In fairness, the increase in book value per share was decent. I was pleasantly surprised by the quarter, but as you can gather from my comments, disappointed in others. From my point of view, this situation will come down to three components: I. Underwriting II. Underwriting III Underwriting If the company would expand to Indiana, that would give them a chance to underwrite in a rational regulatory environment, which has a better economy than Michigan's, with the potential for better pricing across various lines. That would be the first thing any potential acquirer should do. On the corporate governance side of things, did anyone notice that the board elected a new member? Link to comment Share on other sites More sharing options...
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