Harry Long

Fremont Michigan Insuracorp: Great Job on Expenses, Need to Raise Rates Fast

You sound like an objective guy. I always respect people who read the filings.

My overall take on the insurance industry is that a lot of the weaker players no longer will have the capacity to write a lot of new business (they barely have the capacity to maintain their current business, a la AIG).

I think the insurance companies which extremely conservative balance sheets and underwriting guidelines can now reap the benefits of their competitors' incompetence.

Insurance really benefits player who are prudent in good times, but (incorrectly) seem to be outshone by competitors who take bad risks. When storms, financial catastrophes, tough environments hit, that is when the prudent companies really shine, while their competitors are sent to the competitive graveyard.

I think that is exactly what is happening right now.

Fremont Michigan Insuracorp: Great Job on Expenses, Need to Raise Rates Fast

I think this company is one of the most conservative insurance companies anywhere. No debt on the balance sheet, underwriting profits for years, redundancies in the reserving table.

However, we are totally agreed that diversifying/expanding out of Michigan regionally would only help the company,

Progress at Fremont Michigan Insuracorp: The Anti-AIG

Dear FMIC Agent,

First, thank you so much for your hard work on behalf of the company. I appreciate, as I know my fellow shareholders do.

Second, I appreciate your candor. It is always wonderful to have a no holds barred, full contact discussion of the issues. I think you have a very interesting point of view.

If you have any other thoughts on the company, or points I should consider, please feel free to post them here, or contact me personally. I am especially grateful that you posted your thoughts on the ease of use of the Fremont Complete system.


--Harry Long
email: info@contrarianindustr...