JOHNSTON, R.I., USA—FM Global, one of the world’s largest commercial property insurers, has announced that its eligible policyholders will collectively receive an estimated US$600 million in membership credit when they renew their policies between Jan. 1, 2022, and Dec. 31, 2022. In the past 12 months, FM Global's clients completed over 50,000 of its engineering-driven risk improvement recommendations, resulting in approximately US$700 billion of loss exposures mitigated.
“Despite a world facing increasing risks and the continuing challenges of the COVID-19 pandemic, our policyholders’ proactive approach to property risk improvement continues to contribute to their resilience and their ability to mitigate losses,” said Thomas A. Lawson, chairman and chief executive officer. “As a mutual insurance company, the membership credit is one way we recognize our client-owners for making a strategic decision to choose resilience.”
The membership credit an eligible policyholder receives will be based on their premium and tenure and applied as an offset against premium at a client’s renewal or anniversary date. A few clients have been FM Global policyholders since the late 1800s.
FM Global clients holding policies for:
- fewer than 5 consecutive years will be eligible for a 5% credit.
- at least 5 consecutive years but fewer than 20 will be eligible for a 10% credit.
- at least 20 consecutive years will be eligible for a 15% credit.
A detailed overview of the 2022 membership credit plan (including eligibility, timing and basis for calculations) is available here.
About FM Global
Established nearly two centuries ago, FM Global is a mutual insurance company whose capital, scientific research capability and engineering expertise are solely dedicated to property risk management and the resilience of its client-owners. These owners, who share the belief that the majority of property loss is preventable, represent many of the world’s largest organizations, including one of every three Fortune 1000 companies. They work with FM Global to better understand the hazards that can impact their business continuity in order to make cost-effective risk management decisions, combining property loss prevention with insurance protection.