Demotech Affirms the Financial Stability Rating® Assigned to Fairmont Farmers Mutual Insurance Company

Columbus, Ohio, November 15, 2021: The Financial Stability Rating® (FSR) of A’ (A Prime), Unsurpassed, assigned to Fairmont Farmers Mutual Insurance Company has been affirmed by Demotech, Inc. This level of FSR is assigned to insurers who possess unsurpassed financial stability related to maintaining positive surplus as regards policyholders, liquidity of invested assets, an acceptable level of financial leverage, reasonable loss and loss adjustment expense reserves (L&LAE) and realistic pricing.

FSRs summarize Demotech’s opinion of the financial stability of an insurer regardless of general economic conditions or the phase of the underwriting cycle. FSRs utilize statutory financial data based on insurance accounting principles prescribed or permitted by the National Association of Insurance Commissioners (NAIC). Since 1989, FSRs of A or better have been accepted by the major participants in the secondary mortgage marketplace.

About Fairmont Farmers Mutual Insurance Company

Fairmont Farmers Mutual Insurance Company was formed in 1889 to meet the needs of the people in the Fairmont, Minnesota area. In the beginning, as a township mutual, Fairmont Farmers Mutual offered only fire and extended coverages; however, in 2002 the company also began underwriting the wind and hail perils. In 2007, Fairmont Farmers added coverages for personal and farm liability and in 2009 the company added equipment breakdown coverage. To expand and broaden their service to their agents and policyholders even more, Fairmont Farmers Mutual began writing coverages statewide in the state of Iowa in June of 2019. Today the company is controlled by a local board of directors, management and staff. For over 125 years, Fairmont Farmers Mutual Insurance Company has remained financially sound, providing stable rates and fair and prompt claim settlements for their policyholders.

About Demotech, Inc.

Demotech, Inc. is a financial analysis firm specializing in evaluating the financial stability of regional and specialty insurers.  Since 1985, Demotech has served the insurance industry by assigning accurate, reliable, and proven Financial Stability Ratings® (FSRs) for Property & Casualty insurers and Title underwriters.  FSRs are a leading indicator of financial stability, providing an objective baseline of the future solvency of an insurer.  Demotech’s philosophy is to review and evaluate insurers based on their area of focus and execution of their business model rather than solely on financial size.  Demotech was the first to review and rate independent regional and specialty insurers. Demotech’s consistently increasing list of accreditations and acceptances has resulted in rating and reviewing more than 400 insurers operating in the US.  Visit for additional information.

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