D
Farm Bureau Mutl Ins Co of AR
Rating Date
October 2025
NAIC
Classification
Risk Adjusted
Capital Ratio #1
Risk Adjusted
Capital Ratio #2
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Major Rating Factors: Poor long-term capitalization index (2.2 on a scale of 0 to 10) based on weak current risk adjusted capital (severe loss scenarios), although results have slipped from the good range during the last year. Weak profitability index (1.4) with operating losses during each of the last five years and the first six months of 2025. Average return on equity over the last five years has been poor at -21.0%. Vulnerable liquidity (1.1) as a spike in claims may stretch capacity.
Other Rating Factors: Fair overall results on stability tests (4.1) including weak results on operational trends, negative cash flow from operations for 2024 and fair risk adjusted capital in prior years. The largest net exposure for one risk is conservative at 1.0% of capital. Ample reserve history (7.0) that can protect against increases in claims costs.
Stability Factors: C - Past results on our Risk-Adjusted Capital tests. F - Negative cash flow. L - Past results on our liquidity tests. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Homeowners (58.3%), farmowners (20.1%), fire (10.4%), comm multi (1.1%), other (10.2%)
Licensed in: AR
Principal Investments: Investment grade bonds (69.0%), common stock (2.6%), real estate (1.4%), preferred stock (0.2%), other (26.8%)
Ratios
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Investments in Affiliates
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
10720 Kanis Road
Little Rock, AR 72203
Phone Number
(866) 275-7322
NAIC Number
13757
Largest Affiliates
No affiliate information available.