P&C Market Ascends to More Than $4B

The overall market for property and casualty insurance in Arkansas continued to climb in 2011.

The market reached more than $4 billion in 2011, up 3.25 percent from 2010, according to figures from the Arkansas Insurance Department and provided to Arkansas Business. That was consistent with its rate of growth, 3.7 percent, in 2010.

Most of the independent insurance agencies in Arkansas that write P&C and health insurance reported increases in premium.

(To see a list of the largest insurance agencies list click here. To see the largest proerpty & casualty insurance companies list click here. Spreadsheet versions are also available for the agency list and the P&C list.) 

Arkansas Business’ list of the state’s largest insurance agencies is incomplete because it relies on the participation of the agencies.

This year’s list features 15 agencies ranging in total premium from $435.76

million to $9.15 million.

Regions Insurance Inc. of Little Rock kept its spot as the No. 1 insurance agency in Arkansas with $435.76 million in total premium written in 2011 in Arkansas, an increase of 7.8 percent. It also has the most Arkansas employees with 166. More than half of Regions’ total premium, or $260.8 million, came from its P&C business.

But Stephens Insurance Inc. of Little Rock is quickly gaining ground. Its total 2011 premium hit $401.6 million, up 12.4 percent.

Stephens Insurance CEO Marty Rhodes told Arkansas Business in March that the company also has enjoyed strong internal growth. (For more from Rhodes, see )

Stephens could see even more growth in 2012.

In January, Stephens Insurance, a subsidiary of Stephens Inc. of Little Rock, bought the book of business of Grace Group of Little Rock. In March, Stephens Insurance bought Hoffman-Henry Insurance of Little Rock for an undisclosed price.

The top five agencies retained their positions this year. Meadors Adams & Lee Inc. of Little Rock climbed two spots to the No. 6 slot after its total premium increased 11.2 percent to $45.03 million.

Total premium for the Legacy Capital Group of Little Rock slipped slightly from $46.6 million in 2010 to $42.5 million this year. Still, it remained in the No. 7 position.

Harold Campbell Co. of Camden returns to the list this year after failing to submit its numbers in 2011. With offices

in El Dorado, Hampton, Magnolia, Morrilton, Pine Bluff, Russellville and Stamps, Harold reported $25.8 million in total premium, good enough for No. 9 on this year’s list and a two-year increase of 27.7 percent.

P&C Companies

Arkansas Business’ list of property and casualty companies ranks insurance firms with headquarters in and outside Arkansas by the amount of premium written in Arkansas in 2011 based on figures on file with the Arkansas Insurance Department.

Of the 35 companies on the list, only one, Farm Bureau Mutual Insurance Co. of Arkansas Inc., has its national headquarters in Arkansas.

The No. 1 firm was once again State Farm Insurance of Bloomington, Ill. State Farm and its subsidiaries reported an increase in Arkansas premium of 1.63 percent, to $562.58 million, more than the No. 2 and No. 3 carriers combined in 2011.

Farmers Insurance Co. Inc. of Los Angeles is barely hanging onto the No. 2 slot with $233.71 million in Arkansas premium, which was slightly up from the $232.79 million it had in 2010.

Farm Bureau Mutual Insurance climbed into No. 3 with $231.84 million in premium, up 5.3 percent from 2010.

Travelers Insurance Cos. of St. Paul, Minn., moved up one slot to No. 6. It reported $178.11 million in Arkansas premium last year, up from $174.16 million in 2010.