Camico Mutual Insurance, the largest CPA-owned provider of professional liability insurance for CPAs, surpassed $76 million in gross written premiums in 2007, a 6 percent increase over the prior year.
Camico's statutory admitted assets rose to $168 million in 2007, a $10 million increase over 2006. The company's member retention rate remained at 95 percent, despite an increase in the number of carriers offering professional liability insurance to CPAs. During 2007, Camico signed up 228 new CPA firms for professional liability policies. That brought the company's total number of member firms to 7,213 and the number of insured professionals and staff to 61,580 in 45 states and Washington, D.C.
Camico posted $56.5 million in net premiums in 2007. The board of directors voted to increase its policyholder surplus to $50.8 million rather than declare a 2007 dividend, given the near-term outlook of the economy.
"Camico has seen CPA firms become more vulnerable to claims from clients or third parties with failing businesses during times of economic stress," said Camico chairman Louis J. Barbich in a statement. "Claims costs tend to increase during economic downturns, and to protect the stability of the program, Camico plans accordingly for such eventualities."
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