Message From the President
“Every Mountain top is within reach if you keep climbing.”
Barry Finlay, Author & Climber
We welcomed 2025 with cautious optimism following the frustrating results and tough decisions that closed out 2024. With the wind at our back and under favorable conditions, we experienced momentum from our dedication to our strategic plan. Like the climbers of the world’s tallest mountains, we knew our journey would demand resilience and determination, requiring a commitment to excellence from each and every team member to help us rise above the challenges and turn them into opportunities.
Reaching the destination is not always about moving in a single direction forward, or up, in the case of a climber. We can achieve ultimate success by understanding that there is no perfect journey and sometimes the best way to proceed is to take a step back, reassess, ground ourselves in the mission, and find a better way. That is precisely what we did in 2025 as we continually adapted to the new normal that has emerged for our industry over the past few years.
Regaining strong underwriting profitability with a stellar 96.6 Combined Ratio and a $14.1M Underwriting Gain, far exceeded our plan and re-established the performance necessary to maintain a strong foundation for future success. These are direct results of the superb execution of our underwriting portfolio management strategies by our talented team, coupled with good fortune and low weather severity.
Despite volatility, our sound investment strategies delivered realized gains of $15.2M and unrealized gains of $6.3M, further strengthening our capital base. As a combined result of underwriting and investment performance, Policyholders’ Surplus increased by nearly $50M, reaching a record-setting $438.4M.
New Business performance was also a notable achievement, exceeding plan by $6M, closing at $54.9M. Growth was well distributed across our targeted units, reflecting our continued focus on diversification, ending the year with $446M in Direct Written Premium.
Agent adoption of RapidWrite® continues to fuel growth with $11.5M written and over 2,300 policies issued. Agents also embraced the addition of ACORD upload and appreciated enhancements to our BOP program, including the expanded eligibility for Mercantile classes.
Our commitment to mutual growth is evident with 92 agents now writing over $1M in premium with us. We strengthened our Midwest expansion with the addition of a dedicated business development specialist, the conversion of 28 monoline agents to multi-line, and the appointment of 43 new agents in Kentucky and Indiana.
Our success also reflects the vital importance of partnerships. In a year marked by competitive pressures, shifting market conditions, and evolving customer needs, our agency partners played an essential role in helping us execute our strategies. Their advocacy, insight, and collaboration enabled us to navigate complexity while strengthening our presence and performance across every region we serve.
Outside of our financial success this year, HMIG is also proud of the accomplishments and service of our past and present employees and board members. Through educational advancement and the implementation of award-winning initiatives, we continue to create an environment where our employees thrive, celebrating 590 years of combined service from 38 team members in 2025. While we look forward with excitement to their future contributions, we must also pause to laud the impact of Vice President Frank Kellner, who will be retiring after 35 years with Harford Mutual; board members Woody Collins, Al Mezzanotte, Spence Roman, and Steve Scott who retired in 2025 with a combined 80 years of service to our board; and former board member Chuck Boyle, who passed away in November. We are grateful for their indelible guidance and leadership, which will continue to serve Harford Mutual for years to come.
Our results speak not only to what we accomplished, but also to how we achieved it — through mutual commitment, disciplined execution, resolute accountability, and the collective belief that better outcomes are always within reach on the climb.
We are grateful for the steady guidance of our Board of Directors, whose support and strategic perspective helped ensure we remained grounded in our long-term objectives.
As we look forward to 2026, we do so with confidence. We know that our greatest achievements come not from standing on the summit, but from the climb itself. We scaled this mountain, but there are many more ahead that will require our determination and experience to navigate. This year proved once again that growth, fulfillment, and momentum are earned in the work we do together, step by step, as one team committed to a shared purpose.
Always to our mutual success.
Steven D. Linkous
President and Chief Executive Officer