In 2009 TPM increased premium income to $21.4 million (5% increase) in spite of the uncertain economy.This can be attributed primarily to the increase in our HERO medical gap product and our traditional major medical lines of business.
Our HERO net premium income increased over $1.2 million from the prior year.
Offsetting the positive income growth was a 13% overall increase in incurred claims.The resulting loss from operations was ($588,467) compared to operating income of $4,861 in the prior year.
In spite of the loss from operations, our surplus decreased only ($57,310) from the prior year due to the unrealized gains of $516,146 in our stock portfolio. Surplus at 12/31/09 was $7,470,369. Our investment portfolio continues to be strong with common stocks representing only 3.5% of total assets while bonds represent 88.4% of total assets. The majority of our bonds are high grade government and corporate bonds.
TPM’s bond portfolio had no exposure to sub prime mortgages, derivatives, or write downs. All bonds were performing through 12/31/09 with all interest payments made. TPM’s bond portfolio consists of 95.4% Class 1 (highest rated) bonds with the remaining 4.6% in Class 2 bonds. TPM has no Class 3-6 bonds.
The following financial information documents are available for download as Adobe PDF.
Current Year Financial Commentary
Current Year Summary of Operations
Current Year Balance Sheet
Prior Year Summary of Operations
Prior Year Balance Sheet