Truro-based insurance company, Cornish Mutual, updated it members yesterday at its annual general meeting.
The company reported that it has continued to increase its capital base in the face of tough trading conditions.
Cornish Mutual made an overall profit after tax of £813k (2014: £514k) and members’ funds, the total capital of the company, increased by £674k to £20.3 million.
In 2015, the rural insurer said its Field Force team visited over 12,000 members across the south west, a combined travel distance of 240,000 miles and received over 75,000 calls to its Truro headquarters.
Chairman, Ian Pawley, summarised: “It is important to consider the current year’s financial performance in the context of the long term trends, the pressures facing our rural Members and our strategy for the business.
“Cornish Mutual faces the prospect of lower investment returns than have historically been experienced and the business needs to respond to this changing environment along with the demands of enhanced regulatory responsibilities around management of our capital as mandated by the Solvency II directive.
“It is well known that the agricultural and rural sectors have faced great difficulty in the last year, being affected greatly by the global economy and it is our role to offer support where it’s needed. We take pride in giving an unrivalled personal service to all our Members.
“In this context, our strategy is one of sustainable development, and I believe that the financial results for the year show that we continue to achieve our objectives on behalf of our Members.”