Commercial property insurer FM has expanded its membership credit programme, valued at US$1 billion, to allow eligible mutual policyholders to receive credit earlier than previously possible. The expansion reflects FM’s financial position and its mutual ownership model, where client-owners benefit directly from the company’s performance.
The credit will apply to mutual policyholders whose policies are up for renewal or have an anniversary date between June 30, 2025, and June 29, 2026. The programme aims to return funds to clients who have demonstrated long-term engagement and a commitment to risk improvement. In 2024, FM collaborated with clients to implement over 46,000 recommended risk improvements, estimated to have reduced exposure to property loss by around US$1 trillion.
Key Changes to the Membership Credit Programme
FM has introduced a 10-year tenure tier to its credit structure and adjusted the threshold for the highest level of credit from 20 to 15 years, making more policyholders eligible for the maximum benefit. Under the revised structure, policyholders will receive:
- 5% credit for fewer than five consecutive years of membership
- 10% for at least five but fewer than 10 years
- 12.5% for at least 10 but fewer than 15 years
- 15% for at least 15 consecutive years
FM chairman and chief executive Malcolm Roberts stated that the revised structure reflects clients’ dedication to loss prevention and underscores the importance of FM’s mutual approach, which fosters stronger relationships and a better understanding of client needs. The latest announcement brings the total amount returned through the membership credit programme to over US$3.8 billion in the past four years and US$7.5 billion since its inception in 2001.
In addition to its membership credit programme, FM announced in October its third resilience credit allocation, totalling over US$1 billion since the programme began in 2022. The resilience credit programme aims to help clients address vulnerabilities to natural hazards such as wind, flood, and wildfire, which has been highlighted by recent hurricanes in the southeastern United States.
