Kia ora koutou katoa, This edition of FMG Post marks the second anniversary of Cyclone Gabrielle and the tragic weather events of 2023. I specifically wish to acknowledge the loss of 11 lives in addition to the widespread devastation that was to become the country’s largest natural disaster this century and the Mutual’s most significant event response in our 120-year history
This edition of FMG Post also marks the celebration of FMG’s 120th year of operation in March. As the Mutual turns 120 years old, it’s important to reflect on our heritage, and the critical role mutuality has played in our journey to date. It all started in 1905, when
a visionary and pioneering group of farmers, led by Sir James Wilson, became disenchanted with the offerings from proprietary insurers of the day and decided to take things into their own hands. Those early pioneers started the Mutual with a promise in the form of £100 Promissory Notes, agreeing to honour the claims of other Members up to this amount. A great example of the essence of mutuality – that is: “what is returned is what a member contributes”.
FMG was born by farmers for farmers, with an innovative idea to address a lack of fairness in the insurance market of the day. Innovation has been at the core of the Mutual ever since as we continue to deliver to our Purpose of a “better deal for rural New Zealand Aotearoa” and our Vision of “helping to build strong and prosperous rural communities” – both of which have remained relatively unchanged for 120 years.
As a Purpose-led, Values-based mutual insurer, we are determined to be here for future generations of farmers and growers for at least the next 120 years. To do so, we need to ensure we are resilient, sustainable and well capitalised. FMG’s focus on being profit making and not profit maximising means we focus on running a sustainable business with any surplus reinvested back into the business and the local communities we support. This year we’ll also be joining with other fellow Purpose-led, Values-based mutual and co-operative businesses to celebrate the United Nations’ International Year of Co-operatives and Mutuals.
As we mark 120 years of service, it’s encouraging to see that the latest Federated Farmers survey has farmer confidence at its highest levels in over a decade, with 54 percent of farmers now reporting they are making a profit - double the number in the last survey six months ago. FMG is also doing our bit by passing on pricing decreases across several of our product lines. The first round of decreases was effective in November and a second round of decreases are planned for April. Unfortunately, with current and planned increases in Government levies occurring simultaneously (specifically Fire Service Levies and Natural Hazard Commission Levies) the net impact on the premium you pay may vary. Rest assured; the Mutual remains committed to our
Purpose of doing all we can to deliver “a better deal for rural New Zealand Aotearoa”.
Our farmers and growers are known for their innovation, always looking for new and more efficient ways to run their businesses. An ethos we share at FMG, and I’m excited to announce that from July, FMG Post will be incorporated into your regular edition of Farmers Weekly. In keeping with FMG’s philosophy of having an ‘Owner's Mindset’, it’s a partnership we believe will be more cost
effective and sustainable. You can also continue to have FMG Post delivered to your email inbox if you prefer to receive a copy digitally.
2025 is shaping up to be a year of celebrations for FMG as we also recognise 10 years of being a founding partner of Farmstrong and 10 years as Principal Sponsor of the FMG Young Farmer of the Year Contest. These key sponsorships reflect the Mutual’s continuing commitment to rural communities through our support of the positive mental health of farmers and growers and our investment in the rural leaders of tomorrow. Here’s to the next 120 years.
Kind regards/ Ngā mihi,
Adam Heath
