Thank you for Subscribing to Insurance Business Review Weekly Brief
Dawn Jaffray, President, COO and CFOFrankenmuth Insurance has operated for more than 150 years with a clear philosophy—neighbors helping neighbors. That belief shapes how the company stays close to the businesses it protects.
How does relationship-driven service influence insurance personalization and client understanding today?
Personalization comes down to relationships. As the industry leans heavily on automation, meaningful service depends on speaking with someone who understands the operation behind the policy and the pressure behind the exposure. Judgment replaces transaction, keeping insurance personal.
What role do independent agents play within Frankenmuth Insurance’s operating model?
At the center of that model sits a distinction many insurers do not state explicitly. Frankenmuth Insurance views its independent agents as customers, just as much as the policyholders those agents serve. That distinction shapes priorities across the business. Underwriting access, decision cadence and the way challenges are discussed all reflect the same commitment to service that supports agencies and policyholders with equal seriousness. Agents are not treated as a channel but as a customer base that Frankenmuth works to earn every day.
Those agents live and work in the communities they serve, sit across from business owners and understand the operations behind the policy, the property behind the premium and the exposures that shift as a business evolves.
“We have frank conversations. We honor our commitments. We focus on being financially strong and steadfast in serving our customers and agents,” says Dawn Jaffray, President, COO and CFO. “Trust is built the same way it is with the neighbor next door, someone who stays close, answers the phone and stands with you when unexpected events happen. That mindset has carried us through years of change and it is why people continue to place their trust in Frankenmuth Insurance today across more than 330,000 policies in 15 states.”
Underwriting that Starts with People, Not Algorithms
How does field-informed underwriting improve risk evaluation and coverage accuracy outcomes?
Frankenmuth Insurance treats underwriting as a field-informed discipline grounded in human judgment.
Our team of dedicated field managers and loss control specialists visits properties and job sites, working alongside agents and drawing on firsthand knowledge of the client to evaluate exposure in full context. The goal is to understand how a business actually operates—daily rhythms, real vulnerabilities and how risk is managed on the ground—then structure coverage that fits reality.
We have frank conversations. We honor our commitments. We focus on being financially strong and steadfast in serving our customers and agents. Trust is built the same way it is with the neighbor next door, someone who stays close, answers the phone and stands with you when unexpected events happen.
“Business owners are focused on running their operations, not monitoring whether their coverage has kept pace with shifting equipment values, rising rebuilding costs or new exposures that develop as the business grows,” says Jaffray. “When agents and underwriters work together early, we help prevent uncovered losses and protect long-term business continuity.”
In one case, a field underwriter visited a commercial property and determined the building was significantly underinsured. Working closely with the agent, the team corrected the valuation and adjusted the coverage. Months later, the building suffered a total loss. Because the gap had been identified early, the client recovered without a devastating financial shortfall. Business survived. Continuity held.
Making Cyber Risk Real Before It Becomes a Crisis
What practical cyber risks do small and mid-sized businesses commonly overlook today?
For many SMB’s, cyber risk can feel abstract until an incident interrupts operations. Frankenmuth Insurance keeps conversations practical, focusing on how cyber exposure shows up in day-to-day business reality.
“Many owners, especially those with SMB’s, don’t realize how exposed they are until something goes wrong,” says Jaffray. “We focus on helping businesses prevent that with data breach protection and on being proactive and ready to respond if one occurs.”
Conversations center on consequences that business owners recognize immediately.
• Operational disruption: systems go offline, orders stall, revenue stops, while costs continue.
• Regulatory exposure: notification obligations may activate and, in many cases, businesses must provide credit monitoring for affected individuals for an extended period.
• Reputational damage: customer confidence erodes, often gradually and permanently.
Frankenmuth Insurance supports that guidance with access to practical tools, including cyber safety guidance, active threat monitoring, digital assessments and employee training designed to reduce one of the most common vulnerabilities businesses face—human error.
With greater public awareness and scenario-based conversations grounded in operations, the adoption of cyber coverage becomes more straightforward. Business owners are not simply buying another policy. They are protecting the ability to operate.
Where Every Promise Gets Tested
Claims are where everything Frankenmuth Insurance promises is tested.
Claims teams operate on a ‘do what we say we will do and treat people fairly when they need us most’ principle. Teams are empowered to communicate directly, make timely decisions and focus on outcomes rather than paperwork. Adjusters are trusted to apply professional judgment without being trapped in layers of escalation.
-
The parts of insurance that should never be automated are the conversations that require context, empathy and trust. Underwriting judgment, claims decisions and agent collaboration all depend on understanding nuance and listening to individual stories.
When a mistake occurs in an original agreement, such as limits misstated, coverage omitted or an endorsement missed, the focus shifts to intent and clarity. Agents provide context to confirm expectations and Frankenmuth Insurance uses that clarity to resolve claims fairly rather than turning the process into a technical debate.
Speed supports fairness. Every day a claim remains open is a day a customer remains in limbo, unable to rebuild, resume operations or move forward. Frankenmuth Insurance treats prompt resolution as a service standard, not only a performance metric.
In a recent claims experience survey, customers reported a 95 percent satisfaction rate and nearly 9 out of 10 said they would recommend Frankenmuth Insurance based on their claims experience. Many business owners remain with the company for decades because they value the peace of mind that comes from knowing what is promised is what they receive.
Where Technology is Not a Replacement
Frankenmuth Insurance applies AI and automation, which improves efficiency without reducing accountability. Transactional and administrative work such as routine processing, documentation and workflow coordination, benefits from speed and consistency. These tools free up underwriters to spend time in the field and give claims professionals more room to focus on customers.
“The parts of insurance that should never be automated are the conversations that require context, empathy and trust,” says Jaffray. “Underwriting judgment, claims decisions and agent collaboration all depend on understanding nuance and listening to individual stories.”
Final decisions, especially those that affect livelihoods, remain with experienced professionals who bring both expertise and compassion to the table. For Jaffray, innovation means improving clarity, identifying opportunities to add value in serving our customers, creating access and ensuring dependability, all while keeping human engagement central.
The Discipline Behind Durability
Frankenmuth Insurance’s longevity reflects disciplined decision-making sustained across generations. Financial strength comes from thoughtful risk-taking, not from avoiding decisions altogether.
Having served in multiple leadership roles across the company, Jaffray holds a clear view of how interconnected business truly is. Financial stewardship, operational execution, underwriting integrity and agent experience function as one system. Decisions that optimize one dimension at the expense of another weaken the whole.
“Agents trust us because we don’t change direction abruptly or abandon markets without conversation,” says Jaffray. “When new risks emerge, we engage our agency partners, pick up the phone and work through solutions together. Consistency matters. It is how we’ve earned the right to be here.”
Leaders weigh long-term relationships alongside financial outcomes, recognizing that decisions will not always be perfect but must still be made with care. Teams are empowered to act, learn and adjust rather than waiting for certainty that never arrives.
150 Years of Showing Up
Frankenmuth Insurance’s story is built on principles consistently practiced: know the businesses being protected, work alongside agents who represent the company, keep commitments even when doing so costs more, empower people to act with judgment and compassion and never mistake efficiency for service.
Insurance Business Review’s recognition of Frankenmuth Insurance as a Top Business Insurance Solutions Provider 2026 reflects the consistency and relationship-led execution that stays personal, accountable and dependable when coverage must perform.
Selecting a Disciplined Business Insurance Partner
Business insurance decisions in the financial services sector demand more than competitive pricing. Executives responsible for protecting balance sheets and enterprise value face rising property costs, shifting liability exposures and a growing layer of cyber risk that can disrupt revenue and reputation in equal measure. Insurance must function as a disciplined risk management tool rather than a transactional purchase renewed each year without scrutiny.
Adequate business insurance begins with an accurate understanding of how a company actually operates. Many coverage gaps emerge not from negligence but from growth. Equipment values increase, rebuilding costs shift and contractual obligations evolve. Construction firms, real estate operators and small commercial enterprises often focus on daily execution, leaving less time to reassess limits or endorsements. An insurer that relies solely on generic underwriting models may miss these nuances. A carrier that deploys field-based underwriting and agent collaboration is more likely to align coverage with real exposures.
Claims performance provides a clearer measure of value than marketing language. When losses occur, timeliness and fairness determine whether insurance protects continuity or compounds disruption. Executives should look for evidence of consistent claims satisfaction, transparent communication and local decision authority within claims teams. A process centered on clear expectations and straightforward dialogue reduces uncertainty at precisely the moment organizations need stability. Long-term client retention often signals that claims outcomes match promises.
The distribution model also shapes the quality of advice. Independent agents who live and work in the communities they serve tend to maintain closer relationships with business owners. That proximity supports candid discussions about risk rather than one-time policy placement. A carrier that treats independent agents as both customers and distribution partners, not mere intermediaries, can reinforce alignment between underwriting intent and client needs. Accessibility to knowledgeable professionals rather than exclusive reliance on automated systems further strengthens that relationship, especially when complex coverage questions arise.
Cyber exposure has added a layer of complexity for small and mid-sized enterprises. Many organizations underestimate their vulnerability until a breach interrupts operations. Insurance alone is insufficient without education and preventive tools. Access to cyber safety resources, risk assessments, employee awareness training and monitoring tools can narrow exposure before a claim occurs. Guidance that translates technical risk into practical business impact allows executives to calibrate limits and controls with greater confidence.
Financial strength underpins every promise an insurer makes. Longevity, disciplined capital management and stable ratings from independent agencies offer assurance that claims will be paid not only today but through economic cycles. A carrier that prioritizes steady growth over short-term expansion is better positioned to sustain coverage capacity during market tightening.
Frankenmuth Insurance reflects these attributes in practice. Founded on a relationship-driven philosophy, it works closely with independent agents who know their local markets and clients. It emphasizes frank conversations about coverage gaps and aligns policies with how businesses function in fields such as construction, real estate and small commercial operations. Its claims teams are structured to prioritize direct communication and timely resolution, contributing to reported satisfaction levels exceeding 95 percent. The company complements core property and liability coverage with cyber liability solutions supported by education-focused tools and resources. Backed by more than 150 years of operating history and a consistent A (Excellent) rating from AM Best, it offers business insurance grounded in financial discipline and sustained client trust.
...Read more
