First Monetary’s long suit is the fact that the company is already doing business as a captive insurer and has excess reserves it can dedicate to the launch of the PMI program. This will eliminate the long delays, big expenses and large capital requirements banks otherwise confront establishing insurance subsidiaries from scratch. First Monetary members will enjoy the significant advantages of being able to get into the market first, fast and inexpensively.

This new PMI product not only gives community banks their first opportunity to venture into the emerging insurance market, it provides a new source of fee income and permits them to compete on the same playing field as large commercial competitors. Participants in the program will earn fees based on the underwriting results of the pool.

“The real value of First Monetary’s PMI program lies in the ability it will give our shareholders to structure unique, insured mortgage products for the local markets they service,” says Frank Shashaty, President of First Monetary Mutual Limited. “While fee income is certainly an important benefit, the ability to get into this game early on and the opportunity to create differential competitive advantages are, strategically, far more significant where First Monetary members and all small banks are concerned. Banks that add Mortgage Impairment insurance to the mix -- another policy coverage we offer, can benefit even further by streamlining the entire mortgage lending process.”

For as little as $3500, shareholders secure a “wrap-around” D&O policy, complimentary, full-featured Internet site, deep discounts on bank support services, and bidding rights to reserve investments in your own bank.

Click here for more information on First Monetary’s PMI program and June conference or contact First Monetary at 441.295.5425.