Texas Mutual Serves up $1.4M Dividend to TRA Safety Group

(L-R) Bob Barnes, chairman of Texas Mutual's board of directors, and Ron Wright, president of Texas Mutual, present a $1,387,241 dividend check to Richie Jackson, CEO of the Texas Restaurant Association.

Texas Mutual Insurance Company announced today a $1,387,241 dividend to the Texas Restaurant Association (TRA) safety group. The dividend was based largely on the group’s overall loss ratio. Bob Barnes, chair of Texas Mutual’s board of directors, recently presented the check to TRA CEO Richie Jackson at Texas Mutual’s headquarters in Austin.

“The restaurant industry is an economic engine for Texas,” said Barnes. “Restaurants pump $36.6 billion into the economy and employ more than 1 million people. For every $1 million spent in restaurants, the state benefits from nearly 30 additional jobs. We hope this money helps TRA members continue to grow their businesses during challenging economic conditions.”

Members of the TRA safety group have shared in more than $17 million in group dividends since 1999.

Safety group dividends are separate from the $155 million in individual policyholder dividends Texas Mutual distributed in 2011. Since 2000, the company has injected more than $1 billion into the Texas economy through its group and individual dividend programs.

“Between individual policyholder dividends and safety group dividends, Texas Mutual makes participating in the workers’ compensation program in Texas a good business decision,” said Jackson.

Unlike publicly traded insurance companies, mutual companies are owned by their policyholders. Dividends allow Texas Mutual to share its financial success with its policyholder owners.

In addition to potential dividends, TRA safety group members get discounts on their workers’ compensation premiums. They also have access to workplace safety materials designed for the restaurant industry.

Texas Mutual notes that past dividends are not a guarantee of future dividends, and the Texas Department of Insurance must approve all dividends.

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