Nationwide Insurance: History of Growth and Expansion
A company based in Columbus, Ohio, Nationwide Mutual Insurance Company is composed of various insurance and financial companies in the United States. It has its beginning as an auto insurance company. It has expanded then to be among the largest companies in the United States and the world as listed in the Fortune 500.Nationwide Insurance Company has been through many evolutions, in change, in business, status and ranking. Nationwide Insurance Company started as an incorporation of Farm Bureau Mutual Insurance Company with the Ohio Farm Bureau Federation in 1925. The Ohio Law at that time had a requirement of 100 individuals to become policyholders. Nevertheless, the first agents of the mutual insurance company managed to get ten times more than what was required. With 1,000 policyholders on the initial start-up, Farm Bureau Mutual began its operation in 1926.
Automobile insurance was the initial product of Farm Bureau Mutual, Nationwide Insurance’s first name. Ohio farmers were the first market of the company. The offering of policies was extended in 1928 to farmers of West Virginia. It was then followed by other states such as Delaware, Maryland, North Carolina and Vermont. Underwriting of policies by the Farm Bureau Mutual for the town residents and larger cities commenced in 1931 and 1034, respectively.
Farm Bureau Mutual made considerable progression and expansion. In 1934, the company started to offer fire insurance product that had grown the following year leading to the buy out of a losing fire insurance company. The company experienced sizeable growth and made a consideration to expand their office space. With its need for more office space, the company decided to move to a bigger building and by 1936, the company set up an office in the popular 246 Building in Columbus, Ohio.
1943 has been a year of more expansion when the company had its operations in the District of Columbia and other twelve states. It had made another expansion when the company began to open regional quarters in 1951.
Farm Bureau Mutual renamed its company to Nationwide Insurance in 1955. The company has been known and popular by that name ever since the renaming. After a decade of the change in name, Nationwide embraced another expansion in Oregon and other nineteen states, having a presence in America totaling to 32 states. That made the company really “nationwide".
The company outgrew in business size, operation and office space in the 1970’s. Because of the need, Nationwide worked on its skyscraper headquarters. One Nationwide Plaza was constructively finished in 1978 at downtown Columbus, Ohio and situated at the corner of N. High Street and Nationwide Boulevard. The 40-story sky-rise is Central Ohio largest single office tower. Other Nationwide buildings have been constructed since the completion of the One Nationwide Plaza. Plaza Two, Three and Four have been erected and completed in the Downtown Columbus.
Nationwide Insurance is now among the leading insurers in the United States with a workforce of approximately 36,000. It has underwritten more than sixteen million policies. It has ranked among the best companies listed in Fortune 500.
AM Best Company provides the news and ratings of the insurance industry as well as the financial data of the different insurers worldwide. The company has ranked Nationwide Insurance according to several determinants. A.M. Best rates Nationwide auto insurance as the sixth largest auto insurer as determined on the premiums written. It has also ranked fourth in homeowner insurer category.
Today, Nationwide Insurance has many affiliated corporations. Its expansion created many companies and businesses. Aside from insurance, Nationwide has integrated asset management and strategic investments. It also has a broadcasting company, Nationwide Communications. Its businesses and operations are scattered throughout the United States serving several states and markets.
