Jun 04, 2015, 12:03 ET
BLOOMINGTON, Ill., June 4, 2015 /PRNewswire/ -- State Farm Chairman and CEO Edward B. Rust Jr. announced today that Michael Tipsord, State Farm president and chief operating officer, will succeed him in September as chief executive officer.
Rust, in speaking during a companywide telecast, told the audience the State Farm Mutual Board of Directors had unanimously agreed with his recommendation to elevate Tipsord. Rust, who has served as CEO the past 30 years and who celebrates his 65th birthday this summer, will continue as chairman of the board.
"Michael has a deep understanding of the opportunities and challenges emerging in our rapidly changing marketplace. During his 27-year career with our company, he has been a key leader in driving our continued growth and success," Rust said. "In a strategic partnership, Michael has helped me chart State Farm's future course as we evolve to meet the ever-changing needs of customers in an expanding and evolving marketplace."
State Farm is the nation's leading insurer of vehicles and homes. State Farm is also a leader in personal banking, mutual funds and retirement planning services. This year, the company became the largest provider of individual life insurance policies in the U.S.
"It has been a privilege to work with Ed, who has dedicated himself to making sure State Farm continues to be the leader," said President and Chief Operating Officer Michael Tipsord.
"I am honored to have this opportunity to lead State Farm and carry forward our core mission of helping people. This great organization is blessed with a strong leadership team and State Farm associates who are committed to helping our customers live confidently every day," Tipsord said. "Together, I am confident we will continue to grow State Farm even more, allowing us to help more people and help them in more ways."
Rust was named CEO in 1985 and is the company's longest serving CEO. During this 30-year span of leadership, State Farm has grown from 45 million policies to serving more than 82 million policies and financial services accounts. The financial strength of the organization has grown from $10 billion to more than $80 billion.
He has led business community efforts to improve the quality of education in the United States and has served as chairman of the U.S. Chamber of Commerce Board of Directors, the American Enterprise Institute, The Financial Services Roundtable, the National Alliance of Business and the Insurance Institute for Highway Safety.
Rust began his State Farm career in 1975 and is a graduate of Illinois Wesleyan. He also holds both juris doctor and master of business degrees from Southern Methodist University.
Tipsord joined State Farm in 1988. Following service in various positions, he was named vice president and assistant treasurer in 1998, vice president and treasurer in 2001, and senior vice president in 2002. He was named chief financial officer in 2004, chief operating officer in 2011 and was elected to the office of president in 2015.
Tipsord is a member of the board of directors of State Farm Mutual Automobile Insurance Company and its principal affiliates. He serves on the board of directors for Navigant Consulting, Inc. and is an honorary trustee of the Brookings Institution. He is also a member of the dean's advisory board for the University Of Illinois College Of Law.
A native of Illinois, Tipsord received a bachelor's degree from Illinois Wesleyan University in Bloomington and a law degree from the University of Illinois at Urbana-Champaign.
About State Farm®:
State Farm and its affiliates are the largest provider of car insurance in the U.S. In addition to providing auto insurance quotes, their 18,000 agents and more than 65,000 employees serve over 82 million policies and accounts – nearly 80 million auto, home, life, health and commercial policies, and nearly 2 million bank accounts. Commercial auto insurance, along with coverage for renters, business owners, boats and motorcycles, is available.
State Farm Mutual Automobile Insurance Company is the parent of the State Farm family of companies. State Farm is ranked No. 41 on the 2014 Fortune 500 list of largest companies. For more information, please visit http://www.statefarm.com.
State Farm Bank®, Bloomington, Illinois, is a Member FDIC and an Equal Housing Lender. Insurance, annuities and securities products offered by affiliate companies of State Farm Bank are not FDIC insured, are not guaranteed by State Farm Bank, and are subject to investment risk, including possible loss of principal.
Before investing, consider the funds' investment objectives, risks, charges and expenses. Contact State Farm VP Management Corp (1-800-447-4930) for a prospectus or summary prospectus containing this and other information. Read it carefully. Investing involves risk, including potential for loss. State Farm VP Management Corp. is a separate entity from those State Farm entities which provide banking and insurance products.
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SOURCE State Farm
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