Johnston is chief financial officer of the Fairfield insurance company. He will be chief executive in charge of the company’s seven subsidiaries and president of four of its subsidiaries: The Cincinnati Insurance Co., The Cincinnati Indemnity Co., The Cincinnati Specialty Underwriters Insurance Co. and CSU Producer Resources Inc.
Monday’s announcement is the result of a leadership development plan established when Stecher became president and chief executive July 2008.
“This approach assures the continuity of our values, commitments and operations, as well as our ability to keep driving strategic initiatives to improve growth and profitability,” Stecher said in a statement.
As president and chief executive, Johnston will be responsible for day-to-day management, which had a 2010 net income of $377 million. Stecher’s new responsibilities will include oversight of the company’s management, said Joan Shevchik, company spokeswoman.
Current Chairman John Schiff will continue to be one of the 13 members of the board of directors and executive committee chairman.
He was chairman for 25 years.
Johnston joined the company in 2008 to be chief financial officer after a briefly serving as a consultant. Prior to that, he was chief financial officer, senior vice president and treasurer of State Auto Financial Corp., according to the company.
Stecher began his career in 1967 as an accountant for a company later acquired by Cincinnati Financial, Shevchik said. He moved up the ranks to hold positions including senior vice president, chairman of Cincinnati Insurance, executive vice president and chief financial officer.
“I think they’re putting themselves in a position as the economy turns ... where their business model will grow,” said Kert Radel, president and chief executive officer of the Fairfield Chamber of Commerce. Carol Oler, the company’s assistant vice president, information technology, also is a member of the chamber’s board of directors.
Other leadership changes include:
- Expanded responsibility for Jacob Scherer, executive vice president for the insurance subsidiaries and the insurance brokerage, to oversight of business insurance, a group that encompasses sales and marketing, commercial lines, target markets and excess and surplus lines.
- Promoting Teresa Cracas from vice president and counsel to senior vice president of strategic analytics and chief risk officer for all subsidiaries.
- Promoting Lisa Love from senior counsel for the insurance subsidiaries to general counsel and corporate secretary for Cincinnati Financial and all subsidiaries.
- Naming Michael Sewell to replace Johnston as chief financial officer, senior vice president and treasurer, effective May 31.
The company has approximately 2,900 employees in Butler County, according to the county department of development.
Contact this reporter at (513) 705-2551 or clevingston@coxohio.com.
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