Safety Rating

Our financial strength ratings are based on a complex analysis of hundreds of factors that are synthesized into a series of indexes: capitalization, investment safety (Life & Annuity and Health companies only), reserve adequacy (Property & Casualty companies only), profitability, liquidity, and stability. These indexes are then used to arrive at a letter grade rating measured on a scale from A to F. A good rating requires consistency across all indexes. A weak score on any one index can result in a low rating, as insolvency can be caused by any one of a number of factors, such as inadequate capital, unpredictable claims experience, poor liquidity, speculative investments, inadequate reserving, or consistent operating losses.

The ratings are derived, from annual and quarterly financial data provided by SNL Financial LC, the National Association of Insurance Commissioners and State Insurance Regulators. This data may be supplemented by information that we request from the insurance companies themselves. Although we seek to maintain an open line of communication with the companies being rated, we do not grant them the right to influence the ratings or stop their publication. (See Rating Definitions).

Salary Pay

The total annual amount paid by the health insurer to providers (physicians or nurse practitioners) who are direct employees of a health care facility. This amount is part of the provider compensation.

Separate Accounts

Funds segregated from the general account and valued at market. Used to fund indexed products, such as variable life and variable annuity products.

Severe Loss Scenario

Possible future events that could result in loss levels that are somewhat higher than recent experience. These levels are developed from examination of current trends. (Compare with Moderate Loss Scenario).

Stability Factors

Indicates those specific areas that have negatively impacted the company’s Stability Index.

Stability Index

A Weiss index that integrates a number of factors such as: 1) risk diversification in terms of company size and loan diversification; 2) deterioration of operations as reported in critical asset, liability, income and expense items, such as an increase in loan delinquency rates or a sharp increase in loan originations; 3) years in operation; 4) former problem areas where, despite recent improvement, the company has yet to establish a record of stable performance over a suitable period of time; and 5) relationships with affiliates.



State Guaranty Funds

Funds that are designed to raise cash from existing insurance carriers to cover policy claims of bankrupt insurance companies.

State of Corporate Address

The state in which the company's corporate office is located.


Accumulated funds from prior years’ profits (retained earnings) plus additional amounts paid-in by a parent or other corporation. The term “surplus” is also sometimes used broadly to include capital such as common stock.

Weiss Ratings