HMO Partners Inc
Major Rating Factors:
Excellent overall capitalization (8.8 on a scale of 0 to 10) based on good current risk-adjusted capital (severe loss scenario). Furthermore, this high level of risk-adjusted capital has been consistently maintained in previous years. Excellent quality investment portfolio (9.1) containing small junk bond exposure. Weak profitability index (1.8) with operating losses during 2019 and 2021. Average return on equity over the last five years has been poor at -1.7%.
Other Rating Factors:
Weak overall results on stability tests (2.8) based on an excessive 43% enrollment growth during the period. Rating is significantly influenced by the strong financial results of HMO Partners Inc. Weak liquidity (2.0) as a spike in claims may stretch capacity.
Principal Lines of Business:
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Licensed in:
AR
Principal Enrollment Breakdown:
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