Major Rating Factors: Fair overall results on stability tests (3.1 on a scale of 0 to 10) based on an overall decline in enrollment over the past five years. Rating is significantly influenced by the strong financial results of Elevance Health Inc. Good overall profitability index (6.3) despite a decline in earnings during 2021. Excellent capitalization index (10.0) based on good current risk-adjusted capital (severe loss scenario). However, risk-adjusted capital has reached as low as the weak level during recent years.
Other Rating Factors: Excellent quality investment portfolio (8.1) containing small junk bond exposure. Excellent liquidity (10.0) with ample operational cash flow and liquid investments.
Principal Lines of Business: --
Licensed in: DC
Principal Enrollment Breakdown: --