Major Rating Factors: Good quality investment portfolio (6.3 on a scale of 0 to 10) despite large holdings of BBB rated bonds in addition to moderate junk bond exposure. Exposure to mortgages is significant, but the mortgage default rate has been low. Good liquidity (6.7) with sufficient resources to handle a spike in claims as well as a significant increase in policy surrenders. Good overall results on stability tests (5.7) good operational trends and excellent risk diversification.
Other Rating Factors: Strong capitalization (7.2) based on excellent risk adjusted capital (severe loss scenario). Excellent profitability (7.0) despite modest operating losses during 2017 and 2019.
Stability Factors: A - Financial problems or weaknesses of a parent or affiliate company. I - Past results on our Investment Safety Index. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Group annuities (68.6%), group life (7.6%), group health (6.7%), ind health (0.8%), ind annuities (0.7%), other (15.6%)
Licensed in: All states, the District of Columbia and Puerto Rico