Major Rating Factors:
Fair reserve development (4.0 on a scale of 0 to 10) as reserves have generally been sufficient to cover claims. Fair profitability index (3.8) with operating losses during 2022, 2023 and 2025. Vulnerable liquidity (2.2) as a spike in claims may stretch capacity.
Other Rating Factors:
Weak overall results on stability tests (2.7) including negative cash flow from operations for 2025. The largest net exposure for one risk is excessive at 11.7% of capital. Strong long-term capitalization index (7.4) based on excellent current risk adjusted capital (severe and moderate loss scenarios) reflecting improvement over results in 2022.
Stability Factors:
D - Limited diversification of general business, policy, and/or investment risk.
F - Negative cash flow.
L - Past results on our liquidity tests.
R - Concerns about the financial strength of its reinsurers.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (56.0%), homeowners (20.4%), farmowners (12.3%), comm multi (2.4%), fire (0.4%), other (8.6%)
Licensed in:
AZ, ND, NV, SD
Principal Investments:
Investment grade bonds (73.2%), cash (11.5%), common stock (10.6%), other (4.7%)
Corporate Info
Group Affiliation
Nodak Mutual Group Inc
Investment Rating
--
Company Address
506 Fifth Street
Spearfish, SD 57783
Spearfish, SD 57783
Phone Number
(800) 925-8185 3404
NAIC Number
11855
Website
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