Major Rating Factors:
Poor long-term capitalization index (0.0 on a scale of 0 to 10) based on weak current risk adjusted capital (severe and moderate loss scenarios). A history of deficient reserves (1.9) that places pressure on both capital and profits. In 2022 and 2020 the one year reserve development was 48% and 225% deficient respectively.
Other Rating Factors:
Weak profitability index (1.9) with operating losses during 2020 and 2021. Average return on equity over the last five years has been poor at -95.1%. Weak overall results on stability tests (0.0) including weak risk adjusted capital in prior years, excessive premium growth and weak results on operational trends. The largest net exposure for one risk is excessive at 108.6% of capital. Good liquidity (5.6) with sufficient resources (cash flows and marketable investments) to handle a spike in claims.
Stability Factors:
C - Past results on our Risk-Adjusted Capital tests.
G - Fast asset or premium growth.
R - Concerns about the financial strength of its reinsurers.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Fin guar/surety (100.0%)
Licensed in:
NJ, NY, TX, PR
Principal Investments:
Investment grade bonds (93.5%), non investment grade bonds (1.8%), cash (0.7%), other (4.0%)
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
463 7th Avenue Suite 1600
New York, NY 10018
New York, NY 10018
Phone Number
(212) 312-3041
NAIC Number
12815
Website
Largest Affiliates
No affiliate information available.
