Major Rating Factors:
Poor long-term capitalization index (0.1 on a scale of 0 to 10) based on weak current risk adjusted capital (severe and moderate loss scenarios). A history of deficient reserves (2.2) that places pressure on both capital and profits. The one year reserve development was deficient in three of the last five years by between 47.8% and 224.5%. Weak profitability index (1.0) with operating losses during 2020, 2021, 2023 and the first six months of 2024. Average return on equity over the last five years has been poor at -126.8%.
Other Rating Factors:
Weak overall results on stability tests (0.0) including weak risk adjusted capital in prior years and negative cash flow from operations for 2023. The largest net exposure for one risk is excessive at 489.9% of capital. Superior liquidity (10.0) with ample operational cash flow and liquid investments.
Stability Factors:
C - Past results on our Risk-Adjusted Capital tests.
D - Limited diversification of general business, policy, and/or investment risk.
F - Negative cash flow.
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 and PR
Principal Investments:
Investment grade bonds (95.4%), cash (1.7%), other (2.9%)
Ratios
Premium to Surplus
Reserve to Surplus
1-Year Reserve Development
2-Year Reserve Development
Expense Ratio
Combined Ratio
Cash From Underwriting
Net Premium Growth
Investments in Affiliates
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Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
463 Seventh Avenue
New York, NY 10018
New York, NY 10018
Phone Number
(212) 312-3000
NAIC Number
12815
Website
Largest Affiliates
No affiliate information available.
