Major Rating Factors:
Fair profitability index (4.6 on a scale of 0 to 10) with small operating losses during 2020. A history of deficient reserves (2.6). Underreserving can have an adverse impact on capital and profits. Good overall results on stability tests (6.0) despite excessive premium growth and negative cash flow from operations for 2024. Stability strengths include good operational trends and excellent risk diversification.
Other Rating Factors:
Strong long-term capitalization index (10.0) based on excellent current risk adjusted capital (severe and moderate loss scenarios), despite some fluctuation in capital levels. Superior liquidity (10.0) with ample operational cash flow and liquid investments.
Stability Factors:
D - Limited diversification of general business, policy, and/or investment risk.
F - Negative cash flow.
Principal Lines of Business:
Personal/comm auto (100.0%)
Licensed in:
CA
Principal Investments:
Investment grade bonds (89.8%), cash (1.4%), other (8.8%)
Corporate Info
Group Affiliation
Mercury General Corporation
Investment Rating
Company Address
555 West Imperial Highway
Brea, CA 92821
Brea, CA 92821
Phone Number
(800) 697-6117
NAIC Number
13250
Website
Largest Affiliates