Major Rating Factors:
Fair overall results on stability tests (3.5 on a scale of 0 to 10) including. Good overall profitability index (5.2) despite operating losses during 2022. Return on equity has been low, averaging 3.0% over the past five years. Strong long-term capitalization index (8.4) based on excellent current risk adjusted capital (severe and moderate loss scenarios), despite some fluctuation in capital levels.
Other Rating Factors:
Ample reserve history (9.3) that helps to protect the company against sharp claims increases. Excellent liquidity (8.4) with ample operational cash flow and liquid investments.
Stability Factors:
D - Limited diversification of general business, policy, and/or investment risk.
R - Concerns about the financial strength of its reinsurers.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Homeowners (38.1%), personal/comm auto (33.4%), farmowners (21.8%), fire (2.0%), other (4.7%)
Licensed in:
ND, SD
Principal Investments:
Investment grade bonds (70.4%), cash (4.7%), real estate (2.8%), other (22.2%)
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
207 J Avenue
Eureka, SD 57437
Eureka, SD 57437
Phone Number
(800) 299-6943
NAIC Number
14885
Website
Largest Affiliates
No affiliate information available.