Major Rating Factors:
Fair profitability index (3.3 on a scale of 0 to 10) with operating losses during 2022, 2023 and 2024. History of adequate reserve strength (6.0) as reserves have been consistently at an acceptable level. Good liquidity (6.6) with sufficient resources (cash flows and marketable investments) to handle a spike in claims.
Other Rating Factors:
Good overall results on stability tests (6.5) despite excessive premium growth and lack of operational experience. Stability strengths include good operational trends and excellent risk diversification. Strong long-term capitalization index (8.6) based on excellent current risk adjusted capital (severe and moderate loss scenarios). Moreover, capital has steadily grown over the last five years.
Stability Factors:
D - Limited diversification of general business, policy, and/or investment risk.
E - Lack of operating experience.
G - Fast asset or premium growth.
Principal Lines of Business:
Homeowners (100.0%)
Licensed in:
LA, TX
Principal Investments:
Investment grade bonds (86.7%), non investment grade bonds (0.2%), other (13.1%)
Corporate Info
Group Affiliation
Novel Financial Holdings LLC
Investment Rating
--
Company Address
Three Chasewood
Houston, TX 77070
Houston, TX 77070
Phone Number
(850) 364-1126
NAIC Number
17363
Website
Largest Affiliates