Major Rating Factors:
Weak overall results on stability tests (2.0 on a scale of 0 to 10) including weak risk diversification. Fair reserve development (3.7) as reserves have generally been sufficient to cover claims. Fair profitability index (4.6) with operating losses during 2020, 2021, 2022 and 2023. Average return on equity over the last five years has been poor at -2.2%.
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.
R - Concerns about the financial strength of its reinsurers.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Fire (78.6%), other (21.4%)
Licensed in:
(No states)
Principal Investments:
Investment grade bonds (86.9%), cash (13.1%)
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
147 North Pitt Street
Mercer, PA 16137
Mercer, PA 16137
Phone Number
(724) 269-7227
NAIC Number
17701
Website
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Largest Affiliates
No affiliate information available.