D
PALOMAR SPECIALTY INS CO
Rating Date
December 2023
NAIC
Classification
Risk Adjusted
Capital Ratio #1
Risk Adjusted
Capital Ratio #2
Loss
Ratio
Total
Assets
Capital
Net
Premiums
Net
Income
Loading...
Major Rating Factors: Weak overall results on stability tests (2.6 on a scale of 0 to 10) including weak risk adjusted capital in prior years and weak results on operational trends. Strengths include potentially strong support from affiliation with Cottage Ins Holdings Inc. The largest net exposure for one risk is acceptable at 2.2% of capital. Poor long-term capitalization index (0.8) based on weak current risk adjusted capital.
Other Rating Factors: Vulnerable liquidity (0.6) as a spike in claims may stretch capacity. History of adequate reserve strength (6.0) as reserves have been consistently at an acceptable level. Good overall profitability index (5.5) despite operating losses during 2019. Return on equity has been good over the last five years, averaging 11.3%.
Stability Factors: C - Past results on our Risk-Adjusted Capital tests. G - Fast asset or premium growth. L - Past results on our liquidity tests. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Work comp (11.6%), homeowners (11.0%), fire (8.7%), personal/comm auto (2.7%), other (66.0%)
Licensed in: All states except DC, ID, ME, MA, MN, MT, NE, NH, NY, ND, VT, WV, WI, WY, PR
Principal Investments: Investment grade bonds (66.9%), cash (8.3%), common stock (4.5%), non investment grade bonds (1.4%), other (19.0%)
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
Corporate Info
Group Affiliation
Cottage Ins Holdings Inc
Investment Rating
Company Address
1050 Sw 6th Avenue Suite 1100
Portland, OR 97204
Phone Number
(619) 567-5246
NAIC Number
20338
Largest Affiliates
Weiss Ratings