D
HEREFORD 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
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Major Rating Factors: Poor long-term capitalization index (2.8 on a scale of 0 to 10) based on weak current risk adjusted capital (moderate loss scenario). A history of deficient reserves (1.4). Underreserving can have an adverse impact on capital and profits. In four of the last five years reserves (two year development) were between 39% and 52% deficient.
Other Rating Factors: Weak overall results on stability tests (1.5) including weak results on operational trends and weak risk adjusted capital in prior years. Good overall profitability index (5.8). Good expense controls. Return on equity has been fair, averaging 9.2% over the past five years. Good liquidity (6.6) with sufficient resources (cash flows and marketable investments) to handle a spike in claims.
Stability Factors: R - Concerns about the financial strength of its reinsurers. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Personal/comm auto (89.9%), work comp (10.1%)
Licensed in: NJ, NY
Principal Investments: Investment grade bonds (89.2%), cash (6.0%), common stock (1.4%), non investment grade bonds (0.6%), preferred stock (0.2%), other (2.7%)
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
Hereford Holding Co Inc
Investment Rating
--
Company Address
36-01 43rd Avenue
Long Island City, NY 11101
Phone Number
(718) 361-9191x7113
NAIC Number
24309
Largest Affiliates
No affiliate information available.
Weiss Ratings