Major Rating Factors:
Poor long-term capitalization index (0.4 on a scale of 0 to 10) based on weak current risk adjusted capital (severe and moderate loss scenarios), although results have slipped from the excellent range over the last two years. Weak profitability index (1.3) with operating losses during 2020, 2022, 2023 and 2024. Average return on equity over the last five years has been poor at -24.5%. Vulnerable liquidity (1.1) as a spike in claims may stretch capacity.
Other Rating Factors:
Weak overall results on stability tests (1.2) including weak results on operational trends, weak risk diversification and negative cash flow from operations for 2024. The largest net exposure for one risk is excessive at 6.3% of capital. Fair reserve development (4.2) as reserves have generally been sufficient to cover claims. In 2024 the one year reserve development was 68.8% deficient.
Stability Factors:
C - Past results on our Risk-Adjusted Capital tests.
D - Limited diversification of general business, policy, and/or investment risk.
F - Negative cash flow.
G - Fast asset or premium growth.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (100.0%)
Licensed in:
AR, AZ, ID, IN, KS, MT, ND, NV, OK, SD, UT, WI
Principal Investments:
Common stock (40.4%), preferred stock (29.9%), investment grade bonds (27.9%), non investment grade bonds (0.8%), other (1.0%)
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
2118 N. Tyler Road
Wichita, KS 67212
Wichita, KS 67212
Phone Number
(316) 794-2200
NAIC Number
26697
Website
Largest Affiliates
No affiliate information available.