Major Rating Factors:
Weak overall results on stability tests (1.3 on a scale of 0 to 10) including weak risk diversification, weak results on operational trends and negative cash flow from operations for 2024. The largest net exposure for one risk is high at 4.2% of capital. Fair profitability index (3.5) with operating losses during 2021 and 2024. Return on equity has been fair, averaging 10.1% over the past five years. 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.
Other Rating Factors:
Ample reserve history (9.3) that helps to protect the company against sharp claims increases. 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.
F - Negative cash flow.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (100.0%)
Licensed in:
AZ, NM
Principal Investments:
Investment grade bonds (57.9%), cash (31.6%), common stock (10.5%)
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
311 East Nizhoni Boulevard
Gallup, NM 87301
Gallup, NM 87301
Phone Number
(505) 397-5008
NAIC Number
27499
Largest Affiliates
No affiliate information available.