Major Rating Factors:
Poor long-term capitalization index (0.1 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 (0.3) with operating losses during 2022, 2023 and 2024. Vulnerable liquidity (0.0) as a spike in claims may stretch capacity.
Other Rating Factors:
Weak overall results on stability tests (1.8) 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 acceptable at 2.6% of capital. Fair reserve development (3.7) as reserves have generally been sufficient to cover claims. In 2024 the one year reserve development was 30.8% 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.
L - Past results on our liquidity tests.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Homeowners (80.5%), fire (3.0%), other (16.5%)
Licensed in:
OK
Principal Investments:
Investment grade bonds (66.4%), common stock (22.6%), cash (5.4%), non investment grade bonds (4.4%), preferred stock (0.9%), real estate (0.3%)
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
217 West Oklahoma Avenue
Okarche, OK 73762
Okarche, OK 73762
Phone Number
(405) 263-7226
NAIC Number
28738
Website
Largest Affiliates
No affiliate information available.