Major Rating Factors: Strong long-term capitalization index (9.2 on a scale of 0 to 10) based on excellent current risk adjusted capital (severe and moderate loss scenarios). Furthermore, this high level of risk adjusted capital has been consistently maintained in previous years. Ample reserve history (7.4) that can protect against increases in claims costs.
Other Rating Factors: Excellent liquidity (8.0) with ample operational cash flow and liquid investments. Good overall results on stability tests (6.5) despite weak results on operational trends and negative cash flow from operations for 2021. Fair profitability index (3.6) with operating losses during 2018, 2019, 2020 and 2021.
Stability Factors: F - Negative cash flow. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Comm multi (100.0%)
Licensed in: DE
Principal Investments: Common stock (52.4%), investment grade bonds (27.5%), cash (2.6%), non investment grade bonds (0.4%), preferred stock (0.1%), other (17.0%)