Major Rating Factors:
Fair reserve development (4.0 on a scale of 0 to 10) as the level of reserves has at times been insufficient to cover claims. In 2022 and 2023 the two year reserve development was 19.0% and 24.6% deficient respectively. Fair profitability index (4.3) with operating losses during 2020, 2021, 2022 and 2023. Average return on equity over the last five years has been poor at -0.4%. Fair overall results on stability tests (4.5) including excessive premium growth, negative cash flow from operations for 2024 and fair risk adjusted capital in prior years.
Other Rating Factors:
Good long-term capitalization index (5.8) based on good current risk adjusted capital (severe loss scenarios) reflecting some improvement over results in 2022. 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.
R - Concerns about the financial strength of its reinsurers.
Principal Lines of Business:
Reinsurance (100.0%)
Licensed in:
All states
Principal Investments:
Investment grade bonds (95.1%), other (4.9%)
Corporate Info
Group Affiliation
Zurich Ins Group AG
Investment Rating
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Company Address
Four World Trade Center
New York, NY 10007
New York, NY 10007
Phone Number
(212) 859-2640
NAIC Number
34649
Website
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Largest Affiliates