Major Rating Factors:
Excellent capitalization index (8.3 on a scale of 0 to 10) based on good current risk-adjusted capital (severe loss scenario). However, risk-adjusted capital has reached as low as the weak level during recent years. Excellent quality investment portfolio (9.9) containing no exposure to mortgages, junk bonds, or unaffiliated stocks. Excellent liquidity (8.8) with ample operational cash flow and liquid investments.
Other Rating Factors:
Weak profitability index (0.9) with operating losses during 2020 and 2021. Weak overall results on stability tests (0.0) in spite of healthy premium and capital growth during 2021. Rating is significantly influenced by the strong financial results of Blue Cross and Blue Shield of North Carolina.
Principal Lines of Business:
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Licensed in:
NC
Principal Enrollment Breakdown:
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