Major Rating Factors:
Poor long-term capitalization index (2.4 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 fair range over the last two years. Weak profitability index (0.6) with operating losses during 2022, 2023 and 2024. Average return on equity over the last five years has been poor at -31.0%. Weak overall results on stability tests (2.6) including weak risk adjusted capital in prior years and negative cash flow from operations for 2024. The largest net exposure for one risk is excessive at 12.2% of capital.
Other Rating Factors:
A history of deficient reserves (3.0) that places pressure on both capital and profits. In 2023 and 2024 the one year reserve development was 21.7% and 34.0% deficient respectively. Superior liquidity (9.9) with ample operational cash flow and liquid investments.
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.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (100.0%)
Licensed in:
DE, IN, NJ, OH, PA
Principal Investments:
Investment grade bonds (73.5%), cash (23.9%), non investment grade bonds (1.2%), other (1.4%)
Corporate Info
Group Affiliation
Mutual Capital Group Inc
Investment Rating
--
Company Address
1767 Sentry Parkway, West
Blue Bell, PA 19422
Blue Bell, PA 19422
Phone Number
(215) 956-9399
NAIC Number
10480
Largest Affiliates