Major Rating Factors:
Weak profitability index (1.1 on a scale of 0 to 10) with operating losses during 2021, 2022, 2023 and 2024. A history of deficient reserves (2.9). Underreserving can have an adverse impact on capital and profits. In 2023 and 2024 the two year reserve development was 18.3% and 22.2% deficient respectively. Good overall results on stability tests (5.9) despite weak risk adjusted capital in prior years. Other stability subfactors include potentially strong support from affiliation with Auto Club Exchange Group, good operational trends and excellent risk diversification.
Other Rating Factors:
Strong long-term capitalization index (10.0) based on excellent current risk adjusted capital (severe and moderate loss scenarios) reflecting significant improvement over results in 2023. Excellent liquidity (8.6) with ample operational cash flow and liquid investments.
Stability Factors:
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (92.7%), homeowners (6.7%), fire (0.3%), other (0.2%)
Licensed in:
CA, NV, OR
Principal Investments:
Investment grade bonds (78.7%), cash (18.7%), other (2.6%)
Corporate Info
Group Affiliation
Auto Club Exchange Group
Investment Rating
--
Company Address
8954 Rio San Diego Drive
San Diego, CA 92108
San Diego, CA 92108
Phone Number
(858) 874-5339
NAIC Number
10683
Website
Largest Affiliates