Major Rating Factors:
Good overall profitability index (6.9 on a scale of 0 to 10) with operating gains in each of the last five years. Excellent expense controls. Return on equity has been fair, averaging 7.8% over the past five years. Good overall results on stability tests (5.0) despite excessive premium growth and weak results on operational trends. Strong long-term capitalization index (10.0) based on excellent current risk adjusted capital (severe and moderate loss scenarios). Moreover, capital levels have been consistent in recent years.
Other Rating Factors:
Ample reserve history (7.0) that can protect against increases in claims costs. Excellent liquidity (7.5) with ample operational cash flow and liquid investments.
Stability Factors:
A - Financial problems or weaknesses of a parent or affiliate company.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Homeowners (41.9%), personal/comm auto (23.7%), fire (15.8%), other (18.6%)
Licensed in:
All states
Principal Investments:
Investment grade bonds (93.9%), common stock (2.6%), other (3.5%)
Corporate Info
Group Affiliation
Farmers Ins Group of Companies
Investment Rating
--
Company Address
5600 Beech Tree Lane
Caledonia, MI 49316
Caledonia, MI 49316
Phone Number
(616) 942-3000
NAIC Number
11185
Website
Largest Affiliates