Major Rating Factors:
Good profitability index (4.9 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 low, averaging 1.9% over the past five years. Good overall results on stability tests (5.8) despite excessive premium growth. Other stability subfactors include potentially strong support from affiliation with The Hanover Ins Group Inc, good operational trends and excellent risk diversification. Fair reserve development (3.6) as reserves have generally been sufficient to cover claims.
Other Rating Factors:
Strong long-term capitalization index (10.0) based on excellent current risk adjusted capital (severe and moderate loss scenarios), despite some fluctuation in capital levels. Excellent liquidity (7.0) with ample operational cash flow and liquid investments.
Stability Factors:
D - Limited diversification of general business, policy, and/or investment risk.
Principal Lines of Business:
Med mal (97.8%), product liab. (0.2%), other (2.0%)
Licensed in:
All states
Principal Investments:
Investment grade bonds (98.5%), other (1.5%)
Corporate Info
Group Affiliation
The Hanover Ins Group Inc
Investment Rating
Company Address
440 Lincoln Street
Worcester, MA 01653
Worcester, MA 01653
Phone Number
(508) 853-7200
NAIC Number
12260
Website
Largest Affiliates