Major Rating Factors: Fair reserve development (4.6 on a scale of 0 to 10) as reserves have generally been sufficient to cover claims. Fair profitability index (3.6) with operating losses during 2017, 2020 and the first six months of 2022. Average return on equity over the last five years has been poor at -0.8%.
Other Rating Factors: Fair liquidity (4.9) as cash resources may not be adequate to cover a spike in claims. Fair overall results on stability tests (4.0). Strong long-term capitalization index (7.4) based on excellent current risk adjusted capital (severe and moderate loss scenarios), despite some fluctuation in capital levels.
Stability Factors: L - Past results on our liquidity tests. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Homeowners (50.8%), personal/comm auto (47.7%), other (1.5%)
Licensed in: FL
Principal Investments: Investment grade bonds (72.3%), common stock (10.8%), other (16.9%)