Major Rating Factors:
Fair long-term capitalization (3.8 on a scale of 0 to 10) based on fair current risk adjusted capital (moderate loss scenario), although results have slipped from the good range over the last two years. Fair overall results on stability tests (4.5) including weak results on operational trends, excessive premium growth and fair risk adjusted capital in prior years.
Other Rating Factors:
History of adequate reserve strength (6.3) as reserves have been consistently at an acceptable level. Good overall profitability index (5.6) despite operating losses during 2020. Return on equity has been low, averaging 1.7% over the past five years. Good liquidity (6.5) with sufficient resources (cash flows and marketable investments) to handle a spike in claims.
Stability Factors:
C - Past results on our Risk-Adjusted Capital tests.
G - Fast asset or premium growth.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (29.2%), fire (6.3%), med mal (1.6%), product liab. (0.6%), other (62.4%)
Licensed in:
All states except PR
Principal Investments:
Common stock (39.7%), investment grade bonds (39.1%), non investment grade bonds (3.6%), cash (1.8%), preferred stock (1.1%), other (14.7%)
Corporate Info
Group Affiliation
Houston International Ins Group Ltd
Investment Rating
--
Company Address
800 Gessner Suite 600
Houston, TX 77024
Houston, TX 77024
Phone Number
(713) 935-4864
NAIC Number
12936
Website
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