Major Rating Factors:
Fair reserve development (3.6 on a scale of 0 to 10) as reserves have generally been sufficient to cover claims. Good overall profitability index (5.3) with operating gains in each of the last five years. Excellent expense controls. Return on equity has been low, averaging 1.8% over the past five years. Good liquidity (5.6) with sufficient resources (cash flows and marketable investments) to handle a spike in claims.
Other Rating Factors:
Good overall results on stability tests (6.5) despite excessive premium growth. Stability strengths include good operational trends and excellent risk diversification. 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.
Stability Factors:
G - Fast asset or premium growth.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Homeowners (86.1%), comm multi (1.5%), med mal (1.1%), fire (0.3%), personal/comm auto (0.1%), other (10.9%)
Licensed in:
All states except AZ, CO, CT, FL, HI, IL, NE, NM, NV, NY, OK, TX, UT, WY
Principal Investments:
Investment grade bonds (95.8%), other (4.2%)
Corporate Info
Group Affiliation
American Family Ins Group
Investment Rating
--
Company Address
290 Congress Street
Boston, MA 02210
Boston, MA 02210
Phone Number
(617) 832-1300
NAIC Number
13927
Website
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