Major Rating Factors:
Poor long-term capitalization index (2.3 on a scale of 0 to 10) based on weak current risk adjusted capital (severe loss scenarios). A history of deficient reserves (3.0). Underreserving can have an adverse impact on capital and profits. In 2023 and 2022 the two year reserve development was 28.9% and 64.3% deficient respectively. Fair profitability index (3.0) with operating losses during 2020, 2021 and 2022. Average return on equity over the last five years has been poor at -13.9%.
Other Rating Factors:
Good overall results on stability tests (6.7) despite weak risk adjusted capital in prior years. Stability strengths include good operational trends and excellent risk diversification. The largest net exposure for one risk is conservative at 1.6% of capital. Superior liquidity (9.1) with ample operational cash flow and liquid investments.
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:
Homeowners (100.0%)
Licensed in:
All states except AL, CA, CO, DC, DE, HI, ID, LA, ME, MN, NH, NY, OR, TN, TX, VA, VT, WI, WY
Principal Investments:
Investment grade bonds (79.5%), cash (15.3%), common stock (0.6%), other (4.7%)
Corporate Info
Group Affiliation
HCI Group Inc
Investment Rating
Company Address
1000 Century Park Drive
Tampa, FL 33607
Tampa, FL 33607
Phone Number
(813) 405-3661
NAIC Number
15885
Website
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