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 profitability index (4.9) with operating gains in each of the last five years. Excellent expense controls. Return on equity has been low, averaging 2.7% over the past five years. Good overall results on stability tests (6.4) despite excessive premium growth. Stability strengths include good operational trends and excellent risk diversification.
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 (7.6) with ample operational cash flow and liquid investments.
Stability Factors:
Principal Lines of Business:
Comm multi (39.0%), work comp (32.9%), personal/comm auto (16.7%), product liab. (0.9%), fire (0.7%), other (9.8%)
Licensed in:
All states
Principal Investments:
Investment grade bonds (98.1%), cash (1.8%)
Corporate Info
Group Affiliation
Loews Corporation
Investment Rating
Company Address
151 North Franklin Street
Chicago, IL 60606
Chicago, IL 60606
Phone Number
(312) 822-5000
NAIC Number
20494
Website
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