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 1.2% over the past five years. Weak overall results on stability tests (2.8) including excessive premium growth, weak results on operational trends and negative cash flow from operations for 2024. The largest net exposure for one risk is conservative at 1.2% of capital.
Other Rating Factors:
Strong long-term capitalization index (8.7) based on excellent current risk adjusted capital (severe and moderate loss scenarios). Moreover, capital levels have been consistent in recent years. Excellent liquidity (7.0) with ample operational cash flow and liquid investments.
Stability Factors:
A - Financial problems or weaknesses of a parent or affiliate company.
D - Limited diversification of general business, policy, and/or investment risk.
F - Negative cash flow.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (100.0%)
Licensed in:
AR, AZ, CO, CT, GA, IA, IL, IN, MN, MO, MS, NC, NV, TN, TX, UT, VA, WI
Principal Investments:
Investment grade bonds (97.7%), cash (0.8%), other (1.5%)
Corporate Info
Group Affiliation
Premier Holdings LLC
Investment Rating
--
Company Address
2 Maryland Farms
Brentwood, TN 37027
Brentwood, TN 37027
Phone Number
(800) 422-0794
NAIC Number
22454
Website
Largest Affiliates