Major Rating Factors:
Fair reserve development (4.6 on a scale of 0 to 10) as reserves have generally been sufficient to cover claims. Fair overall results on stability tests (4.6) including weak results on operational trends.
Other Rating Factors:
Strong long-term capitalization index (10.0) based on excellent current risk adjusted capital (severe and moderate loss scenarios). Moreover, capital levels have been consistent in recent years. Excellent profitability (7.4) with operating gains in each of the last five years. Superior liquidity (9.9) with ample operational cash flow and liquid investments.
Stability Factors:
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Other (100%)
Licensed in:
All states except CA, CT, KY, ME, NH, PR
Principal Investments:
Investment grade bonds (95.7%), cash (0.4%), other (3.8%)