C
Drivers Edge Ins Co
Rating Date
April 2025
NAIC
Classification
Risk Adjusted
Capital Ratio #1
Risk Adjusted
Capital Ratio #2
Loss
Ratio
Total
Assets
Capital
Net
Premiums
Net
Income
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Major Rating Factors: Weak profitability index (2.2 on a scale of 0 to 10) with operating losses during 2022, 2023 and 2024. Vulnerable liquidity (2.0) as a spike in claims may stretch capacity. Weak overall results on stability tests (1.9) including weak results on operational trends, weak risk diversification and negative cash flow from operations for 2024. The largest net exposure for one risk is conservative at 1.1% of capital.
Other Rating Factors: History of adequate reserve strength (6.2) as reserves have been consistently at an acceptable level. Strong long-term capitalization index (8.3) based on excellent current risk adjusted capital (severe and moderate loss scenarios), despite some fluctuation in capital levels.
Stability Factors: D - Limited diversification of general business, policy, and/or investment risk. F - Negative cash flow. L - Past results on our liquidity tests. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Personal/comm auto (66.2%), work comp (27.3%), other (6.5%)
Licensed in: All states except CA, FL, HI, ID, IL, KS, KY, LA, MN, NJ, NY, VA, WI
Principal Investments: Investment grade bonds (53.1%), cash (46.9%)
Ratios
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1-Year Reserve Development
2-Year Reserve Development
Expense Ratio
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Investments in Affiliates
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Corporate Info
Group Affiliation
None
Investment Rating
Company Address
121 Drivers Edge
Traverse City, MI 49684
Phone Number
(877) 922-9701
NAIC Number
23795
Largest Affiliates
No affiliate information available.