Major Rating Factors:
History of adequate reserve strength (6.7 on a scale of 0 to 10) as reserves have been consistently at an acceptable level. Good overall results on stability tests (6.1) despite negative cash flow from operations for 2024. Stability strengths include good operational trends and excellent risk diversification. Fair profitability index (3.3) with operating losses during 2020, 2022 and 2023. Average return on equity over the last five years has been poor at -4.3%.
Other Rating Factors:
Strong long-term capitalization index (9.2) based on excellent current risk adjusted capital (severe and moderate loss scenarios), despite some fluctuation in capital levels. Excellent liquidity (7.0) with ample operational cash flow and liquid investments.
Stability Factors:
F - Negative cash flow.
T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business:
Personal/comm auto (39.1%), comm multi (31.8%), work comp (15.5%), homeowners (6.0%), fire (0.2%), product liab. (0.1%), other (7.2%)
Licensed in:
AZ, IA, IL, IN, MI, NV, OH, UT, WI
Principal Investments:
Investment grade bonds (77.8%), common stock (15.3%), non investment grade bonds (2.6%), preferred stock (0.3%), cash (0.1%), other (4.0%)
Corporate Info
Group Affiliation
Farmers Automobile Ins Association
Investment Rating
--
Company Address
2505 Court Street
Pekin, IL 61558
Pekin, IL 61558
Phone Number
(309) 346-1161
NAIC Number
24228
Website
Largest Affiliates