Major Rating Factors:
Fair reserve development (4.1 on a scale of 0 to 10) as reserves have generally been sufficient to cover claims. Vulnerable liquidity (1.9) as a spike in claims may stretch capacity. Good profitability index (4.9) with modest operating losses during the first nine months of 2024. Excellent expense controls. Return on equity has been low, averaging 3.2% over the past five years.
Other Rating Factors:
Good overall results on stability tests (6.9) despite excessive premium growth and negative cash flow from operations for 2023. Other stability subfactors include potentially strong support from affiliation with Sentry Mutual Holding Co, good operational trends and excellent risk diversification. 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.
Stability Factors:
F - Negative cash flow.
G - Fast asset or premium growth.
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 (100.0%)
Licensed in:
All states except MI
Principal Investments:
Investment grade bonds (94.3%), cash (0.2%), other (5.5%)
Corporate Info
Group Affiliation
Sentry Mutual Holding Co
Investment Rating
--
Company Address
2636 Elm Hill Pike
Nashville, TN 37214
Nashville, TN 37214
Phone Number
(615) 242-1961
NAIC Number
37648
Website
Largest Affiliates