Major Rating Factors: Weak overall results on stability tests (1.6 on a scale of 0 to 10) including negative cash flow from operations for 2021. The largest net exposure for one risk is excessive at 15.2% of capital.
Other Rating Factors: Fair profitability index (4.9) with operating losses during 2017. Return on equity has been low, averaging 1.5% over the past five years. 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. Superior liquidity (9.0) with ample operational cash flow and liquid investments.
Stability Factors: D - Limited diversification of general business, policy, and/or investment risk. F - Negative cash flow. G - Fast asset or premium growth. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Personal/comm auto (65.5%), homeowners (30.8%), fire (1.7%), other (1.9%)
Licensed in: AK, AZ, CA, CO, CT, DC, DE, ID, IN, KS, KY, MD, MT, NV, NJ, NY, OH, OK, OR, PA, SD, UT, VA, WA, WV, WY
Principal Investments: Investment grade bonds (93.0%), common stock (0.2%), other (6.9%)