B
Hanover Casualty Co
Rating Date
June 2025
NAIC
Classification
Risk Adjusted
Capital Ratio #1
Risk Adjusted
Capital Ratio #2
Loss
Ratio
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Total
Assets
Capital
Net
Premiums
Net
Income
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Major Rating Factors: Good profitability index (4.9 on a scale of 0 to 10) with operating gains in each of the last five years. Excellent expense controls. Return on equity has been low, averaging 2.1% over the past five years. Fair reserve development (3.6) as reserves have generally been sufficient to cover claims. Fair overall results on stability tests (3.9) including excessive premium growth. Strengths include potentially strong support from affiliation with The Hanover Ins Group Inc.
Other Rating Factors: 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. Excellent liquidity (7.0) with ample operational cash flow and liquid investments.
Stability Factors: D - Limited diversification of general business, policy, and/or investment risk.
Principal Lines of Business: Comm multi (87.7%), work comp (4.4%), personal/comm auto (1.4%), product liab. (0.8%), fire (0.4%), other (5.3%)
Licensed in: TX
Principal Investments: Investment grade bonds (98.2%), other (1.8%)
Ratios
Premium to Surplus
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Reserve to Surplus
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1-Year Reserve Development
2-Year Reserve Development
Expense Ratio
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Cash From Underwriting
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Net Premium Growth
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Investments in Affiliates
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Corporate Info
Group Affiliation
The Hanover Ins Group Inc
Investment Rating
THG
Company Address
440 Lincoln Street
Worcester, MA 01653
Phone Number
(508) 853-7200
NAIC Number
41602
Largest Affiliates
B
Worcester, MA - P&C
B
Worcester, MA - P&C
B
B
B
Worcester, MA - P&C