Major Rating Factors: Weak overall results on stability tests (2.4 on a scale of 0 to 10). The largest net exposure for one risk is acceptable at 2.8% of capital. Good overall profitability index (6.1) despite operating losses during 2017 and 2018. Return on equity has been fair, averaging 9.3% over the past five years.
Other Rating Factors: Good liquidity (6.8) with sufficient resources (cash flows and marketable investments) to handle a spike in claims. Strong long-term capitalization index (8.6) based on excellent current risk adjusted capital (severe and moderate loss scenarios), despite some fluctuation in capital levels. Ample reserve history (7.0) that can protect against increases in claims costs.
Stability Factors: D - Limited diversification of general business, policy, and/or investment risk. G - Fast asset or premium growth. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Personal/comm auto (85.1%), acc & health (14.9%)
Licensed in: AZ, AR, GA, IL, IN, MO, NE, OK, TX
Principal Investments: Investment grade bonds (86.0%), common stock (10.7%), cash (1.3%), non investment grade bonds (0.7%), other (1.3%)