AM Best Rating Changes for Insurance Companies
Insurer rating company AM Best rates providers on a scale that ranges from A (excellent) to B (good) to C (weak) to D (poor) based on a number of criteria.
The two main rating areas are the current financial strength of a company, including its ability to pay insurance claims, and the strength of the company's financial instruments, such as the notes and bonds it issues. A rating of B- or lower from AM Best indicates that the company under examination is considered financially vulnerable.
AM Best recently released notes on ratings changes for some of the country's top insurers. Among those which had ratings changes in the first few months of 2009 are the following:
Insurance Carriers with Ratings and Outlook Upgrades
- American Freedom Insurance Company upgraded to BB+ due to the company's "solid risk-adjusted capitalization, modest underwriting leverage and favorable loss reserve development trends."
- Georgia Casualty & Surety Company was upgraded from B+ to A- after acquisition by the Columbia Mutual Insurance Company.
- Central Co-Operative Insurance Co's BB+ rating has been affirmed.
- The financial strength rating of Homesteaders Life Co has been affirmed at B++ and the company's outlook has been amended to positive.
Request an insurance quote - no matter which type. It's easy, fast, and free >>
Insurance Providers with Ratings and Outlook Downgrades
- Lyndon Property Insurance Company retains a rating of A- but AM Best has revised its outlook rating from stable to negative due to the insurer's discontinued business lines.
- American Family Life Insurance Co retains an A rating but the company's outlook is downgraded from stable to negative due to ongoing financial losses.
- The A- rating of BancInsure Inc is under review due to a surplus decline of 36%.
- The outlook for Battle Creek Mutual Insurance Co has been revised to negative (from stable) but the company has retained a rating of B+.
- The financial strength rating of Delta Dental of California has been downgraded from A- to B++ and outlook has been changed from stable to negative.
- The outlook of Wilton Reinsurance Bermuda Ltd., Wilton Reassurance Co. and Wilton Reassurance Life Co. of New York has been revised from positive to stable, reflecting the economic turmoil that AM Best believes will limit future growth.
Choose the insurance quote you want to request today. Start here! >>
http://www.insurancejournal.com/news/national/2009/04/17/99729.htm
http://www.insurancenetworking.com/news/insurance_ratings_am_best_underwriting-12060-1.html