Published: March 19, 2010
A.M. Best Upgrades Issuer Credit Ratings and Revises Outlook of American Capital Assurance Group and Its Members
OLDWICK, N.J. - (BUSINESS WIRE) - A.M. Best Co. has upgraded the issuer credit ratings (ICR) to
"bbb+" from "bbb" , revised the outlook to positive from stable and
affirmed the financial strength rating (FSR) of B++ (Good) of American
Capital Assurance Group (ACA) (St. Petersburg, FL) and its members.
(See below for a detailed listing of the companies.)
The ratings reflect ACA's profitable underwriting performance in the
Florida small commercial and homeowners markets, as well as its solid
risk-adjusted capitalization resulting from prudent underwriting, a
tempered direct premiums written trend in recent years and a sound
overall risk management focus. As a result, surplus growth has occurred
in recent years, complemented by support from ACA's parent company. The
positive outlook contemplates that operating performance and
risk-adjusted capitalization will continue to trend favorably in the
near and long term.
These positive rating factors are somewhat offset by ACA's limited
product offerings and current geographic concentration of risk in
Florida, with subsequent exposure to weather-related events and
significant dependence on reinsurance. In order to mitigate this
concern, the group continues to maintain conservative catastrophe
reinsurance coverage.
The ICRs have been upgraded to "bbb+" from "bbb" and the FSR of B++
(Good) has been affirmed for American Capital Assurance Group and
its following members:
-
American Capital Assurance Corporation
-
ACA Home Insurance Corp.
For Best's Credit Ratings, an overview of the rating process and rating
methodologies, please visit www.ambest.com/ratings.
The principal methodologies used in determining these ratings, including
any additional methodologies and factors that may have been considered,
can be found at www.ambest.com/ratings/methodology.
Founded in 1899, A.M. Best Company is a global full-service credit
rating organization dedicated to serving the financial and health care
service industries, including insurance companies, banks, hospitals and
health care system providers. For more information, visit www.ambest.com.
A.M. Best
Analysts:
Raymond Thomson,
908-439-2200, ext. 5621
raymond.thomson@ambest.com
Jeffrey
Mango, CPA, 908-439-2200, ext. 5204
jeffrey.mango@ambest.com
or
Public
Relations:
Rachelle Morrow, 908-439-2200, ext. 5378
rachelle.morrow@ambest.com
Jim
Peavy, 908-439-2200, ext. 5644
james.peavy@ambest.com
Copyright © 2012, Business Wire, Inc., All rights reserved.
Copyright © 2012, NewsBlaze,
Daily News
Search News
