A.M. Best Places North East Insurance B- Rating Under Review With Positive Implications.OLDWICK, N.J.--(BUSINESS WIRE)--March 18, 1999--A.M. Best Co. today placed the B- (Fair) rating of North East Insurance Group, Scarborough Scarborough, town (1991 pop. 36,665) and district, North Yorkshire, NE England, on the North Sea. The town, primarily a resort, is also an important conference and retirement center. The area was recognized at an early time for its strategic location. , Me., under review with positive implications. The action follows the recent announcement that Motor Club of America America [for Amerigo Vespucci], the lands of the Western Hemisphere—North America, Central (or Middle) America, and South America. The world map published in 1507 by Martin Waldseemüller is the first known cartographic use of the name. , Paramus, N.J., has signed a definitive agreement to acquire North East Insurance Co. through a merger. The rating is based on the consolidation of North East Insurance Co. and its wholly-owned subsidiary, American Colonial Insurance Co. Consummation CONSUMMATION. The completion of a thing; as the consummation of marriage; (q.v.) the consummation of a contract, and the like. 2. A contract is said to be consummated, when everything to be done in relation to it, has been accomplished. of the merger is subject to the satisfaction of certain conditions set forth in the agreement, including approval from shareholders and authorization The right or permission to use a system resource; the process of granting access. See access control. by state insurance regulators. Both Motor Club and North East expect these conditions to be satisfied in due course. The under review status and positive implications reflect North East's opportunity to enhance its profitability and prospects by diversifying product offerings and reducing expenses. The merger also will serve to strengthen North East's financial position and, consequently, its ability to compete in Maine Maine, ship Maine, U.S. battleship destroyed (Feb. 15, 1898) in Havana harbor by an explosion that killed 260 men. The incident helped precipitate the Spanish-American War (Apr., 1898). Commanded by Capt. Charles Sigsbee, the ship had been sent (Jan. and the nearby region for both personal and commercial lines of business. Motor Club is committed to maintaining North East as an independent operation with a Maine presence. The transaction offers Motor Club an excellent opportunity to begin the execution of its strategy to diversify diversify To acquire a variety of assets that do not tend to change in value at the same time. To diversify a securities portfolio is to purchase different types of securities in different companies in unrelated industries. outside New Jersey. The rating will remain under review pending the close of the transaction and A.M. Best's continued discussions with management. The E (Under Regulatory Supervision) rating of North East Insurance Co.'s insurance subsidiary, American Colonial Insurance Co., is not affected by the proposed transaction in the near term, as the rating reflects the company's current operating status with regard to the New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Department of Insurance. The company has been in run-off since 1990. North East Insurance Co. is a property and casualty insurer An individual or company who, through a contractual agreement, undertakes to compensate specified losses, liability, or damages incurred by another individual. An insurer is frequently an insurance company and is also known as an underwriter. primarily providing automobile coverage, both personal and commercial, in Maine. Motor Club of America is a property and casualty insurance holding company for Motor Club of America Insurance Co., which writes personal automobile insurance, and Preserver Insurance Co., which writes small commercial and homeowners insurance. A.M. Best Co., established in 1899, is America's oldest and most widely recognized insurance rating and information source. For more information, visit A.M. Best's Web site at www.ambest.com. |
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