A.M. Best Removed the Rating of Nationwide Insurance Company of Florida from Under Review.OLDWICK, N.J. -- A.M. Best Co. removed the financial strength rating of B (Fair) of Nationwide Insurance Company of Florida (NICOF) (Columbus, OH) from under review. The rating outlook is negative. Removal of the under review status follows the recapitalization Recapitalization Restructuring a company's debt and equity mixture often with the aim of making a company's capital structure more stable. Notes: Companies often want to diversify their debt-to-equity ratio to improve liquidity. of the company by its parent, Nationwide Mutual Insurance Company Nationwide Mutual Insurance Company & Affiliated Companies is a group of large U.S. insurance and financial services companies based in Columbus, Ohio. History Beginnings as Farm Bureau Mutual (NMIC NMIC National Meat Inspection Commission (Philippines) NMIC National Maritime Intelligence Center (Office of Naval Intelligence, Suitland, MD) NMIC Northern Manhattan Improvement Corporation ) (Columbus, OH). The capital contribution increased the company's risk adjusted capital to a level that supports the current rating. In addition, the rating recognizes the continued explicit financial support provided by, NMIC. The negative outlook is based on the company's on-going exposure to significant hurricane events, such as those that occurred in 2005, and the potential impact on future capitalization capitalization n. 1) the act of counting anticipated earnings and expenses as capital assets (property, equipment, fixtures) for accounting purposes. 2) the amount of anticipated net earnings which hypothetically can be used for conversion into capital assets. . NICOF was established as a Florida-only personal lines writer within the Nationwide Group. A.M. Best will continue to monitor NICOF's risk-adjusted capitalization, with the expectation that the parent company will remain committed to serving the Florida market. For Best's Ratings Best's rating A rating A.M. Best Co. assigns to insurance companies based on the company's ability to meet its obligations to its policyholders. , an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings. A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source. For more information, visit A.M. Best's Web site at www.ambest.com. |
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