Printer Friendly

A.M. Best Special Report: Key Measures on Non-Rated Property/Casualty Companies.

OLDWICK, N.J. -- A.M. Best Co.'s financial strength ratings (A++ to F) are assigned to companies based on a comprehensive quantitative and qualitative evaluation of a company's balance sheet strength, operating performance and business profile.

The current universe of letter-rated property/casualty insurers accounts for roughly 95% of the total premium written in the United States. In addition to letter-rated companies, A.M. Best also reports on many companies that are not assigned a rating opinion. These non-rated (NR) companies are assigned one of five NR categories and are grouped by the composite that best matches their business profile.

Individual company results vary widely relative to the composite medians. Of the NR companies that fall into the Commercial Auto and Medical Malpractice composites, operating performance generally is reported at acceptable levels, while overall capitalization appears to fall short relative to underlying risks. In contrast, the NR companies that fall into the Professional Fidelity and Surety Composite generally are well capitalized but have a wide disparity in their operating performance. Those NR companies that fall into the Commercial Casualty, Private Passenger Auto or Property composites experience wide disparity in both their operating performance and levels of capital relative to their risks.

The NR companies that fall into the Workers' Compensation Composite include several large state funds that represent the largest NR companies based on surplus size and premium volume. The NR companies (both state fund and non-state fund) that fall into the Workers' Compensation Composite report the least dispersion of underwriting performance and leverage measures relative to NR companies in other composites.

BestWeek subscribers can download a PDF copy of all full special reports at no additional cost or a combination of the PDF copies plus all related spreadsheet files of the report data at no additional cost from our Web site at www.bestweek.com.

Nonsubscribers can download a PDF copy of the full special report (20 pages) for $85 or a combination of the PDF copy plus the spreadsheet file of the report data for $220 from our Web site at www.bestweek.com.

Call customer service for more information, (908) 439-2200, ext. 5742.

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.
COPYRIGHT 2006 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2006, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

 Reader Opinion

Title:

Comment:



 

Article Details
Printer friendly Cite/link Email Feedback
Publication:Business Wire
Date:Oct 9, 2006
Words:389
Previous Article:VeriChip Corporation Expands Hugs(R) System to the Middle East.
Next Article:Healthy Products Are Brisk Business at Record-Setting Natural Products Expo East 2006.
Topics:


Related Articles
Scandal, stocks standards dominate global seminar.
Insolvency most often pinned to insufficient loss reserves.
Fiscal fitness.
A.M. Best Affirms Ratings of Ohio Casualty Group and Ohio Casualty Corporation; Changes Rating Outlook to Positive.
A.M. Best Takes Various PD Rating Actions on 37 Canadian Property/Casualty Insurers.
A.M. Best Upgrades PD Ratings of 12 Canadian Property/Casualty Insurers.
A.M. Best Special Report on First Quarter 2006 U.S. Property/Casualty Results.
A.M. Best Upgrades Ratings of Ohio Casualty Group and Ohio Casualty Corporation; Revises Outlook to Stable.
Ohio Casualty Group(R) Reports Ratings Upgrade From A.M. Best Company.

Terms of use | Copyright © 2014 Farlex, Inc. | Feedback | For webmasters