A.M. Best Upgrades Ratings of Coastal Medical Insurance Ltd.
OLDWICK, N.J. -- A.M. Best Co. has upgraded the financial strength rating (FSR (Free System Resource) In Windows 3.x, the amount of unused memory in various 64K blocks reserved for managing current applications. Every open window takes some space in this area. See Windows memory limitation. ) to A- (Excellent) from B++ (Good) and has assigned an issuer credit rating (ICR (Intelligent Character Recognition or Image Character Recognition) The machine recognition of hand-printed characters as well as machine printing that is difficult to recognize. ) of "a-" to Coastal Medical Insurance Ltd. (Coastal) (Hamilton, Bermuda). The outlook for the FSR is stable, and the outlook assigned to the ICR is stable.
The ratings reflect Coastal's excellent 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. , generally favorable fa·vor·a·ble
1. Advantageous; helpful: favorable winds.
2. Encouraging; propitious: a favorable diagnosis.
3. operating results generated by a very low expense structure and customized risk management programs, experienced senior management team and conservative reserving and investment philosophies.
Partially offsetting these positive rating factors are the company's limited market scope and relatively high retention levels. However, these concerns are mitigated due to explicit as well as implicit parental support, based on the strategic importance of Coastal within the overall risk management program of the Meridian Meridian (mərĭd`ēən), city (1990 pop. 41,036), seat of Lauderdale co., E Miss., near the Ala. line; settled 1831, inc. 1860. Health System (Meridian) and its mission of providing affordable, stable coverage to its insureds.
Meridian's risk management and insurance department provides important supporting services to the parties indemnified and reinsured by Coastal. Meridian's risk management program for the hospital system establishes risk control policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental , which include safety education, data collection and evaluation, claims management and risk financing. The ratings also take into consideration the role Coastal serves in providing hospital and physician professional and general liability insurance to Meridian.
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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.
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.