California Indemnity Insurance Co. Rated BBpi by S&P.NEW YORK--(BUSINESS WIRE)--S&P's CreditWire 10/28/98--Standard & Poor's today assigned its double-'Bpi' insurer financial strength rating to California Indemnity Insurance indemnity insurance Managed care A type of health insurance in which a Pt can choose the hospital and provider, and the insurer reimburses the Pt or provider for a set percentage of the cost, minus deductibles and co-payments Co. California Indemnity Insurance Co. is licensed in 18 states; and the principle state in which the company operates is California. The company is a subsidiary of Sierra Health Services health services Managed care The benefits covered under a health contract Inc., a publicly traded managed health care corporation. The company is a workers' compensation workers' compensation, payment by employers for some part of the cost of injuries, or in some cases of occupational diseases, received by employees in the course of their work. writer, and participates in an interaffiliate pool together with Commercial Casualty Insurance Co. California Indemnity meets Standard & Poor's criteria for pool members, and is therefore assigned the double-'Bpi' rating of qualifying members of the pool. The company commenced operations in 1988. The following factors were incorporated in the rating of double-'Bpi': -- Unassigned surplus amounts to just 0.1% of total assets. When viewed in the context of a somewhat low liquidity ratio this is a negative rating factor. -- With a Standard & Poor's capital adequacy ratio Capital adequacy ratio (CAR), also called Capital to Risk (Weighted) Assets Ratio (CRAR)[], is a ratio of a bank's capital to its risk. National regulators track a bank's CAR to ensure that it can absorb a reasonable amount of loss. of 257.4%, capitalization is extremely strong. 'Pi' ratings, denoted with a pi subscript (1) In word processing and scientific notation, a digit or symbol that appears below the line; for example, H2O, the symbol for water. Contrast with superscript. (2) In programming, a method for referencing data in a table. , are insurer financial strength ratings based on an analysis of an insurer's published financial information and additional information in the public domain. They do not reflect in-depth meetings with an insurer's management and are therefore based on less comprehensive information than ratings without a 'pi' subscript. Pi ratings are reviewed annually based on a new year's financial statements, but may be reviewed on an interim basis if a major event that may affect the insurer's financial security occurs. Ratings with a pi subscript are not subject to potential CreditWatch listings. Ratings with a pi subscript generally are not modified with 'plus' or 'minus' designations. However, such designations may be assigned when the insurer's financial strength rating is constrained con·strain tr.v. con·strained, con·strain·ing, con·strains 1. To compel by physical, moral, or circumstantial force; oblige: felt constrained to object. See Synonyms at force. 2. by sovereign risk Sovereign Risk The risk that a foreign central bank will alter its foreign-exchange regulations thereby significantly reducing or completely nulling the value of foreign-exchange contracts. or the credit quality of a parent company or affiliated group, Standard & Poor's said.--CreditWire |
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