OLDWICK, N.J.--(BUSINESS WIRE)--
AM Best has affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Ratings of “a-” of National Teachers Associates Life Insurance Company (Addison, TX) and its affiliated entity, NTA Life Insurance Company of New York (New York, NY). Both companies are ultimately owned by Horace Mann Educators Corporation (Horace Mann), and are collectively referred to as NTA Life. The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect NTA Life’s balance sheet strength, which AM Best categorizes as strongest, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.
Despite an $85 million dividend paid to help fund its acquisition by Horace Mann, NTA’s risk-adjusted capital remains in the strongest category; AM Best expects it to remain at this level given the capital support agreement pledged by Horace Mann to NTA Life. Historically, NTA has demonstrated positive net income and strong profitability metrics. Over time, AM Best will monitor NTA Life’s strategic value to the overall Horace Mann group and the cross-selling opportunities it presents, along with completion of the integration.
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.
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