U.S. markets closed
  • S&P 500

    4,280.15
    +72.88 (+1.73%)
     
  • Dow 30

    33,761.05
    +424.38 (+1.27%)
     
  • Nasdaq

    13,047.19
    +267.27 (+2.09%)
     
  • Russell 2000

    2,016.62
    +41.36 (+2.09%)
     
  • Crude Oil

    91.88
    -2.46 (-2.61%)
     
  • Gold

    1,818.90
    +11.70 (+0.65%)
     
  • Silver

    20.83
    +0.49 (+2.39%)
     
  • EUR/USD

    1.0257
    -0.0068 (-0.66%)
     
  • 10-Yr Bond

    2.8490
    -0.0390 (-1.35%)
     
  • GBP/USD

    1.2139
    -0.0064 (-0.52%)
     
  • USD/JPY

    133.4800
    +0.4810 (+0.36%)
     
  • BTC-USD

    24,682.00
    +149.46 (+0.61%)
     
  • CMC Crypto 200

    574.64
    +3.36 (+0.59%)
     
  • FTSE 100

    7,500.89
    +34.98 (+0.47%)
     
  • Nikkei 225

    28,546.98
    +727.65 (+2.62%)
     

AM Best Revises Outlooks to Stable for NAMIC Insurance Company, Inc.

·3 min read

OLDWICK, N.J., June 23, 2022--(BUSINESS WIRE)--AM Best has revised the outlooks to stable from negative and affirmed the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of "a" (Excellent) of NAMIC Insurance Company, Inc. (NAMICO) (Indianapolis, IN).

The Credit Ratings (ratings) reflect NAMICO’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM).

The revised outlooks to stable from negative reflect a trend of improving underwriting and operating performance in recent years, attributable to a number of management initiatives, which resulted in improved operating profits in each of the past two years. Additionally, the revised outlooks reflect improvement in NAMICO’s claims management process in response to previous reserve increases and subsequent refiling of the annual statement in 2019. Mitigation efforts including detailed claims reviews, additional claims staffing and increased usage of data analytics that have subsequently relieved pressure on the company’s ERM assessment.

AM Best’s balance sheet strength assessment of very strong is supported by NAMICO’s risk-adjusted capitalization being at the strongest level, measured by Best’s Capital Adequacy Ratio (BCAR), along with positive growth in policyholders’ surplus over the past five years that was offset partially by limitations in its financial flexibility and scale of operations. NAMICO’s neutral business profile assessment is driven largely by its strong niche market in the mutual insurer segment coupled with the company’s favorable geographic diversification.

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 Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2022 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220623005676/en/

Contacts

Brian O’Larte
Director
+1 908 439 2200, ext. 5138
brian.o'larte@ambest.com

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159
christopher.sharkey@ambest.com

Richard Attanasio
Senior Director
+1 908 439 2200, ext. 5432
richard.attanasio@ambest.com

Jeff Mango
Managing Director,
Strategy & Communications
+1 908 439 2200, ext. 5204
jeffrey.mango@ambest.com