AM Best Affirms Credit Ratings of AMERISAFE, Inc. and Its Operating Subsidiaries
2024年8月16日 - 5:48AM
ビジネスワイヤ(英語)
AM Best has affirmed the Financial Strength Rating of A
(Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR)
of “a+” (Excellent) of American Interstate Insurance Company
(Omaha, NE), Silver Oak Casualty, Inc. (Omaha, NE) and American
Interstate Insurance Company of Texas (Austin, TX) (collectively
referred to as AMERISAFE Insurance Group). Concurrently, AM Best
has affirmed the Long-Term ICR of “bbb+” (Good) of AMERISAFE, Inc.
(headquartered in DeRidder, LA) [NASDAQ: AMSF], the ultimate parent
of the group members. The outlook of these Credit Ratings (ratings)
is stable.
The ratings reflect AMERISAFE Insurance Group’s balance sheet
strength, which AM Best assesses as very strong, as well as its
strong operating performance, neutral business profile and
appropriate enterprise risk management.
AMERISAFE Insurance Group’s balance sheet strength assessment
remains at the very strong level supported by its strongest level
of risk-adjusted capitalization, as measured by Best’s Capital
Adequacy Ratio (BCAR), conservative investment portfolio, and
prudent reserving philosophy. The group’s policyholder surplus
growth has been constrained by stockholder dividends; however,
these dividends are considered a strategic capital management tool
within the group. Overall, surplus has declined due to
extraordinary dividends paid to the parent company from excess
capital accumulation from the group’s strong earnings over the past
10-year period.
The group’s operating performance continues to be strong due to
management’s underwriting discipline and proactive claims
management approach. Strict pricing and conservative risk selection
has led to solid underwriting and operating results that continue
to outperform AM Best’s workers’ compensation composite metrics. In
addition, the group’s prudent reserving philosophy has resulted in
favorable loss reserve development contributing to the strong
performance seen in recent years.
The group provides workers’ compensation coverages primarily to
small- and medium-sized employers in high hazard industries.
Management’s specialized knowledge of these hazardous industries
has helped the group manage the business efficiently, and provide
value added services to its policyholders and this has resulted in
high retention levels.
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.
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Anthony Molinaro Senior Financial Analyst +1
908 882 2129 anthony.molinaro@ambest.com
Ricardo Longchallon Senior Financial Analyst +1
908 882 2019 ricardo.longchallon@ambest.com
Christopher Sharkey Associate Director, Public
Relations +1 908 882 2310
christopher.sharkey@ambest.com
Al Slavin Senior Public Relations Specialist +1
908 882 2318 al.slavin@ambest.com