Meadowbrook Insurance Group Inc.’s group rating of its insurance company subsidiaries has been upgraded to “B+” (Very Good), with a positive outlook, by A.M. Best Company. The upgrade reflects Meadowbrook’s improved financial condition as a result of its recent successful equity offering. It applies to Meadowbrook’s four insurance company subsidiaries: Star Insurance Company, Savers Property & Casualty Insurance Company, Ameritrust Insurance Corporation and Williamsburg National Insurance Company. The outlook is positive.
Meadowbrook Insurance Group maintains a strong market position as a provider of risk-management services to business associations, affinity groups and individual businesses. The group also is benefiting from improved market conditions and reduced competition as several players in this arena have recently exited the market, either voluntarily or involuntarily. The rating acknowledges the prudent risk-selection process and effective loss-control practices, which have enabled the group to generate strong earnings while maintaining a high business-retention percentage.
The group has reported weak operating results and continued adverse loss development experienced on both an accident- and calendar-year basis, which have diminished the group’s capital strength in recent years. But A.M. Best believes the recent improvements in the group’s financial and operating parameters represent a stabilization of its financial condition.
To submit information to this department e-mail: ijtexas@insurancejournal.com.
Was this article valuable?
Here are more articles you may enjoy.
State High Court Weighs in on Woman Taken for Organ Donation But Was Still Alive 
NYC Mayor Eyes City-Run Insurance Program for Affordable Housing 
Three Sentenced in Bear-Suit Attacks Insurance Fraud Case 
Chubb Q1 Net Income Increases 74% on Fewer Catastrophe Losses From This Issue
