A.M. Best Withdraws Ratings of Mutual of Detroit Insurance Company Due to Merger

OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best Co. has removed from under review with positive implications and assigned a stable outlook to the issuer credit rating (ICR) of “bbb” of Mutual of Detroit Insurance Company (MOD) (Plymouth, MI). The ICR was placed under review in February 2008 following Columbian Financial Group’s (CFG) announcement of a planned combination with MOD.

On December 1, 2008, CFG announced the close of the merger of MOD with and into Columbian Mutual Life Insurance Company (CML) (Binghamton, NY). As a result, A.M. Best has withdrawn the financial strength rating (FSR) of B++ (Good) and ICR of “bbb” of MOD and assigned a category NR-5 (Not Formally Followed) to the FSR and an “nr” to the ICR. Due to the merger, MOD’s policyholders have become policyholders of CML, and all policy provisions remain unchanged.

The FSRs and ICRs of the life insurance operating companies of CFG – CML, Columbian Life Insurance Company (Chicago, IL) and National Safety Life Insurance Company (Plymouth Meeting, PA) are not affected by this transaction.

For Best’s Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.