OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best has commented that the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “a+” of the operating subsidiaries of Main Street America Group Mutual Holdings, Inc. (MSAGMH), collectively known as Main Street America Group (Main Street) (Jacksonville, FL) remain unchanged following its announced merger with American Family Insurance Mutual Holding Company and its operating subsidiaries, collectively known as American Family Insurance Group (American Family) (Madison, WI). The completion of the merger is subject to customary regulatory approvals, as well as approval by American Family and Main Street mutual members.
On May 4, 2018, it was announced that each company’s board of directors has approved the merger transaction. This transaction does not involve a capital outlay by either organization. A.M. Best expects the pending transaction to provide diversity of risk, growth through geographic expansion and broader product offerings to agents and policyholders. Once the merger is completed, Main Street is expected to continue to remain an autonomous operation, retaining its brand name and marketing affiliations. The transaction is expected to close by year-end 2018, pending approval by state regulators and mutual members of both companies.
A.M. Best will continue to monitor the progress of the proposed merger and evaluate any developments and implications for impact on the Credit Ratings.
This press release relates to Credit Ratings that have been published on A.M. 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 A.M. 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 A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
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