OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best has upgraded the Financial Strength Rating to A- (Excellent) from B++ (Good) and the Long-Term Issuer Credit Ratings to “a-” from “bbb+” of RetailFirst Insurance Group’s (RetailFirst) affiliates: RetailFirst Insurance Company and BusinessFirst Insurance Company. The outlook of these Credit Ratings (ratings) has been revised to stable from positive. All companies are domiciled in Lakeland, FL.
The ratings reflect RetailFirst’s balance sheet strength, which A.M. Best categorizes as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.
The rating upgrades are derived from a continued trend of strengthening underwriting performance and stable investment income that resulted in net favorable operating performance. The group’s ratings continue to be supported by the strongest level of risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR) and conservative reserving practices, as well as low and stable underwriting leverage metrics. These tailwinds continue to be offset by concentration risk by geography and product offering, as well as regulatory risk related to Florida’s workers’ compensation market.
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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