AM Best Assigns Credit Ratings to Curative Insurance Company

OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has assigned a Financial Strength Rating (FSR) of A- (Excellent) and a Long-Term Issuer Credit Rating (Long-Term ICR) of “a-” (Excellent) to Curative Insurance Company (Curative) (Austin, TX). The outlook assigned to these Credit Ratings (ratings) is stable.

The ratings reflect Curative’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.

The ratings reflect AM Best’s expectation, based on Curative’s business plan, that the company will maintain its risk-adjusted capitalization at the assessed level of strongest, as measured by Best Capital Adequacy Ratio (BCAR). AM Best also expects Curative’ capital to remain more than sufficient to support the company’s future business plans. Curative is a startup company launched in the third quarter of 2022 to provide an innovative preferred provider organization product to the group employer medical insurance market. The company aims to offer an integrated and digitally enabled member experience with an attractive zero co-pay benefit to select employers groups in Texas. Curative is supported by its parent, Curative Inc., through very sizeable initial capital contributions, which will ensure an excellent level of financial flexibility in the near to medium term. In addition, Curative Inc. is committed to providing a significant investment toward building technical capabilities to support the innovative business model at Curative. Curative plans to maintain operating results around breakeven as the book of business grows over the next several years. An enterprise risk management structure has been established and is expected to evolve alongside the complexities and risks of the business. AM Best will monitor Curative’s membership growth, financial metrics and deviations from the business plan.

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.

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