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AM Best Assigns Issue Credit Rating to United Fire Group, Inc.’s New Senior Unsecured Notes

OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has assigned a Long-Term Issue Credit Rating of “bbb-” (Good) to recently issued $70 million, 9% senior unsecured notes due May 31, 2039, of United Fire Group, Inc. (UFG) (Cedar Rapids, IA) [NASDAQ: UFCS]. The outlook assigned to this Credit Rating (rating) is stable.

Concurrently, AM Best has withdrawn the indicative rating on the previously forthcoming debt following confirmation that the note has been issued. The existing ratings of UFG and its insurance subsidiaries remain unchanged. UFG’s adjusted financial leverage and earnings before interest, and taxes coverage are within acceptable ranges for its current ratings.

AM Best notes that UFG manages its financial leverage to a modest level and that cash flow, capitalization and operating results are expected to be in line with expectations over the near term.

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.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2024 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

Contacts

Gordon McLean
Senior Financial Analyst
+1 908 882 2109
gordon.mclean@ambest.com

Christopher Sharkey
Associate Director, Public Relations
+1 908 882 2310
christopher.sharkey@ambest.com

Rosemarie Mirabella
Director
+1 908 882 2125
rosemarie.mirabella@ambest.com

Al Slavin
Senior Public Relations Specialist
+1 908 882 2318
al.slavin@ambest.com

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NASDAQ:UFCS
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Contacts

Gordon McLean
Senior Financial Analyst
+1 908 882 2109
gordon.mclean@ambest.com

Christopher Sharkey
Associate Director, Public Relations
+1 908 882 2310
christopher.sharkey@ambest.com

Rosemarie Mirabella
Director
+1 908 882 2125
rosemarie.mirabella@ambest.com

Al Slavin
Senior Public Relations Specialist
+1 908 882 2318
al.slavin@ambest.com

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