AM Best Comments on Credit Ratings of Prescient National Insurance Company Following Announced Acquisition by Louisiana Workers’ Compensation Corporation

OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has commented that the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of “a” (Excellent) of Prescient National Insurance Company (PNIC) (Charlotte, NC), are unchanged following the Dec. 18, 2024, announcement that all outstanding shares of Prescient Holdings, LLC (Charlotte, NC) will be acquired by Louisiana Workers’ Compensation Corporation (LWCC) (Baton Rouge, LA). The outlook of PNIC’s Credit Ratings (ratings) is stable.

Prescient Holdings, LLC owns 100% of PNIC and will be 100% owned by LWCC following the conclusion of the transaction, which has received regulatory approval and is expected to close by year-end 2024.

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

PNIC operates as a monoline workers’ compensation writer with a geographic concentration of direct premiums written in four states. LWCC provides workers’ compensation coverage in Louisiana. Each entity will continue to operate independently.

AM Best does not expect the transaction to result in any material change to PNIC’s business operations or rating fundamentals. AM Best will continue to monitor developments and acknowledges that LWCC’s strong financial performance and robust balance sheet bring significant capital resources to PNIC.

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