AM Best Revises Outlooks to Stable for Missouri Valley Mutual Insurance Company

OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has revised the outlooks to stable from negative and affirmed the Financial Strength Rating of B+ (Good) and the Long-Term Issuer Credit Rating of “bbb-” (Good) of Missouri Valley Mutual Insurance Company (MVMIC) (Burke, SD).

The Credit Ratings (ratings) reflect MVMIC’s balance sheet strength, which AM Best assesses as adequate, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).

The revision of the outlooks to stable from negative reflects Missouri Valley’s improved operating performance metrics following multiple corrective actions implemented by management. This led to the company reporting its lowest combined ratio since 2016, as well as its largest underwriting income since 2014. The corrective actions implemented included tightening of underwriting guidelines and multiple rate increases that restored profitability to the company following a period of volatility. MVMIC’s auto line of business produced an underwriting gain for the first time in 10 years while the effects of weather lessened in 2025. Despite five-year metrics being moderately skewed from the worst storm losses in company’s history during 2022, the company continues well-aligned with peer companies that also have an adequate operating performance assessment. Additionally, MVMIC’s underlying book of business has improved in consecutive years when the effects of weather are segmented out. Based on these factors, pressure on MVMIC’s operating performance assessment has tapered off in the short term.

MVMIC’s adequate balance sheet strength assessment is comfortably positioned with over 20% surplus growth in 2025 and supported by risk-adjusted capitalization at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR). MVMIC’s limited business profile assessment remains appropriate given the company’s status as a single-state writer while the ERM program is appropriate reflecting capabilities that are aligned with the scope and scale of the company.

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 © 2026 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.