AM Best Removes From Under Review With Developing Implications and Affirms Credit Ratings of Sandbox Mutual Insurance Company

OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has removed from under review with developing implications and affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of Sandbox Mutual Insurance Company (Sandbox) (Saskatoon, SK). The outlook assigned to these Credit Ratings (ratings) is stable.

The ratings reflect Sandbox’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 have been affirmed due to Sandbox’s execution of a quota share reinsurance agreement, which AM Best notes improves the company’s risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), and stabilizes its balance sheet strength, following a decline in risk-adjusted capital levels at year-end 2025. AM Best notes that the decline was driven by the company’s strong growth trends in recent years and a modest decrease in equity.

The quota share agreement is retroactive to Jan. 1, 2026 and Sandbox will be utilizing highly rated reinsurers. AM Best will continue to monitor risk-adjusted capitalization as management executes on its growth initiatives.

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.