A.M. Best Co. has placed under review with positive implications the financial strength rating (FSR) of A- (Excellent) and issuer credit ratings (ICR) of “a-” of Rockhill Insurance Group (Rockhill) (headquartered in Kansas City, MO) and its property/casualty members. (See below for a detailed list of the companies.)
The rating action follows the announcement that the Boards of Directors of State Auto Financial Corporation [NASDAQ: STFC] and State Automobile Mutual Insurance Company (State Automobile Mutual) have approved proposed changes to State Auto Insurance Companies’ (State Auto) (headquartered in Columbus, OH) intercompany pooling agreement. As of January 1, 2011, the State Auto pooling agreement will be amended to add the operating results of the insurance companies of Rockhill. Rockhill was acquired by State Automobile Mutual in February 2009. State Auto currently has an FSR of A+ (Superior) and ICR of “aa-“, both with a negative outlook.
The FSR of A- (Excellent) and ICRs of “a-” have been placed under review with positive implications for Rockhill Insurance Group and its following property/casualty members:
Rockhill Insurance Company
American Compensation Insurance Company
Bloomington Compensation Insurance Company
Plaza Insurance Company
The principal methodology used in determining these ratings is Best’s Credit Rating Methodology –Global Life and Non-Life Insurance Edition, which provides a comprehensive explanation of A.M. Best’s rating process and highlights the different rating criteria employed. Additional key criteria utilized include: “Risk Management and the Rating Process for Insurance Companies”; “Understanding BCAR for Property/Casualty Insurers”; “Rating Members of Insurance Groups”; and “Catastrophe Risk Management Incorporated Within the Rating Analysis.” Methodologies can be found at www.ambest.com/ratings/methodology.
Founded in 1899, A.M. Best Company is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.
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