Press Release - JUNE 28, 2019
AM Best Removes From Under Review With Developing Implications and Takes Various Credit Rating Actions on Members of HIIG Group
FOR IMMEDIATE RELEASE
OLDWICK - JUNE 28, 2019
The ratings reflect HIIG Group’s balance sheet strength, which AM Best categorizes as very strong, as well as its marginal operating performance, neutral business profile and appropriate enterprise risk management.
The negative outlooks reflect AM Best’s concern over the company’s balance sheet strength connected to historical adverse reserve volatility. Company management has taken a number of steps to stabilize the reserve volatility including numerous corrective actions over the past few years and the reorganization of the claims department. Going forward, AM Best will monitor the impact of these actions closely. Negative rating action may result from increases in prior year adverse loss reserve development, especially if the adverse development materially weakens risk-adjusted capitalization.
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 Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.
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