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FOR IMMEDIATE RELEASE
OLDWICK - MARCH 15, 2019 12:02 PM (EDT)
AM Best has upgraded the Long-Term Issuer Credit Ratings to “a+” from “a” and affirmed the Financial Strength Rating of A (Excellent) of Queen City Assurance, Inc (Queen City) and Vine Court Assurance Incorporated (Vine Court) (both domiciled in Burlington, VT). The outlook of these Credit Ratings (ratings) is stable.
The ratings reflect the group’s balance sheet strength, which AM Best categorizes as strongest, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management (ERM).
The companies are captive insurers for The Kroger Co. (Kroger), one of the world’s largest food retailers, which conducts business throughout the United States. The ratings consider the captives’ critical role as part of the parent company and their excellent historical operating performance, providing tailored insurance coverage for property/casualty risks to the parent. The business profiles are assessed as neutral, as each captive writes a broad scope of business for its parent and has significant geographic diversification across the United States. ERM is appropriate given the impact on its conservative risk culture, defined risk controls, and optimization of the captives’ capital and surplus. AM Best also recognizes the significant capitalization and financial flexibility afforded the captives by its well-rated parent.
AM Best remains the leading rating agency of alternative risk transfer entities, with more than 200 such vehicles rated in the United States and throughout the world. For current Best’s Credit Ratings and independent data on the captive and alternative risk transfer insurance market, please visit www.ambest.com/captive.
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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