Press Release - JUNE 12, 2015

A.M. Best Revises Issuer Credit Rating Outlook to Positive for Members of the IFG Companies


CONTACTS:
 Susan Molineux
Senior Financial Analyst
(908) 439-2200, ext. 5829
susan.molineux@ambest.com

Henry Witmer
Assistance Vice President
(908) 439-2200, ext. 5097
henry.witmer@ambest.com
Christopher Sharkey
Manager, Public Relations
(908) 439-2200, ext. 5159
christopher.sharkey@ambest.com

Jim Peavy
Assistant Vice President, Public Relations
(908) 439-2200, ext. 5644
james.peavy@ambest.com

FOR IMMEDIATE RELEASE

OLDWICK - JUNE 12, 2015
A.M. Best has revised the issuer credit rating (ICR) outlook to positive from stable and affirmed the financial strength rating (FSR) of A (Excellent) and the ICRs of "a" of the members of the IFG Companies (IFG): First Financial Insurance Company, its subsidiary, Alamance Insurance Company, and its two affiliates, Guilford Insurance Company and The Burlington Insurance Company. The outlook for the FSR remains stable. IFG's parent holding company is International Financial Group, Inc., a privately held company. All companies are headquartered in Burlington, NC.

The ratings are based on a consolidation of the group members and reflect the group's strong balance sheet, favorable operating profitability and historically solid core business results. The ratings also recognize IFG's excellent geographic footprint and spread of risk, multiple distribution channels, effective use of technology and limited catastrophe exposure.

These positive rating factors are partially offset by constraints on growth due to market conditions.

The revision in IFG's ICR outlook reflects the group's favorable loss and combined ratios, and sustained surplus growth, which A.M. Best expects will continue as management executes its business strategy.

The methodology used in determining these ratings is Best's Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best's rating process and contains the different rating criteria employed in the rating process. Best's Credit Rating Methodology can be found at www.ambest.com/ratings/methodology .

Key insurance criteria reports utilized:


  • Catastrophe Analysis in A.M. Best Ratings

  • Rating Members of Insurance Groups

  • Risk Management and the Rating Process for Insurance Companies

  • Understanding BCAR for Property/Casualty Insurers

This press release relates to rating(s) that have been published on A.M. 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 visit A.M. Best's Ratings & Criteria Center.

A.M. Best Company is the world's oldest and most authoritative insurance rating and information source.


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