MARCH 02, 2010 12:00 AM (EST)
A.M. Best Upgrades Ratings of Integon General Insurance Corporation and Its Affiliates
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FOR IMMEDIATE RELEASE
OLDWICK, N.J. - MARCH 02, 2010 12:00 AM (EST)
A.M. Best Co. has upgraded the financial strength rating (FSR) to A- (Excellent) from B++ (Good) and issuer credit ratings (ICR) to "a-" from "bbb" of Integon General Insurance Corporation (IGIC) (Winston-Salem, NC), and its nine pooled affiliated companies. All ratings have been removed from under review with positive implications and assigned a stable outlook. (See below for a detailed listing of the companies.)
These rating actions follow IGIC's acquisition by American Capital Acquisition Corporation from GMAC Insurance Group (GMACI). The ratings also reflect the consolidated group's strong capitalization, the historically profitable operating performance of GMACI's personal lines book of business and its well established market presence. Additionally, the ratings acknowledge the operational benefits that the group derives as a quota share partner with AmTrust Financial Services, Inc., Maiden Reinsurance Company and a Bermudian affiliated company.
These positive factors are partially offset by the execution risk faced by management in achieving its business plans and the risks inherent in profitably growing business amidst challenging market conditions. Despite these concerns, the outlook recognizes IGIC's historically strong operating performance and experienced management team. Both the ratings and outlook remain largely dependent on management's ability to meet projected underwriting targets, while
maintaining sufficient capital in each entity to support its business plans.
The FSR has been upgraded to A- (Excellent) from B++ (Good) and the ICRs have been upgraded to "a-" from "bbb" for Integon General Insurance Corporation and its following pooled affiliated companies:
- National General Insurance Company
- National General Assurance Company
- GMAC Insurance Company Online, Inc.
- MIC General Insurance Corporation
- Integon National Insurance Company
- Integon Preferred Insurance Company
- Integon Indemnity Corporation
- Integon Casualty Insurance Company
- New South Insurance Company
For Best's Credit Ratings, an overview of the rating process and rating methodologies, please visit Best's Ratings & Analysis.
The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at Best's Credit Rating Methodology.
Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers.