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FOR IMMEDIATE RELEASE
OLDWICK, N.J. - JANUARY 29, 2010 12:00 AM (EST)
A.M. Best Co. has assigned a financial strength rating of A+ (Superior) and issuer credit ratings of "aa-" to ASure Worldwide Insurance Company (ASure) and Fortuity Insurance Company (Fortuity). The outlook assigned to all ratings is negative.
These rating actions follow the recent state approval of a pooling agreement that includes ASure and Fortuity, along with other members of the Frankenmuth Financial Group (Frankenmuth). As members of Frankenmuth, ASure and Fortuity receive the ratings of the consolidated group, which has Frankenmuth Mutual Insurance Company (Frankenmuth Mutual) as the lead company. Frankenmuth Mutual also is the ultimate parent of the member companies. All the above referenced companies are domiciled in Frankenmuth, MI.
The ratings of Frankenmuth, which were affirmed in April 2009, are based on the consolidated group's strong capitalization, historically favorable loss ratio and solid market presence. These positive factors are somewhat offset by Frankenmuth's weakened operating performance in recent years, investment losses in 2008 and its midwestern concentration, resulting in the negative outlook.
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.