Best’s News & Research Service - April 25, 2022 01:35 PM (EDT)
AM Best Assigns Performance Assessment to First Indemnity Insurance Agency, Inc.
- April 25, 2022 01:35 PM (EDT)
Oldwick //BestWire// - AM Best has assigned a Performance Assessment of PA-3 (Strong) to First Indemnity Insurance Agency, Inc. (First Indemnity) (Lynn, MA). The outlook assigned to the Performance Assessment (assessment) is stable.
This assessment reflects First Indemnity’s strong underwriting capabilities, strong governance and internal controls, strong financial condition, strong organizational talent and strong depth and breadth of relationships.
First Indemnity is a managing general agent (MGA) specializing in professional liability insurance in the U.S. market. For more than 30 years, First Indemnity has proven its expertise in designing professional liability products for legal professionals. This experience and track record of developing staff further benefits First Indemnity’s underwriting capabilities and is an advantage for association with capacity providers.
First Indemnity’s governance and internal controls are strong given its size and scale. First Indemnity performs internal reviews regularly, covering underwriting and compliance. In addition, the company is subject to multiple external audits to capture service measures from the perspective of its stakeholders and regulators. There is sufficient integration of systems with (re)insurance partners.
The company’s financial performance indicators are assessed as strong. First Indemnity has recorded stable and profitable overall earnings over multiple periods. Operations are oriented as a capital efficient, small independent business. The current operations are within the financial capacity of the organization and are expected to remain as such. All insurance risk is placed outside the organization with no exposures retained by First Indemnity.
The company is staffed appropriately for its size and scope with extensive industry experience serving the professional liability needs of the legal community. The organization has concise structure with clear and direct reporting and operational responsibilities.
First Indemnity’s composition of programs is centered on providing coverage for the legal industry with the ability to provide coverage in all 50 states. The company has relationships with a number of well-rated capacity providers. The company’s tenure in its respective market is considered a strength.
This press release relates to Performance Assessments that have been published on AM Best’s website. For all information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the Performance Assessments referenced in this release, please see AM Best’s website. For additional information regarding the use and limitations of Performance Assessments, please view Guide to Best’s Performance Assessments for Delegated Underwriting Authority Enterprises. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments, and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.