AM Best Downgrades Credit Ratings of EMC National Life Company; Places Credit Ratings Under Review With Developing Implications
- December 12, 2025 11:13 AM (EST)
//BestWire// - AM Best has downgraded the Financial Strength Rating to B++ (Good) from A- (Excellent) and the Long-Term Issuer Credit Rating to “bbb+” (Good) from “a-” (Excellent) of EMC National Life Company (EMCNL) (Des Moines, IA). Concurrently, AM Best has placed these Credit Ratings (ratings) under review with developing implications.
The ratings reflect EMCNL’s balance sheet strength, which AM Best assesses as very strong, as well as its marginal operating performance, limited business profile and appropriate enterprise risk management.
These rating actions follow the recent announcement that Employers Mutual Casualty Company (EMCC) has entered into a definitive agreement to sell its ownership interest in EMCNL to Avocet Partners. EMCNL’s holding company, EMC National Life Mutual Holding Company, also intends to sell its ownership interest in EMCNL to Avocet Partners, corresponding with the holding company’s demutualization. The rating downgrades are based on an assessment of EMCNL on a standalone basis, given the material change in its strategic role to EMCC.
The under review with developing implications status reflects the need for AM Best to review the post-transaction details and have further discussions with management regarding the company's future business strategy and any synergies to be derived from the transaction.
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 Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings (BCR), Best’s Performance Assessments (PA), Best’s Preliminary Credit Assessments (PCA) 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.