Best’s News & Research Service - January 19, 2018 10:11 AM (EST)
A.M. Best Revises Outlooks to Positive for Northwest G.F. Mutual Insurance Company
- January 19, 2018 10:11 AM (EST)
Oldwick //BestWire// - A.M. Best has revised the outlooks to positive from stable and affirmed the Financial Strength Rating of B+ (Good) and the Long-Term Issuer Credit Rating of “bbb-” of Northwest G.F. Mutual Insurance Company (NWGF) (Eureka, SD).
The ratings reflect NWGF’s balance sheet strength, which A.M. Best categorizes as strong, as well as its marginal operating performance, limited business profile and appropriate enterprise risk management.
The revised outlooks reflect the significant improvement in underwriting results that have been reported in recent years, in sharp contrast to more marginal performance over the longer term. This is attributed to the efforts of new management to implement stricter underwriting standards as part of a broader effort to improve operating performance. The marginal assessment on balance reflects the considerable volatility in underwriting performance over the longer term, which contrasts with the much improved operating performance in recent years. As the years of weaker performance fade over time, so too would their impact on this assessment.
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