Best’s News & Research Service - July 07, 2020 04:18 PM (EDT)
AM Best Withdraws Credit Ratings of AultCare Health Insuring Corporation and Its Subsidiary
- July 07, 2020 04:18 PM (EDT)
Oldwick //BestWire// - AM Best has affirmed the Financial Strength Rating (FSR) of B++ (Good) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “bbb+” of AultCare Health Insuring Corporation and its subsidiary, AultCare Insurance Company. Both companies are domiciled in Canton, OH. Collectively, the group is referred to as AultCare Health Group (AultCare). The outlook of the Credit Ratings (ratings) is stable. Concurrently, AM Best has withdrawn these Credit Ratings (ratings) at the company’s request to no longer participate in AM Best’s interactive rating process.
The ratings reflect AultCare’s balance sheet strength, which AM Best categorizes as strong, as well as its adequate operating performance, limited business profile and marginal enterprise risk management.
AultCare’s risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), has strengthened over the past year driven by capital growth attributed to profitable operating performance. The company’s maintains a conservative investment portfolio and has good balance sheet liquidity driven by positive operating cash flow. AultCare continues to report favorable operating results, but premium revenue has not shown meaningful growth over the last five years. AultCare is aligned strategically with its ultimate parent, Aultman Health Foundation (Aultman). Aultman is a fully integrated health care delivery system and the group is a significant contributor of the consolidated operations of Aultman. AM Best views AultCare’s business profile as limited as its business is concentrated in a limited number of counties in Ohio.
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 media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.
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 New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.