Best’s News & Research Service - June 23, 2023 03:09 PM (EDT)
AM Best Removes From Under Review With Developing Implications and Affirms Credit Ratings of Reserve National Insurance Company
- June 23, 2023 03:09 PM (EDT)
Oldwick //BestWire// - AM Best has removed from under review with developing implications and affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of Reserve National Insurance Company (RNI) (Chicago, IL). The outlook assigned to these Credit Ratings (ratings) is stable.
The ratings reflect RNI’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management. The ratings further reflect RNI’s integration with its new parent company, Medical Mutual of Ohio (MMO), after its acquisition effective Dec. 1, 2022. AM Best expects that the acquisition will provide strategic alignment between companies in the form of diversified product offerings and geographic expansion. AM Best notes that on a standalone basis, RNI has limited financial flexibility. However, the company’s excess capital along with its relationship with MMO provides added capacity to support business objectives going forward.
RNI is a specialty accident and health (A&H) insurer headquartered in Oklahoma City, Oklahoma that provides coverage throughout the United States. RNI is licensed currently in 49 states and the District of Columbia. MMO is a mutual health insurer domiciled in Ohio. MMO and its subsidiaries provide commercial, Medicare Advantage and Medicare Supplement, A&H, life, and disability insurance plans to both individual groups, health benefits administration to large group employers that maintain uninsured A&H plans, provides compliance expertise, technology, and administrative support services for wellness and related incentive plans and administers employee assistance programs. MMO serves approximately 1.2 million health members, primarily 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 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.