AM Best Affirms Credit Ratings of OneAmerica Group Members
- September 30, 2026 09:31 AM (EDT)
//BestWire// - AM Best has affirmed the Financial Strength Rating of A+ (Superior) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “aa-” (Superior) of American United Life Insurance Company and The State Life Insurance Company. These companies are collectively referred to as the OneAmerica Group. (OneAmerica) (Indianapolis, IN). In addition, AM Best has affirmed the Long-Term ICR of “a-” (Excellent) and the Long-Term Issue Credit Ratings (Long-Term IR) of OneAmerica Financial Partners, Inc. The outlook of these Credit Ratings (ratings) is stable. (See below for detailed listings of the Long-Term IRs.)
The ratings reflect OneAmerica’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, favorable business profile and very strong enterprise risk management.
OneAmerica’s very strong balance sheet assessment is supported by its very strong risk-adjusted capital, as measured by Best’s Capital Adequacy Ratio (BCAR). The overall balance sheet has strengthened as a result of improved capital generation and earnings after the sale of its recordkeeping business to Voya Financial Inc., in 2025. Strong risk-based capital, adequate liquidity and manageable leverage are positive factors for this assessment. AM Best will continue to monitor longer-duration liabilities, reinsurance counterparty exposure and liquidity under stress as the business mix evolves.
OneAmerica’s adequate operating performance assessment reflects its history of maintaining profitability.
Operating performance has significantly improved in 2025, and throughout 2026, supported by stronger product margins, favorable insurance experience, investment income and lower expenses from transformation work. Earnings have reached record highs as of 2025 and continue to maintain this pace throughout 2026. AM Best will monitor for sustainability and consistency of profitability in upcoming financial cycles given the potential volatility that can come from pension risk transfer, group annuity activity and reinsurance.
OneAmerica has a diversified business mix spanning individual life and annuities, Care Solutions, employee benefits and institutional markets. The company’s strong market position in the Care Solutions products franchise and national distribution reach support its competitive position and market presence, while the sale of the recordkeeping business sharpened management’s strategy to focus and reinvest in its core insurance businesses. There are material plans to grow its core lines of business over the short term and long term. OneAmerica is focused on long-term goals supporting growth of its core businesses, including technological capabilities to support claims administration, as well as client needs.
OneAmerica has a well-developed risk framework, with board oversight, defined risk tolerances, as well as stress testing across capital, earnings and liquidity. Risk management has adapted as the company has repositioned its business and addressed financial exposure. The company plans to monitor operational risks with a focus on technology changes, cybersecurity, third party oversight and execution of remaining transformation work.
The following Long-Term IRs have been affirmed with stable outlooks:
OneAmerica Financial Partners, Inc.—
- “a-” (Excellent) on USD 400 million 4.25% senior unsecured notes, due 2050
- “a-” (Excellent) on USD 200 million 7% senior unsecured notes, due 2033
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.