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FOR IMMEDIATE RELEASE
OLDWICK - SEPTEMBER 20, 2018 03:10 PM (EDT)
A.M. Best has upgraded the Financial Strength Rating (FSR) to A+ (Superior) from A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICRs) to “aa-” from “a+” of American Strategic Insurance Corp (ASI) and certain affiliates. The outlook of these Credit Ratings (ratings) has been revised to stable from positive. Concurrently, A.M. Best has assigned an FSR of A+ (Superior) and a Long-Term ICR of “aa-” to Progressive Property Insurance Company, a newly added affiliate. The outlook assigned to these ratings is stable. ASI and Progressive Property Insurance Company are domiciled in St. Petersburg, FL. See below for a detailed list of affiliates that have received rating upgrades.
The ratings reflect ASI’s balance sheet strength, which A.M. Best categorizes as very strong, as well as its adequate operating performance, favorable business profile and appropriate enterprise risk management.
The rating upgrades for ASI reflect the financial and operational enhancements that its ultimate parent, The Progressive Corporation (Progressive), has continued to provide to ASI since the acquisition of majority ownership in ASI and its affiliates in 2015. ASI’s distribution network has been broadened further through Progressive’s extensive advertising campaigns, market penetration and bundling opportunities between ASI’s exclusively homeowners line of business, and Progressive’s market profile as one of the leading writers of automobile insurance in the United States. Progressive also provides financial flexibility to further support ASI’s expanding geographic footprint and policy growth initiatives.
ASI maintains concentrations in coastal states, which exposes the group to tropical weather events. However, the group utilizes strict underwriting criteria and risk management methods to emphasize focus on writing in more inland areas. In addition, ASI employs a comprehensive catastrophe reinsurance program that reduces net losses in the event of severe weather events.
The FSR has been upgraded to A+ (Superior) from A (Excellent), the Long-Term ICRs upgraded to “aa-” from “a+” and the outlooks of these ratings revised to stable from positive for the following affiliates of American Strategic Insurance Corp:
This press release relates to Credit Ratings that have been published on A.M. 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 A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
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