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FOR IMMEDIATE RELEASE
OLDWICK - APRIL 24, 2019 08:17 AM (EDT)
AM Best has assigned a Financial Strength Rating of A (Excellent) and a Long-Term Issuer Credit Rating of “a” to Chiron Insurance Company (Chiron) (Algona, IA), the new renamed subsidiary (formerly PMC Quality Commitment, Inc., a non-insurance subsidiary) of the Pharmacists Mutual Insurance Group (PMIG). The outlook assigned to these Credit Ratings (ratings) is stable.
Concurrently, this ratings assignment follows the successful execution of a quota share reinsurance agreement with Pharmacists Mutual Insurance Company (PMIC) and the assignment of an “r” reinsurance affiliation code. PMIC’s ratings have been extended to Chiron due to the significant level of reinsurance support provided by PMIC, the lead member of PMIG. Chiron is licensed in ten states, and with a second property/casualty company within the group, it allows for greater underwriting flexibility. The company initially plans to write workers’ compensation policies. Chiron received approval for its Certificate of Authority as a Property & Casualty Insurance Company in its domicile state of Iowa on April 24, 2018, and was funded through a transfer of securities totaling $15 million from its parent, PMIC.
The ratings reflect PMIG’s balance sheet strength, which AM Best categorizes as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management.
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 Understanding 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.
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