DECEMBER 18, 2019 04:26 PM (EST)
AM Best Revises Issuer Credit Rating Outlook to Stable for Modern Woodmen of America
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FOR IMMEDIATE RELEASE
OLDWICK - DECEMBER 18, 2019 04:26 PM (EST)
AM Best has revised the outlook to stable from negative for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the Financial Strength Rating (FSR) of A (Excellent) and the Long-Term ICR of “a+” of Modern Woodmen of America (Modern Woodmen) (Rock Island, IL). The outlook of the FSR remains stable.
The ratings reflect Modern Woodmen’s balance sheet strength, which AM Best categorizes as strongest, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM).
The Long-Term ICR outlook revision reflects Modern Woodmen’s strong liquidity, reduction of equity exposure in its well-diversified investment portfolio and growing capital and surplus, all of which have led to an improvement in the overall strength of the balance sheet. Partially offsetting this is mostly flat premium growth the last several years and overall net income heavily supported by capital gains. Modern Woodmen continues to have a strong market position within the fraternal industry.
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 provider specializing in the insurance industry. The company does business in more than 100 countries. Headquartered in Oldwick, NJ, AM Best has offices in cities around the world, including London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.