MAY 25, 2023 10:13 AM (EDT)
AM Best Assigns Issue Credit Rating to The Progressive Corporation’s Senior Unsecured Notes
|Christopher Draghi |
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Associate Director, Public Relations
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Senior Public Relations Specialist
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FOR IMMEDIATE RELEASE
OLDWICK - MAY 25, 2023 10:13 AM (EDT)
AM Best has assigned a Long-Term Issue Credit Rating (Long-Term IR) of “a” (Excellent) to the recently announced $500 million of 4.95% senior unsecured notes, due 2033, issued by The Progressive Corporation (Progressive) (Mayfield Village, OH) [NYSE: PGR]. The outlook assigned to this Credit Rating (rating) is stable.
The Long-Term IR assignment considers the rating profiles of Progressive’s principal insurance subsidiary units, as well as the parent company’s financial leverage, interest coverage and overall debt servicing profile. Following this issuance, AM Best expects that financial leverage and coverage metrics for Progressive to remain within guidelines for the assigned rating. Progressive intends to use the proceeds from this issuance for general corporate purposes.
Progressive’s Long-Term Issuer Credit Rating of “a” (Excellent), with an outlook of stable, along with the ratings and outlooks on its other debt issuances and operating subsidiaries, remains unchanged.
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.