A.M. Best Affirms Financial Strength Ratings
By Pekin Insurance · Oct 24, 2022 ·0 min read
A.M. Best has affirmed the FSR of “A-” (Excellent) of Pekin Insurance® Group and our intercompany pool members, the Farmers Automobile Insurance Association, its wholly owned subsidiary, Pekin Insurance Company, and Pekin Select Insurance Company (a wholly owned subsidiary of Pekin Insurance Company). The outlook remains stable.
The affirmed rating reflects:
The affirmed rating reflects:
- The P&C Group’s balance sheet strength which A.M. Best categorizes as very strong, a neutral business profile, and appropriate enterprise risk management.
- Strong risk-adjusted capitalization that is driven by our high-quality investment portfolio with adequate liquidity and historically favorable loss reserves.
- Management’s efforts to continually enhance our enterprise risk management program to support our risk profile.
A.M. Best continues to assess the P&C Group’s operating performance as marginal due to volatile underwriting results. This rating acknowledges our expectation for reduced volatility in operating results based on underwriting initiatives and upgraded technology while maintaining balance sheet strength.
PLIC Rating Affirmation
A.M. Best also affirmed the FSR of “A-” (Excellent) for Pekin Life Insurance Company. The outlook remains stable. The ratings of PLIC reflect its:
• Highly diverse investment portfolio that is of good credit quality
• Strong risk-adjusted capitalization
• Diversified product portfolio
The FSRs are published in A.M. Best’s Insurance Reports. They represent their independent opinion of an insurer's financial strength and ability to meet its ongoing insurance policy and contract obligations.
PLIC Rating Affirmation
A.M. Best also affirmed the FSR of “A-” (Excellent) for Pekin Life Insurance Company. The outlook remains stable. The ratings of PLIC reflect its:
• Highly diverse investment portfolio that is of good credit quality
• Strong risk-adjusted capitalization
• Diversified product portfolio
The FSRs are published in A.M. Best’s Insurance Reports. They represent their independent opinion of an insurer's financial strength and ability to meet its ongoing insurance policy and contract obligations.