A.M. Best Affirms Ratings of Transportation Property and Casualty Company Inc.

OLDWICK, N.J. - (BUSINESS WIRE) - A.M. Best Co. has affirmed the financial strength rating of A- (Excellent) and issuer credit rating of “a-” of Transportation Property and Casualty Company Inc. (TPCC) (British Columbia, Canada). The outlook for both ratings is stable.

These ratings are based on TPCC’s excellent capitalization and operating performance and its favorable profile as part of public transportation authorities, South Coast British Columbia Transportation Authority (SCBCTA) and BC Transit. TPCC is owned by the SCBCTA (90%) and BC Transit (10%). Partially offsetting these positive rating factors is TPCC’s relatively small scale of operation and dependence on reinsurance to participate in its policyholders’ high excess coverage limits.

TPCC is a sophisticated captive insurance company, which provides primary insurance coverage solely to SCBCTA and BC Transit. The captive also participates in excess liability and property insurance agreements for its shareholders; however, it cedes 100% of these participations to well-rated reinsurers. TPCC has demonstrated its usefulness and effectiveness to the transportation authorities over many years by providing them flexibility for insurance program structuring and substantial insurance cost efficiencies.

A.M. Best remains the leading rating agency of captive insurers rating a wide variety of more than 200 captives in the United States and throughout the world.

For current Best’s Credit Ratings and independent data on the captive and alternative insurance market, please visit www.ambest.com/captive.

The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.

A.M. Best Co. Analysts: Fred Eslami,        908-439-2200, ext. 5406 [email protected] or Steven        Chirico, CPA, 908-439-2200, ext. 5087 [email protected] or Public        Relations: Rachelle Morrow, 908-439-2200, ext. 5378 [email protected] or Jim        Peavy, 908-439-2200, ext. 5644 [email protected]