A.M. Best Downgrades Ratings of Partners Mutual Insurance Company

OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best Co. has downgraded the financial strength rating to B (Fair) from B+ (Good) and issuer credit rating to “bb” from “bbb-” ofPartners Mutual Insurance Company (Partners) (Waukesha, WI). The outlook for both ratings has been revised to stable from negative.

These rating actions reflect Partners’ trend of deteriorating underwriting performance, elevated expense structure, declining policyholders’ surplus and geographic concentration of risks that exposes it to severe weather-related events. Offsetting these negative rating factors are the company’s long-standing agency relationships and strategy to improve underwriting results.

The principal methodology used in determining these ratings is Best’s Credit Rating Methodology -- Global Life and Non-Life Insurance Edition, which provides a comprehensive explanation of A.M. Best’s rating process and highlights the different rating criteria employed. Additional key criteria utilized include: “Risk Management and the Rating Process for Insurance Companies”; “Understanding BCAR for Property/Casualty Insurers”; “Natural Catastrophe Stress Test Methodology”; and “Catastrophe Analysis in A.M. Best Ratings.” Methodologies can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

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A.M. Best Co.
Michael Russo, 908-439-2200, ext. 5372
Financial Analyst
[email protected]
or
Gary Davis, 908-439-2200, ext. 5665
Assistant Vice President
[email protected]
or
Rachelle Morrow,908-439-2200, ext. 5378
Senior Manager, Public Relations
[email protected]
or
Jim Peavy, 908-439-2200, ext. 5644
Assistant Vice President, Public Relations
[email protected]

Source: A.M. Best Co.