A.M. Best Removes from Under Review and Withdraws Ratings of Philadelphia–United Life Insurance Company

OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best Co. has removed from under review with positive implications and affirmed the financial strength rating (FSR) of B+ (Good) and issuer credit rating (ICR) of “bbb-” of Philadelphia–United Life Insurance Company (P-UL) (Bala Cynwyd, PA). The outlook assigned to both ratings is stable. Concurrently, A.M. Best has withdrawn the ratings and assigned a category NR-5 (Not Formally Followed) to the FSR and an “nr” to the ICR.

The rating actions reflect the change in ownership of P-UL, which has been merged into TheBaltimore Life Insurance Company(BLI) (Owings Mills, MD), effective December 31, 2010.

The FSR of B++ (Good) and ICR of “bbb+” of BLI are unaffected. A.M. Best notes that this transaction will benefit BLI due to P-UL’s similar product offerings, potential for expense efficiencies while increasing premiums and the utilization of P-UL’s distribution system.

The principal methodologies used in determining these ratings are 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: “Understanding BCAR for Life/Health Insurers”; “Risk Management and the Rating Process for Insurance Companies”; and “Assessing Country Risk.” 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.

Copyright © 2011 by A.M. Best Company, Inc.ALL RIGHTS RESERVED.

A.M. Best Co.
Frank J. Walko, 908-439-2200, ext. 5072
Financial Analyst
[email protected]
or
Raj H. Shah, 908-439-2200, ext. 5409
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.