A.M. Best Withdraws Canadian Public Data Ratings; Will Maintain Interactive Ratings

OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best Co. has withdrawn its Canadian public data (pd) ratings, as previously indicated in a press release issued April 27, 2010. A category NR-5 (Not Formally Followed) has been assigned to the financial strength ratings (FSR) and an “nr” to the issuer credit ratings (ICR) of formerly pd rated Canadian property/casualty insurers. A.M. Best will continue to maintain its interactive ratings of Canadian property/casualty and life insurers.

The withdrawal of the pd ratings is a reflection of the increasing challenges facing the Canadian property/casualty industry. These challenges include upcoming changes in accounting standards, an active regulatory environment, especially in provinces with private automobile insurance systems, a trend of more frequent and severe weather-related events and continued volatility in the investment markets. As a result, it has become more difficult to assign ratings based solely on public data without interaction with insurance company management.

A.M. Best remains committed to providing ratings for the Canadian property/casualty and life insurance industries. Currently, A.M. Best interactively rates 176 Canadian companies inclusive of individual property/casualty, life companies and Canadian branches.

The pd ratings for the following companies have been withdrawn and a category NR-5 (Not Formerly Followed) has been assigned to the FSRs and an “nr” to the ICRs:

• Alberta Motor Association Insurance Company
• Algoma Mutual Insurance Company
• Allstate Insurance Company of Canada
• Alpha Assurance Company
• Antigonish Farmers Mutual Insurance Company
• Aviva Insurance Company of Canada
• Canadian Direct Insurance Inc.
• Certas Direct Insurance Company
• Clare Mutual Insurance Company
• CUMIS General Insurance Company
• The Dominion of Canada General Insurance Company
• Economical Mutual Insurance Company
• Elite Insurance Company
• Federation Insurance Company of Canada
• Fenchurch General Insurance Company
• First North American Insurance Company
• Glengarry Mutual Insurance Company
• Gore Mutual Insurance Company
• Grain Insurance and Guarantee Company
• Green Shield Canada
• Industrielle Alliance, Assurance Auto et Habitation, Inc.
• The Kings Mutual Insurance Company
• La Capitale, Compagnie D’Assurance Generale
• Legacy General Insurance Company
• L’Unique Compagnie D’Assurances Generales
• The Mutual Fire Insurance Company of B.C.
• North Waterloo Farmers Mutual Insurance Company
• Omega General Insurance Company
• Pacific Coast Fishermens Mutual Marine Insurance Company
• Pafco Insurance Company Ltd
• Pembridge Insurance Company
• The Personal Insurance Company
• Perth Insurance Company
• Pictou County Farmers Mutual Fire Insurance Company
• Pool Insurance Company
• The Portage La Prairie Mutual Insurance Company
• Primmum Insurance Company
• Prince Edward Island Mutual Insurance Company
• Promutuel Reassurance
• RBC General Insurance Company
• RBC Insurance Company of Canada
• Red River Valley Mutual Insurance Company
• S&Y Insurance Company
• Saskatchewan Mutual Insurance Company
• Security National Insurance Company
• TD General Insurance Company
• TD Home and Auto Insurance Company
• Traders General Insurance Company
• Waterloo Insurance Company
• Western Surety Company

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. Methodologies 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.
Jacqalene Catrino
Financial Analyst
908-439-2200, ext. 5762
[email protected]
or
Jeffrey Mango, CPA
Assistant Vice President
908-439-2200, ext. 5204
[email protected]
or
Rachelle Morrow
Senior Manager, Public Relations
908-439-2200, ext. 5378
[email protected]
or
Jim Peavy
Assistant Vice President, Public Relations
908-439-2200, ext. 5644
[email protected]

Source: A.M. Best Co.