A.M. Best Assigns Ratings to Falls Lake Fire and Casualty Company

OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best has assigned a financial strength rating of A- (Excellent) and an issuer credit rating of “a-” to Falls Lake Fire and Casualty Company (Falls Lake Fire) (San Francisco, CA). The outlook assigned to each rating is positive.

The ratings reflect the company’s role as a U.S.-based affiliate of JRG Reinsurance Company, Ltd. (JRG Re). Factors supporting this relationship include an alignment of strategy, common ultimate ownership and common management. In addition, explicit support is provided through significant reinsurance coverages. Falls Lake Fire will cede 70% of its net business to JRG Re and participate in the pooling agreement between all of the U.S.-based property/casualty insurance companies in the organization.

The ratings could be positively impacted by JRG Re and the U.S. operations continuing to demonstrate improvement in underwriting results across its segments and by improving JRG Re’s capital adequacy. The ratings could be negatively impacted by weaker underwriting results in any one segment (e.g., workers’ compensation) or weakened capital adequacy, as measured by Best’s Capital Adequacy Ratio (BCAR), which does not support the rating.

This press release relates to rating(s) that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page.

A.M. Best 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

Robert Raber, +1 908-439-2200, ext. 5696

Senior Financial Analyst

[email protected]

or

Andrew Colannino, +1 908-439-2200, ext. 5706

Vice President

[email protected]

or

Christopher Sharkey, +1 908-439-2200, ext. 5159

Manager, Public Relations

[email protected]

or

Jim Peavy, +1 908-439-2200, ext. 5644

Assistant Vice President, Public Relations

[email protected]

Source: A.M. Best