AM Best Affirms Credit Ratings of Everspan Indemnity Insurance Company and Its Affiliates

Business Wire

OLDWICK, N.J.--(BUSINESS WIRE)--
AM Best has affirmed the Financial Strength Rating (FSR) of A- (Excellent) and Long-Term Issuer Credit Ratings (Long-Term ICR) of “a-” (Excellent) of Everspan Indemnity Insurance Company (Tempe, AZ) and its affiliates, collectively referred to as Everspan Group. The outlook of these Credit Ratings (ratings) is stable. (See below for a listing of the companies and ratings.)

The ratings reflect Everspan Group’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).

Everspan Group’s very strong balance sheet strength assessment is supported by a financial flexibility benefit received from its publicly traded ultimate parent, Octave Specialty Group, Inc. [NYSE: OSG], in addition to its high-quality investment portfolio. These positive factors are partially offset by adverse development of reserves and volatility in both operating results and risk-adjusted capitalization in the most recent period.

AM Best assesses Everspan Group’s operating performance as adequate based on execution and implementation of its business plan during its formative stages. Operating performance is largely in line with that plan following operating profitability in the most recent two years. However, operating results did experience volatility in the first quarter of 2026 due to a large net loss that added approximately 39.6 percentage points to the group’s combined ratio. The group is expected to stabilize results by year-end, followed by a return to profitability.

AM Best views Everspan Group’s business profile as limited. This reflects the group’s position as a participating fronting carrier and specialty program writer operating within the competitive fronting space. Everspan Group provides services for a diverse mix of managing general agents aligned with highly rated reinsurance partners. The enterprise retains a strategic level of net premium on select programs and employs a gross lines approach to underwriting.

AM Best assesses Everspan Group’s ERM as appropriate. The ERM framework reflects a clearly defined risk appetite structure; it addresses the heightened risks inherent in the group’s business profile and was developed by its experienced management team.

The FSR of A- (Excellent) and the Long-Term ICRs of “a-” (Excellent) have been affirmed with stable outlooks for the following members of Everspan Group:

Everspan Indemnity Insurance Company
Everspan Insurance Company
Greenwood Insurance Company
Consolidated Specialty Insurance Company
Providence Washington Insurance Company

This press release relates to Credit Ratings that have been published on AM 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 AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.