AM Best Affirms Credit Ratings of Philadelphia Insurance Companies’ Members

OLDWICK, N.J.--(BUSINESS WIRE)--
AM Best has affirmed the Financial Strength Rating of A++ (Superior) and the Long-Term Issuer Credit Ratings of “aa+” (Superior) of Philadelphia Indemnity Insurance Company and its affiliate, Tokio Marine Specialty Insurance Company (both headquartered in Bala Cynwyd, PA), which operate under a pooling agreement, collectively referred to as Philadelphia Insurance Companies (Philadelphia). The outlook of these Credit Ratings (ratings) is stable.

The ratings reflect Philadelphia’s balance sheet strength, which AM Best assesses as strongest, as well as its strong operating performance, favorable business profile and very strong enterprise risk management (ERM).

The group’s risk-adjusted capital position is at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR), and has benefited from consistent operating profitability that compares favorably with peer companies and the industry over multiple time periods and insurance market cycles. Retained earnings and a highly diversified invested asset base provide depth and breadth in its balance sheet. The ratings also recognize the group’s position as a well-established market leader in specialty markets and exceptional diversification by jurisdiction, product lines, market segments and distribution channels. The ratings also consider the operational, financial and ERM support provided by Tokio Marine & Nichido Fire Insurance Co., Ltd., which is the lead insurance operating company in the Tokio Marine Holdings, Inc. organization. These factors include day-to-day operational synergies across its U.S.-based subsidiaries, reinsurance support and sophisticated economic capital modeling.

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.

Copyright © 2022 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

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Edin Imsirovic
Associate Director

+1 908 439 2200, ext. 5740

edin.imsirovic@ambest.com

Greg Williams
Senior Director

+1 908 439 2200, ext. 5815

greg.williams@ambest.com

Christopher Sharkey
Manager, Public Relations

+1 908 439 2200, ext. 5159

christopher.sharkey@ambest.com

Al Slavin
Senior Public Relations Specialist

+1 908 439 2200, ext. 5098

al.slavin@ambest.com

Source: AM Best