OLDWICK, NJ–(BUSINESS WIRE)–AM Best upgraded the financial strength rating (FSR) from A (Excellent) to A- (Excellent) and the issuer’s long-term credit rating (long-term ICR) to “a” (Excellent) from “a- (Excellent) from Auto Club Insurance Company of Florida (ACICF). In addition, AM Best confirmed Auto Club South Insurance Company (ACSIC)’s FSR of A (Excellent) and long-term ICR of “a” (Excellent). Together, these companies form the Auto Club Florida group (Auto Club Florida) and are domiciled in Tampa FL. The outlook for these credit ratings is stable. At the same time, AM Best confirmed the FSR of A (Excellent) and the long-term ICR of “a” (Excellent) of the Auto Club Insurance Association (ACIA) (Dearborn, MI) and its wholly owned subsidiaries, which are collectively referred to as Groupe Auto Club (ACG). The outlook for these ratings is stable.
Auto Club Florida’s ratings reflect the strength of its balance sheet, which AM Best rates as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).
Auto Club Florida’s ratings also reflect AM Best’s assessment of the financial support offered by its ownership group (CFIA, 91.7% ownership and ACG, 8.3% ownership). Both CFIA and ACG are committed to supporting growth and ongoing operations as needed. As in the past, capital will be called into the group at the discretion of the property within the guidelines outlined in the pre-determined capital risk tolerance framework.
ACG’s ratings reflect the strength of its balance sheet, which AM Best rates as very strong, as well as adequate operating performance, neutral business profile and appropriate ERM.
FSR of A (Excellent) and long-term KPIs of “a” (Excellent) have been confirmed for the following wholly owned subsidiaries of the Auto Club Insurance Association:
MemberSelect Insurance Company
Multi-risk insurance company Auto Club
Auto Club group insurance company
Meemic Insurance Company
Fremont Insurance Company
Members insurance company
Universal Insurance Company (NC)
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