OLDWICK, NJ–(BUSINESS WIRE)–AM Best placed under review with positive implications the financial strength rating of B++ (good) and the issuer’s long-term credit rating of “bbb” (good) from Amalgamated Casualty Insurance Company (ACIC) (head office at Chevy Chase, MD).
The status under review of these credit ratings (ratings) reflects ACIC’s planned demutualization which is expected to become effective in March 2022. Upon completion, ACIC will convert to a corporation ultimately owned by its underwriters. , employees, officers, directors and administrators. other investors.
Simultaneously, ACIC will be renamed “Forge Insurance Company”, as new senior management implements the company’s plan to focus future business growth on frequency/severity classes and lower jurisdictions within the segment commercial automotive, which management believes should reduce ACIC’s risk profile on a prospective basis. The status of positive implications takes into consideration all of the above factors and the significant steps new management has taken so far to strengthen the company’s enterprise risk management framework and capabilities prior to the transaction, in order to execute his new business plan in the future.
The ratings are expected to remain under review until the transaction closes and AM Best has assessed its impact on the company’s credit fundamentals.
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