A.M. Best Upgrades Pennsylvania’s Farmers Mutual Fire Insurance
A.M. Best has upgraded the Financial Strength Rating of Farmers Mutual Fire Insurance Company of Marble, Penn., to A (Excellent) from A- (Excellent) and the Long-Term Issuer Credit Rating to “a” from “a-“. The outlooks of these credit ratings have also been revised to stable from positive, according to a press release issued by A.M. Best.
The ratings reflect Farmers Mutual’s balance sheet strength, as well as its strong operating performance, limited business profile and appropriate enterprise risk management. The press release stated the rating actions also reflect Farmers Mutual’s increased balance sheet strength, driven by its risk-adjusted capitalization and growth in policyholders’ surplus over the past five years. This is primarily a result of strong operating earnings, stable loss reserving trends, a comprehensive reinsurance program with strong partners and a high-quality investment portfolio.