Gainsco Insurance Subsidiary Upgraded

Dallas-based Gainsco Inc. announced that A.M. Best has upgraded the financial strength rating (FSR) of Gainsco’s principal insurance subsidiary, MGA Insurance Co. Inc., to B+ (Good) from B (Fair).

The issuer credit rating (ICR) of the insurance company was also upgraded to “bbb-” from “bb+”. The outlook for both ratings has been revised to stable from positive.

Concurrently, A.M. Best has withdrawn the ICR of “b” of Gainsco Inc. and assigned an “nr” to the ICR. The ICR withdrawal is due to the delisting of the company’s stock from the NYSE Amex exchange effective Jan, 31, 2011.

Gainsco was established in 1978 and specializes in minimum-limits personal auto coverage and actively distributes its nonstandard personal auto products through independent retail agents in Florida, Georgia and South Carolina (Southeast Region) and in Arizona, New Mexico and Texas (Southwest Region).

Source: Gainsco Inc.