Centauri Insurance’s Rating Under Review After Termination of Avatar Acquisition
The Financial Stability Rating (FSR) of A, Exceptional, assigned to Louisiana’s Centauri National Insurance Co. by Demotech Inc. may be subject to change as Centauri National’s parent company, Centauri Specialty Insurance Co., has terminated its planned acquisition by Avatar Partners LP, parent of Avatar Property & Casualty Insurance Co.
Demotech said in January that Centauri National’s A FSR rating would be sustained as a result of the planned acquisition by Avatar. The rating of Centauri National’s FSR is now under review by Demotech, according to information on the ratings agency’s website. The A FSR rating of Centauri Specialty Insurance, which is based in Florida is also under review.
Centauri National Insurance Co. is a Louisiana domiciled subsidiary of Centauri Specialty Insurance Co. and part of Centauri Specialty Insurance Holdings Inc. a Delaware holding company. The company was formed in 2017 and offers a variety of residential products in Louisiana including homeowners, dwelling and fire, in addition to specialty lines such as flood, hurricane and wind.
Centauri last week issued a message to agents that it would “pursue alternative capital solutions and therefore will move forward independent of Avatar Insurance.”
It added that the diversion from the planned acquisition “will in no way impact our ability to serve our policyholders. We take our mission statement seriously when we say we will be here when they need us.”
Centaur also offers its insurance products in Hawaii.
Avatar is an admitted carrier in the state of Florida since 2008 with assets of approximately $50 million. It offers homeowners insurance, condo insurance, manufactured home insurance, and commercial building insurance across the state.