CONTACTS:
FOR IMMEDIATE RELEASE
OLDWICK - SEPTEMBER 19, 2017 03:18 PM (EDT)
A.M. Best has revised the outlooks to positive from stable and affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of “bbb+” of Wayne Cooperative Insurance Company (Wayne Coop) (Clyde, NY).
The revised outlooks reflect Wayne Coop’s improved underwriting and operating performance in recent years, following management’s strategic initiatives to improve overall profitability.
The rating affirmations reflect Wayne Coop’s strong risk-adjusted capitalization, which is reflective of favorable loss reserving trends and a high quality investment portfolio. The ratings also consider Wayne Coop’s long-standing market presence as a cooperative insurer in upstate New York. These positive rating factors are partially offset by the company’s limited business profile as a single-state writer in New York, which exposes results to severe weather-related events and to regulatory and judicial challenges. However, the company maintains a comprehensive reinsurance program to mitigate such risks. Additionally, Wayne Coop continues to have an elevated expense ratio, driven mainly by the commission expense ratio, which marginally compresses underwriting results.
This press release relates to Credit Ratings that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
A.M. Best is the world’s oldest and most authoritative insurance rating and information source.