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FOR IMMEDIATE RELEASE
OLDWICK - OCTOBER 05, 2017 02:52 PM (EDT)
A.M. Best has commented that the Credit Ratings (ratings) of Elan Solutions, Inc. (Elan) (d/b/a United West Indies Insurance) (St. Thomas, U.S. Virgin Islands) are unaffected following the recent hurricanes that have impacted the U.S. Virgin Islands. A.M. Best has conducted conversations with Elan’s management team regarding the operations and financial condition of Elan, which primarily provides coverage in the U.S. Virgin Islands, and has determined that the ratings will be unchanged despite the extensive damage to the infrastructure and disruption of medical care on the islands. Management has confirmed various operational aspects, including premium collections and claims processing, are unaffected as these are outsourced to vendors operating in geographies outside of the Caribbean region affected by Hurricanes Irma and Maria.
A.M. Best expects premiums to continue to be collected given Elan’s model of collecting premium via automated ACH debit transactions. Medical claims are anticipated to decline in the near term following the catastrophic events, but return to more normal levels by the end of fourth-quarter 2017. Any uptick in membership may be contingent upon the speed of recovery ahead of the tourist season. Additionally, Elan’s third-quarter statutory financial statements are expected to be filed on a timely basis. A.M. Best will continue to conduct conversations with Elan regarding further impact to the company’s operations and potential spike in medical utilization, as the U.S. Virgin Islands continue to recover. Furthermore, A.M. Best will closely monitor third and fourth-quarter 2017 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.
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