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FOR IMMEDIATE RELEASE
OLDWICK, N.J. - SEPTEMBER 10, 2009 12:00 AM (EDT)
A.M. Best Co. has assigned a financial strength rating of A- (Excellent) and an issuer credit rating of "a-" to Constitution Insurance Company (CIC) (Syracuse, NY). The assigned outlook is stable.
The ratings assigned to CIC reflect its strong capitalization and targeted earnings and capital accumulation projections, set forth by management in its start-up phase of operations. The ratings further recognize the company's strong balance sheet, which is uninhabited of any prior year reserve liabilities, along with the successful track record of the executive team. The ratings also reflect the expectation that management will operate in the manner that is consistent with the business plan presented to A.M. Best during the initial rating process.
CIC provides employment practices liability insurance, defense costs only ($100,000 aggregate per occurrence) on a claims-made basis.
A.M. Best will continue to monitor CIC's progress in achieving its business plan to ensure that premium growth and the accumulation of loss reserves do not strain its risk-adjusted capitalization and that overall operating results are achieved in accordance with rating expectations.
For Best's Credit Ratings, an overview of the rating process and rating methodologies, please visit Best's Ratings & Analysis.
The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at Best's Credit Rating Methodology.
Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers.