To:
All Agents
RE:
A.M. Best A Rating Affirmation
DATE:
December 19, 2019
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A.M. Best Rating Services recently concluded their Financial Strength and Long-Term Issuer Credit Rating review for Loudoun Mutual Insurance Company. Loudoun Mutual received a Financial Strength Rating of “A” (Excellent) and a Long-Term Issuer Credit Rating of “a” (Excellent). A Financial Strength Rating of “A” (Excellent) is assigned to companies that have an excellent ability to meet their ongoing insurance obligations while a Long-Term Issuer Credit Rating of “a” (Excellent) is assigned to entities that have an excellent ability to meet their ongoing senior financial obligations.
In the A.M. Best Press Release, it was also noted that Loudoun Mutual is experiencing unfavorable financial and market trends due to volatile weather related events. These events contributed to a downturn in underwriting and operating performance resulting in a “negative outlook” as part of A.M. Best's rating methodology. To counteract these events, Loudoun Mutual received strong praise for corrective initiatives to improve the company’s long-term performance that included weather analytics for claims and underwriting, as well as targeted rate strengthening in select territories. Due to these corrective actions and lessened impact from weather related events, 2019 results strengthened our 36-month metrics that factor into Best Credit Ratings and opinion outlooks.
The year 2019 marked 170 years Loudoun Mutual Insurance Company has had the privilege of working with the finest independent insurance agencies Virginia has to offer. Together, this relationship services over 68,000 policyholders with a mutual goal to provide prompt, accurate and fair handling of claims, with professionalism and good faith to aid our policyholders in their time of need with compassion and integrity. Thank you for your contribution to past successes enabling our bright future.
Resources:
Chris Shipe, President, CPCU, AIT
Loudoun Mutual Insurance Company
