A.M. Best Upgrades Rating of Philadelphia Consolidated Holding Corp. and Affirms the Ratings of Its Subsidiaries
30 May 2008 - 5:05AM
Business Wire
A.M. Best Co. has upgraded the ICR to �a-� from �bbb+� of
Philadelphia Consolidated Holding Corp. (Philadelphia Consolidated)
(Bala Cynwyd, PA) [NASDAQ: PHLY] and affirmed the financial
strength rating (FSR) of A+ (Superior) and issuer credit ratings
(ICR) of �aa-�of Philadelphia Insurance Companies (Philadelphia)
and its members. Concurrently, A.M. Best also has affirmed the FSR
of A- (Excellent) and ICRs of �a-� of Liberty American Insurance
Group (Liberty American) and its members. Philadelphia Consolidated
is the parent holding company of the member companies of
Philadelphia and Liberty American. The outlook for all ratings is
stable. (See below for a detailed listing of the companies and
ratings.) The ICR of Philadelphia Consolidated acknowledges its
excellent balance sheet strength and considerable financial
flexibility. For liquidity purposes, Philadelphia Consolidated
maintains a $50.0 million revolving credit facility, of which $15.0
million was available as of March 31, 2008. In addition, the two
insurance companies that comprise Philadelphia are members of the
Federal Home Loan Bank of Pittsburgh (FHLB), providing a borrowing
capacity of approximately $736.9 million as of March 31, 2008. The
rating actions on Philadelphia recognize its consistently superior
operating results, strong capitalization and excellent market
presence as a writer of specialty commercial business. The ratings
also acknowledge the group�s excellent operating cash flow, solid
liquidity measures and the financial flexibility of Philadelphia
Consolidated. The rating actions on Liberty American reflect its
strong capitalization and adequate liquidity in support of the
current plan not to renew all of the Florida-domiciled group�s
personal lines business, except for the business it writes under
the National Flood Insurance Program. These positive rating factors
are partially tempered by Liberty American�s narrow geographic
concentration and the inherent susceptibility of its run-off book
of Florida property business to catastrophe losses. The ICR of
�bbb+� for Philadelphia Consolidated Holding Corp. has been
upgraded to �a-�. The FSR of A+ (Superior) and ICRs of �aa-� have
been affirmed for Philadelphia Insurance Companies and its
following members: Philadelphia Indemnity Insurance Company
Philadelphia Insurance Company The FSR of A- (Excellent) and ICRs
of �a-� have been affirmed for Liberty American Insurance Group and
its following members: Liberty American Insurance Company Liberty
American Select Insurance Company Founded in 1899, A.M. Best
Company is a global full-service credit rating organization
dedicated to serving the financial and health care services
industries, including insurance companies, banks, hospitals and
health care system providers. For more information, visit
www.ambest.com.
Philadelphia Consolidated (NASDAQ:PHLY)
Historical Stock Chart
From Jul 2024 to Jul 2024
Philadelphia Consolidated (NASDAQ:PHLY)
Historical Stock Chart
From Jul 2023 to Jul 2024
Real-Time news about Philadelphia Consolidated Corp (MM) (NASDAQ): 0 recent articles
More A.M. Best Co. News Articles