Latest news with #AMBest
Yahoo
6 hours ago
- Business
- Yahoo
Insurance costs edge higher for Florida homeowners and condo owners
The upward rise in costs for homeowner insurance in Florida resumed during the first quarter of 2025, with average premium costs edging higher after dipping slightly in late 2024, new data released by the Florida Office of Insurance Regulation shows. The average premium paid by owners of single-family homes in Florida increased by 0.3% — climbing from $3,646 to $3,658 — between the fourth quarter of 2024 and the first quarter of 2025, according to a South Florida Sun Sentinel comparison of figures released in the office's quarterly Residential Market Share Report. Condo unit owners saw their costs increase by 0.8%, from $1,714 to $1,729 during the period, the data shows. Homeowner insurance costs fell by 0.7% in fourth quarter of 2024 Home insurance costs in Florida spiked in third quarter. Are more increases on the way? Condo association insurance costs doubled since 2022, new data shows Your insurance costs won't climb so high this year. All bets are off if we get a lot of hurricanes. Since the enactment of reforms in 2022 aimed at sharply reducing litigation costs for insurers, average premiums have increased 30.7% for homeowners and 28.8% for condo unit owners. The first-quarter hikes followed cost decreases of less than 1% for homeowner policies and 1.7% for condo unit policies during the fourth quarter of 2024. That was the only quarter with cost decreases since the release of the reports began in 2022. The office released the latest data without comment and Insurance Commissioner Michael Yaworsky did not respond to an email from the Sun Sentinel. An office spokeswoman said she did not believe that Yaworsky would be able to address the increases prior to this news article's publication. Mark Friedlander, senior director of media relations for the industry-funded Insurance Information Institute, attributed the increase to 'higher replacement costs due to inflationary impacts of construction materials and labor.' He also pointed out that the 'slight increase is far below most other hurricane-prone coastal states, which are experiencing double-digit premium increases.' The data showing the cost increases for Florida consumers followed the release of an analysis by insurance ratings firm AM Best noting improvements in the state's insurance market. In addition to achieving, in 2024, the market's first collective underwriting profit in eight years, the AM Best report cited the emergence of 13 new private-market insurers, stabilizing premiums and reinsurance costs, and a sharp reduction in policies held by state-run Citizens Property Insurance Corp., the state's so-called insurer of last resort. The improvements were made possible, AM Best said, by tort reforms enacted in 2022 and 2023 by the Florida Legislature and governor to reduce runaway litigation costs that were driving losses within the industry. During debate in the Legislature over the reforms, insurance insiders predicted that costs for consumers, then rising sharply, would stabilize or even be reduced after litigation that was underway had a few years to work its way through the courts. Prior to the start of the 2025 legislative session, Yaworsky joined Gov. Ron DeSantis at a news conference touting the number of insurers that submitted requests for lower or unchanged rates. Critics, however, said the reforms have gone too far, adding to insurer profits while leaving policyholders with less leverage over claims disputes. A bill was backed by plaintiffs attorneys that would have reinstated requirements for insurers that lose claims disputes to pay plaintiffs' legal fees. It passed the House but was not advanced in the Senate. Insurance premiums increased for 41 of 61 carriers with 1,000 or more policies, according to the analysis. The Cincinnati Insurance Co. charged the largest premium increase — 45.7% — among the group of Florida-registered insurers. While its policy count decreased from 1,631 to 1,009, its average premium increased from $11,014 to $16,044. Average risk covered by the Fairfield, Ohio-based company is $2.8 million. Truck Insurance Exchange's 2,390 policyholders saw the second-largest increase, 16.1%, as premiums swelled from $2,059 to $2,390. Premium costs for 20 companies increased by less than 2% and customers of 17 companies saw their premiums decrease, on average, between 0.2% and 9.3% Companies with lower premiums included Florida-based Edison, Florida Peninsula, Security First, Monarch National, American Integrity, ASI Preferred, Safe Harbor, Orange and Safeport. Costs for Citizens customers declined by 1.9%, from $3,348 to $3,283. The Sun Sentinel's calculations excluded two companies from the fourth and first quarters and a third company from the first quarter. Fourth-quarter data reported by two of the companies contained obvious glitches that would have skewed results. The third company did not report its data in the fourth quarter but resumed reporting in the first quarter. Including that company's data in the analysis would have made the first-quarter increases appear artificially large. Condo associations saw relief for the third straight quarter as premiums fell by 5.3% following decreases of 2.5% and 3.0%. Condo association premiums had increased by an average 103% between June 2022 and June 2024 amid concerns about tightening inspection and maintenance requirements. Ron Hurtibise covers business and consumer issues for the South Florida Sun Sentinel. He can be reached by phone at 954-356-4071 or by email at rhurtibise@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
21 hours ago
- Business
- Yahoo
AM Best Affirms Credit Ratings of Nacional de Seguros S.A. Compañía de Seguros Generales
MEXICO CITY, May 30, 2025--(BUSINESS WIRE)--AM Best has affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of "bbb" (Good) of Nacional de Seguros S.A. Compañía de Seguros Generales (Nacional de Seguros) (Bogota, Colombia). The outlook of these Credit Ratings (ratings) is stable. The ratings reflect Nacional de Seguros' balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM). The ratings also reflect the company's strongest level of risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR), and the profitability Nacional de Seguros has achieved during its track record. Partially offsetting these positive rating factors is the size of the company, which limits business diversification given the inherent concentration risk, and its high dependence on reinsurance. Nacional de Seguros began operations in 2014 after acquiring Ecoseguros S.A., a company in voluntary liquidation, with fulfillment and liability insurance licenses granted by the Superintendencia Financiera de Colombia (SFC). Nacional de Seguros had less than a 1% market share in Colombia's property/casualty segment, as of December 2024, and is the fifth-largest company in the fulfillment insurance sector with an 8.2% market share. Nacional de Seguros' risk-adjusted capitalization stands at the strongest level, as measured by BCAR, and is supported by a comprehensive reinsurance program and its consistent historical profitability. Credit risk, driven by reinsurance recoverables, is the main factor that could impact the company's BCAR assessment. The company's business operations are focused exclusively on Colombia: 75% of premiums are generated in Bogota; 15% from Medellin; and 5% from other cities. Despite reporting fluctuations in gross premiums, the company has maintained a steady retention level, and constant profitability. Nacional de Seguros' underwriting metrics are characterized by contained loss ratios, and negative acquisition cost ratios due to its high ceding profile. The company's investment income has exhibited a stable trend in the past few years, moderately supporting Nacional de Seguros' income generation. Negative rating actions could occur as a result of ERM framework deficiencies, reflected by inadequate exposure management practices, or if the ERM framework becomes unsupportive of the current assessment by any other means. Negative rating actions also could occur if operating performance metrics deteriorate to the point of no longer being consistent with the adequate assessment or if adverse development of the underwriting portfolio or significant dividend payments erode the company's capital base and reduce risk-adjusted capitalization to a level that no longer supports the ratings. Although unlikely, positive rating actions could result from a successful consolidation of the company's business strategy, supported by prudent growth and underwriting practices. This press release relates to Credit Ratings that have been published on AM 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 AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments. AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED. View source version on Contacts Olga Rubo, FRM, CPCU Associate Director, Analytics +52 55 1102 2720, ext. 134 Alfonso Novelo Senior Director, Analytics +52 55 1102 2720, ext. 107 Christopher Sharkey Associate Director, Public Relations +1 908 882 2310 Al Slavin Senior Public Relations Specialist +1 908 882 2318
Business Wire
a day ago
- Business
- Business Wire
AM Best Affirms Credit Ratings of Nacional de Seguros S.A. Compañía de Seguros Generales
MEXICO CITY--(BUSINESS WIRE)-- AM Best has affirmed the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of 'bbb' (Good) of Nacional de Seguros S.A. Compañía de Seguros Generales (Nacional de Seguros) (Bogota, Colombia). The outlook of these Credit Ratings (ratings) is stable. The ratings reflect Nacional de Seguros' balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM). The ratings also reflect the company's strongest level of risk-adjusted capitalization, as measured by Best's Capital Adequacy Ratio (BCAR), and the profitability Nacional de Seguros has achieved during its track record. Partially offsetting these positive rating factors is the size of the company, which limits business diversification given the inherent concentration risk, and its high dependence on reinsurance. Nacional de Seguros began operations in 2014 after acquiring Ecoseguros S.A., a company in voluntary liquidation, with fulfillment and liability insurance licenses granted by the Superintendencia Financiera de Colombia (SFC). Nacional de Seguros had less than a 1% market share in Colombia's property/casualty segment, as of December 2024, and is the fifth-largest company in the fulfillment insurance sector with an 8.2% market share. Nacional de Seguros' risk-adjusted capitalization stands at the strongest level, as measured by BCAR, and is supported by a comprehensive reinsurance program and its consistent historical profitability. Credit risk, driven by reinsurance recoverables, is the main factor that could impact the company's BCAR assessment. The company's business operations are focused exclusively on Colombia: 75% of premiums are generated in Bogota; 15% from Medellin; and 5% from other cities. Despite reporting fluctuations in gross premiums, the company has maintained a steady retention level, and constant profitability. Nacional de Seguros' underwriting metrics are characterized by contained loss ratios, and negative acquisition cost ratios due to its high ceding profile. The company's investment income has exhibited a stable trend in the past few years, moderately supporting Nacional de Seguros' income generation. Negative rating actions could occur as a result of ERM framework deficiencies, reflected by inadequate exposure management practices, or if the ERM framework becomes unsupportive of the current assessment by any other means. Negative rating actions also could occur if operating performance metrics deteriorate to the point of no longer being consistent with the adequate assessment or if adverse development of the underwriting portfolio or significant dividend payments erode the company's capital base and reduce risk-adjusted capitalization to a level that no longer supports the ratings. Although unlikely, positive rating actions could result from a successful consolidation of the company's business strategy, supported by prudent growth and underwriting practices. This press release relates to Credit Ratings that have been published on AM 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 AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments.
Yahoo
a day ago
- Business
- Yahoo
AM Best Assigns Issue Credit Rating to The Northwestern Mutual Life Insurance Company's New Surplus Notes
OLDWICK, N.J., May 30, 2025--(BUSINESS WIRE)--AM Best has assigned a Long-Term Issue Credit Rating (Long-Term IR) of "aa" (Superior) to the $1 billion, 6.17% surplus notes, due 2055, issued by The Northwestern Mutual Life Insurance Company (Northwestern Mutual) (Milwaukee, WI). The outlook assigned to this Credit Rating (rating) is stable. The proceeds from the surplus notes offering will be used for general corporate purposes. The newly issued surplus notes will remain subordinated to policyowner liabilities. Financial leverage and interest coverage are expected to remain within AM Best's guidelines for the assigned rating. The existing ratings of Northwestern Mutual continue to reflect its balance sheet strength, which AM Best assesses as strongest, as well as its very strong operating performance, very favorable business profile and very strong enterprise risk management. This press release relates to Credit Ratings that have been published on AM 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 AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments. AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED. View source version on Contacts Kevin Varvaro Senior Financial Analyst +1 908 882 2410 Michael Porcelli Senior Director +1 908 882 2250 Christopher Sharkey Associate Director, Public Relations +1 908 882 2310 Al Slavin Senior Public Relations Specialist +1 908 882 2318 Sign in to access your portfolio
Yahoo
a day ago
- Business
- Yahoo
AM Best Places Credit Ratings of Insurance Corporation of Barbados Limited Under Review With Developing Implications
OLDWICK, N.J., May 30, 2025--(BUSINESS WIRE)--AM Best has placed under review with developing implications the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of "bbb+" (Good) of Insurance Corporation of Barbados Limited (ICBL) Barbados. These Credit Ratings (ratings) actions are due to delays in AM Best receiving audited financial statements from ICBL for year-end 2023. The company has provided unaudited statements for 2023, and internal management reports for the balance sheet and income statement for 2024, as well as first-quarter 2025. ICBL continues to have ongoing communication with its auditors and expects audited financial statements for 2023, to be available by the end of second-quarter 2025. The process for the 2024 audited financial statements will begin once the 2023 audited financials are completed. These delays have resulted from the conversion to IFRS 17 accounting standards. The ratings will remain under review until audited financials are received and analysis are completed. This press release relates to Credit Ratings that have been published on AM 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 AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments. AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED. View source version on Contacts Paul Frost Senior Financial Analyst +1 908 882 1768 Bridget Maehr Director +1 908 882 2080 Christopher Sharkey Associate Director, Public Relations +1 908 882 2310 Al Slavin Senior Public Relations Specialist +1 908 882 2318
