OLDWICK, N.J.--(BUSINESS WIRE)--Nov 27, 2024--
AM Best has affirmed the Financial Strength Rating (FSR) of A (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “a+” (Excellent) of Farmers New World Life Insurance Company (FNWL) (Bellevue, WA). At the same time, AM Best has affirmed the FSR of A (Excellent) and the Long-Term ICR of “a” (Excellent) of Farmers Reinsurance Company (Farmers Re) (Woodland Hills, CA). The outlook of these Credit Ratings (ratings) is stable.
The ratings of FNWL reflect its balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM). The ratings also recognize the continued strategic value that FNWL provides to its ultimate parent, Zurich Insurance Group Ltd.
FNWL’s ratings are supported by its risk-adjusted capitalization being maintained at the strongest level, as measured by Best’s Capital Adequacy Ratio (BCAR), a history of positive operating earnings and material contributions to the overall group from new business and operating profits. The company’s reinsurance agreement with Resolution Life Group Holdings Ltd. will allow for a strategic shift moving forward, enabling it to focus on a simplified product portfolio that is easier to sell and has shorter cycle times.
The ratings of Farmers Re reflect its balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate ERM. The ratings also reflect the company’s strategic importance to Zurich Insurance Group Ltd.
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’sRecent Rating Activityweb page. For additional information regarding the use and limitations of Credit Rating opinions, please viewGuide 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 viewGuide 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, visitwww.ambest.com.
Copyright © 2024 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.
View source version on businesswire.com:https://www.businesswire.com/news/home/20241127679138/en/
CONTACT: Thomas Keelan
Financial Analyst
+1 908 882 1925
thomas.keelan@ambest.comEdin Imsirovic
Director
+1 908 882 1903
edin.imsirovic@ambest.comChristopher Sharkey
Associate Director, Public Relations
+1 908 882 2310
christopher.sharkey@ambest.comAl Slavin
Senior Public Relations Specialist
+1 908 882 2318
al.slavin@ambest.com
KEYWORD: NEW JERSEY EUROPE UNITED STATES NORTH AMERICA