OLDWICK, N.J.–(BUSINESS WIRE)–A.M. Best Co. has downgraded the financial strength rating (FSR) to A- (Excellent) from A (Excellent) and has assigned an issuer credit rating (ICR) of “a-” to Wisconsin Municipal Mutual Insurance Company (Madison, WI).
The outlook for both ratings is stable.
The ratings reflect the company’s somewhat limited profile as a single state writer of casualty business and its inconsistent operating results over the past five years. In fourth quarter 2006, reserve strengthening and a large reserve increase for a potential settlement significantly impacted loss results. Nevertheless, the company maintains exceptionally strong capitalization (as measured by Best’s Capital Adequacy Ratio), solid relationships with insureds and a conservative operating strategy.
For Best’s Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings.
Founded in 1899, A.M. Best Company is a full-service credit rating organization dedicated to serving the financial services industries, including the banking and insurance sectors. For more information, visit www.ambest.com.
