FOR IMMEDIATE RELEASE
OLDWICK, N.J. – MAY 24, 2013
A.M. Best Co. has affirmed the financial strength rating (FSR) of A (Excellent) and issuer credit ratings (ICR) of “a” of the property/casualty subsidiaries of AmTrust Financial Services, Inc. (AFSI) (headquartered in New York, NY) [NASDAQ: AFSI], also known as AmTrust Group (AmTrust). Concurrently, A.M. Best has affirmed the ICR of “bbb” of AFSI. The outlook for all ratings is stable. (See below for a detailed list of the companies and ratings.)
The rating actions reflect AmTrust’s balance sheet strength, consistently profitable underwriting and operating performance within its niche market segments as well as access to additional capital from its parent, AFSI, if needed to support AmTrust’s expanding operations. AmTrust has been successful in executing its business plan, which is focused on growth through the acquisition of companies, renewal rights offerings and established books of business at appropriate rates, terms and conditions. This enables AmTrust to further benefit from its expandable underwriting platform to drive expense savings.
Partially offsetting these positive rating factors are AmTrust’s continued significant growth in both premium volume and associated liabilities over the current five-year period, primarily achieved from acquisitions that are either through renewal rights transactions or outright purchases of companies; the inherent risk associated with expansion into new markets; and integrating new business and adverse loss reserve development in recent calendar years, especially in the workers’ compensation line of business.
The FSR of A (Excellent) and ICRs of “a” have been affirmed for the following property/casualty subsidiaries ofAmTrust Financial Services, Inc.:
· AmTrust International Insurance, Ltd.
· Technology Insurance Company, Inc.
· Rochdale Insurance Company
· Wesco Insurance Company
· Milwaukee Casualty Insurance Company
· Security National Insurance Company
· AmTrust Insurance Company of Kansas
· AmTrust Lloyd’s Insurance Company of Texas
· AmTrust International Underwriters Limited
· AmTrust Europe Limited
· Associated Industries Insurance Company, Inc.
For information about each company, including the AMB Credit Reports, group members (where applicable) and news stories, click on the company name. An additional purchase may be required.