Atlas Financial And Its Units' Ratings Reiterated By A.M. Best
Zacks Investment Research | Sep 22, 2016 10:37PM ET
Atlas Financial Holdings, Inc. (NASDAQ:AFH) recently saw its long-term issuer credit ratings (ICR) of “b-” reiterated by A.M. Best. The rating giant also retained the financial strength rating (FSR) of B (Fair) and the long-term ICR of “bb” of American Service Insurance Company, Inc., American Country Insurance Company Gateway Insurance Company – the subsidiaries of Atlas Financial. The outlook for the ratings is stable.
Subsequently, A.M. Best reiterated the FSR of B+ (Good) and the Long-Term ICR of “bbb-” of Global Liberty Insurance Company of New York. The outlook of the rating is negative.
The rating affirmations indicate the insurer’s soft risk-adjusted capital position, risks related to acquisitions and the below average investment yields and returns on its investment portfolio. Nonetheless, a substantial improvement in underwriting and operating results over the last five years as well as management’s experience and expertise in its niche “for hire” auto market helped to partially offset the negatives.
Atlas Financial, in its attempt to ramp up premium growth, acquired Gateway Insurance in 2013. Though the buyout heightened integration risks, the company’s focus on profitable operations, divestment of non-core lines and books of business and other strategic initiatves helped it consistently deliver favorable results.
A.M. Best is likely to upgrade the ratings assigned if the company continues to deliver better operating performance or improves its risk-adjusted capitalization. However, the ratings may be subject to downgrade if the insurer’s underwriting or operating performance worsens, in case of adverse loss development or if risk adjusted capitalization erodes.
ATLAS FINL HLDG Price
NMI Holdings, a provider of private mortgage guaranty insurance services in the United States, has witnessed upward revision in the Zacks Consensus Estimate over the last 60 days for 2016.
National Interstate, a specialty property and casualty insurance, has witnessed upward revision in the Zacks Consensus Estimate over the last 60 days for both 2016 and 2017.
Cincinnati Financial, a property casualty insurer, has witnessed upward revision in the Zacks Consensus Estimate over the last 60 days for both 2016 and 2017.
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.