A.M. Best Co. reported that the financial strength rating of A (Excellent) and the stable rating outlook on the subsidiaries of New Jersey-based Mercer Insurance Group Inc. (MIGP) remain unchanged following the announcement of its acquisition of Financial Pacific Insurance Group Inc.
California-based Financial Pacific is a writer of commercial property/casualty lines in the Western region of the United States. The financial strength rating of A- (Excellent) and the negative rating outlook on Financial Pacific’s insurance subsidiary, Financial Pacific Insurance Company, also remain unchanged.
A.M. Best believes that the proposed acquisition of Financial Pacific for approximately $40.4 million in cash is consistent with MIGP’s long-term objectives of strategically developing its commercial lines segment and its product and geographic diversification.
MIGP is a holding company–which through its insurance subsidiaries–offers commercial and personal lines products to businesses and individuals in Pennsylvania and New Jersey.