A.M. Best Rates Florida-based PURE Group of Insurance Companies

A.M. Best Co. assigned a financial strength rating of A- (Excellent) and issuer credit ratings of “a-” to The PURE Group of Insurance Companies and its members: Privilege Underwriters Reciprocal Exchange and PURE Insurance Company. All companies are domiciled in Fort Lauderdale, Florida. The outlook for the ratings is stable.

The ratings reflect PURE’s solid risk-adjusted capitalization, moderate operating leverage measures currently maintained and anticipated in its business plan, prudent reinsurance programs and management’s previous successful history in the niche of high net worth personal lines clients. The ratings also contemplate the additional financial flexibility afforded PURE through its parent company with multiple investor sources, as well as the growing positive impact of surplus contributions from PURE subscribers.

These positive factors are somewhat offset by PURE’s inherent exposure to weather-related events, primarily within the Florida marketplace, as well as an anticipated continued exposure upon expansion into other coastal state markets. In addition, certain execution risks exist in the organization from an infrastructure perspective, as PURE expands its premium volume and geographic spread into additional states.

PURE provides coverage for high valued homes, automobiles, jewelry & art, personal liability and watercraftAs a reciprocal insurer, PURE is owned by its policyholders (members).

PURE currently has about 3,000 members in Florida and South Carolina.

Sources: A.M. Best Co.
Privilege Underwriters Reciprocal Exchange