Fitch Ratings affirmed the “AA-” insurer financial strength rating on the Safeco property and casualty group. In addition, Fitch affirmed “A-” long-term and senior debt ratings on Safeco Corp. and the “BBB+” rating on Safeco Capital Trust I’s (Safeco Capital) capital securities. The rating outlook is stable.
Fitch’s rating action reflects Safeco P/C’s strong competitive position in key business lines, favorable earnings trends, and solid capitalization. Fitch’s ratings on Safeco and Safeco Capital reflect these factors, as well as Safeco’s good operating earnings-based and cash basis interest coverage.
Partially offsetting these positives is intense competition and cyclical forces in Safeco P/C’s key auto and homeowners’ insurance lines that Fitch believes will challenge the company’s ability to sustain current profitability levels.
Topics Property Casualty
Was this article valuable?
Here are more articles you may enjoy.
Trump’s Repeal of Climate Rule Opens a ‘New Front’ for Litigation 
A 10-Year Wait for Autonomous Vehicles to Impact Insurers, Says Fitch 
The $10 Trillion Fight: Modeling a US-China War Over Taiwan 
California Smoke Damage Act Would Enable Wildfire Victims to Expedite Claims From This Issue
