Independent Insurance Lowered

June 11, 2001

S&P lowered its counterparty credit and insurer FSR on Independent Insurance Co. Ltd. to “BBB+” from “A,” and revised the CreditWatch implications to developing from negative.

While management indicated that it is reviewing a number of options to address the capital concerns for the group, there is some uncertainty attached to the process. If prospective capitalization goes to a strong level as a result of action taken, this could be supportive of raising the rating to “A-.” Lowering of the rating is also attributable to lower levels of financial flexibility, liquidity and historical profitability, and the damage that it may cause to the business franchise.

From This Issue

Insurance Journal West June 11, 2001
June 11, 2001
Insurance Journal West Magazine

Contractors, Financial Services Integration