Insurance ratings standard-bearer A.M. Best Co. placed the financial strength rating of “A-” (excellent) of the Fort Wayne, Ind.-based Medical Protective Co. under review with developing implications.
This rating action follows last week’s announcement by the insurer’s parent company, General Electric Co., that it has signed a letter of intent with Omaha, Neb.-based Berkshire Hathaway Inc. for the sale of Medical Protective to National Indemnity Co., a Berkshire subsidiary. The transaction is scheduled to close on June 30, 2005, subject to completion of a definitive agreement as well as regulatory approvals.
The rating will remain under review pending discussions with the new owner concerning its strategic plan for Medical Protective. The developing implications reflect anticipated capital enhancement given the relative financial strength of National Indemnity.
Topics AM Best
Was this article valuable?
Here are more articles you may enjoy.
Berkshire’s Jain on Cyber: ‘The Mindset Should Be You’re Not Making Money’ 
Fla. Regulators’ Effort to Remove Insurer Execs May Not Pass Constitutional Muster 
Insurers Get Green Light to Pay Less Than Billed Charges in Florida PIP Cases 
Insurer Chubb Readies $350M Payout Tied to Baltimore Bridge Collapse 
