A.M. Best has downgraded the financial strength rating to E (Regulatory Supervision) from C- (Weak) and the issuer credit rating to “rs” from “cc” of Interstate Bankers Casualty Co. (Interstate Bankers) of Chicago, Ill.
The rating actions reflect Interstate Bankers being placed under regulatory supervision by the State of Illinois due to a Finding of Insolvency. The Agreed Order of Rehabilitation was signed and executed on May 1, 2014.
The deterioration in Interstate Bankers’ operating results was driven by adverse loss reserve development on its non-standard automobile book of business, which resulted in a sharp decline in policyholders’ surplus and a significant decrease in risk-adjusted capitalization.
Source: A.M. Best Co.
Topics Casualty
Was this article valuable?
Here are more articles you may enjoy.
Florida Engineers: Winds Under 110 mph Simply Do Not Damage Concrete Tiles 
How One Fla. Insurance Agent Allegedly Used Another’s License to Swipe Commissions 
What Analysts Are Saying About the 2026 P/C Insurance Market 
‘Structural Shift’ Occurring in California Surplus Lines 
