We are pleased to announce AM Best affirmed ProAssurance’s Financial Strength Rating of A (Excellent) on April 26, 2022, and revised the outlook for the Long-Term Issuer Credit Ratings (Long-Term ICR) to stable from negative.
The official statement from AM Best notes:
The revised outlook to stable for the Long-Term ICRs of ProAssurance Group’s members reflects the group’s continued strongest level of risk-adjusted capitalization, as measured by Best’s Capital Adequacy Ratio (BCAR), following the acquisition of NORCAL, supported by financial flexibility afforded by the holding company, solid liquidity, prudent loss reserve position and conservative investments.
In March 2021, ProAssurance’s long-term ICR rating was revised to negative due to “uncertainty with regards to reserve development, as well as the execution risks associated with the planned acquisition of NORCAL…and the ensuing integration of the acquired entity.”
As a reminder, NORCAL Group still holds a separate AM Best rating, which was also affirmed April 26, 2022. NORCAL Group’s AM Best rating is A- (Excellent) with a stable outlook.