A.M. Best has placed under review with positive implications the financial strength rating of B+ (Good) and the issuer credit rating of “bbb-” of Standard Mutual Insurance Company (SMIC) (Springfield, IL).
The rating actions follow National General Holdings Corp.’s [NASDAQ: NGHC] announcement on Jan. 27, 2016, that it has entered into a definitive agreement, pending regulatory and policyholder approval, to acquire SMIC, an Illinois-based property and casualty underwriter, following the completion of SMIC’s conversion into a stock company from a mutual company. The positive implications are driven by the operational and financial benefits that SMIC will derive from its integration with NGHC. The transaction is expected to close by the end of the second quarter of 2016, subject to customary closing conditions and regulatory approvals.
The ratings will remain under review pending the close of the transaction and A.M. Best’s completion of its review of the transaction details.
This press release relates to rating(s) that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page.
A.M. Best is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.
Copyright © 2016 by A.M. Best Company, Inc. and/or its affiliates. ALL RIGHTS RESERVED.
Maurice Thomas, 908-439-2200, ext. 5794
Senior Financial Analyst
Rick Decker, 908-439-2200, ext. 5423
Assistant Vice President
Christopher Sharkey, 908-439-2200, ext. 5159
Manager, Public Relations
Jim Peavy, 908-439-2200, ext. 5644
Assistant Vice President, Public Relations