OLDWICK, N.J.–(BUSINESS WIRE)–AM Best has upgraded the Financial Strength Rating (FSR) to A
(Excellent) from A- (Excellent) and the Long-Term Issuer Credit Rating
(Long-Term ICR) to “a” from “a-” of Fidelity Security Life Insurance
Company (FSL) (Kansas City, MO) and its wholly owned subsidiary,
Fidelity Security Life Insurance Company of New York (FLSNY) (Brewster,
NY). The outlook of these Credit Ratings (ratings) remains stable. These
companies are known collectively as Fidelity Security Group.
The ratings reflect Fidelity Security Group’s balance sheet strength,
which AM Best categorizes as very strong, as well as its strong
operating performance, neutral business profile and appropriate
enterprise risk management.
The group’s ratings are supported by its strongest level of
risk-adjusted capitalization, as measured by Best’s Capital Adequacy
Ratio (BCAR), its strong liquidity, and its ability to generate
consistent earnings growth and relatively strong statutory returns on
equity. FSL primarily markets group stop loss and group vision, but also
markets a variety of ordinary life, annuity, and accident and health
products across all 50 states through various distribution channels. A
mitigating factor in the group’s ratings includes its high reinsurance
leverage, particularly in its vision business in which a large
percentage of the direct premium is ceded to one reinsurance partner. AM
Best notes, however, that all reinsurance partners of FSL are highly
rated or are distribution-owned captives with full collateralization.
This press release relates to Credit Ratings that have been published
on AM 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 AM Best’s Recent
Rating Activity web page. For additional information
regarding the use and limitations of Credit Rating opinions, please view Understanding
Best’s Credit Ratings. For information on the proper media
use of Best’s Credit Ratings and AM Best press releases, please view Guide
for Media – Proper Use of Best’s Credit Ratings and AM Best Rating
Action Press Releases.
AM Best is a global rating agency and information provider with a
unique focus on the insurance industry. Visit www.ambest.com
for more information.
Copyright © 2019 by A.M. Best Rating Services, Inc. and/or its
affiliates. ALL RIGHTS RESERVED.
Contacts
Jason MacKenzie
Financial Analyst
+1 908 439
2200, ext. 5649
[email protected]
Anthony McSwieney
Senior Financial Analyst
+1
908 439 2200, ext. 5715
[email protected]
Christopher Sharkey
Manager, Public Relations
+1
908 439 2200, ext. 5159
[email protected]
Jim Peavy
Director, Public Relations
+1 908
439 2200, ext. 5644
[email protected]
