November 17, 2011 by Canadian Underwriter
A.M. Best Co. has affirmed the financial strength rating (FSR) of A+ (Superior) and issuer credit rating (ICR) of “aa-” of The Wawanesa Mutual Insurance Company.
“The ratings and outlook of Wawanesa are reflective of its superior risk-adjusted capital, balance sheet strength, good geographic diversification and market leadership position,” according to A.M. Best.
“Wawanesa’s ranking among market leaders has been achieved through steady, modest growth attributed to its successful long-term relationships with brokers, which has helped the company maintain a strong regional presence,” A.M. Best adds.
Partially offsetting the positive ratings are the company’s concentration in personal lines auto, intense competitive pricing pressures and an increased trend towards more severe and frequent storm losses.