What’s New: In Brief (November 25, 2009)

A.M. Best Co. has upgraded the financial strength ratings (FSR) to A- (Excellent) from B++ (Good) of SGI Canada Insurance Services Limited (SCISL), its subsidiary Coachman Insurance Company in Ontario and SCISL’s operating parent SGI Canada.
The outlook on all ratings remains stable.
Moreover, A.M. Best has affirmed the FSR of B++ (Good) of The Insurance Company of Prince Edward Island (ICPEI), a majority-owned subsidiary of SCISL. The outlook on ICPEI’s ratings has been revised to negative from stable.
“The ratings of the SGI Canada Group are reflective of the group’s excellent risk-adjusted capitalization and sound balance sheet liquidity, consistently profitable operating performance, overall geographic and product line diversification, as well as the benefits it derives from strong centralized management and consolidated support functions such as financial reporting, reinsurance procurement and investment management,” A.M. Best said in a statement.
“These rating strengths are offset in part by challenges the group faces from expansion into new territories where underwriting results have been below expectations. In addition, market conditions remain generally soft, competition for market share is strong, legal challenges have been made to minor injury soft tissue caps and deductibles on auto insurance in several provinces and the group has been adversely impacted by more frequent and severe weather related events.”

Highway Agencies Ltd., a Saskatchewan insurance brokerage and a subsidiary of the Saskatchewan Trucking Association, has hired Barry Peabody as its general manager.
Peabody has nearly 30 years commercial and industrial insurance and risk management experience, specializing in the transportation and energy industries.
Peabody came to Highway Agencies from an undisclosed Saskatchewan insurance brokerage, “where he had been providing his Client First services to clients across Western Canada,” Highway Agencies announced in a news release.