The Financial Stability Rating (FSR) assigned to Allied Professionals Insurance Company, Risk Retention Group (RRG) has been downgraded to “A, Exceptional” by Demotech.
This level of FSR is assigned to insurers who possess, in Demotech’s eyes, “exceptional financial stability” related to maintaining positive surplus as regards policyholders, liquidity of invested assets, an acceptable level of financial leverage, reasonable loss and loss adjustment expense reserves and “realistic” pricing.
FSRs summarise Demotech’s opinion of the financial stability of an insurer regardless of general economic conditions or the phase of the underwriting cycle.
Allied Professionals provides professional liability coverage for its member risk purchasing groups, which specialise in various allied healthcare professions including, but not limited to, acupunture, chiropractic, massage, and other related professionals
The FSR of “A, Exceptional” assigned to Ponce de Leon LTC has also been affirmed by Demotech,
Ponce de Leon was formed in 2003 as the first RRG in the US to provide general and professional liability insurance to long-term care facilities.
It was organised by facility owners in Florida to meet the state’s requirement that nursing homes carry liability insurance.
The RRG was capitalised by long-term care facility shareholders and a $6 million surplus note provided by the state.
