Ratings Recap: Tower; Preserver; Agrinational

A.M. Best Co. has affirmed the financial strength rating (FSR) of “A-” (Excellent) and the issuer ratings (ICR) of “a-” of Tower Group Companies and its members – Tower Insurance Company of New York and Tower National Insurance Company (Massachusetts). Best also affirmed the ICR of “bbb-” of Tower Group, Inc. (TWGP) The outlook for all of the ratings is stable.

A.M. Best also has affirmed the FSR of “B++” (Good) and upgraded the ICRs to “bbb+” from “bbb” for the New Jersey-based Preserver Insurance Group, which consists of, Preserver Insurance Company (Paramus, NJ) and Mountain Valley Indemnity Company (Bedford, NH), as well as its separately rated affiliate, North East Insurance Company (Northeast) (Scarborough, ME). Best also removed the ratings from under review with positive implications and assigned a positive outlook. Best noted that the Tower Group “has completed its acquisition of Preserver Insurance. Preserver Insurance currently operates as a sister company to Tower. All companies are subsidiaries of TWGP.”

A.M. Best Co. has affirmed the financial strength rating of “A-” (Excellent) and assigned an issuer credit rating of “a-“to Vermont-based captive Agrinational Insurance Company with a stable outlook . “The ratings reflect Agrinational’s strong capitalization, favorable operating performance and strategic role as a captive insurer of Archer Daniels Midland Company (ADM),” said Best. The rating agency also noted that “net premiums written and policyholder surplus each have exhibited significant growth over the last five years primarily due to the growth of ADM.”