A.M. Best, the world's oldest and most authoritative insurance rating source, honors Rural Mutual Insurance Company, a Wisconsin leader in property and casualty protection, with a positive outlook on their current 'Excellent' ratings.
The Wisconsin insurance company increases from Stable to Positive Outlook, an upgrade in their rating by A.M. Best standards. According to A.M. Best, the upgrade reflects Rural's solid capitalization, consistent operating profitability, local market expertise and sound risk management skills. Furthermore, the rating recognizes the company's strict adherence to underwriting disciplines, pricing adequacy and their conservative investment portfolio.
'This recognition by A.M. Best bolsters our confidence that our company continues to do many of the right things,' said CEO Peter Pelizza. 'Most importantly, it assures our financial ability to live up to our promise as an insurer of many Wisconsin farms, businesses and families.'
The newly-designated positive outlook affirms two 'Excellent' ratings. A.M. Best awarded Rural Mutual an 'A' (Excellent) financial strength rating (FSR) and an 'a+' (Excellent) issuer credit rating (ICR). FSR indicates the company's financial strength and ability to meet ongoing insurance policy and contract obligations, while ICR reflects on the company's credit risk, or lack thereof.
According to Pelizza, the positive outlook puts Rural's already strong rating on a path to be moved to an 'A+' on the FSR.
'Only a handful of single state companies can make that claim,' he said. 'It certainly would be an honor.'
He notes it is important for all of Rural's policyholders, members, employees and agents to understand that the day-to-day decisions are going to be made in their best interest, and not in the interest of getting a better rating.
Pelizza recognizes this achievement couldn't have happened without the hard work and loyal support of Rural Mutual's agents and their assistants, employees, Board of Directors, and the Wisconsin Farm Bureau.
'Thank you for your tremendous support,' says Pelizza. 'And, congratulations! This is quite a milestone, and exemplifies what can happen when the right people work together.'