Abstract: First Acceptance Insurance Ratings reflect both the strong points and weak points of the First Acceptance Insurance Group of Companies. A.M. Best Co. assigned separate ratings for different companies of First Acceptance Insurance Group, including First Acceptance Insurance Company of Tennessee, Inc.,First Acceptance Insurance Company of Georgia, Inc. and First Acceptance Corporation of Nashville.
First Acceptance Insurance Ratings give an overall idea about the financial performance of First Acceptance Group of Insurance Companies. These Ratings were assigned by A.M. Best Co., the reputed insurance rating company. A.M. Best Co., assigned separate insurance ratings to the different companies of the First Acceptance Group.
The ratings that the companies of First Acceptance Insurance Group received, are the following:
First Acceptance Insurance Company of Tennessee, Inc. got B in its' Financial Strength Rating(FSR).
First Acceptance Insurance Company of Tennessee, Inc. received “bb” from A.M. Best Co. in its' Issuer Credit Rating(ICR).
First Acceptance Insurance Company of Georgia, Inc. got B in its' Financial Strength Rating.
First Acceptance Insurance Company of Georgia received “bb” in its' Issuer Credit Rating.
First Acceptance Corporation of Nashville, which is a publicly traded company got “b-” in its' Issuer Credit Rating.
First Acceptance Insurance Company, Inc. of Grand Prairie got B in its' Financial Strength Rating.
This First Acceptance Insurance Company, Inc. of Grand Prairie received “bb” in its' Issuer Credit Rating.
The facts about First Acceptance Insurance Companies, revealed by these insurance ratings are the following:
The First Acceptance Insurance Companies suffer from constrained risk-adjusted capitalization.
This problem of constrained risk-adjusted capitalization arose as the companies developed adverse reserve. The increased underwriting leverage and the substantial rise in premiums also contributed to constrained risk-adjusted capitalization.
The ratings revealed that the companies possess efficient operating infrastructure.
The ratings reflect that First Acceptance Insurance Companies follow conservative investment strategy.
The insurance ratings assigned by A.M. Best reveals that the First Acceptance Group of Insurance Companies possess strong market presence. The companies achieved this strong market position through extensive advertising strategies and through establishment of strong Brand Name. To gain market share, the companies introduced additional products through the company-owned retail offices.