A.M. Best has affirmed the financial strength rating of “A-” (Excellent) and issuer credit rating of “a-” of Bison Insurance Company. The outlook for both ratings is stable.
The ratings reflect Bison’s “historically adequate capitalisation, generally favorable operating performance, conservative reserve levels and effective enterprise risk management controls,” said the ratings firm.
Partially offsetting these positive ratings is Bison’s volatile underwriting results due to its low frequency, high severity risk profile, coupled with its high net retained limits relative to its available capital. These factors are mitigated by the firm’s ongoing, demonstrated support from its parent, Duke Energy Corporation.
