Ardellis Insurance has had its financial strength rating of A- (Excellent) and its long-term issuer credit rating of “a-” affirmed by A.M. Best.
The outlook of these ratings is stable.
The ratings are reflective of the insurer’s balance sheet strength, categorised by A.M. Best as very strong, in addition to its adequate operating performance, limited business profile and appropriate enterprise risk management.
A wholly owned subsidiary of Universal Forest Products, Ardellis provides reimbursement coverage for general liability, auto liability, workers’ compensation, property and medical stop-loss to its parent.
According to A.M. Best, the third-party medical stop-loss business is growing fast and could make up half of Ardellis’ total premiums in a few years.
Any significant deterioration in operating performance, significant erosion in risk-adjusted capitalisation or rapid growth in premiums could result in downward movement in the ratings or outlooks.
