A.M. Best has affirmed the financial strength rating of “A- (Excellent)” and the long-term issuer credit rating of “a-” of Prism Assurance, the captive insurance company of Apogee Enterprises.
The ratings reflect Prism’s capitalisation and operating performance, according to A.M. Best. The ratings also support Prism’s role as the captive insurance company of Apogee, which designs, engineers and manufactures window systems for commercial and security buildings.
A.M. Best suggested that the company benefits from its low overhead cost structure and extensive loss control programmes, which have resulted in a decrease in claim frequency and loss expenses across Apogee’s business units.
According to the ratings agency, partially offsetting the ratings are the captive’s degree of dependence on Apogee, and the inherent volatility and challenges brought on by its narrow business and geographic scope.
