u - Under Review s - Syndicate pd - Public Data
g - Group p - Pooled r - Reinsured
Best's Rating Center - Guide to Financial Strength Ratings
assigned ratings are based on group, pooling or reinsurance affiliation with other insurers.
Docket No. UT-083041 Exhibit RA-4RT November 17, 2008 Page 2
Best's interactive Ratings (A++ to D) are assigned a Rating Outlook that indicates the potential direction of a company's rating for an intermediate period, generally defined as the next 12 to 36 months. Rating Outlooks, which appear in the rating rationale section of a company's AMB Credit Reports - Insurance Professional, include Positive, Negative and
Stable. View our online Guide to Best's Financial Strength Ratings for complete definitions on Outlooks.
Financial Size Categories (FSC)
To enhance the usefulness of our ratings, A.M. Best assigns each letter rated (A++ through D) insurance company a Financial Size Category (FSC). The FSC is designed to provide a convenient indicator of the size of a company in terms of its statutory surplus and related accounts.
Many insurance buyers only want to consider buying insurance coverage from companies that they believe have sufficient financial capacity to provide the necessary policy limits to insure their risks. Although companies utilize reinsurance to reduce their net retention on the policy limits they underwrite, many buyers still feel more comfortable buying from companies perceived to have greater financial capacity.
Adjusted Policyholders' Surplus
250 to 500
500 to 750
750 to 1,000
1,000 to 1,250
1,250 to 1,500
1,500 to 2,000
2,000 or greater
Usage of Best's Ratings
Best's Ratings are proprietary and may not be reproduced without permission from A.M. Best. Companies assigned a Best's Rating should review our 'Guide to Proper Use' which outlines the proper use of A.M. Best's proprietary information,
specifically Best's Ratings, AMB Credit Reports - Insurance Professional and Best's Security Icon.
Less than 1
1 to 2
2 to 5
5 to 10
10 to 25
25 to 50
50 to 100
100 to 250
Note: Ranges are in millions of U.S. dollars
All queries regarding the use of proprietary information or to obtain a licensing agreement or a letter of consent should be directed to:
A.M. Best Company Office of Intellectual Property Ambest Road Oldwick, New Jersey 08858 Phone: 908-439-2200, extension 5644 or email email@example.com
View our Legal and Licensing information for details on the use of A.M. Best trademarks, logos and service marks.
Copyright © 2008 A.M. Best Company, Inc. All rights reserved. A.M. Best Worldwide Headquarters, Ambest Road, Oldwick, New Jersey, 08858, U.S.A.
http://www.ambest.com/ratings/guide.asp (2 of 2) [11/10/2008 11:23:30 AM]