Oldwick, NJ -(BusinessWire)- A.M. Best has commented that the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating (Long-Term ICR) of “a-” of the members of CopperPoint Mutual Group remain unchanged following the Sept. 13, 2017, announcement that its lead company, CopperPoint Mutual Insurance Company (CopperPoint), has entered into a definitive agreement to acquire Pacific Compensation Corporation (PCC) and its wholly owned subsidiary, Pacific Compensation Insurance Company (PacificComp) from Alleghany Insurance Holdings LLC (AIHL), a subsidiary of Alleghany Corporation (Alleghany) [NYSE: Y]. The outlook for the Credit Ratings (ratings) for the members of CopperPoint remains stable.
The acquisition of PacificComp represents CopperPoint’s geographic expansion and diversification initiatives into western states, particularly California, while leveraging their collective expertise in the workers’ compensation market. PacificComp will continue to operate under its current name as part of the broader CopperPoint group of companies. CopperPoint’s integration plans allow PacificComp’s management team to remain in place to further strengthen synergies and markets. CopperPoint is paying $150 million in cash for PacificComp and the transaction is expected to close at the end of the year.
A.M. Best will continue to monitor the progress of the transaction and ongoing performance of each rating unit and evaluate any developments for impact to the ratings.
The ratings remain unchanged for the following members of the CopperPoint Mutual Group:
- CopperPoint Mutual Insurance Company
- CopperPoint American Insurance Company
- CopperPoint Casualty Insurance Company
- CopperPoint General Insurance Company
- CopperPoint Indemnity Insurance Company
- CopperPoint National Insurance Company
- CopperPoint Premier Insurance Company
- CopperPoint Western Insurance Company
- MountainPoint Insurance Company
This press release relates to Credit Ratings that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media – Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.
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Source: BusinessWire