Frequently Asked Questions

An FSR summarizes Demotech, Inc.’s opinion as to the financial stability of a risk-bearing entity. It is assigned after an extensive process of financial analysis. FSRs are primarily based upon an insurer’s financial information and also consider certain qualitative information.

The definitions of FSRs can be accessed by clicking here.  Also, when viewing a company’s information page, simply click on the FSR Seal and you will be linked to the definition of that FSR.

Only current FSRs are posted on our website. These FSRs reflect ongoing review and analysis of up to date company information. Due to reporting, submission and processing lags, the posted financial information is not necessarily reflective of the information used in our analysis.

Demotech provides Financial Stability Ratings® (FSRs) to Property & Casualty insurers, Life & Health insurers, Title underwriters, and other insurance companies. Insurance companies interested in obtaining a Preliminary Financial Stability Rating® may contact Demotech and engage in our rating and review process.  FSRs on our website are displayed only for those companies that choose to participate in Demotech’s rating and review process and finalize a rating. The company information listed on our website, which is presented for all companies, is public information.

Demotech will obtain and review necessary information about the insurance company.  Our Preliminary Data Request requirements vary based on a number of factors, including the type of insurance company (e.g. P&C, Title underwriter, risk retention group, public entity insurance pool, etc.) and operating history (e.g. newly capitalized insurer or established insurer). In addition to evaluating established insurers, Demotech has an established process to evaluate newly capitalized insurance companies.

Typical information reviewed by Demotech for an established insurer may include:

• Quarterly and annual statutory financial statements
• Management discussion and analysis
• Statement of actuarial opinion
• Actuarial opinion summary
• Audit report
• Reinsurance information

Typical information reviewed by Demotech for a newly capitalized insurer may include:

• Biographical information on principals, key employees or service providers
• Administrative agreements with principals and third parties
• Job descriptions or summaries of the duties of key personnel
• Pro forma financial statements and business plans submitted to the State of domicile
• Proposed underwriting guidelines and application
• Initial rate, rule and form filings and underlying information
• Claims department procedures and practices manual
• Investment guidelines
• Reinsurance information
• Proposed marketing and sales materials
• Producer contracts including commission structure and contingency commission criteria
• Catastrophe modeling report and analysis of base rates, rating territories, when applicable
• Other information to familiarize us with the company and its operations.

After Demotech’s review and analysis process is completed, the company will be presented with the opportunity to finalize the assigned Financial Stability Rating^®.

You can search our site to view our companies here

We cannot provide contact information for insurers that do not finalize their FSR.  All of the information we have available is published on our website.

For those companies that have finalized their FSR, we provide a link to their website.