Demotech Affirms the Financial Stability Rating® Assigned to Providence Mutual Fire Insurance Company
Columbus, Ohio, September 27, 2021: The Financial Stability Rating® (FSR) of A’ (A Prime), Unsurpassed, assigned to Providence Mutual Fire Insurance Company has been affirmed by Demotech, Inc. This level of FSR is assigned to insurers who possess unsurpassed financial stability related to maintaining positive surplus as regards policyholders, liquidity of invested assets, an acceptable level of financial leverage, reasonable loss and loss adjustment expense reserves (L&LAE) and realistic pricing.
FSRs summarize Demotech’s opinion of the financial stability of an insurer regardless of general economic conditions or the phase of the underwriting cycle. FSRs utilize statutory financial data based on insurance accounting principles prescribed or permitted by the National Association of Insurance Commissioners (NAIC). Since 1989, FSRs of A or better have been accepted by the major participants in the secondary mortgage marketplace.
About Providence Mutual Fire Insurance Company
Providence Mutual Fire Insurance Company was established in 1800 by a group of prominent citizens of Providence, RI who joined together to form a fire society founded on the principle of mutual protection. In the company’s third century of operation they remain committed to their mission of assuring financial security to their policyholders. Headquartered in Warwick, RI Providence Mutual provides personal and commercial insurance to individuals and businesses in New England, New Jersey and New York. Providence employs conservative underwriting and investment policies and pledges to fulfill every promise they make in their policy contracts. Prudent enterprise risk management is practiced and ensures superior financial strength. Visit www.providencemutual.com for more information.
About Demotech, Inc.
Demotech, Inc. is a financial analysis firm specializing in evaluating the financial stability of regional and specialty insurers. Since 1985, Demotech has served the insurance industry by assigning accurate, reliable, and proven Financial Stability Ratings® (FSRs) for Property & Casualty insurers and Title underwriters. FSRs are a leading indicator of financial stability, providing an objective baseline of the future solvency of an insurer. Demotech’s philosophy is to review and evaluate insurers based on their area of focus and execution of their business model rather than solely on financial size. Demotech was the first to review and rate independent regional and specialty insurers. Demotech’s consistently increasing list of accreditations and acceptances has resulted in rating and reviewing more than 400 insurers operating in the US. Visit www.demotech.com for additional information.
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