Financial Stability Rating® of Southern Title Insurance Corporation Withdrawn
Columbus, Ohio, September 16, 2011: Demotech, Inc. withdrew the Financial Stability Rating® (FSR) of A, Exceptional, assigned to Southern Title Insurance Corporation effective September 15, 2011. This action was taken subsequent to the review of financial information and conversations with management. The Company has voluntarily suspended issuance of new policies and is focusing on the resolution of defalcations and claims received on previously issued policies.
Based upon their current understanding of the financial impact of the defalcations in conjunction with the reporting requirements of the Virginia Bureau of Insurance, Southern title Insurance Corporation’s management is confident that the company is solvent and has adequate surplus to pay all claims. Questions and requests for the company can be submitted to firstname.lastname@example.org or (800) 468-0151.
FSRs present Demotech’s opinion of the ability of the insurer to meet its insurance related obligations based upon our assessment of financial information. FSRs are not an endorsement of any particular insurer or its products. Insureds and agents need to independently evaluate their relationship with a particular insurer as well as the applicability of that insurer’s products to the needs of the insured or agent.
About Demotech, Inc.
Demotech, Inc. is a financial analysis firm located in Columbus, Ohio. Since 1985, Demotech has been serving the insurance industry by providing actuarial consulting and accurate and proven Financial Stability Ratings® (FSRs) for Title underwriters and Property & Casualty insurance companies. Our rating process provides an objective baseline and insight into the future solvency of a company. As an independent financial analysis and acturial firm, Demotech has a proven track record of predicting financial stability in the insurance industry. As the first company to have its rating process formally reviewed and accepted by Fannie Mae, Freddie Mac and HUD, Demotech has been leveling the playing field by offering Financial Stability Ratings® (FSRs) to insurers of all sizes.
Visit www.demotech.com for more information.
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Douglas Powell, Senior Financial Analyst