Demotech Affirms the Financial Stability Ratings® of Four Insurers in United Insurance Holding Corporation

Columbus, Ohio, September 14, 2021: The Financial Stability Ratings® (FSR) of A, Exceptional, assigned to United P&C Insurance Company, Interboro Insurance Company, American Coastal Insurance Company and Family Security Insurance Company have been affirmed by Demotech, Inc.  This level of FSR is assigned to insurers who possess exceptional financial stability related to maintaining positive surplus as regards policyholders, sufficient liquidity of invested assets, an acceptable level of financial leverage, reasonable loss and loss adjustment expense reserves (L&LAE) and realistic pricing, to name some critical metrics.

Demotech founder and President, Joe Petrelli, noted that additional information was considered to supplement the Q2 2021 financial statements and operating results.  We obtained information through conversations and meetings with executive management that was not available at the time of the most recent statutory financial statements. Given our current understanding of the revisions in corporate business model, in anticipation of the favorable impact of the efforts on the Company’s operating plan, the availability of capital, and future operating results, in conjunction with the Company’s immediate access to sufficient capital to honor or defend meritorious claims as they come due, including the recent catastrophe losses and loss adjustment expenses, we issue this affirmation of the Financial Stability Ratings® based upon the totality of our review of the June 30, 2021 operating results and actions of management.  Any future affirmations will require demonstrable evidence of the impact of the revisions on the company’s financial stability.

Sharon Romano Petrelli, CPCU, AIAF, CCP, ARC, co-founder of Demotech, added “Over the past several years, Demotech rated insurers have addressed the needs of claimants despite the natural disasters of wind, wildfire or flood.  Thus far, Demotech’s horizontal reinsurance requirements have adequately addressed the onslaught of events in a single storm season.”

Dan Peed, Chairman & CEO, said, “We appreciate Demotech’s diligence and the efforts they made to understand the operational changes UPC has made over the last 12 months, all leading to the previously described transition year of 2021.  We look forward to the emergence of a favorable impact resulting from the numerous underwriting and reinsurance changes incorporated into our business model.”

Petrelli added “Insureds seek carriers that can withstand the forces of nature.  A significant number of weather events in a single season has became all too typical.  Having instituted more rigorous horizontal catastrophe reinsurance requirements in 2002, our insurers were ready.  While we acknowledge that even a victorious champion looks different at the end of the game versus stepping on the field, despite the financial impact of the storms, these four carriers retain the ability to honor meritorious claims.”

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 for additional information.

About United Insurance Holding Corporation

United Insurance Holdings Corp® (UIHC) serves as the holding company for United Property & Casualty Insurance Company and its affiliated companies. Collectively, including United Insurance Holdings Corp., these entities are referred to as “UPC Insurance.” UPC Insurance is engaged in the homeowners property and casualty insurance business in the United States.

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