AM Best Affirms Credit Ratings of Investors Title Company and Its Subsidiaries
November 27 2024 - 12:29PM
Business Wire
AM Best has affirmed the Financial Strength Rating of A
(Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR)
of “a” (Excellent) of both subsidiaries of Investors Title Company
(ITC) [NASDAQ: ITIC]: Investors Title Insurance Company and
National Investors Title Insurance Company (Austin, TX). These
subsidiaries collectively are referred to as Investors Title
Company Group (ITC Group). Concurrently, AM Best has affirmed the
Long-Term ICR of “bbb” (Good) of ITC. All companies are domiciled
in Chapel Hill, NC, unless otherwise specified. The outlook of
these Credit Ratings (ratings) is stable.
The ratings reflect ITC Group’s balance sheet strength, which AM
Best assesses as very strong, as well as its strong operating
performance, limited business profile and appropriate enterprise
risk management (ERM).
The balance sheet strength assessment for ITC Group reflects its
strongest risk-adjusted capitalization, as measured by Best’s
Capital Adequacy Ratio (BCAR), and its long-term surplus growth,
which is reflective of the group’s strong operating earnings and
conservative underwriting position. ITC Group’s operating
performance consistently outperforms the industry, driven by its
lower-than-average loss and loss adjustment expense ratios. This
level of performance enables it to significantly outperform peers
in terms of return on equity and return on revenue. ITC Group’s
limited business profile is driven largely by the group’s heavy
product focus and its significant geographic concentration in North
Carolina and Texas. AM Best considers ITC Group’s ERM practices
appropriate, as it assesses and critically reviews risks annually,
as well as develops a comprehensive listing under which each
respective risk is assigned to the appropriate staff and managers
who are responsible for monitoring, managing and mitigation.
This press release relates to Credit Ratings that have been
published on AM 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 AM Best’s Recent Rating
Activity web page. For additional information regarding the use and
limitations of Credit Rating opinions, please view Guide to Best's
Credit Ratings. For information on the proper use of Best’s Credit
Ratings, Best’s Performance Assessments, Best’s Preliminary Credit
Assessments and AM Best press releases, please view Guide to Proper
Use of Best’s Ratings & Assessments.
AM Best is a global credit rating agency, news publisher and
data analytics provider specializing in the insurance industry.
Headquartered in the United States, the company does business in
over 100 countries with regional offices in London, Amsterdam,
Dubai, Hong Kong, Singapore and Mexico City. For more information,
visit www.ambest.com.
Copyright © 2024 by A.M. Best Rating
Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.
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Edward Zonenberg Senior Financial Analyst +1
908 882 2447 edward.zonenberg@ambest.com
Christopher Sharkey Associate Director, Public
Relations +1 908 882 2310
christopher.sharkey@ambest.com
Fred Eslami Associate Director +1 908 882
1759 fred.eslami@ambest.com
Al Slavin Senior Public Relations Specialist +1
908 882 2318 al.slavin@ambest.com
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