Rating agency AM Best has revised the outlooks to positive from stable and affirmed the Financial Strength Rating (FSR) of A- (Excellent) and the Long-Term Issuer Credit Ratings of “a-“ (Excellent) of StarStone Specialty Insurance Company and StarStone National Insurance Company – both domiciled in Wilmington, DE and collectively are known as Core Specialty.
AM Best noted that the ratings of Core Specialty reflect its balance sheet strength, which the rating agency assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).
Concurrently, AM Best has affirmed the FSR of A- (Excellent) and the Long-Term ICR of “a-” (Excellent) of Lancer Insurance Company and Lancer Insurance Company of New Jersey, a division of Core Specialty. The outlook of these Credit Ratings is stable.
Both are headquartered in Long Beach, NY and collectively referred to as Lancer Insurance Group.
Additionally, the ratings of Lancer Insurance Group reflect its balance sheet strength, which AM Best assesses as very strong, in addition to its adequate operating performance, limited business profile and appropriate ERM.
Overall, the positive outlooks reflect the improving business profile of the consolidated Core Specialty group, following its expansion initiatives in 2021 and recent integration of Lancer Insurance Group.
AM Best stated that Core Specialty has demonstrated an ability to source seasoned and profitable books of business, while also continuing to track closely with goals for key performance indicators.
However, while Lancer Insurance Group contributes to the overall Core Specialty strategy, its outlooks are stable due to the lack of history of contributing to and being supported by the greater Core Specialty group.
Jeff Consolino, President and Chief Executive Officer of Core Specialty, commented: “Core Specialty is proud of the recognition from AM Best and their change in outlook for the ratings of our StarStone insurance operating subsidiaries.
“AM Best’s commentary on our balance sheet strength, operating performance, business profile, and enterprise risk management is evidence that we are delivering on our strategy. Core Specialty has the capital to take on risk, the underwriting talent in place, a proven and decisive leadership team, and a track record of making things happen. Collectively, and in each of our specialist niche business units, we operate with strong entrepreneurial spirit and drive, speed, agility, and empowered decision-making.”
