AM Best, the global credit rating agency specializing in the insurance industry, has announced the placement under review with developing implications of the Financial Strength Rating (FSR) of A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “a” (Excellent) for members of GeoVera Insurance Group. GeoVera, headquartered in Fairfield, CA, operates under an intercompany reinsurance agreement. The affected companies include Coastal Select Insurance Company, GeoVera Insurance Company, GeoVera Reinsurance, Ltd., and GeoVera Specialty Insurance Company.
This decision follows the April 9, 2024, announcement of GeoVera Insurance Holdings, Ltd.’s definitive agreement to sell its managing general agent (MGA) business to SageSure, a residential property catastrophe MGA, and its insurance carriers to GeoVera Nova Holdings, Inc. (GeoVera Nova), a newly formed holding company. GeoVera Nova will also acquire SafePort Insurance Company, a SageSure producer, as part of the transaction. Subject to regulatory approval and customary closing conditions, the transactions are expected to be finalized in the fourth quarter of 2024.
The ratings will remain under review until the completion of the transactions and until AM Best can conduct a comprehensive review of the post-transaction details.
The companies affected by this review are essential players in GeoVera Insurance Group:
- Coastal Select Insurance Company
- GeoVera Insurance Company
- GeoVera Reinsurance, Ltd.
- GeoVera Specialty Insurance Company
For more information on this announcement and related disclosures, including the office responsible for issuing each individual rating, please refer to AM Best’s Recent Rating Activity web page. Guidance on the appropriate utilization of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments, and AM Best press releases can be found in the Guide to Proper Use of Best’s Ratings & Assessments.
Headquartered in the United States, AM Best conducts business in over 100 countries, with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore, and Mexico City. As a leading news publisher and data analytics provider in the insurance industry, AM Best aims to provide comprehensive insights and ratings to facilitate informed decision-making. For further information, visit www.ambest.com.
