MADISON, Wis. (1/9/15)--A.M. Best Co. has affirmed the financial strength rating of CMFG Life Insurance co. (CMFG Life) and MEMBERS Life Insurance Co. at "A" (Excellent).
A.M. Best also affirmed the "A" (Excellent) rating for CMFG Life's property/casualty subsidiaries: CUMIS Insurance Society Inc. and CUMIS Specialty Insurance Co. Inc.
A.M. Best assigned an issuer credit rating of "bbb" to CUNA Mutual Financial Group Inc., the intermediate holding company within the group. The outlook for all ratings is stable.
"CUNA Mutual Group is committed to long-term growth," said Alastair Shore, CUNA Mutual Group executive vice president/chief financial officer. "This confirmation of our financial ratings is important to us as we shape the company that will serve credit unions and members for generations to come."
In affirming CMFG Life's "A" rating, A.M. Best cited the company's "position as the leading provider of insurance and financial services products to credit unions, their employees and members; strategic changes to the organizational structure to improve capital flexibility, prudent capital management; and reduction in investment risk." Also cited was the company's modest financial leverage with strong interest coverage.
Regarding CUNA Mutual Group's property/casualty subsidiaries, A.M. Best recognized their favorable level of risk-adjusted capitalization, conservative balance sheet, overall operating profitability and well-established niche position in the credit union segment.
Producers Agriculture Insurance Co. and its 100% reinsured affiliate, Producers Lloyds Insurance Co.--both of Amarillo, Texas--which were previously rated with the property/casualty entities, were acquired by HCC Insurance Holdings Inc., effective Jan. 1.