A.M. Best Improves Evergreen’s Rating
Evergreen USA RRG Inc. has announced that A.M. Best Co. has revised the outlook from stable to positive and affirmed the financial strength rating of B-plus “Good” of Evergreen USA RRGInc., according to a news release
A.M. Best Co. has also affirmed the financial strength rating of A-minus “Excellent” for Evergreen Indemnity Ltd. The outlook for this rating is stable.
A.M. Best Co. states that they “recognize Evergreen USA and Evergreen Indemnity’s continued strides in their extensive loss control programs and the positive effect on the financial results of the companies.”
Lucas Hartford, president of Evergreen MGA, stated, “We are very pleased by A.M. Best Co. changing the outlook of Evergreen USA from stable to positive. It has always been Evergreen’s mission to provide long-term stable insurance solutions to the camping industry. This positive change from A.M. Best is just more proof that we are making our mission our reality. We are very thankful for our many very supportive clients who have stood by us to help make this happen.”
A.M. Best added that the ratings reflect Evergreen USA and Evergreen Indemnity’s continued favorable operating performance over the past few years, their favorable risk-adjusted capitalizations and operating results, which they have experienced since structural changes were implemented in 2004.
Starting in 2005, capital increased significantly for both companies due to their retention of relatively strong net incomes. The companies have demonstrated a commitment to building a capital base from operations as demonstrated by the significant increase in their Best’s Capital Adequacy Ratio (BCAR) score.
During 2005, Evergreen USA and Evergreen Indemnity significantly decreased their net retention per occurrence by making changes to their reinsurance programs. The companies also benefit from shared management and partial common ownership. A.M. Best recognizes Evergreen USA and Evergreen Indemnity’s continued strides in their extensive loss control programs and the positive effect on the financial results of the companies.
The Evergreen program has been insuring campgrounds for over 35 years and is the Preferred Insurance Provider for the National Association of RV Parks and Campgrounds (ARVC).