Kingsway operations gain strong financial ratings

Rating agency A.M. Best has reaffirmed the "A" (excellent) rating of the Canadian insurance operations of Kingsway Financial Services Inc. (TSE: KFS). The operations in question include Kingsway General Insurance Co., York Fire & Casualty Insurance Co., Jevco Insurance Co, and Kingsway Reinsurance (Bermuda) Ltd. When releasing the ratings, A.M. Best notes, "the Canadian group rating reflects Kingsway’s leading market position as the largest provider of non-standard auto and motorcycle insurance in Canada, its strong management team and the effective use of reinsurance among the group members".The rating agency also upgraded the ratings of several of Kingsway’s U.S.-based operations. Universal Casualty now holds "A-" (excellent), American Service Insurance Co. with "B++" (very good), Southern United Fire Insurance Co with "B+" (very good), while an "A-" (excellent) rating was reaffirmed for Lincoln General Insurance Co. and a "B" (fair) for U.S. Security Insurance Co. Commenting on the ratings, Kingsway president Bill Star says, "we are extremely pleased to continue to be recognized for profitability and underwriting excellence by the world’s leading insurance rating authority. We are particularly pleased to obtain the upgraded ratings for both of our Chicago-based companies and our Alabama company, reflecting their strong market position."