Research Update: Fidelity Security Life Insurance Co. 'BBBpi' Ratings Affirmed Dec 11
- ID: 2033427
- December 2011
- Standard & Poors
On Dec. 15, 2011, Standard & Poor's Ratings Services affirmed its 'BBBpi' counterparty credit and financial strength ratings on Fidelity Security Life Insurance Co. (FSL). The ratings on FSL are based on the company's good capital adequacy, as measured by our model, and steadily improving operating performance based on its pretax return on revenue. Return on revenue through the first half of 2011 was 10.8%, compared with 7.8% for 2010 and 3.9% in 2009. Offsetting these strengths is the company's limited business profile, which is highly concentrated in the highly regulated group accident and health segment (about 74% of net written premiums in 2010). Another limiting factor to the rating is FSL's marginal, but improving, liquidity ratio, which increased to...
Companies mentioned in this report are: Fidelity Security Life Insurance Co. (Unsolicited Ratings)
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