Update on International Fidelity Insurance Company's A.M. Best Rating
Newark, NJ (PRWEB) May 08, 2014 -- International Fidelity Insurance Company (IFIC) is pleased to announce that its AM Best Company rating remains A- (“Excellent”) after self reporting to AM Best that it will revise and re-file its 2013 Annual Statement. AM Best has stated: “…based on the revised projected statements, the group’s capitalization will continue to comfortably support its current ratings.” The restatement is expected to occur within 90 days. The company maintains a debt free balance sheet and an ICR a- investment grade credit rating.
IFIC is in the process of re-filing its 2013 Annual Statement to reflect investment losses that were recently uncovered. These losses were revealed through forensic accounting that followed the termination of IFIC’s former CFO.
Earlier today AM Best announced it had placed IFIC under review with negative implications until they review IFIC’s restated Annual Statements for 2013. IFIC has expected and understands the logic behind this action. AM Best has stated: “The rating will remain under review until the company re-files its 2013 annual statement and files its first quarter 2014 statement.” IFIC management is confident the amount of the forecasted adjustments is accurate and will not increase. IFIC management feels confident that once the rating agency has time to review the restatement, as well as other internal control measures being put into place, that it will take IFIC out from under review and the A- (“Excellent”) stable rating will again be affirmed.
IFIC has self reported the events and impact of its former CFO’s malfeasances to the New Jersey Department of Banking and Insurance (NJ DOBI), its outside auditors, Ernst & Young, its agents, employees, its reinsurers, U.S. Treasury and AM Best. The company feels responses by all of these stakeholders validates that it maintains excellent capitalization, profitable underwriting operations and improving corporate governance. IFIC’s continuing profitable underwriting operation would not be possible without the dedicated 230 plus employees working across the country. The Company enjoys an excellent relationship with the NJ DOBI and appreciates the Department’s working relationship that has laid the groundwork for an orderly restatement. The Company also appreciates the continued fine support of its long-time, highly rated reinsurers. Most of all, IFIC is grateful to its hundreds of agents across the USA. The Company would not have the strong capital position it has had, continues to have, and will have after the restatement without them.
Headquartered in Newark, New Jersey, International Fidelity Insurance Company is the largest privately owned, independent mono-line regulated insurance company in the United States, specializing in Surety. For more information visit our website: http://www.ific.com.
Louise Guiney, International Fidelity Ins. Co., +1 (973) 624-7200 Ext: 272, [email protected]
Share this article