OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has revised the outlook to stable from negative for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the Financial Strength Rating (FSR) of A (Excellent) and the Long-Term ICR of “a+” of Modern Woodmen of America (Modern Woodmen) (Rock Island, IL). The outlook of the FSR remains stable.
The ratings reflect Modern Woodmen’s balance sheet strength, which AM Best categorizes as strongest, as well as its adequate operating performance, neutral business profile and appropriate enterprise risk management (ERM).
The Long-Term ICR outlook revision reflects Modern Woodmen’s strong liquidity, reduction of equity exposure in its well-diversified investment portfolio and growing capital and surplus, all of which have led to an improvement in the overall strength of the balance sheet. Partially offsetting this is mostly flat premium growth the last several years and overall net income heavily supported by capital gains. Modern Woodmen continues to have a strong market position within the fraternal industry.
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