OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has assigned a Financial Strength Rating (FSR) of A (Excellent) and a Long-Term Issuer Credit Rating (Long-Term ICR) of “a+” to California General Underwriters Insurance Company (CGU) (headquartered in Los Angeles, CA). The outlook assigned to these Credit Ratings (ratings) is stable. CGU is a wholly owned subsidiary of Mercury Casualty Company, which is the lead member of Mercury Casualty Group (Mercury).
The ratings of CGU reflect the consolidated balance sheet strength of Mercury, which AM Best categorizes as very strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management.
The rating assignment level reflects CGU’s role as a member of Mercury. Explicit support is provided to CGU through participation in a quota share reinsurance program with Mercury Casualty Company. CGU is fully integrated into Mercury’s operations and strategic plans, including a centralized management structure. The company provides the group product diversification in California.
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