At a glance
- The agency also affirmed the A- financial strength rating and a- long-term issuer credit rating of National Security Life and Annuity Company, the New York-domiciled subsidiary that carries AuguStar's run-off variable annuity block.
- AM Best affirmed the long-term issue credit ratings, including bbb+ on $425 million of 5.55% senior unsecured notes due January 2030.
- For a general-account portfolio holding Constellation paper, the affirmation changes nothing in the rating band.
AM Best affirmed the A (Excellent) financial strength rating and the a+ long-term issuer credit rating of AuguStar Life Insurance Company, with a stable outlook on the Cincinnati-based life and annuity writer.
The agency also affirmed the A- financial strength rating and a- long-term issuer credit rating of National Security Life and Annuity Company, the New York-domiciled subsidiary that carries AuguStar's run-off variable annuity block. Constellation Insurance, Inc., the parent, kept its bbb+ (Good) long-term issuer credit rating.
AM Best affirmed the long-term issue credit ratings, including bbb+ on $425 million of 5.55% senior unsecured notes due January 2030.
For a general-account portfolio holding Constellation paper, the affirmation changes nothing in the rating band. AM Best cites reinsurance as the main offset for the run-off block and assesses the subsidiary's business profile as very limited with appropriate enterprise risk management.
AuguStar's own assessment rests on balance sheet strength AM Best calls very strong, operating performance it calls strong, a neutral business profile and appropriate enterprise risk management.
Risk-adjusted capital sits at the strongest level on the agency's BCAR measure, which AM Best describes as more than adequate for the group's insurance, investment and business risks.
Liquidity and financial flexibility are supported by Federal Home Loan Bank membership and the Constellation parent.
Reported by the Insurance Credit desk from AM Best News. Published . Corrections