AM Best Places Credit Ratings of Mississippi Farm Bureau Casualty Insurance Company Under Review With Positive Implications

AM Best has placed under review with positive implications the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of a (Excellent) of Mississippi Farm Bureau Casualty Insurance Company (Mississippi Farm Bureau) (Jackson, MA).

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Business Wire, Inc.Business Wire, Inc.
Retrieved on: 
Tuesday, December 7, 2021
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Insurance, Professional Services, Review, Credit, News, Industry, Credit rating, Mississippi, ALL, AM, Insurance, AM Best, Data
Geotags: 
Europe, United States, NEW JERSEY, SOUTHERN, DUBAI, JACKSON, SINGAPORE, LONDON, HONG KONG, AMSTERDAM, MEXICO CITY, MA
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Summary
Key Points: 
  • AM Best has placed under review with positive implications the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of a (Excellent) of Mississippi Farm Bureau Casualty Insurance Company (Mississippi Farm Bureau) (Jackson, MA).
  • The Credit Rating (rating) actions reflect the recent approval of an inter-company reinsurance agreement with its parent, Southern Farm Bureau Casualty Insurance Company (Southern).
  • This represents an expansion of the previous reinsurance agreement, whereby Mississippi Farm Bureau would cede its casualty business and retain property-related exposures.
  • The positive implications reflect Southerns higher rating and anticipation of Mississippi Farm Bureaus inclusion in the group via the reinsurance agreement.


AM Best has placed under review with positive implications the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of “a” (Excellent) of Mississippi Farm Bureau Casualty Insurance Company (Mississippi Farm Bureau) (Jackson, MA).

The Credit Rating (rating) actions reflect the recent approval of an inter-company reinsurance agreement with its parent, Southern Farm Bureau Casualty Insurance Company (Southern). This represents an expansion of the previous reinsurance agreement, whereby Mississippi Farm Bureau would cede its casualty business and retain property-related exposures. In order to maximize operational efficiency, the agreement will be expanded to all lines of business with no net writings retained. The positive implications reflect Southern’s higher rating and anticipation of Mississippi Farm Bureau’s inclusion in the group via the reinsurance agreement. The ratings will remain under review until the effective date of the reinsurance agreement, Jan. 1, 2022, and AM Best’s full evaluation of the transaction.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

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