AM Best Confirms Credit Ratings of Selective Insurance Group, Inc. and Its Subsidiaries

Oldwick, NJ–()–AM Best We have confirmed that the Selective Insurance Group (Selective) pool members have a financial strength rating (FSR) of A+ (Superior) and a long-term issuer credit rating (Long-Term ICR) of ‘aa-‘ (Superior). In addition, AM Best has confirmed that the ultimate parent company, Selective Insurance Group, Inc., has a long-term ICR of ‘a-‘ (excellent) and a long-term issue credit rating (long-term IR). [NASDAQ: SIGI]The outlook for these credit ratings is stable. All companies are headquartered in Branchville, New Jersey. (See below for a detailed list of companies and ratings.)

The rating reflects the strength of Selective’s balance sheet, which AM Best rates as the strongest, strong financial performance, favorable business profile and good corporate risk management.

Selective’s balance sheet strength is underpinned by its risk-adjusted capital position and financial flexibility provided by its publicly traded parent, partially offset by catastrophe losses and exposure to terrorism It has been. Profitability has improved over the past five years, both in absolute terms and relative to peers. The Group’s underwriting results benefit from its low to medium risk business mix, conservative underwriting philosophy and catastrophe risk mitigation initiatives. In addition, the Group has improved its underwriting results for more challenging commercial vehicles and surplus and surplus businesses through various underwriting initiatives and target rate increases. The favorable business profile is based in part on the Group’s close working relationships with selected agencies and the use of technology to enhance its underwriting and servicing capabilities.

An FSR of A+ (Superior) and a long-term ICR of ‘aa-‘ (Superior) are confirmed with a stable outlook for the pooled members of the Selective Insurance Group.

  • American Selective Insurance Company

  • Selective Way Insurance Company

  • Southeast Selective Insurance Company

  • New York Selective Insurance Company

  • Selective Insurance Company in South Carolina

  • New England Selective Insurance Company

  • Selective Auto Insurance Company in New Jersey

  • Mesa Underwriters Specialty Insurance Company

  • Selective property and casualty insurance company

  • Selective fire insurance company

The following long-term IRs have been confirmed with a stable outlook.

Selective Insurance Group, Inc.—

— $49.9 million 7.25% senior unsecured notes, ‘a-‘ due 2034

— ‘a-‘ (Quality) on $99.4 million 6.70% senior unsecured notes due 2035

— ‘a-‘ on $294.2 million 5.375% senior unsecured notes due 2049

The following indicative long-term IRs confirm a stable outlook for current shelf registrations.

Selective Insurance Group, Inc.—

— “a-” for senior unsecured debt

— ‘bbb+’ (good) for subordinated debt

— ‘bbb’ (good) for preferred stock

This press release relates to credit ratings posted on AM Best’s website. For all rating information related to the release and related disclosures, including details of the office responsible for issuing the individual ratings referenced in this release, please visit AM Best’s. Recent Ratings Activity web page. See below for additional information regarding the use and limitations of Credit Rating Opinions. Best credit rating guideAbout the correct use of Best’s Credits View Ratings, Best Performance Ratings, Best Preliminary Credit Ratings, and AM Best Press Releases. Guide to Correct Use of Best Ratings and Ratings.

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