OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best Co. has withdrawn the financial strength rating (FSR) of A- (Excellent) and issuer credit rating (ICR) of "a-" of Madison Insurance Company (Atlanta, GA) and assigned an NR-5 to the FSR and an "nr" to the ICR, upon the acquisition of the company by Accident Insurance Company Inc (AIC) on June 18, 2009.

Simultaneously, A.M. Best has assigned an FSR of A- (Excellent) and an ICR of "a-" to the newly AIC acquired, Madison Insurance Company (MIC) (now based in Irma, SC). The outlook assigned to both ratings is stable. The FSR of A- (Excellent) and ICR of "a-" of AIC are unchanged, and the outlook for these ratings is stable.

The ratings reflect AIC and MIC's strong balance sheets, excellent liquidities and conservative operating strategies. The ratings also recognize both companies' experienced management, favorable operating results and rate-making and reserving practices. Partially offsetting these positive rating factors are AIC and MIC's dependence on reinsurance in order to offer their various programs.

AIC and MIC write risks with low severity and frequency while attending to strict underwriting standards and controls, aggressive claims management practices, conservative investment policies and objectives and high quality infrastructure and technology-based services and solutions based on the insurance industry's best practices and standards.


A.M. Best remains the leading rating agency of captive insurers rating a wide variety of more than 200 captives in the United States and throughout the world.

For current Best's Credit Ratings and independent data on the captive and alternative insurance market, please visit www.ambest.com/captive.

The principal methodologies used in determining these ratings, including any additional methodologies and factors that may have been considered, can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.

A.M. Best Co.

Analysts

Fred Eslami, 908-439-2200, ext. 5406

fred.eslami@ambest.com

or Steven Chirico, CPA

908-439-2200, ext. 5087

steven.chirico@ambest.com

or

Public Relations

Jim Peavy, 908-439-2200, ext. 5644

james.peavy@ambest.com

or

Rachelle Morrow, 908-439-2200, ext. 5378

rachelle.morrow@ambest.com

Source: A.M. Best Co.