17 November 2009 - AM Best assigned Monday a B++ (good) financial strength rating (FSR) and a "bbb" issuer credit rating (ICR) on US Lakeview Insurance Co.

The outlook is "stable".

Simultaneously, AM Best affirmed the FSR of B++ (Good) and the ICR of "bbb" of Lakeview's affiliate company, Florida Family Insurance Co.

The outlook on these ratings is "stable".

The ratings reflect the operating support Lakeview receives from Florida Family, in terms of both shared infrastructure and the implementation of an inter-company reinsurance pooling agreement between the two entities, the rater said.

In addition, Lakeview and Florida Family maintain favourable risk-adjusted capitalisation, while expectations are that they will maintain moderate operating leverage measures and prudent reinsurance programmes, the agency added.

These positive factors are somewhat offset by both companies' inherent exposure to weather-related events, as well as potential regulatory and judicial concerns that the companies may experience as single state property insurers in Florida, AM Best noted.