AM Best has revised the outlook on its long-term issuer credit rating (Long Term ICR) to stable from negative and affirmed the Financial Strength Rating (FSR) of member Ohio Mutual Insurance Group (OMIG), headquartered in Bucyrus, at A (Excellent) and the Long Term ICR at “a+” (Excellent). The outlook for FSR is stable.
The rating reflects OMIG’s balance sheet strength, which AM Best assesses as strongest, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management.
The revision of the long-term ICR outlook to stable from negative reflects improvements in OMIG’s operating results resulting from management actions implemented over the past few years.
Following consecutive underwriting losses in 2022 and 2023, driven by unusually high catastrophe loss levels and increased loss severity due to rising inflation, OMIG management has taken steps to support future profitability.
Management addresses this volatility through rate increases and inflation adjustments, aggressively re-writing business, not renewing certain policies, in-depth examinations, and increasing deductible requirements.
These actions led to improved performance in subsequent years. Despite the impact of the catastrophe, OMIG remains profitable in 2026 and without these initiatives, the group would have been even more impacted.
Continuous improvements in these initiatives demonstrate that these actions are sustainable and effective. AM Best expects these actions to continue OMIG’s strong operating performance and position results consistent with historical performance.
Source: AM Best
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