trending Market Intelligence /marketintelligence/en/news-insights/trending/_fyNqb9tt31EpLvof8iRuQ2 content esgSubNav
In This List

A.M. Best Affirms Credit Ratings of HealthMarkets, Inc. and Its Subsidiary

Blog

Anticipate the Unknown: Does Supply Chain Disruption Lead to Increased Credit Risk?

Blog

Data Stories: Data insights to help alleviate business complexity amid geopolitical risks

Podcast

Street Talk | Episode 90: Banks should not wait on the Fed to put cash to work

Blog

Expand Your Perspective: Data & Distribution Q&A


A.M. Best Affirms Credit Ratings of HealthMarkets, Inc. and Its Subsidiary

A.M. Best has affirmed the Financial Strength Rating of B++(Good) and the Long-Term Issuer Credit Rating (Long-Term ICR) of"bbb" of The ChesapeakeLife Insurance Co. (Chesapeake) (Oklahoma City, OK), the core insurancesubsidiary of HealthMarkets Inc.(HealthMarkets) (headquartered in North Richland Hills, TX). Additionally, A.M.Best has affirmed the Long-Term ICR of "bb" of HealthMarkets. Theoutlook of these Credit Ratings (ratings) is stable.

The rating affirmations reflect Chesapeake's continuingtrend of premium growth, return to profitability and improved risk-adjustedcapitalization. Chesapeake is the sole writer of new insurance premium forHealthMarkets. The growth of HealthMarkets Insurance Agency, Inc., Chesapeake'saffiliated company and distribution channel, combined with the growth ofthird-party agency distribution, has resulted in Chesapeake's continued premiumgrowth in recent years.

Chesapeake has maintained solid risk-adjusted capital levelswith recent improvement primarily due to an increased level of earnings. Theratings also reflect that Chesapeake's supplemental insurance portfolio wasrebranded as SureBridge and the organization has exited products regulated bythe Patient Protection and Affordable Care Act.