Demotech, Inc. Seeks Comments on Life Company Classification System

FREE Breaking News Alerts from StreetInsider.com!

E-mail Address

StreetInsider.com Top Tickers, 6/25/2026

1. MU
2. QCOM
3. SPY
4. ICLR
5. JPM
6. FUL
7. LAES
8. NNE
9. IONS
10. IBM

October 8, 2024 4:57 PM EDT

DUBLIN, Ohio, Oct. 8, 2024 /PRNewswire/ -- Demotech, Inc., the first to review and rate independent, regional and specialty Property and Casualty insurers, created its P&C Company Classification System in 2007.  We propose a Life Company Classification System and request and encourage your thoughts and comments.

The Demotech Life Company Classification System categorizes individual life insurers, not the groups or families of insurers they belong to, into one of ten categories, based on our analysis of the data reported by the insurers on their 2023 National Association of Insurance Companies annual statements.  The intent is to categorize life companies by their business model and scope of operation.

A company cannot be assigned to more than one category.  For the purposes of the Demotech Company Classification System, premium includes annuity considerations.

The ten categories comprising Demotech's Life Company Classification System are described in the table below.

Classification

Description*

% of Companies

1.  Fraternal Benefit Societies

By definition

9.2 %

2.  Reinsurers

Substantial assumed premium relative to direct written premium

4.9 %

3.  Large Nationals

Greater than $100B of net assets, at least $1M of direct written premium in at least 45 states, and surplus of at least $1B

3.1 %

4.  Midsize Near Nationals

Net assets between $500M and $100B, at least $1M of direct written premium in at least 35 states, and surplus of at least $100M

17.8 %

5.  Super Regionals

Greater than $100M of net assets, at least $1M of direct written premium in each of 2 to 34 states, and greater than $5M of non-renewal sales

4.9 %

6.  Limited New Writings

Independent companies with limited or no new business premium

11.3 %

7.  State Specialists

Greater than 90% of direct written premium in any one state

13.9 %

8.  Product Specialists

Greater than 90% of direct written premium in one product category
(Life, Annuities, Accident & Health, or Deposit-Type)

10.0 %

9.  Strategic Subsidiaries

Member of a group of companies used for a specific strategic purpose

12.7 %

10. Regionals

Generally small companies that write more than one product but not nationally

12.3 %

*Additional criteria not listed may apply

Your thoughts and comments on yet another effort by Demotech to level the playing field should be directed to [email protected] by October 31, 2024.

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/demotech-inc-seeks-comments-on-life-company-classification-system-302270677.html

SOURCE Demotech, Inc.


Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

PRNewswire, Press Releases