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A.M. Best Company Grants Group Rating of ''A- (Excellent)'' to All Carriers in Independence Holding Group and Revises ''Negative'' Outlook to ''Stable''
STAMFORD, Conn.--(BUSINESS WIRE)--Nov. 19, 2007--A.M. Best Company, Inc. has issued a group rating of "A- (Excellent)" to the insurance carriers in the Independence Holding Group: Standard Security Life Insurance Company of New York (Standard Security Life); Madison National Life Insurance Company, Inc. (Madison National Life); and Independence American Insurance Company (Independence American). The actions by A.M. Best Company represent an upgrade for Independence American from "B++ (Good)" to "A- (Excellent)", no change for Madison National Life, and a downgrade for Standard Security Life from "A" to "A-." The outlook for all three companies is now "stable," reflecting revisions from "negative" to "stable" for Standard Security Life and Madison National Life. According to A.M. Best Company, "these rating actions harmonize the ratings of Standard Security Life, Madison National Life and Independence American."
Roy T.K. Thung, Chief Executive Officer of both Independence Holding Company and American Independence Corp. (AMIC), commented, "A.M. Best Company has granted a group rating of "(A-) Excellent" for all three insurance companies in the Independence Holding Group and has changed the outlook of Standard Security Life and Madison National Life from "negative" to "stable." We expect it will be 'business as usual' for Standard Security Life and Madison National Life. We are pleased with the upgrade of Independence American, which is a wholly owned subsidiary of our affiliate, American Independence Corp. (NASDAQ: AMIC). Its new rating of "Excellent" will enable Independence American to expand its presence in both medical stop-loss and fully insured health insurance, with respect to existing relationships and new opportunities. In fact, the managing general underwriters (MGUs) owned by AMIC have already indicated their intent to write medical stop-loss business on Independence American's paper in response to today's upgrade."
IHC is a holding company principally engaged in the life and health insurance business and the acquisition of blocks of policies through its insurance company subsidiaries (Standard Security Life Insurance Company of New York and Madison National Life Insurance Company, Inc.), its affiliate (American Independence Corp. (NASDAQ: AMIC)) and its managing general underwriters, third-party administrators, and marketing affiliates. Standard Security Life markets medical stop-loss, small group major medical, short-term medical, major medical for individuals and families, limited medical, group long and short-term disability and life, dental, vision and managed health care products. Madison Life sells group life and disability, employer medical stop-loss, small group major medical, major medical for individuals and families, short-term medical, dental, vision, credit life and disability and individual life insurance.
Certain statements and materials contained in this news release may be considered "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to IHC's views with respect to future events and financial performance. Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from historical experience or from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, economic conditions in the markets in which IHC operates, new federal or state governmental regulation, and other factors which can be found in IHC's other news releases and filings with the Securities and Exchange Commission.