AM Best has affirmed the A‑ rating for Palomar Casualty and Surety Company (PCSC) and removed the company from its “under review” list, assigning a positive outlook to the rating.
The affirmation was based on PCSC’s very strong balance sheet, adequate operating performance, limited business profile, and robust enterprise risk‑management framework. Combined ratios have consistently remained below 100, and operating performance has shown steady improvement over recent periods.
The rating action follows Palomar Holdings’ early‑2026 acquisition of Gray Casualty & Surety Company, which was renamed PCSC, and the subsequent purchase of First Indemnity of America Insurance Company. These moves are part of Palomar’s strategy to expand its surety footprint and position PCSC as a leading source of surety premium within the group.
By lifting PCSC’s rating, AM Best has strengthened Palomar Holdings’ overall credit profile, enhancing the company’s ability to access capital markets on favorable terms and reinforcing investor confidence in its risk‑management framework.
AM Best’s methodology assigns an A‑ rating to insurers that demonstrate an excellent ability to meet ongoing insurance obligations. The positive outlook signals continued confidence in PCSC’s financial strength and operational resilience.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.