AM Best has revised the outlooks to positive from stable and affirmed the Financial Strength Ratings of A- (Excellent) and the Long-Term Issuer Credit Ratings of “a-” (Excellent) of The Mutual Fire Insurance Company of British Columbia (MFI) and subsidiary, Four Points Insurance Company Ltd. (Four Points). Both companies are domiciled in Langley, BC.

The Credit Ratings (ratings) reflect MFI’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.

The revision of MFI’s outlooks to positive from stable reflects MFI’s trend of strong earnings, continued top line growth and improved underwriting results. Net income has been reported in the past four years driven by underwriting income, which continues to grow and be the largest source of income, augmented by consistently solid investment income. MFI reported a five-year average combined ratio of 91.9%, which outperforms its peers as a result of prudent risk mitigation and favorable claims experience. The company’s proactive approach to managing natural catastrophe exposure and its strategic partnerships with managing general agents have further strengthened its operating performance. Furthermore, in 2022, MFI successfully launched Four Points, a subsidiary focused on small-to-medium enterprise and mid-market commercial risks and is increasingly becoming a larger role in driving the company’s overall earnings and growth.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

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