Fitch Ratings affirms Federated Rural's 'BBB+' IFS Rating; Outlook Positive. (Insurance News: Advertisement).(Federated Rural Electric Insurance Corp.)(insurer financial strength (IFS))(Brief Article)

National Underwriter Property & Casualty-Risk & Benefits Management, July, 2002

Thomas S. Jalics Fitch Ratings has affirmed the 'BBB ' insurer financial strength rating of Federated Rural Electric Insurance Exchange (Federated Rural). The Rating Outlook remains Positive. Federated Rural's rating is based on its solid capital position, conservative operating leverage, and its excellent niche in its target market.

Federated Rural's market share continues to be impressive as it provides specialty coverage for 672 electric co-operatives in 39 states at year-end 2001. This accounts for a roughly 77% market share in states where they do business and 74% overall. The rating also continues to reflect Federated Rural's narrow product and market focus, historically volatile operating results and a long-tail book of business, which adds...

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