Development
C
SOUTHERN OAK INS CO
Rating Date
December 2023
NAIC
Classification
Risk Adjusted
Capital Ratio #1
Risk Adjusted
Capital Ratio #2
Loss
Ratio
Total
Assets
Capital
Net
Premiums
Net
Income
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Major Rating Factors: Fair reserve development (3.5 on a scale of 0 to 10) as the level of reserves has at times been insufficient to cover claims. In 2020 and 2022 the two year reserve development was 15% and 22% deficient respectively. Fair liquidity (4.3) as cash resources may not be adequate to cover a spike in claims.
Other Rating Factors: Fair overall results on stability tests (3.3) including weak results on operational trends and excessive premium growth. The largest net exposure for one risk is acceptable at 2.3% of capital. Weak profitability index (2.9) with operating losses during 2018, 2019, 2020 and 2021. Average return on equity over the last five years has been poor at -12.9%. Good overall long-term capitalization (5.0) based on good current risk adjusted capital (severe and moderate loss scenarios). However, capital levels have fluctuated somewhat during past years.
Stability Factors: L - Past results on our liquidity tests. T - Significant trends in critical asset, liability, income or expense items.
Principal Lines of Business: Homeowners (89.6%), fire (7.5%), other (2.9%)
Licensed in: FL
Principal Investments: Investment grade bonds (83.4%), common stock (13.9%), other (2.7%)
Ratios
Premium to Surplus
Reserve to Surplus
1-Year Reserve Development
2-Year Reserve Development
Expense Ratio
Combined Ratio
Cash From Underwriting
Net Premium Growth
Investments in Affiliates
Corporate Info
Group Affiliation
None
Investment Rating
--
Company Address
816 A1A North Suite 302
Ponte Vedra Beach, FL 32082
Phone Number
(414) 369-5033
NAIC Number
12247
Largest Affiliates
No affiliate information available.