AM Best has revised the outlook to positive from stable for the Financial Strength Rating (FSR) and revised the outlook to positive from negative for the Long-Term Issuer Credit Rating (Long-Term ICR) and affirmed the FSR of B (Fair) and the Long-Term ICR of “bb+” (Fair) of One Alliance Insurance Corporation (One Alliance) (San Juan, Puerto Rico).

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

The positive outlooks reflect the improvement in the company’s operating performance metrics over the past five years. Management has been able to execute on its strategy, despite being a relatively new company in a mature and highly competitive market. One Alliance’s underwriting profitability has been achieved in each of the past three years as it reached some scalability following significant growth reported prior to 2022, in the initial phase of its operations. Continued profitable growth continues to depend on management’s ability to achieve its targets and manage its existing agency and banking relationships to this end. AM Best expects continued favorable trends over the near to intermediate term, which could result in a rating upgrade.

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.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

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