This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

A.M. Best Assigns Ratings To Investors Title Company, Inc. And Its Subsidiaries

A.M. Best has assigned a financial strength rating of A (Excellent) and issuer credit ratings (ICR) of “a” to the two subsidiaries of Investors Title Company, Inc. (ITIC) [Nasdaq:ITIC]: Investors Title Insurance Company and National Investors Title Insurance Company (Columbia, SC). The companies are collectively referred to as the Investors Title Company Group (ITC Group). A.M. Best also has assigned an ICR of “bbb” to ITIC. The outlook assigned to all ratings is stable. All companies are domiciled in Chapel Hill, NC, unless otherwise specified.

The assigned ratings reflect ITC Group’s excellent capitalization as evidenced by its conservative underwriting leverage ratios, which are relatively modest compared to the title industry as a whole. In 2013, the group’s statutory surplus level increased for the fifth straight year. The group’s operating results have been consistently favorable in recent years, posting an underwriting profit in each of the past five years, and net pre-tax operating results have been solid throughout this period. ITC Group’s favorable results are partly due to its efforts to carefully manage its expense structure while limiting losses, including those from agency defalcations, through comprehensive reinsurance protection and instituting extensive safeguards in the selecting, monitoring and auditing of its title agency force and other providers. Partly as a result of these initiatives, the group has incurred no material defalcation losses in the last five years. ITC Group also has availed itself of additional protections against such losses through the use of escrow security bonds as well as fidelity coverage provided by high quality reinsurers. Additionally, the group has taken initiatives to diversify its book of business by reducing its concentration in North Carolina, its largest state, which previously represented nearly half of its book, to approximately 25% as of year-end 2013. ITC Group also has expanded its geographic footprint in recent years into more than 20 states, including Texas, which is currently its second-largest state. Furthermore, while its North Carolina business continues to be conducted primarily through directly owned branches, the group distributes its business in Texas and other states primarily through independent agents, which has resulted in greater diversification of its distribution channels.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs