Rocky Hill, CT (July 31, 2007) Fitch Ratings, the title insurance industry’s premier financial rating agency, reaffirmed CATIC’s financial stability rating of ‘A-‘ with a Rating Outlook of Stable.
The rating is a result of Fitch’s analysis of CATIC’s financial statements, market performance and management. It reflects CATIC's "...solid franchise in the Connecticut title insurance market, a conservative balance sheet typified by a high quality, liquid investment portfolio and a strong capital position." In affirming the rating, Fitch also cited CATIC's risk adjusted capital (RAC) ratio at 298% at year-end and operating leverage considerably better than Fitch's title insurance rating universe.
Commenting on the rating, Richard Patterson, CATIC’s President, stated, "We are gratified that Fitch has affirmed our Insurer Financial Strength (IFS) rating. The IFS allows agents and insureds to be confident that title insurers, national or regional, have sufficient financial strength to meet their policy obligations. We are proud that CATIC once again achieved the highest RAC ratio among Fitch-rated title insurers. We believe it is important because it is a quantifiable measure that can be applied to all insurers."
Demotech, Inc., a national rating agency, has reaffirmed CATIC’s Financial Stability Rating® of A’ (A Prime) and designated the company as "strongly recommended" for commercial transactions. Insurers earning a Financial Stability Rating® of A’ possess "unsurpassed financial stability related to withstanding a general economic downturn or deterioration of an underwriting cycle."
The rating is a result of Demotech’s analysis of CATIC based on a proprietary Financial Stability Analysis Model®. According to Demotech, this rating "indicates that CATIC’s balance sheet reflects excellent liquidity, an acceptable level of financial leverage as measured by total liabilities to net worth and a balanced portfolio of investments.
Current financial information and quarterly updates of financial information for CATIC can be obtained at www.demotech.com.
About CATIC
CATIC is New England's largest Bar-Related® title insurance underwriter. The company has seven offices throughout New England, and issues its policies through a network of more than 3,000 attorney agents. CATIC is currently licensed in Connecticut, Massachusetts, Rhode Island, Vermont, Maine, New Hampshire and New Jersey and is an underwriting member of the American Land Title Association (ALTA) and the North American Bar-Related® Title Insurers.