AM Best Comments on Credit Ratings of Prescient National Insurance Company Following Announced Acquisition by Louisiana Workers’ Compensation Corporation

DECEMBER 18, 2024 11:18 AM (EST)

AM Best Comments on Credit Ratings of Prescient National Insurance Company Following Announced Acquisition by Louisiana Workers' Compensation Corporation

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FOR IMMEDIATE RELEASE

OLDWICK - DECEMBER 18, 2024 11:18 AM (EST)
AM Best has commented that the Financial Strength Rating of A (Excellent) and the Long-Term Issuer Credit Rating of "a" (Excellent) of Prescient National Insurance Company (PNIC) (Charlotte, NC), are unchanged following the Dec. 18, 2024, announcement that all outstanding shares of Prescient Holdings, LLC (Charlotte, NC) will be acquired by Louisiana Workers' Compensation Corporation (LWCC) (Baton Rouge, LA). The outlook of PNIC's Credit Ratings (ratings) is stable.

Prescient Holdings, LLC owns 100% of PNIC and will be 100% owned by LWCC following the conclusion of the transaction, which has received regulatory approval and is expected to close by year-end 2024.

The ratings of PNIC reflect its balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, limited business profile and appropriate enterprise risk management.

PNIC operates as a monoline workers' compensation writer with a geographic concentration of direct premiums written in four states. LWCC provides workers' compensation coverage in Louisiana. Each entity will continue to operate independently.

AM Best does not expect the transaction to result in any material change to PNIC's business operations

or rating fundamentals. AM Best will continue to monitor developments and acknowledges that LWCC's strong financial performance and robust balance sheet bring significant capital resources to PNIC.

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.