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Financial Strength

As a mutual insurance company, we believe our value is measured by the success of our clients. This is our mission and serves as our founding purpose. 

Our value is achievable thanks to our financial strength, which enables us to enhance our clients’ success through conservative investment strategies, sound underwriting, and risk management services.

Our financial strength is a testament to our commitment, and our financial decisions are centered on what benefits our clients, employees, and the company.
 

What is financial strength?

Financial strength refers to a company’s overall financial stability and ability to meet its financial obligations, including paying out insurance claims to its policyholders. 
 

How are insurance ratings determined?

Insurance ratings are determined by independent rating agencies that evaluate the financial strength and creditworthiness of an insurance company. They look at various factors to then assign a rating, which reflects their assessment of the company’s ability to meet its financial obligations, including paying claims and debts. 
 

Why are insurance ratings important to our clients?

Insurance ratings are important to clients because they provide confidence in the financial strength and reliability of the insurance company. Ratings help policyholders assess risk, make informed choices, and maintain trust in their insurance provider. 
 

Which agencies rate Federated Insurance’s financial strength?

Federated receives ratings from the following agencies:

  • A.M. Best Company

    Federated Insurance rated A+ Superior in Financial Strength by A.M. Best

    Rated: A+ Superior
    A.M. Best Annual Reports
    SF-528, Property & Casualty Report
    L-794, Life Report

    A.M. Best Company assesses the creditworthiness of and/or reports on over 16,000 insurance companies worldwide. Their credit ratings are independent, indicative, and interactive, and summarize their opinion on an insurance company’s ability to pay claims, debts, and other financial obligations in a timely manner.

    Learn more about Best's Review of Federated »

  • Ward Group®

    Ward's 50 List | Federated Insurance | Ward's 50 for Safety, Consistency, Performance - Top 50 Performer for Property and Casualty in 2023 and for Life in 2023.


    Awarded: Ward's 50
    Top Performer for both - Property & Casualty and Life


    The Ward Group, part of Aon plc – a leading global professional services firm providing a broad range of risk, retirement, and health services – annually recognizes 50 companies that have excelled at balancing safety, consistency, and performance during the past five years. They conducted separate analyses on nearly 2,900 property-casualty companies and 700 life-health companies within the insurance industry.

    Read more about Ward's Top 50 »

Copy of the Federated Insurance Annual Report sits atop a wooden desk next to coffee and a keyboard.

It's Our Business to Protect Yours®

Read our Annual Report »


NOTES: The A.M. Best Report(s) reproduced on this site appear under license from A.M. Best and do not constitute, either expressly or impliedly, an endorsement of (Licensee)'s products or services. A.M. Best Company is not responsible for errors made in presenting A.M. Best Reports. A.M. Best Report(s) are copyright © A.M. Best Company and may not be reproduced or distributed without the express written permission of A.M. Best Company. Visitors to this web site are authorized to print a single copy of the A.M. Best Report(s) displayed here for their own personal use. Any other printing, copying or distribution is strictly prohibited.

Best's Credit Ratings are under continuous review and subject to change and/or affirmation. For the latest Best’s Credit RatingsTM, please visit the A.M. Best web site, www.ambest.com.