OLDWICK, N.J.–(BUSINESS WIRE)–A.M. Best has assigned a Financial Strength Rating of A-
(Excellent) and a Long-Term Issuer Credit Rating of “a-” to HiRoad
Assurance Company (HiRoad) (Bloomington, IL). The outlook
assigned to these Credit Ratings (ratings) is stable. HiRoad is a direct
subsidiary of State Farm Mutual Automobile Insurance Company
HiRoad is a newly formed domestic stock insurer that will offer
automobile insurance, written on a direct basis, and provide the State
Farm Group (SFMAIC and its affiliates) with more flexibility in
marketing business to more mobile-centric consumers. Sales in Rhode
Island are expected to begin in the latter part of 2017. Furthermore,
the company is expected to benefit from the business profile of the
State Farm Group. All HiRoad officers have extensive experience in the
property/casualty insurance industry, and are also officers of SFMAIC.
Positive movement in HiRoad’s ratings and/or outlooks is not anticipated
in the near term. Downward rating pressure could potentially occur on
the outlooks and/or ratings if the company faces market conditions that
lead to any considerable adverse deviation in either underwriting
performance or risk-adjusted capitalization from initial expectations.
Rating movement could also potentially occur if the company’s strategic
importance to SFMAIC or the explicit support provided by SFMAIC were to
This press release relates to Credit Ratings that have been published
on A.M. 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 A.M. Best’s Recent
Rating Activity web page. For additional information
regarding the use and limitations of Credit Rating opinions, please view Understanding
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