The assigned rating recognizes Progressive’s property/casualty subsidiaries’ (Progressive P&C) favorable risk-adjusted capitalization and significantly positive operating results. The rating also recognizes Progressive P&C subsidiaries’ proactive and comprehensive risk management, its significant U.S. market presence in automobile lines and leading position in the market for usage based insurance devices and brand identification.
Including the new issue, Progressive’s debt-to-capital ratio is 25.5%, (or 28.7% excluding accumulated other comprehensive income (AOCI). Thus, the additional borrowing of
Progressive’s fixed charge coverage also has been solidly supportive of its ratings and remains significantly above A.M. Best’s guidelines as of
The methodology used in determining these ratings is Best’s Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best’s rating process and contains the different rating criteria employed in the rating process. Best’s Credit Rating Methodology can be found at www.ambest.com/ratings/methodology.
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Assistant Vice President
Senior Manager, Public Relations
Assistant Vice President, Public Relations