||The A.M. Best Company affirmed the Financial Strength Rating of A (Excellent) for the New York Schools Insurance Reciprocal.
According to A.M. Best, NYSIR has excellent balance sheet strength (rated ‘strongest’), strong operating performance, and appropriate enterprise risk management practices. The rating also recognized NYSIR’s leading market position, strong subscriber retention, the strong support of members, and deep roots in New York’s public education environment.
A.M. Best did downgrade NYSIR’s Long-Term Issuer Credit Rating to “a” from “a+” due to an event beyond NYSIR’s control -- the increased potential for claims and litigation arising from enactment of the New York’s Child Victims Act of 2019. This new law also resulted in A.M. Best changing the outlook of NYSIR’s credit ratings to negative from stable.
NYSIR executive director Robert W. Lulley, Jr. said, “We are pleased that these ratings reflect many positive developments at NYSIR over the past year. Our company’s overall strategy of providing comprehensive, school focused coverages and services at pricing that is actuarially sound and competitive will not change.”
“While we are disappointed by the ratings changes, most of which were caused by a recent change to New York State law, NYSIR is committed to doing everything in our control to remain the premier insurance and risk management provider for public schools in New York State.”