A.M. Best has revised the outlooks to positive from stable and affirmed the Financial Strength Rating of B+ (Good) and the Long-Term Issuer Credit Rating of “bbb-” of Northwest G.F. Mutual Insurance Company (NWGF) (Eureka, SD).

The ratings reflect NWGF’s balance sheet strength, which A.M. Best categorizes as strong, as well as its marginal operating performance, limited business profile and appropriate enterprise risk management.

The revised outlooks reflect the significant improvement in underwriting results that have been reported in recent years, in sharp contrast to more marginal performance over the longer term. This is attributed to the efforts of new management to implement stricter underwriting standards as part of a broader effort to improve operating performance. The marginal assessment on balance reflects the considerable volatility in underwriting performance over the longer term, which contrasts with the much improved operating performance in recent years. As the years of weaker performance fade over time, so too would their impact on this assessment.

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 Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and A.M. Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and A.M. Best Rating Action Press Releases.

A.M. Best is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

Copyright © 2018 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.