AM Best Affirms Credit Ratings of Central States Indemnity Co. of Omaha and CSI Life Insurance Company

AM Best has affirmed the Financial Strength Rating of A+ (Superior) and the Long-Term Issuer Credit Ratings of “aa-” of Central States Indemnity Co. of Omaha (CSI), and its subsidiary, CSI Life Insurance Company (CSI Life). The outlook of these Credit Ratings (ratings) is stable. Both companies are domiciled in Omaha, NE.

The ratings reflect CSI and CSI Life’s balance sheet strength, which AM Best categorizes as strongest, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.

Additionally, CSI and CSI Life benefit from very conservative underwriting leverage, as well as the implicit support from its ultimate parent, Berkshire Hathaway Inc. (Berkshire) [NYSE: BRK A and BRK B]. CSI is a specialty insurance company that provides credit card credit insurance and has fronting agreements with multiple insurers.

These positive rating factors are offset by CSI’s elevated common stock leverage, new business strain and near-term execution risk. CSI currently writes, on a gross basis, more non-credit insurance premiums compared with its long-standing credit insurance business.

The rating affirmations of CSI Life reflect its synergies with CSI. The ratings also reflect the strong risk-adjusted capitalization and the explicit support provided by its parent, CSI, as well as the implicit support from its ultimate parent, Berkshire. Offsetting rating factors include CSI Life’s limited business profile and lack of product diversification.

This press release relates to Credit Ratings that have been published on AM 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 AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media – Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in New York, London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit

Copyright © 2020 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

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Dan Hofmeister
Financial Analyst
+1 908 439 2200, ext. 5385
[email protected]

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159
[email protected]

Mariza Costa
Associate Director
+1 908 439 2200, ext. 5154
[email protected]

Jim Peavy
Director, Public Relations
+1 908 439 2200, ext. 5644
[email protected]

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