Captive Resource Center

Businesses and Associations

Research & Information

A.M. Best Assigns Rating to Titan Insurance Company Inc., A Risk Retention
Group

CONTACTS:

FOR IMMEDIATE RELEASE

OLDWICK, N.J., June 23, 2008—A.M. Best Co. has affirmed the financial strength rating (FSR) of A- (Excellent) and assigned an issuer credit rating (ICR) of “a-” to Titan Insurance Company Inc., A Risk Retention Group (Titan) (South Carolina). The outlook for the FSR is stable, and the outlook assigned to the ICR is stable.

The ratings reflect Titan’s solid capitalization, historically profitable operating results and its defined mission of providing claims based on contractual liability insurance coverage to Ethos Group, Inc. (Ethos) and its subsidiaries.

Partially offsetting these positive rating factors is Titan’s exposure to risk concentration since Ethos is Titan’s exclusive source of business.
Titan’s risk is compounded by the fact that Ethos only sells automobile related financial products. Geographic diversification is adequate since Ethos sells products in 26 states. However, the automobile dealership business is particularly competitive, especially in the financial products category, which presents a situation where participants have a limited ability to control the rates of products offered. Nonetheless, Titan and Ethos benefit from the attention of an experienced management team.

A.M. Best remains the leading rating agency of captive insurers rating a wide variety of more than 200 captives in the United States and throughout the world.

For current Best’s Ratings and independent data on the captive and alternative insurance market, please visitwww.ambest.com/captive.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.

###

[More Press Releases]