Review of Hanover Fire & Casualty's Financial Ratings Amid Acquisition

AM Best has initiated a review with negative implications for the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of "bbb" (Good) assigned to Hanover Fire & Casualty Insurance Company. This evaluation is the result of the company's impending acquisition by Mid-Hudson Co-Operative Insurance Company. This acquisition could have significant impacts on underwriting practices and risk management strategies within the insurance industry.

Expanding Market Reach

Hanover operates primarily in personal property insurance, providing coverage in areas such as fire, liability, and homeowners insurance. The acquisition aims to extend Mid-Hudson's market reach beyond its current stronghold in New York State, benefiting from Hanover's broader geographic presence. Completion of the transaction is expected by the end of Q1 2026, subject to regulatory compliance requirements.

Regulatory Approval and Financial Ratings

The ratings for Hanover will remain under review until AM Best receives confirmation of the acquisition's regulatory approval. A thorough assessment will evaluate how the transition impacts the company’s operations and strategic direction. For further details on current ratings and related disclosures, industry professionals can visit the AM Best website, a leading credit rating agency known for comprehensive analysis and ratings within the insurance sector. More information is available at www.ambest.com.