Cincinnati Financial Corporation Receives A+ Rating from AM Best

AM Best has affirmed the Financial Strength Rating of A+ (Superior) and the Long-Term Issuer Credit Ratings of "aa" (Superior) for the property/casualty subsidiaries of Cincinnati Financial Corporation (CFC) and The Cincinnati Life Insurance Company. The ratings outlook remains stable, with these companies primarily based in Fairfield, Ohio, and The Cincinnati Specialty Underwriters Insurance Company located in Delaware.

These ratings reflect CFC's robust balance sheet, strong operating performance, and positive business profile, underpinned by effective enterprise risk management strategies. CFC demonstrates significant risk-adjusted capitalization, assessed through AM Best's Capital Adequacy Ratio (BCAR), backed by a prudent operating strategy and meticulous underwriting leading to favorable reserve development over decades. By the end of 2025, CFC reported an adjusted financial leverage of 4.9%, with strong interest coverage noted.

CFC's investment portfolio, heavily weighted with dividend-yielding stocks, contributes to interest income but also brings some exposure to equity market fluctuations. Nevertheless, CFC has expertly navigated these risks historically, and AM Best expects continued capital support to maintain CFC’s ratings.

As primarily a property and casualty insurer, CFC markets its products through independent agencies, showcasing a consistent record of underwriting profits since 2012. AM Best believes CFC has the capital strength and financial flexibility to meet immediate liquidity needs. The company maintains a comprehensive reinsurance program in partnership with highly-rated reinsurers.

CFC's extensive business profile benefits from its diverse array of commercial, personal, life, and non-admitted insurance offerings. The company leverages an expanding international footprint and a strong position in the U.S. property and casualty insurance market. CFC's risk management practices are well-suited for its business needs, ensuring robust risk oversight.

Affirmed with A+ (Superior) for Financial Strength and "aa" (Superior) for Long-Term Issuer Credit, these ratings with stable outlooks extend to The Cincinnati Insurance Company and its property/casualty subsidiaries, as well as The Cincinnati Life Insurance Company. For Cincinnati Financial Corporation, the Long-Term Issue Credit Ratings include: "a" (Excellent) for $28 million in 6.90% senior unsecured debentures due 2028, $374 million in 6.125% senior unsecured notes due 2034, and $391 million in 6.92% senior unsecured debentures due 2028.

AM Best, a renowned global leader in credit ratings, has published these ratings on their website. For more information on the ratings and disclaimers, AM Best’s Recent Rating Activity web page offers extensive details. Additional guidance on using Best's Ratings and Assessments is available. For company-specific insights, including Best's Credit Reports and related news, visiting the company page may require further purchases for more detailed information.