A.M. Best upgrades Peace Hills General Insurance Company

A.M. Best has upgraded Peace Hills General Insurance Company’s financial strength rating from B (fair) to B+ (good). In addition, its issuer credit rating has been upgraded to ‘bbb-‘ from ‘bb.’ The outlook for both ratings is positive.The rating actions reflect Peace Hills’ improved risk-adjusted capitalization and continued favourable operating performance, A.M. Best says, adding the company has continued to focus its efforts on underwriting core business lines, increased rates and fostering ties to its independent brokers.Despite realized capital losses suffered in 2008, net investment income steadily contributed to equity, A.M. Best noted. Peace Hills also took on a more conservative investment strategy.The ratings agency said the positive ratings were partially offset by challenges due to continuing soft commercial market conditions, strong competitive market pressures and a recent trend of more frequent and severe weather-related events.