AM Best Affirms Credit Ratings of Industrial Alliance Insurance and Financial Services Inc. and Its Life/Health Subsidiaries

SEPTEMBER 18, 2025 11:55 AM (EDT)

AM Best Affirms Credit Ratings of Industrial Alliance Insurance and Financial Services Inc. and Its Life/Health Subsidiaries

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FOR IMMEDIATE RELEASE

OLDWICK - SEPTEMBER 18, 2025 11:55 AM (EDT)
AM Best has affirmed the Financial Strength Rating (FSR) of A+ (Superior) and the Long-Term Issuer Credit Rating (Long-Term ICR) of "aa-" (Superior) of Industrial Alliance Insurance and Financial Services Inc. (IA) (Quebec). Concurrently, AM Best has withdrawn the Long-Term Issue Credit Ratings on securities under the shelf registration of IA. In addition, AM Best has affirmed the FSR of A (Excellent) and the Long-Term ICRs of "a" (Excellent) of IA's U.S. life insurance entities within the IA American Life Group (IAALG). The outlook of these Credit Ratings (ratings) is stable. (See below for a listing of IA's U.S. Life companies)

The ratings reflect IA's balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, favorable business profile and appropriate enterprise risk management (ERM).

The company's Canadian operations continue to be supported by a favorable risk-adjusted capital position and consistent operating earnings that have demonstrated a positive long-term trend of improvement. IA also continues to be a major player in Canada's insurance market with leading or competitive positions in multiple product lines. The company also has maintained and continuously improved upon a robust ERM framework that historically has led to conservative assumptions and reserving.

The ratings of IAALG reflect the group's balance sheet strength, which AM Best assesses as very strong, as well as its marginal operating performance, neutral business profile and appropriate ERM. The U.S. group continues to maintain an extremely conservative investment portfolio with the most of its holdings being investment-grade public bonds. The U.S. group has seen volatility in statutory earnings, driven partly by the impact of new business as significant premium revenue growth has been recorded; however, this is to be expected as scale is enhanced. While not currently part of the IAALG rating unit, Vericity, Inc., which was acquired by IA American Holdings Inc., in 2024, will continue the expansion of U.S. operations with an additional carrier and digital agency being integrated into the greater organization.

The FSR of A (Excellent) and the Long-Term ICRs of "a" (Excellent) have been affirmed with stable outlooks for the following entities of the IA American Life Group:

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• IA American Life Insurance Company
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• American-Amicable Life Insurance Company of Texas
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• Pioneer Security Life Insurance Company
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• Pioneer American Insurance Company
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• Occidental Life Insurance Company of North Carolina
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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 Activityweb 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 use of Best's Credit Ratings (BCR), Best's Performance Assessments (PA), Best's Preliminary Credit Assessments (PCA) and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments.

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 London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.