AM Best Affirms Credit Ratings of Constellation Insurance, Inc. and Members of AuguStar Life Group and Its Subsidiary

NOVEMBER 13, 2025 12:16 PM (EST)

AM Best Affirms Credit Ratings of Constellation Insurance, Inc. and Members of AuguStar Life Group and Its Subsidiary

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FOR IMMEDIATE RELEASE

OLDWICK - NOVEMBER 13, 2025 12:16 PM (EST)
AM Best has affirmed the Financial Strength Rating (FSR) of A (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of "a+" (Excellent) of AuguStar Life Insurance Company (ALIC) and its wholly owned subsidiary, AuguStar Life Assurance Corporation. These companies are referred to as AuguStar Life Group (AuguStar). These companies are the principal insurance subsidiaries of Constellation Insurance, Inc. (Constellation). Concurrently, AM Best has affirmed the FSR of A- (Excellent) and the Long-Term ICR of "a-" (Excellent) of National Security Life and Annuity Company (NSLAC). Lastly, AM Best has affirmed the Long-Term ICR of "bbb+" (Good) of Constellation. Finally, AM Best has affirmed the Long-Term Issue Credit Ratings (Long-Term IRs) of Constellation and ALIC. The outlook of these Credit Ratings (ratings) is stable. All companies are headquartered in Cincinnati, OH. (See below for a detailed listing of the Long-Term IRs.)

The ratings of AuguStar reflects its balance sheet strength, which AM Best assesses as very strong, as well as its strong operating performance, neutral business profile and appropriate enterprise risk management (ERM).

AuguStar's risk-adjusted capitalization is assessed at the strongest level, as measured by Best Capital Adequacy Ratio (BCAR), which is more than adequate for its insurance, investment and business risks. AM Best has observed stable trends from this metric as well as stability in AuguStar's reported statutory operating earnings from the legal reporting entities that comprise the group. These earnings are reflective of the profitable diversified sources of revenue generated by the company over the past few years with some near-term moderation in growth projected. Any volatility in operating gains has been diminished through AuguStar's diversified product lines of its life and annuity distribution channels that are in both domestic and international markets. This has translated into a balanced in-force portfolio of products as the company competes in a crowded life and annuity market.

The ratings of NSLAC reflect its balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, very limited business profile and appropriate ERM. The ratings also reflect AuguStar's commitment to NSLAC and its management of the run-off variable annuity block of business, with this risk mitigated through reinsurance. This subsidiary continues to be managed with the strongest level of risk-adjusted capitalization, as measured by BCAR, for its remaining risks and exhibits strong liquidity measures.

The following Long-Term IRs have been affirmed with stable outlooks:

Constellation Insurance, Inc.-

- "bbb+" (Good) on $425 million 5.55% senior unsecured notes, due January 2030

- "bbb+" (Good) on $250 million 6.625% senior unsecured notes, due May 2031

AuguStar Life Insurance Company-

- "a-" (Excellent) on $50 million 8.50% surplus notes, due May 2026

- "a-" (Excellent) on $250 million 6.875% surplus notes, due June 2042

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.