AM Best Affirms Credit Ratings of Everspan Indemnity Insurance Company and Its Affiliates
AM Best has affirmed the Financial Strength Rating (FSR) of A- (Excellent) and Long-Term Issuer Credit Ratings (Long-Term ICR) of “a-” (Excellent) of Everspan Indemnity Insurance Company (Tempe, AZ) and its affiliates, collectively referred to as Everspan Group. The outlook of these Credit Ratings (ratings) is stable. (See below for a listing of the companies and ratings.)
The ratings reflect Everspan Group’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management (ERM).
Everspan Group’s very strong balance sheet strength assessment is supported by a financial flexibility benefit received from its publicly traded ultimate parent, Octave Specialty Group, Inc. [NYSE: OSG], in addition to its high-quality investment portfolio. These positive factors are partially offset by adverse development of reserves and volatility in both operating results and risk-adjusted capitalization in the most recent period.
AM Best assesses Everspan Group’s operating performance as adequate based on execution and implementation of its business plan during its formative stages. Operating performance is largely in line with that plan following operating profitability in the most recent two years. However, operating results did experience volatility in the first quarter of 2026 due to a large net loss that added approximately 39.6 percentage points to the group’s combined ratio. The group is expected to stabilize results by year-end, followed by a return to profitability.
